International Business Advisory Board

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TEAM PENNSYLVANIA FOUNDATION AND THE OFFICE OF INTERNATIONAL BUSINESS DEVELOPMENT
International Business
Advisory Board
A summary report of the education focused
IBAB meeting
3/15/2014
Partners and members discussed expanding support for international student recruitment efforts and the India
Higher Education Initiative at this International Business Advisory Board meeting.
1 February 26, 2014
ATTENDEES
Jim Bloom, Senior Advisor, Team Pennsylvania Foundation
*Bill Bogle, Genesis Packaging
*Lou Dejoie, McNees Wallace & Nurick
*Michael DelGrosso, DelGrosso Foods
*Harry Edelman, Heyl and Patterson
*Erin Finn, Drexel University
*David Fung, Air Products
*Kevin Frank, Voith
Helen Hammerschmidt, Department of Community and Economic Development (DCED)
*Bruce Heugel, B. Braun
*Andy Hyer, Hyundai-Rotem USA
*Sean Mahoney, Philadelphia Regional Port Authority
*Tim McNulty, Carnegie Mellon University
*Eileen Melvin, UMF Medical
James Mentzer, Team Pennsylvania Foundation
*Lindsay Michael, Team Pennsylvania Foundation
*Wilfred Muskens, DCED, Office of International Business Development (OIBD)
Jim Newschwander, Team Pennsylvania Foundation
*Mary Frances Postupak, East Stroudsburg University
Kate Skopp, DCED, Office of International Business Development (OIBD)
Abby Smith, Team Pennsylvania Foundation
*Richard Somiari, ITSI-BioSciences, LLC
Katie Thiemann, Team Pennsylvania Foundation
Ryan Unger, Team Pennsylvania Foundation
*Tim Williams, Greenville Neuromodulation Services
* Denotes an IBAB member or alternate
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AGENDA
The agenda for the February 26 meeting held at the Governor's Residence was as follows:
International Business
Advisory Board
February 26, 2014 | 10:00 – 2:00 p.m.
AGENDA
I.
Welcome, Ryan Unger
III.
OIBD program update, Wilfred Muskens
II.
IV.
Board Introductions
Team PA Transition, Jim Bloom
V.
Lunch
VII.
International Higher Education Recruitment Initiative, Abby Smith
IX.
International Caucus Update
VI.
India Pilot Program Overview, Lindsay Michael
VIII. Open Discussion
X.
Adjournment
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SUMMARY OF PRESENTATIONS
"This is why we ask for private sector feedback; to enact change, real change. The
ideas and issues raised at these meetings are consistently pushed to the top and enhance
an agency of the commonwealth."
OIBD Update:
Presenter: Wilfred Muskens, DCED, Office of International Business Development
Deputy Secretary Muskens gave the IBAB members an update on programmatic work and the proposed
OIBD budget to kickoff the IBAB meeting. Governor Corbett's administration has been very supportive
and has proposed the first budget increase in many years, a $600,000 increase for the World Trade PA
line item.
FUNDING
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Final funding for the program was approved at $7.3 million dollars.
Federal funds in the amount of $392,000 were applied for to continue operations, maintain the
Global Access Program (GAP) funds, and open a new trade office in Russia.
Team Pennsylvania Foundation's Resource Allocation Committee approved $281,000 to continue
support of three existing OIBD program; Regional Investment Marketing Grant, Market Access
Grant, and the Expert Speaker Program as well as fund two new emerging market missions.
Team PA Transition:
Presenter: Jim Bloom, Senior Advisory to the Board, Team Pennsylvania Foundation
Senior Advisor Jim Bloom gave the IBAB members a brief update regarding the leadership transition at
Team Pennsylvania Foundation. He noted the professional staff working diligently on a number of
projects and programs and that not one scheduled committee or board meeting had been affected by the
leadership transition.
