WHAT IS PROPEL SAN DIEGO ? Grant initiative from the Office of - - PowerPoint PPT Presentation

WHAT IS PROPEL SAN DIEGO ?

• Grant initiative from the Office of Economic

Adjustment (OEA)

• Purpose is to Strengthen Our Regional

Defense Industrial Base

WHY SAN DIEGO?

WHY SAN DIEGO?

WHY SAN DIEGO?

PARTNERS

TIMELINE

Phase I July 1, 2016 - December 30, 2017 $1.7M No cost extension through December 2017 No cost extension through April 2018 Phase II September 1, 2017 18 months $1.7M Phase III FY 2019 - 2020 (Pending Application))

Strategies for Increasing Economic Resiliency

• 1. Mapping the ecosystem
• 2. Leverage existing tools to support

businesses

• 3. Promote commercial diversification

strategies

• 4. Increase company to company

connectivity to drive new partnerships

RESEARCH SURVEY UPGRADED COMMUNICATIONS CONNECTORY AVIATION/AEROSPACE FORUM BUSINESS INCENTIVE MATRIX THINK TANK

PHASE I ACCOMPLISHMENTS

Propel San Diego Survey Results & Data Viz Tool

Aerospace and Defense Forum January 23, 2018

Procurement Trends in San Diego

Fluctuations in Defense spending present

• pportunities and

challenges for regional defense businesses

General Atomics $940.8M Software Avionics Surveillance Composite Materials Propulsi

• n

Armame nt ? ? ? ? ? ? ? ? ? ?

Survey Responses

• 1,521 firms responded to

the survey

• 591 firms identified as

defense prime or sub- contractors

• 547 defense-related

firms completed the full survey

Contact Method Proportion of Completes Unique Web 13.4% Generic Web 24.4% Phone (known) 38.7% Phone (unknown) 23.5%

Extrapolation

Known Universe

3,044 establishments 65% are in construction, manufacturing, or professional & technical services

Unknown Universe

2,615 additional firms estimated to be defense-related in key industries

Total Firms

5,659 defense- related firms estimated in county

Permanent Employment

153,953 total 62,073 defense- specific

Customer Location

39% 18% 13% 41% 23%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Local – San Diego County Regional – Within Southern California Statewide – Within California National – Within the United States International – Outside the United States

Customers No Customers

N = 878

Firm Size

Changes in Firm Size

28% 56% 13% 3% Past 3 Years Grown Stayed the same Declined Don't know

N = 887

38% 2% 53% 8% Next 12 Months More Fewer Same number Don't know

N = 889

Industry Breakdown in San Diego

These two industries represent 81% of all defense-specific contractor employment.

28% 36% 25% 11% Experienced Industry Professionals Little to No Difficulty Some Difficulty Great Difficulty DK/NA

Difficulty Hiring Qualified Applicants

N = 550

33% 34% 22% 11% Entry to Mid-level Little to No Difficulty Some Difficulty Great Difficulty DK/NA

N = 550

29.6% 52.4% 36.9% 27.2% 14.2% 31.9% 59.9%

35.8% 30.7% 37.4% 29.7% 35.8% 21.7% 26.6% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

An industry recognized credential or certification At least one year of industry related work experience At least five years of industry related work experience A four-year college degree or higher Prior military experience Security clearance Technical training and position-sepcific expertise

Extremely important Somewhat important Not at all important It depends DK/NA

Importance of Applicant Qualifications

N = 548

Importance of Local Resources

N = 550

19% 22% 29% 28% 35% 31% 36% 38% 32% 33% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Universities doing relevant research Technology transfers and commercialization assistance Regional industry associations for defense Worker training programs Access to new commercial technologies

Extremely important Somewhat important Not at all important It depends

22% 61% 55% 51% 52%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Access to capital, banking and funding Access to clients & customers in the region Access to vendors and suppliers Access to talent and a skilled workforce Firms and orgs that are doing defense-related R&D

Strength Neutral Weakness DK/NA

Local Ecosystem Strengths

N = 552

Perception of Region

Advantages

• 33% access/proximity to

government locations/bases

• 17% access/proximity to

customers; availability of jobs

• 15% access/proximity to

SPAWAR, NAVSUP, SSC Pacific, and other defense orgs Challenges

• 19% navigating govt.

contracts/getting clearance/funding/RFPs

• 15% rules and regulations on

business

• 15% cost of doing business
• 14% cost of living

Executive Interview Highlights

When asked … What portion of the work done from your San Diego County location(s) is focused on Defense or Defense related work? & What percentage breakdown would you feel is ideal for your company? The most common answer was 50/50 Only one company answered 100% defense

Defense Data Visualization Tool

Free, publicly accessible tool to see defense spending trends and contract awards by individual companies in San Diego County. Gain better insights into opportunities for partners and contracts by visiting:

Sandiego.dodspend.com

Thank You Questions Contact- Jesse Gipe jg@sandiegobusiness.org

Timeline

• September 1, 2017
• 18 months
• $1.7M

PHASE II

BUSINESS ASSISTANCE UAS ECOSYSTEM SUPPORT CONNECTORY UPGRADE WORKFORCE CURRICULA

PHASE II PROGRAMS

HOW DO I GET INVOLVED?

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SDMAC.ORG/PROPELSANDIEGO

This project is funded in whole or in part with Community Economic Adjustment Assistance for Reductions in Defense Industry Employment funds provided by the U.S. Department of Defense - Office of Economic Adjustment to the City of San Diego.