2011 City of Prince George Economic Development Service ...princegeorge.ca/cityhall/mayorcouncil... · Scope of the Service Review The scope of PwC’s high-level review included

City of Prince GeorgeEconomic DevelopmentService Review

Presentation to City of PrinceGeorge Council, October 3,

www.pwc.com/ca

George Council, October 3,2011

pwc

Table of Contents

Purpose of the Service Review

Objectives of the Service Review

Scope of the Service Review

Survey methodology

PricewaterhouseCoopers LLP

Highlights from the Survey Results

Summary of Findings

Recommendations

2October 20112011 City of Prince George Economic Development Service Review

Purpose of the Service Review

The City of Prince George directed that a review of the economicdevelopment service provided by Initiatives Prince George beundertaken in 2011.

The City engaged PwC to conduct the independent review.


The City engaged PwC to conduct the independent review.

The purpose of the review is to conduct an overall assessment of theeffectiveness of IPG.


Objectives of the Service Review

The service review has specific objectives within four areas:

Assessment of service

Assess the value provided and determine if the objectives set out havebeen achieved.

Mandate

Confirm a shared vision and recommend:


Confirm a shared vision and recommend:

• The appropriate geographic focus for effective service delivery; and

• The appropriate alignment of objectives and actions.


Objectives of the Service Review, cont’d.

The service review has specific objectives within the following fourareas:

Model

Evaluate possible models for service delivery

Determine the most effective operating model and governance structure

Financial contributions


Financial contributions

Assess the appropriate financial contribution


Scope of the Service Review

The scope of PwC’s high-level review included the 2003 to 2007 and2008 t0 2010 service agreements.

• Reviewed documentation: two service agreements, annual reportsand financial statements, progress reports, strategic plans andinternal documents

• Conducted an online survey and interviews with 85 participants


• Conducted an online survey and interviews with 85 participantsrepresentative of the shareholder and key stakeholders

• Tailored survey to the needs of the IPG service review and based onan international economic development best practice tool

• Selected and compared IPG against a peer group.

October 20112011 City of Prince George Economic Development Service Review6

Scope of the Service Review, cont’d.

The survey and peer group analysis address the following areas:

Mandate Partnerships and relationships

Service delivery Performance tracking


Service delivery Performance tracking

Leadership Communication systems

Strategic planning Process management

Customer and market focus Results


Highlights from the Service Review: Mandate

86.5% of respondents agree withthe economic developmentmandate for Initiatives PrinceGeorge – to deliver targetedmarketing services on behalf of theCity of Prince George in order to

No13.5%


City of Prince George in order tomaximize growth anddiversification of the Prince George

economy.


Yes86.5

%

Highlights from the Survey Results: Service delivery

Strongly Agree

NA/ DK

IPG plays an important role in delivering economic development services.

PricewaterhouseCoopers LLPOctober 20112011 City of Prince George Economic Development Service Review

9

0% 20% 40% 60% 80%

Strongly Disagree

Disagree

Neutral

Agree

Highlights from the Survey Results: Service delivery

Strongly Agree

NA/ DK

IPG provides services that affect northern BC because the City of PrinceGeorge is an important economic centre.


10

0% 20% 40% 60% 80%

Strongly Disagree

Disagree

Neutral

Agree

Highlights from the Survey Results: Leadership

IPG has a clear vision and mission that its leaders effectivelycommunicate , support and model throughout the organization.

Strongly Agree

NA/DK


11

0% 10% 20% 30% 40% 50%

Strongly Disagree

Disagree

Neutral

Agree

Highlights from the Survey Results: Strategicplanning

Strongly Agree

NA/DK

IPG strategic plan is in sync with the City’s community plan.


12

0% 10% 20% 30% 40% 50%

Strongly Disagree

Disagree

Neutral

Agree

Highlights from the Survey Results: Customer andmarket focus

Strongly Agree

NA/DK

IPG regularly solicits and incorporates feedback from customers.


13

0% 10% 20% 30% 40% 50%

Strongly Disagree

Disagree

Neutral

Agree

Strongly Agree

Highlights from the Survey Results: Partnershipsand relationships

Strongly Agree

NA/ DK

IPG has expanded its resources with alternative funding sources.


14

0% 10% 20% 30% 40% 50% 60%

Strongly Disagree

Disagree

Neutral

Agree

Highlights from the Survey Results: Performancetracking

Agree

Strongly Agree

NA/DK

IPG uses an effective performance tracking system.


