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AACED is in for an exciting year if the next 11 months are as busy as
the past 6 weeks. I am proud of the work we have done to facilitate
projects, such as Silver State Ethanol's ongoing discussions with the City
of Ashland and the Community Improvement Corporation's potential purchase
of the Novatex building, which would accelerate their growth plan.
However, economic development efforts are never successful if they are
only shared inside one office. Both of the projects above are examples of
broad- based community support of economic development. Mayor Strine, City
Council, and other City leaders deserve a great deal of credit for their
leadership in navigating the process of such a significant potential
investment in their new business park. Likewise, the Community Improvement
Corporation (CIC) would not even be in a position of possibly assisting
Novatex without the leadership of the executive officers, especially
Treasurer Hal Sheaffer. These are not "easy" projects for the new Ashland
Business Park, but with community efforts like these, solutions can be
found. If you want to learn more about these recent initiatives, please
contact my office, I think you will also be proud that you're a part of
this forward-thinking county.
In addition to the projects
described above, you will notice inside two exciting growth stories in our
manufacturing sector. I continue to be impressed with the small business
innovation that is occurring in our county. Additionally, as Mayor Strine
mentioned in his State of the City Address, these small firms are
beginning to strategically cooperate for mutual benefit. It will be my job
to make this a county-wide initiative that has positive impacts on our
entire economy.
Economic development has become a county-wide
initiative, but it will only be enhanced by your involvement. I am
challenging myself and my staff this year to focus on business recruitment
into Ashland County. For example, the former Merillat facility (500,000
square feet, with more than 200,000 available) in Loudonville is an
incredible asset for heavy industry. We will be aggressively marketing
this building, along with many other opportunities. Many of you have
business contacts and/or ideas regarding prospects for our vacant sites
and buildings. Let us hear those ideas.
Best wishes for continued
success and prosperity in 2007.
Sincerely,
Evan Scurti
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Manufacturing Expansion in Ashland... |
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Recent issues have highlighted the manufacturing success of companies
like Ohio Electric Control, Farr Automation, and Maverick Innovative
Solutions, and Straightaway Fabrications is a great addition to our vital
small business sector.
Much like many other entrepreneurial
stories in Ashland County, Straightaway Fabrications is an example of
skilled employees spinning a successful small firm out of a larger one, in
this case Automatic Welding. From an economic development perspective,
this is a good indication of our county's strong "business churning"-- the
process of an economy's ability to generate and accommodate leaders that
rebound quickly and start new ventures. Straightaway Fabrications' owner
and President David Bowles did just that as Automatic Welding approached
closure. In mid-2004 he launched Straightaway in one of the buildings in
the former General Hone complex in Perry Township. David began by
continuing Automatic Welding's shipping container production. However, by
adding custom fabrication services on a variety of products, and
implementing practices such as lean manufacturing, the company has grown
rapidly from 4 in 2004 to 32 employees today (17 are actually staffing
agencies' employees with future opportunities for permanent employment).
Also impressive is the fact that 8 former Automatic Welding employees have
found employment at Straightaway.
David continues to lead the
company toward more innovation and growth. They are becoming an active
member of the manufacturing sector in this region. A prime example is
their great powder coating services that many customers take advantage of,
shown right:
Straightaway has also
entered the export market with sales to Italy, the United Kingdom. They
are well poised for future growth, product development, and diversified
services and they will be hiring between 8-10 permanent employees in the
coming months. If you are interested in becoming a part of this great team
or would just like to meet some great business leaders, please introduce
yourself to the company.

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Rain Drop Products Expansion |
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Ashland County innovation and growth will continue as Rain Drop
Products announces an expansion plan. This producer (and inventor) of
indoor and outdoor fiberglass-based water play equipment is growing out of
its George Road facility and has signed a lease for an industrial facility
on Union Street in Ashland. Rain Drop will be bringing some previously
outsourced manufacturing processes in-house, which necessitated the move
to the 44,000 square foot facility. The move will immediately create about
8 jobs with a forecast of about 15 additional jobs from 2008-2011.
Rain Drop has deep roots in the region and Ashland. Started in
1982, we are proud that Ashland has been a part of its steady growth and
many recent successes. For example, in 2005 Rain Drop formed a joint
venture with Game Time, a playground manufacturer that now exclusively
contracts with them. The company is also completing the GSA certification
process, which will provide a competitive advantage when selling products
to the federal government. Rain Drop is also very involved in local
projects. They have been chosen as the supplier of the spray ground park
equipment for the new Salvation Army Kroc Center, and they have also
supplied parks in Wooster recently. These aggressive strategies, led by
CEO Mike Hooper, have helped the company double in sales and employment
since 2000; they currently employ 25. More growth is also possible as the
company branches out into contract manufacturing services for a variety of
products.
AACED congratulates Rain Drop and will continue to work
closely with management as they work through this transition phase.
Congratulations also goes out to the owner of the new facility-developer
Joe Zupan-for his cooperative, open-minded approach when working with
local companies. AACED will consult with the team by presenting a variety
of State and Federal financing programs that will facilitate Rain Drop's
long-term commitment to their new home on Union Street. Visit
www.rain-drop.com to view the great products produced by this company, or
contact them to learn more about the expansion.

