CR 91-195 Strategic Planning For Economic Development` j Y 0
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August 29, 1991 0 p K Council Report 917195
Strategic Planning for Economic Development
Proposed Action
Staff recommends adoption of the following motion: " Move to approve
the initiation of a strategic planning process for economic
development for the City of Hopkins
ov rview
As apart of the 1991 budget process, the Community Development
Department indicated that a major objective to be accomplished was to
undertake a strategic planning process for the City.
Due to the extensive discussions recently undertaken and questions
which have been raised regarding proposed redevelopment activities,
staff began the examination of undertaking a strategic planning
process focused on economic development. Within this examination,
staff attempted to answer many of the questions associated with
strategic planning and how this process could be applied to benefit
the City of Hopkins.
Staff has provided within this report, an outline of , a procedure
through which we will work in order to achieve the goal of
establishing a Strategic Plan for Economic Development for the City of
Hopkins.
Primary Issues to Consider
o What is Strategic Planning?
o Why undertake strategic planning for economic development and
how would this process benefit the City of Hopkins?
o What are we going to accomplish by undertaking strategic
planning?
o Who would provide the necessary leadership to organize and
undertake the strategic planning process?
o Who would be represented on the strategic planning task force?
o What is the work plan of the task force?
o Where do we proceed once the plan is in place?
o What will be the budget and funding source for this process?
aul . Steinman
Community Development Specialist
Council Report 91 -195
Strategic Planning
Page 2
Analysis
Based on the recommended motion there are several issues which need to
be considered:
o What is Strategic Planning?
Strategic planning is defined as "the process by which an organization
envisions its future and develops the necessary procedures and
operations to achieve that future." There are three key aspects of
this definition:
1. "Envisioning" involves a belief that aspects of the
future can be influenced and changed by what we do now.
2. Strategic Planning focuses on the process of planning
rather than on the plan that is produced..
3. Strategic Planning never completed.
Strategic planning differs from comprehensive planning in four
fundamental ways:
1. Strategic planning relies more on identifying and
resolving issues while comprehensive planning focuses more
on specifying goals and objectives.
2. Strategic planning emphasizes assessment of the
environment outside and inside the organization far more
than comprehensive planning.
3. Strategic plans have a "mission" statement, or a "vision
of success ".
4. Strategic planning is much more action oriented than
comprehensive planning.
o Why undertake strategic planning for economic development and how
would this process benefit the City of Hopkins?
The following are reasons why the City of Hopkins should develop a
strategic plan for economic development:
provide focus and direction for the City.
provide information on the purpose and direction of the City to
the general public as related to economic development.
- makes City proactive instead of reactive to.economic development.
- provides the general public with more of an opportunity to help
shape the city's economic development programs and policies.
- would more clearly define the roles and responsibilities of
employees, council members, commissioners, and other groups or
individuals involved in economic development in the city.
create more of a "team effort" attitude for everyone in the City
involved in economic development.
- provide a firm foundation for controlled growth in the future
within the City of Hopkins.
- city will be required to address any anti - growth sentiment, but at
the same time be able to capitalize on the pro - growth sentiment.
Council Report 91 -195
Strategic Planning
Page 3
- give Hopkins an edge in the competitive market of economic
development.
- provide a realistic assessment of the city's potential for growth.
- produce better coordination between different groups involved in
the economic development process.
o What are we going to accomplish by strategic planning ?.
The following is a list of items we hope to accomplish by developing a
strategic plan:
— establish a five year economic development goal and implementation
plan.
- establish a two year action plan identifying strategies to attain
goals.
- identify specific groups or individuals and their respective
responsibilities associated with completion of activities within
the two year action plan.
— requires participation from the general public which will act to
encourage their support for the city's economic development
programs and policies.
- clearly define the mission of the City regarding economic
development.
o Who would provide the necessary leadership to organize and and rtak
th Strategic Planning process?
Staff is proposing the Mayor be allowed to assume the position of
chairman of the Strategic Planning task force.
The strategic planning process needs to have someone be its initial
"champion" in order to provide the leadership necessary to insure
success in completing and implementing a strategic plan. This position
will be responsible for keeping the direction and focus of the group
on the relevant issues of Strategic Planning. City Staff will provide
support to the task force.
o Who would be represented on the Strategic Planning task force?
It is proposed at this time that the following groups or individuals
comprise the voting members of the Strategic Planning task force. It
is further proposed that the Mayor be allowed to appoint certain
members of the task force.
1. Mayor
2. City Council representative
3. Business Council representatives (2)
4. Banking official - (1)
5. Chamber representative
6. Neighborhood group representative. - (2)
7. Zoning and Planning Commission representative
Total number of members, aside from staff, is 9.
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Strategic Planning
Page 4
o What is the work plan of th task force?
Staff is currently in the process of developing the work plan of the
task force. It is foreseeable the work plan may include about 3 to'6
meetings. Staff anticipates this stage of the process to last
approximately 6 months. These meetings may also include a consultant
as facilitator. A preliminary outline of the work plan of the task,
force is as follows:
1. Agree on purpose and goals of strategic planning.
2. Agree on draft mission statement and City's role as
related to economic development.
3. Conduct SWOT analysis (Strengths, Weaknesses,
Opportunities, Threats) for the City of Hopkins as related
to economic development.
4. Identify economic development issues facing the City.
5. Possibly conduct a survey of all groups interested in the
City's economic development activities.
6. Develop recommended strategies and goals to address the
issues.
7. Develope a marketing plan.
8. Present draft of strategic plan to City Council for
review and comment.
9. City Council adopts plan.
10. Implementation.
o Wh re do we proceed once the plan is in place?
- analyze and update five year goal plan yearly.
- yearly realignment of five year goal plan to concur with the next
years' forecasted economic conditions.
- analyze effectiveness and update two year action plan.
- market the plan.
In an effort to.keep the strategic plan current and recognized by the
community, it may be appropriate that the task force reassemble itself
periodically to assist in evaluating and updating the plan.
o What will be the budget and funding source for this process?
The City has allocated $4,000 in 1991 from the Economic Development
Fund to go toward the Strategic Planning process. Any expenses over
and above this amount are proposed to be made up by the Citys'
Economic Development Fund. Staff will update council on this item
regularly.
Alt rnatives.
Based on the information given, the City Council has the following
alternatives available to them at this time:
1. Adopt the motion as recommended by staff.
2. Continue for additional information.