15

0% 10% 20% 30% 40% 50%

Strongly Disagree

Disagree

Neutral

Agree

Highlights from the Survey Results: Communicationsystems

Provincial, regional, and community partners are adequately informed ofIPG activities and programs.

Strongly Agree

NA/DK


16

0% 10% 20% 30% 40% 50%

Strongly Disagree

Disagree

Neutral

Agree

Strongly Agree

Highlights from the Survey Results: Processmanagement

IPG has adequate staff and resources to complete its work processes.

Strongly Agree

Not Applicable/ Don't Know


17

0% 10% 20% 30% 40%

Strongly Disagree

Disagree

Neutral

Agree

Highlights from the Survey Results: Results

IPG has had a positive impact on the community’s economicdevelopment.

Strongly Agree

NA/DK


18

0% 20% 40% 60% 80%

Strongly Disagree

Disagree

Neutral

Agree

Strongly Agree

Highlights from the Peer Review

Comox Valley EconomicDevelopment

Greater Halifax Partnership

Nanaimo Economic Development Greater Moncton Strategic

• Comparison intended to be indicative of industry practice.

• Selection based on: population size at city and regional level andsimilarity in services delivered.


19

Nanaimo Economic DevelopmentCorp.

Greater Moncton StrategicPartnership

Chilliwack Economic Partners Corp. Saskatoon Regional EconomicDevelopment Authority

Vancouver Economic DevelopmentCommission

Edmonton Economic DevelopmentCorporation

Economic Development WinnipegInc.


1. Ability to leverage additional revenue sources.

- IPG’s funding from senior government and other sourcesincluding rental revenue exceeds industry practice of 30%.

2. Governance including legal structure and number of boardof directors.

- Appears consistent with the peer group in terms of:


- Appears consistent with the peer group in terms of:

◦ number of board directors

◦ representation from community stakeholders

◦ the organization’s arm’s length relationship with City Council and independence.



3. Service delivery relative to per capita spending onmarketing.

- IPG spends more on marketing on a per capita basis and as apercentage of marketing to total marketing expenses

4. Operations to determine the revenue, number of staff and


4. Operations to determine the revenue, number of staff andpayroll as a percentage of total expenditures.

- IPG is in the middle range (7) compared to the average staffcomplement of its peers (9)

- IPG is below average (38%) of payroll spending to total expensescompared to peers (43% )


Summary of Findings

1. IPG provides good value in providing economicdevelopment services as defined by its mandate

- Some respondents feel that results are not fully transparentwhich suggests the mandate as stated is too broad.


2. Majority support the view that IPG provides services thataffect the northern region of British Columbia

- Prince George is an important economic centre serving theregion, and

- IPG is playing an important role in the region’s economicdevelopment.


Summary of Findings, cont’d .

3. The current IPG operating and governance model appear tobe working well

- except for a lack of appropriate communications between IPGand the City suggesting there may be a need for an explicitdescription of expectations.


4. The agency appears to be adequately funded

- It may be under-resourced for certain service delivery such asbusiness retention and expansion.


Recommendations

Service enhancement

1. Expand certain program areas such as business retention andexpansion.

Communications

2. City Council to clarify its expectations of service delivery with IPG.


3. City Council to consider an alternative reporting structure toenhance communications.


Recommendations, cont’d.

Performance measurement tracking

4. Develop measurement metrics to report on city-focused activities.

5. Adjust reporting materials to provide more description on IPGactivities in line with industry best practices.


activities in line with industry best practices.


Thank you

Contact information:

Janice [email protected] 806 7201

David [email protected] 806 7538

This publication has been prepared for general guidance on matters of interest only, and doesnot constitute professional advice. You should not act upon the information contained in thispublication without obtaining specific professional advice. No representation or warranty(express or implied) is given as to the accuracy or completeness of the information containedin this publication, and, to the extent permitted by law, PricewaterhouseCoopers LLP, itsmembers, employees and agents do not accept or assume any liability, responsibility or duty ofcare for any consequences of you or anyone else acting, or refraining to act, in reliance on theinformation contained in this publication or for any decision based on it.

© 2011 PricewaterhouseCoopers LLP. All rights reserved. In this document, “PwC” refers toPricewaterhouseCoopers LLP, an Ontario limited liability partnership, which is a member firmof PricewaterhouseCoopers International Limited, each member firm of which is a separatelegal entity.

Documents

2011 City of Prince George Economic Development Service ...princegeorge.ca/cityhall/mayorcouncil... · Scope of the Service Review The scope of PwC’s high-level review included