Fueled by tech, defense, and life science industries, San Diego’s innovation economy relies on a pipeline of diverse talent. However, local companies continue to cite access to quality talent as a persistent challenge–98% of firms in San Diego are small companies (fewer than 100 employees) that often lack time and resources to effectively compete for talent with their larger counterparts. Meanwhile, many San Diegans are disconnected from high-demand job opportunities like software engineering, largely due to education requirements.
Made possible by JPMorgan Chase, Advancing San Diego is a demand-driven strategy to address talent shortages and remove barriers for small companies to access qualified workers. It is a collaborative effort between San Diego Regional EDC, San Diego and Imperial Counties Community College Association, San Diego Workforce Partnership, City of San Diego, and United Way of San Diego.
Over the last six months, Advancing San Diego partners worked with a group of 17 employers to develop a skills-based criteria for the region’s highest growth position over the past five years–software engineers. We asked that any education provider meeting that criteria apply for the Preferred Provider designation. An employer review panel then evaluated these applicants against the skills criteria to determine which programs should be designated as ‘Preferred Providers’, recognized as effectively preparing individuals for jobs and internships in software engineering.
EDC is excited to announce the first round of Preferred Providers of software talent.
Preferred Providers (Full Designation) – defined as fully preparing individuals for software engineering jobs.
Preferred Providers (Partial Designation) – defined as providing the foundational skillsets necessary for students to pursue a software engineering internship.
Over the next three years, Advancing San Diego will cover the cost of internships for Preferred Provider students within up to 100 small companies. Students will also participate in industry engagement opportunities such as career fairs and networking events, and become eligible for up to $500 each in flexible funds to support their success in the workplace. The Preferred Provider (full) and (partial) designations come with the same set of benefits. The first cohort will be placed in Summer 2020.
If you are a small company (<100 employees) that is interested in receiving interns from STEM fields and meets the eligibility criteria, apply now!
How education programs can get involved:
Advancing San Diego will continue to designate Preferred Providers in a variety of high-demand fields. Preferred Provider criteria and applications are updated and reviewed on an annual basis. The Preferred Provider application schedule is as follows:
Through it all, EDC impacted 5,228 jobs and worked on 179 projects – supported by companies, investors, community partners, and more – on behalf of San Diego’s economy. While our work spans multiple industries and organizations, with various programs and goals, there’s an universal thread that ties it all together: build a more inclusive economy that benefits all San Diegans.
As we close out 2019 and another successful decade, let us recap our top 10 wins for San Diego…
San Diego: Life. Changing.’s Just Say No to Winter campaign received national attention
Going into its fourth year, SD: Life. Changing. is our award-winning campaign that aims to attract and retain talent for our region. We kicked off 2019 with Just Say No to Winter, a transit and social media campaign that targeted STEM talent in Boston, Chicago, and New York during the peak of winter with information about career opportunities in San Diego. Thanks to this go-viral marketing push – and coverage in The New York Times, the nationally-syndicated program “The List,” and more – we saw 34X the ROI, 2.6 million social media impressions, and 36K video views.
EDC received its largest grant in history, catalyzing Advancing San Diego
World Trade Center SD’s MetroConnect export assistance program had its best year yet
Made possible through a grant from JPMorgan Chase & Co., MetroConnect provides small- and medium-sized companies with the resources necessary to expand into global markets. During the 2018-19 program, companies in MetroConnect IV collectively generated a net increase of $69.6 million in export sales, signed 369 international contracts, and opened 10 new facilities overseas. Together, the 20 participating companies also created more than 100 jobs in San Diego – evidence that exporting supports the increase of jobs locally.
EDC fostered 3 regional goals for a more #inclusiveSD
While the growth of our innovation economy has created tremendous opportunity, it has also perpetuated systemic inequities. 2019 was all about elevating an inclusive economic development strategy – the lens in which EDC views all of its work – so that economic growth is seen and felt among the entire region. In order to effectively do this, EDC’s employer-led Inclusive Growth Steering Committee supported actionable recommendations and measurable targets for creating a San Diego that benefits all residents. By 2030:
With support from EDC, Cubic Corporation secured $8.5M in tax credits & broke ground on its new HQ
“Since our founding in 1951, we have established strong roots in the San Diego community and it was very important for us to remain headquartered here. The San Diego Regional EDC was an integral resource for our redevelopment. They were able to strategically bring key partners together and secure incentives that best positioned us to redevelop our headquarters in the Kearny Mesa area.” – Anshooman Aga, executive vice president and CFO at Cubic Corporation
EDC managed San Diego’s Integration Pilot Program (IPP), propelling 1,150+ successful missions
From monitoring coastal erosion to fighting wildfires, drones offer enormous social and environmental benefits. San Diego is currently one of 10 state, local, and tribal governments to participate in the Integration Pilot Program, which has allowed our region to be at the forefront of an industry that is expected to reach a $43 billion market value by 2024.
