Editor’s note: The following individual(s) have been named to the Southern Economic Development Hall of Fame based on SB&D owner Michael C. Randle’s travels throughout the American South since the late 1980s to today. The Hall of Fame will now be updated each year on SouthernBusiness.com.
Getting a Harvard professor to teach us economic development is like. . .
By Michael C. Randle
Michael Porter was the inventor of the “cluster theory” in economic development. The Michigan-born, Harvard-educated economist had a gig in the early 2000s where he would sell and implement his cluster theory to state economic development agencies here in the South for $400,000 or so.
So, he came down here and I believe the first state he sold the cluster theory to was Louisiana. Next thing I know, Louisiana Economic Development (I believe just prior to Michael Olivier becoming Secretary of LED from 2004 to 2008) suddenly had 14 different “directors,” one for each industry sector.
There was a “director” for aerospace, oil and gas, petrochemicals, automotive, agribusiness, digital, financial services. . .I could go on and on. Yes, 14 directors. All working for LED.
If I remember correctly – because it was 25 years ago – Michael Olivier became Secretary of LED and asked me after the cluster strategy was implemented, “Randle, what am I supposed to do with all these directors?”
If the cluster plan was confusing to me, you know it was confusing to prospects.
I told Olivier, “You’ve got way too many chefs in your kitchen, Olivier! You have some work to do to straighten that out.”
I then told Olivier, “You know Mike, getting someone from Harvard to teach us economic development here in the South is like getting someone from Wyoming to teach us surfing.”