Bloom also gave the IBAB members an update on the CEO search. A committee of Board Directors has
been convened to begin the interview process in an effort to become a stronger Foundation. He noted
that the Board overall has become much more engaged and involved, and that members were working
closely with staff to take pause and identify the core ways of how we work and why.
Lastly, Bloom provided some updates regarding the organizations pending move to a new location at 2nd
and Walnut in Harrisburg and explained some of the challenges encountered. It is estimated the move
will occur in 9 months.
"Overall, these IBAB suggestions have provided private sector input to guide the work
of this [OIBD] program and significantly improve our impact and return on
investment."
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India Higher Education Initiative:
Presenter: Lindsay Michael, Team Pennsylvania Foundation
Over the last year, OIBD has seen a renewed interest for support for PA institutes of higher education
with regard to international student recruitment and international awareness of PA colleges and
universities. Due to this interest, OIBD has partnered with Team PA to develop a pilot program for higher
education in India. The overall goal for this program is to increase PA's brand in India and provide highly
specialized service and support for PA based colleges and universities. Together with the Narsee Monjee
Center for Excellence in India, Pennsylvania became the first state to have a Center for American
Education. This Center is a hub for international development and student recruitment, working to
promote PA schools in India and guiding parents/students and principals to develop relationships and
exchange opportunities with PA.
In 2012, Pennsylvania attracted over 33,000 international students, resulting in over $1 billion in
expenditures by these students in the commonwealth. Traditionally, OIBD offered support to PA
institutes of higher education by supporting partner searches, providing market research, in-country
assistance, and event or promotional support. This new pilot initiative takes the support a step further by
providing a full-time staff in India dedicated to building opportunities in-country for PA schools and
promoting PA as the premier destination for study abroad. Indian students account for 17% of
international students in PA, second only to Chinese students at 24%.
The program is unique in that it employs a cost-sharing model with the private sector, allowing for fewer
taxpayer dollars to be used to support this initiative. It is the goal of the Office of International Business
Development to have this program be self-sustaining and 100% privately-funded in fiscal year 2015-2016.
Economic trends show that by 2020, Indian students will become the top international
student population in the United States.
International Higher Education Recruitment Initiative:
Presenter: Abby Smith, Director of Education, Team Pennsylvania Foundation
Ms. Smith led the IBAB members in a discussion around international student recruitment as an economic
driver for the commonwealth, and ways in which the Office of International Business Development and
Team PA could engage the private sector in an effort to attract more foreign students to PA.
Ms. Smith's data-driven presentation demonstrated the economic impact of international students and
economic trends in education on a global scale. Several IBAB members asked questions regarding the
entrepreneurial factor, citing that a foreign student is 12x more likely than their US counterpart to launch
a start-up business in Pennsylvania. Members also brought up questions around the Visa process, for
both students and student entrepreneurs looking to remain in PA after graduation, which led to a
discussion around the role the state could play in supporting these individuals and connecting them to
appropriate regional resources.
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This graph displays both economic contribution and enrollment data over a ten-year span.
International student enrollment data is provided by the Institute of International Education's Open
Doors.
This graph displays the number of direct and indirect jobs created in Pennsylvania as a result of the
economic benefit of international students as well as the state average of jobs created/supported in
the United States for the 2012-2013 academic year.
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A GLOBAL FOCUS ON EDUCATION
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Importance of univeristy connections and international students
Contribute economic value to local and state economies
Build bridges between US and other markets
Bring global perspectives into US classrooms and research labs
Support US innovation through science and engineering coursework
Support programming and services on campus for all students by paying out-of-state tuition,
funded largely by non-US sources.
The discussion ended with a review of potential business models beyond the India Higher Education
Initiative. Questions around the model being for-profit, non-profit, implementation around a fee
structure were posed to IBAB members for open discussion.