EDC produced 24 reports to help residents and businesses better understand San Diego’s economy
EDC provides research and data to local companies, site selectors, and civic leaders to help them make well-informed decisions about our economy. From monthly reports (and videos) that chart key economic indictors to customized economic impact reports for companies, EDC’s research helped the regional stakeholders better understand this place we call home.
Innovate78 amplified its reach along the 78 Corridor, convening more than 500+ individuals
With companies like Viasat, Thermo Fisher Scientific, and a plethora of award-winning craft breweries, the 78 Corridor is hub for innovation. Thanks to the region’s Innovate78 program, managed in collaboration with EDC and the cities of Carlsbad, Escondido, Oceanside, San Marcos, Vista, more than 500 stakeholders (think: entrepreneurs, high-quality talent, startups, etc.) attended events held in North San Diego County.
The introduction of non-stop San Diego-Frankfurt service aboard Lufthansa and a shift in economic power resulting from Brexit meant that Germany was becoming an increasingly important trade and investment partner for San Diego…and WTCSD wanted to be out in front of it. WTCSD pulled together more than 20 San Diego-based business and civic leaders to participate in a four day trade mission to Munich and Frankfurt, Germany.
International partnerships take time, but based on initial meetings on the trade mission, San Diego has planted the seed for long-term relationships with major companies, including BMW, IBM, Siemens, Daimler, and more.
Inspired by the newly-minted Advancing San Diego initiative and the company’s involvement with EDC’s Inclusive Growth Steering Committee, Northrop Grumman Corporation launched a new talent pipeline program in San Diego that provides community college STEM students with paid, work-based learning opportunities and a pathway to qualification for careers in the aerospace and defense industries.
Since the program’s inception earlier this year, Northrop Grumman has partnered with MiraCosta College and Palomar College for the pilot phase of the program during the 2019-2020 school year and is exploring additional partnerships through the San Diego & Imperial Counties Community College Association (SDICCCA) for the 2020-2021 school year.
“Establishing a framework to collaborate with education systems is necessary for building a strong local talent pipeline and supports a long-term workforce planning strategy,” said Alfredo Ramirez, vice president, engineering, Northrop Grumman. “Our decision to develop a community college pilot fills a critical gap bridging K-12 and university programming, allowing us to reach and engage students in San Diego throughout their education journey.”
Check out the video below to see how Northrop Grumman’s program is building a better regional economy that benefits all San Diegans and directly supporting the goals set forth by EDC’s Inclusive Growth Steering Committee.
Looking to start your own talent pipeline program?
In an effort to provide residents with increased access to high-demand jobs, San Diego Regional EDC launched Advancing San Diego, a $3 million local investment initiative underwritten by JPMorgan Chase. The program will align industries with economic development, workforce development and education systems.
“Talented and skilled workers are integral for a strong economy,” said Mark Cafferty, president & CEO at San Diego Regional EDC. “With and through our program partners and stakeholders, we are establishing a first-of-its-kind, employer-led initiative that will measure and aggregate workforce needs while also indentifying solutions that align and strengthen our local education systems. We need to ensure that the benefits of our region’s growing innovation economy are reaching all San Diegans.”
Advancing San Diego will establish nine working groups that are designed to give employers a collective voice about talent needs in priority industries, ranging from software and technology to marketing, healthcare and more. In the first report, 17 participating employers expressed a projected need for more than 7,200 additional software-related positions over the next three years.
The Advancing San Diego initiative In April 2019, San Diego was one of five cities to receive a $3 million investment as part of JPMorgan Chase’s AdvancingCities Challenge, an initiative to drive inclusive growth and create greater economic opportunity across the U.S. Advancing San Diego is a collaborative program by San Diego Regional Economic Development Corporation, the City of San Diego, San Diego Workforce Partnership, United Way of San Diego, and San Diego & Imperial Counties Community College Association (SDICCCA).
