Strong Business Blend Keeps Local Economy Diversified and Strong
business, diversity, economic development, edmonton research park,
With enviable environmental and energy assets, a strong and diverse economy, excellent transportation arteries and an unmatched quality of life, Edmonton sits at the top of the global economic mountain.
Leading Edmonton’s economic and tourism efforts is the Edmonton Economic Development Corporation, which is concentrating on three strategic areas: driving change through leadership, creating economic growth through innovation and enhancing Edmonton’s global stature and recognition.
Leadership is key, says 2009 EEDC chairman Randy Ferguson.
“We want to create a balance with our board and get the right people around the table,” Ferguson says.
Members are selected through a skills matrix, which provides representation through a cross-section of industry, arts and culture.
Facilitating innovation, research and cooperation is the hallmark of the EEDC. Partnerships are yielding results. For example, the working relationship between the EEDC-managed Edmonton Research Park and TEC Edmonton (a business accelerator that is a joint venture between EEDC and the University of Alberta) has led to public/private research investments exceeding $500 million, Ferguson says.
“The purpose is to commercialize the technology,” Ferguson says. “We can achieve that goal by bringing together mentoring, entrepreneurship and financing and working closely with the government, post-secondary and private sectors.”
The Edmonton Research Park has been a success since it began in the mid-1990s, says EEDC President and CEO Ron Gilbertson, and a 90-acre expansion is in the works. The park is home to more than 55 companies engaged in advanced research in medicine, biotechnology, software, petroleum research, cold climate engineering, nanotechnology and clean energy. These companies employ more than 1,500 workers.
When it comes to economic development, Edmonton takes a “tortoise and the hare” stance.
“We’re more the tortoise, with a steady approach,” Gilbertson says. “We have quite a diversified economy, one of the strongest in the world. When one sector takes a downturn, other sectors are doing well, so we don’t get the ‘boom-bust’ economy that regions with one major employment sector have.”
With an energy-rich economy as Edmonton’s base, the EEDC has identified six diverse areas that are gaining strength: health care, education and research, advanced technology, energy/petrochemicals, tourism and FIRE, an acronym that covers the critical finance, insurance and real estate sectors.
Despite the global economic downturn, Edmonton is still winning the race when compared to other cities its size.
“Four years ago, we were seeing investments of about $4 billion here in Alberta,” Gilbertson explains. “Last year it was $20 billion. So it may go down this year, but when you look at where we were four years ago, it’s still quite high, despite slowing down by $10 billion or so. There are countries with a million people that would be happy with those numbers. I like to say we’re going from a Mercedes to a Cadillac, while most people in the world are driving Chevrolets.”
The innovative efforts are paying off. Edmonton recently ranked third in the world on one global prosperity scorecard, beating out economic powerhouses New York, Paris, Shanghai and Chicago, among others.
“That’s pretty impressive,” Gilbertson admits. “The strength of our economy is significant, but our quality of life is the one thing that keeps coming up. Our income is above average, our schools are the best in North America and health care is publicly funded. Whether you work as a lawyer or at McDonald’s, you get great health care. We have the full meal deal.”
Story by Betsy Williams
