VMEC has identified the following White Papers and Reports as containing noteworthy value and information of likely interest to VMEC clients, VMEC partners and the larger Vermont manufacturing ecosystem.
White Papers and Reports
A special presentation on Advanced Manufacturing in New England. The New England Council & Deloitte presentation from a meeting held in Montpelier at the VT State House on June 9, 2015
The Manufacturing Value Chain Is Bigger Than You Think (MAPI Foundation, March 2016) Manufactured goods are ubiquitous at home, in transit, and at work, but the narrow definition of manufacturing industries in national statistics implies that the sector is of only minor importance to economic activity. The traditional finding is that manufacturers’ proportion of gross domestic product (GDP) is only about 11% and manufacturing’s share of economy-wide full-time equivalent employment is just 9%. Since this excludes manufacturing activities such as research and development, corporate management, logistics operations, and advertising and branding, those figures are merely the tip of the iceberg.
2015 VMEC Impact Report Since early 1996 when the Vermont Manufacturing Extension Center (VMEC) first opened its doors, our not-for-profit Center has been assisting manufacturing companies from all industries across Vermont. VMEC has assisted more than 895 of Vermont’s approximately 1,200 mostly small- and medium-size manufacturers solve problems, improve their economic competitiveness, grow through innovation, and enhance their technological capabilities. The results have included documented higher profits, savings in time and money, investments in physical and human capital, and the creation and retention of higher-paying manufacturing jobs with good benefits – all significantly enhancing our local, state and national economies.
The Case for New England’s Manufacturing Revolution by The New England Council and Deloitte Consulting LLP, April 2015 This report highlights competitive advantages and opportunities in the manufacturing sector for New England and Vermont. It identifies game changers for the sector’s growth and makes a number of recommendations to bring about the networked, collaborative environment needed for advanced manufacturing to thrive in Vermont and across New England. Of note, the report calls for the region to come together in support of a bid for a National Network for Manufacturing Innovation (NNMI) institute based in New England.
Vermont 2020 CEDS – Comprehensive Economic Development Strategy for the State of Vermont In the wake of 2011’s Tropical Storm Irene, Vermont set out to not only repair its infrastructure but to create a stronger and more prosperous state; resilient to both natural and economic impacts. This Comprehensive Economic Development Strategy (CEDS) was born of that effort. Directed by Governor Peter Shumlin, funded by the U.S. Economic Development Authority, and produced by the Agency of Commerce and Community Development in tandem with the CEDS Committee, this document sets a strategy that the state will build on and add to over the next five years. Citizens from all regions and all walks of life were consulted and provided valuable input. Plans and data from groups around Vermont (including our four regional CEDS) were taken into account. The CEDS was also built based on input from state agencies and partners.
Vermont Advanced Manufacturing Partnership Final Report, January 2013 This report is in response to Governor Shumlin’s directive in his January 2012 Budget Address to create the “Advanced Manufacturing Partnership” to bolster Vermont’s manufacturing sector. It comprises the recommendations given by a group of forward-looking Vermont manufacturers, higher education, government and other leaders interested in manufacturing who first came together in July 2012 under the leadership of Lawrence Miller, then Secretary of the Agency of Commerce and Community Development, to discuss ways to help strengthen and grow manufacturing in the state and suggest some first steps toward the design and implementation of a strategic plan for manufacturing in Vermont.
Transferable Enterprise Value – The Importance of Quantifying Intangible Value Drivers in Small to Medium Size Enterprises (SMEs) Successfully transferring a private business requires the seller to provide the buyer with proof of enterprise value through a reliable measure of future profitability. Intangible assets often turn out to be the hidden value drivers of SMEs, and as such are crucial to their competitive advantage and future earnings. Yet, conventional financial statements do not adequately identify and measure the intangible value drivers in SMEs. This lack of transparency creates an information gap that hinders transfer of ownership. With the majority of SMEs in the hands of baby boomer business owners nearing retirement, the need to transfer private business over the next decade will accelerate. Therefore, finding a workable solution to close the SME information gap and ensure successful transfer of these businesses is critical.
Enterprise Value and Operational Excellence: A Reasonable Starting Point The ‘fundamental responsibility’ of the CEO is to build enterprise value. To accomplish this, a CEO must have a ‘reliable, continuous and actionable measure of enterprise value.’ The public company CEO has such a measure, the publicly quoted stock price; the private company CEO does not. The lack of such a measure for 99% of the businesses in the US economy has created significant inefficiency in the capital markets.