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Globalization and Ashland: Staying Local |
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Many people believe that the trend of countries and companies going
global is the dominant position. However, several economists believe that
the trend is not necessarily to go global, but to go regional. It is true
that there is a lot of pressure from the global community that has
constrained the behaviors of firms and individuals. Still they are far
from defenseless and far from being overrun by globalization. Many
countries and companies have found that going regional or staying local
brings many opportunities.
The three major examples of
regionalization among countries are the European Union, NAFTA, and the
greater Asian region. There is one major phenomenon that supports why
countries will choose to go regional before they choose to go global. That
phenomenon is called the Border Effect. The border effect can be defined
as an invisible barrier between countries or regions that affect their
willingness to trade with that country. For instance, the CIA World
Factbook lists two out of three of the United States' largest exporting
and importing partners are Canada and Mexico. In China over one-third of
their imports come from the Asian Region. This happens largely based on
customs and cultures. They are more likely to be similar within a region
than a country across the globe.
Not all companies are jumping on
the global bandwagon either. Some companies believe they can better serve
their clients if they keep their production near them. According to an
article in the Wall Street Journal by Mark Whitehouse, some of the same
logic applied to restaurants and similar industries can be applied to
manufacturing. Sometimes superior proximity to clients can provide better
knowledge of consumer behavior and establish long-term relationships with
clients. Here in Ashland, the Packaging Corporation of America has been
very successful while keeping all their manufacturing in the United
States. PCA is a manufacturer and distributor of corrugated board. They
manufacture boxes and displays for companies. For each of PCA's different
plants, large portions of their consumers are local companies. According
to their 2005 Annual Report, 70 percent of PCA's customers are local. For
the plant in Ashland, the clientel includes companies like Bendon
Publishing and Archway. Don Haag, the Midwest Area General Manager, says
that relationships are important in their industry and their company must
be responsive to the needs of their customers. He explains that in this
industry everything is 'just in time' and when a customer needs something
you must be able to get it to them quickly. If their board was
manufactured abroad that would not be possible. Therefore it is important
to stay close to their customer.
Globalization and countries
coming closer together is a real trend, however it is more likely that a
country will bond with its neighbors then one across the ocean. It is also
not true that companies cannot find success from staying local, in fact
several companies including PCA, prefer it and find great opportunity in
serving consumers close to home.

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New programs led by Bob Grundy at the Adult Education
Center |
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The Occupational Safety and Health Administration (OSHA) elects that a
business is responsible for the safety of their employees. That is why it
is important that a company take the necessary steps in order to insure
they are in compliance with the federal standards. That is where Bob
Grundy, a Technical Consultant for the Career Center can help you. Bob is
now licensed to certify managers and companies for compliance with OSHA
standards. There are two programs that can be taken at the Career Center.
The first program is a ten-hour class that is s general overview of
working safety within an organization. In those classes you will learn
such things as exit strategies and material moving and handling. The other
program available is a thirty-hour program that explains more specific
safety measures that can be taken. These are programs anyone can benefit
from, whether you are a small company or a large one. In either of these
programs you will learn not just about the Codes in the Federal Regulation
handbook, but also those measures that are supposed to be taken according
to the General Duty Clause, a clause that blankets several issues on
building and conduct safety.
Another program beginning in March is
a plant maintenance program. The program is 680 hours of learning the
trade of maintaining a building or plant facility. Students will learn
everything from basic electrical repair to how to take apart machines
safely. The Career Center is one of a few places in the area where you can
learn the fundamentals and basics or "the old industrial arts". According,
to Bob Grundy, who will be running the program, students can learn a wide
range of skills that will make them more qualified in the job market.
Maintenance personnel are in high demand. This program can give
individuals the experience and skills that companies want.
Please
contact Mr. Grundy to learn more about these programs, or contact the
Adult Education Center to learn about other services for companies and
adult students.

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