As San Diego’s economy continues to expand, employers are seeing an increased demand for skilled workers. While San Diego strives to attract and retain talent, it must also look inward to build a workforce that meets demands for current and future jobs. EDC and its Inclusive Growth Steering Committee of 40 employers have endorsed a regional goal to double the number of skilled workers produced in San Diego County to 20,000 per year by 2030. This requires strong, effective learning programs offered by community colleges and other education institutions.
The goals of Advancing San Diego are to:
Engage employers in a structured process to collectively communicate talent needs
Identify education programs that are aligned with industry needs
Increase the pool of diverse, skilled talent in San Diego
Expand access to talent pipelines for small companies
“By 2020, nearly two of every three jobs in the U.S. will require a credential or degree, and currently, 90 percent of our students remain in San Diego after graduation,” said Dr. Sunita “Sunny” Cooke, superintendent & president at MiraCosta Community College District. “Community colleges play a critical role in creating a diverse talent pipeline for the region. The Advancing San Diego program willhelp connect the work occurring within local community colleges to ensure we offer innovative curricula that support employer needs and include opportunities for students to apply their learning in workplace settings so graduates are ready for employment.”
Education systems that are aligned with results set forth by the working groups will be listed as ‘preferred providers’ by Advancing San Diego. This designation rewards higher education students with priority access to work-based learning and engagement opportunities via networking events, career and internship fairs, and local company tours. To learn more and become a ‘preferred provider,’ educators are encouraged to apply at advancingSD.org.
Additionally, businesses with fewer than 100 employees make up 98 percent of San Diego firms, and on average, are challenged to compete with larger employer wages. As part of EDC’s inclusive growth strategy, more than 35 employers (and counting) have endorsed a regional goal to create 50,000 new quality jobs within small businesses by 2030. To further engage small businesses, nearly half of the funding for Advancing San Diego will be used to subsidize internships within small businesses and offer additional services that support student success in the workplace.
“Start-ups like LunaPBC are rich with mission, purpose, and the opportunity for personal and professional growth,” said Dawn Barry, co-founder & president at LunaPBC. “Unlike large employers, startups are often lower on salary, but offer exciting equity and the opportunity to experience first-hand what it’s like to build an enterprise. When large employers work together with smaller employers, and pursue partnerships with incubators and accelerators, higher education and regional development teams, we strengthen our collective visiblity as a region for career development.”
Report: Demand for Software Talent and Criteria for ‘Preferred Providers’ Working group members were asked to provide hiring projections along with skills and competency requirements for critical jobs, in order to identify programs that align with industry needs. Collectively, these results were compiled into the Demand for Software Talent Report and will create a criteria for ‘preferred providers’ of software – a designation by employers that demonstrates an education program is providing adequate training for software engineers.
Companies that contributed to this report represent industries with the highest proportion of software talent in San Diego, including tech, life sciences, healthcare and defense. Based on the participation of 17 employers who collectively employ approximately 53,000 people and share a need for software talent, this report indicates the working group is projected to hire more than 7,220 additional software professionals over three years.
Software engineers accounted for the highest future hiring demand among all software occupations in working group companies, making up 53 percent of total projections
Entry-level software engineers represent the highest hiring need of any position at any level
Collectively, the working group projects they will hire more than 1,700 entry-level software engineers over the next three years
Approximately 44 percent of working group employers require a bachelors degree for entry-level software engineers
Through the Advancing San Diego collaboration, San Diego strives to cultivate a more inclusive economy, as this initiative will look inward to address regional talent shortages and strengthen the relationship between employers and education systems.
For more information about the new Advancing San Diego initiative, future working groups, or to be listed as a ‘preferred provider, visit advancingSD.org. Follow along and join the conversation at #advancingSD.
Today, San Diego Regional EDC and its employer-led Inclusive Growth Steering Committee officially endorsed a regional goal to create 50,000 new quality jobs within small businesses by 2030. Driven by EDC’s latest study release, Equipping Small Businesses to Compete, the regional goal and accompanying set of employer recommendations aim to help small businesses in San Diego to compete.
“If you care about the future of San Diego—economic competitiveness and mobility—then you need to pay attention to small businesses,” said Janice Brown, board chair, San Diego Regional EDC. “From large employers to elected officials, it’s everyone’s responsibility to make sure that small businesses have the tools to succeed.”
In its new study, EDC found that while small businesses—those with fewer than 100 employees—employ the majority of San Diego’s workforce, only 26 percent of jobs in small businesses are quality jobs—those that pay enough for economic security (paying wages of at least $40,529 per year or $19.49 per hour).
Additional key findings include:
Due to financial challenges, small businesses pay 14 percent lower average wages.
