How
WIB's and Western TAAC can work together.
Grant Program creates and retains jobs at
half the cost of other government manufacturing
assistance programs
Paramount Machine in
Rancho Cucamonga, CA has
seen an increase of 9
employees and over a
half million dollar in
sales in a one year
period. Although this
may not appear
monumental, this
increase signifies a
huge step for this small
manufacturer of
precision hydraulic
components for aircraft.
Undoubtedly, the
surrounding community in
this inland California
city of 147,000 would
feel the pinch of losing
the 39 jobs that employ
Cucamonga locals.
Since Paramount
applied for the TAA
program, the technical
assistance that they
received as a result of
this cost shared program
not only kept their
doors open by increasing
their competitive edge,
but also defied the odds
in California, a state
where manufacturers are
leaving in an effort to
keep costs down.
The story of
Paramount is not unique,
but consistent with
other alumni companies
who have completed the
TAA program. Retaining
and creating American
manufacturing jobs is
critical. Creating a
job, “at any cost”,
however, can still be a
deal breaker in a time
of increasing budget
deficits and cascading
requirements for
existing federal
dollars.
The TAA model has
been successful since
its inception in 1978.
Small, consolidated, and
dedicated to assisting
the most challenged in
the manufacturing world,
the 11 center TAA
national organization is
cost effective in
providing targeted
technical assistance to
a specific manufacturing
sector.
Although the TAA
staff provides
assistance to companies
in qualifying, the
actual technical
assistance is
implemented by
independent consultants
of the company’s
choosing. Technical
assistance is in no way
limited by the
experience base of the
TAA staff. This is a
unique and critical
program strength. The
import impacted firm is
allowed to contract with
any consultant across
the U.S. to be their
vendor.
During the period
between 2000 and 2004,
the 11 TAA centers
across the nation
impacted the economy by
retaining or creating
41,630 jobs. Given the
$12 million dollar
funding level, the
federal investment for
retaining or creating
each job is $1,200.
The characteristics
which make the
endangered manufacturers
most vulnerable, small,
family owned, and
dedicated to what they
do, makes them
formidable opponents
when faced with the
fight for economic
survival. They have made
a commitment to their
company. But, they need
the cost shared infusion
of expertise to give
them the competitive
edge. This target
manufacturing sector is
an important part of the
model enables the TAA to
be an effective retainer
and creator of jobs.
Focusing on program
implementation,
marketing is not a
primarily function. TAA
centers rely mostly on
word of mouth from
consultants, alumni
companies, or third
parties who are keenly
aware of the program
effectiveness. TAA is
not a program likely to
blow its own horn. The
small staffs across the
country are involved in
hands on development of
recovery plans and
identification of a
cadre of consultants who
can best serve their
client base.
The evaluation of the
TAA program conducted by
the Urban Institute for
the Department of
Commerce speaks for the
success of the program.
Although the report is
comprehensive and well
documented with
statistics, the below
chart comparing federal
manufacturing assistance
programs clearly sums up
the report.
A
Comparison of TAAC
program to the MEPs, and SBDCs
Western TAAC information
brochure ( Adobe PDF
document 445Kb)
To learn more detail about
the program,
please contact:
Mary Rhedin
Western TAAC
University of Southern California
Los Angeles, CA 90089-7703
phone: (213) 743-4443
email:
mrhedin@usc.edu