Only 36 percent of all businesses are minority-owned, and about the same proportion are woman-owned.
Opportunity industries, such as construction and transportation, offer a greater number of quality jobs than many innovation industries, including precision health and cybersecurity. Additionally, many opportunity industry jobs can be accessed without a bachelor’s degree.
Citing these key findings, it’s important for the region to invest in diverse founders, support existing small businesses, and focus on job growth within opportunity industries. San Diego will be able to drive a greater economic impact and broaden access to quality jobs, especially for people residing in communities with lower rates of educational attainment.
“When small businesses succeed, it leads to more quality jobs, better local economies, and healthier communities,” said Jane Finley, senior vice president and area manager, Kaiser Permanente. “We support this goal and invest in programs like Inner City Capital Connections because Kaiser Permanente believes that investing in small businesses and creating more quality jobs leads to improved health and well-being for every San Diego resident.”
EDC’s Inclusive Growth Steering Committee is led by large employers, who understand the crucial role that small businesses play in the regional economy.
In order to meet its goal by 2030, the Inclusive Growth Steering Committee is committed to collaborating with other regional employers through the following actions:
Transparency – connect with and better understand existing local service providers to strengthen their capacity and resiliency.
Engagement – commit to mentoring and/or building strategic partnerships with small businesses in high-growth, high-wage industries, particularly from underrepresented groups (women, minority, veteran, disabled, low-moderate income).
Investment – invest directly in small business support programs, such as supplier diversification and growth acceleration initiatives.
For more information about these actionable recommendations or a complete list of employers committed to this effort, visit smallbiz.inclusivesd.org.
EDC’S INCLUSIVE GROWTH INITIATIVE
In 2018, EDC launched a data-driven initiative focused on promoting inclusive growth as an economic imperative, emphasizing that San Diego employers must take active measures to promote inclusion, or the region will no longer be able to compete with other regions. Together with its Inclusive Growth Steering Committee, EDC aims to set regional targets and release actionable recommendations for three main goals: build a strong local talent pool; equip small businesses to compete; and address the affordability crisis.
Additionally, San Diego recently won a $3 million grant from JPMorgan Chase’s AdvancingCities program to further propel the inclusive growth initiative and its goals.
For more information about the Inclusive Growth initiative, visit inclusiveSD.org. Join the conversation at #inclusiveSD.
Today, JPMorgan Chase has announced that San Diego is one of five cities to win a $3 million grant from the AdvancingCities Challenge. Launched in 2018, the inaugural competition is a $500 million, five-year initiative to drive inclusive growth and create greater economic opportunity in cities across the United States. This grant will be used to fund a new collaborative program—Advancing San Diego.
“The Advancing San Diego program is going to be a game-changer and will provide resources to underserved communities that need it most,” said Mayor Kevin L. Faulconer. “It’s going to lift up our small businesses, prepare San Diegans for skilled jobs and make a real difference in people’s lives. It’s also going to level the playing field so that no matter where you grow up in San Diego, you have access to opportunity. I want to thank JPMorgan Chase for choosing San Diego, as well as the San Diego Regional EDC and all of the participating agencies who supported our proposal.”
JPMorgan Chase received more than 250 applications from 143 communities. Among the four other winning cities in the U.S.—Chicago, IL; Louisville, KY; Miami, FL; and Syracuse, NY—San Diego was selected because its proposal successfully outlined local coalitions of elected, business, and nonprofit leaders who will work together to address major social and economic challenges such as employment barriers, financial insecurity, and neighborhood disinvestment.
Through Advancing San Diego, EDC and its partners will collectively work to double the production of skilled workers by 2030 and enhance relationships between local employers and the region’s education systems. The concept incorporates a demand-driven, employer-led strategy to both connect underrepresented residents with high-demand jobs, while also providing small business access to diverse talent applicants. More specifically, these efforts focus on elevating San Diego’s Hispanic population, who is projected to be San Diego’s largest demographic group by 2030. Currently, 84 percent of Hispanics do not hold a bachelor’s degree and are drastically underrepresented in the region’s innovation economy.
“With unemployment rates at multiyear lows, companies need to compete for talent like never before. The good news is that our future talent pool— the engineers, scientists, data analysts— will be homegrown,” said Janice Brown, Board Chair, San Diego Regional EDC. “EDC has embarked on Advancing San Diego— a collaborative effort between business, nonprofit, philanthropy and academia, aimed to increase degree and credential completions required for high demand jobs and support the small businesses that drive our economy forward.”