RECOMMENDATIONS FROM THE BOARD
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Expand staff in PA for existing education work and support of future market growth
Create a website as a hub for different stakeholders
General formal partnerships with businesses to retain talen in PA
Mobilize alumni/Ambassadors abroad to capitalize on PA relations/positive experiences
Utilize existing IBAB members (CMU, Drexel, and East Stroudsburg) as case studies for new growth
Distribute a 1 page fact sheet demonstrating impact of foreign students to educate general public
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THE NEXT 90 DAYS – IBAB ACTIVITY
March
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April
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May
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3 - India Higher Ed conference calls with Gettysburg College, Wilson College, and CMU
4 - Team Pennsylvania Foundation Board of Directors Meeting and Reception
4 - Make it in America: PA Made Again quarterly meeting (Lewisburg, PA)
4 - India Higher Ed meetings with Chatham Univ., Duquesne Univ., Waynesburg Univ., Westminster Univ.,
and Juniata College
5 - India Higher Ed meetings with Bucknell Univ., Keystone College, Etown College, Drexel, and University of
the Sciences
6 - India Higher Ed meetings with Delaware Valley College, Gwynedd Mercy College, Villanova, Immaculate
Univ., and Moore College of Art & Design
7 - India Higher Ed meetings with Lebanon Valley College, Albright, Moravian and internal staff
21 - OIBD Staff Strategy Session
30 - Metro Market Investment Mission (Dallas, TX)
7 - Canadian Ambassador Reception (Pittsburgh, PA)
9 - JOBS1st on the Road meetings, seminars and Kickoff Reception (Lewisburg, PA)
10 - JOBS1st on the Road meetings and events
11 - JOBS1st on the Road meetings, seminars and Wrap-up Celebration Lunch (Lock Haven, PA)
28-30 - York Expo
1-5 - Mexican Consulate Events
5 - Mexican Trade and Investment Symposium (Philadelphia, PA)
8 - Team PA Executive Committee Meeting
8 - Team PA Investor's Exchange: Dept. of Public Welfare
26 - Memorial Day
30 - Governor's ImPAct Awards Ceremony
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IBAB MEMBER BIOS
International Business Advisory Board Membership
The IB Advisory Board consists of approximately 20 members from a diverse cross-section of
Pennsylvania businesses, universities, and service providers with experience in international
business. Leaders of the board have been tasked with formulating and driving strategy to make
the most impact for OIBD's trade, investment, and port programs that are vital to the success of
our public/private partnership.
C. Alan Walker, Secretary, Department of Community & Economic Development
Secretary Walker brings over 30 years of experience in the private sector as President and CEO of Bradford
Energy Company, Inc. to his role as Secretary of the commonwealth's lead community and economic
development agency.
Wilfred H. Muskens, Deputy Secretary, Office of International Business Development
Wilfred leads a team of professional international economic development specialists that contribute to the
growth and strength of the commonwealth by providing value-added international trade, investment, and
port services.
Dave Fung, Manager, Strategic Planning, Air Products, Allentown
With operations in more than 50 countries, Air Products supplies a diverse portfolio of atmospheric,
process, and specialty gases as well as performance materials, equipment, and services. Their customer
base falls across a wide array of industries, including food, healthcare, energy, and transportation.
Bruce Heugel, Senior VP and CFO, B. Braun Medical, Bethlehem
B. Braun Medical is a leader in the field of medical device manufacturers, with emphasis throughout their
four divisions on patient safety and preventable errors. This German-based company located their US
corporate headquarters in Bethlehem and maintains a manufacturing facility in Allentown.
Tim McNulty, VP of Government Affairs, Carnegie Mellon University, Pittsburgh
Carnegie Mellon University (CMU) is an internationally recognized institution of higher education and is
considered one of the top global research and entrepreneurial focused universities in the country.
Michael DelGrosso, VP Global Sales & Marketing, DelGrosso Foods, Tipton
Family developed and owned DelGrosso Foods is known for their finest-made sauces as a highly-regarded
producer of pasta sauce.
Dr. Julie Mostov, Vice Provost for Global Initiatives, Drexel University, Philadelphia
Located in the heart of downtown Philadelphia, Drexel University continues to be ranked among the top
100 universities in the nation and is often highlighted for being one of the largest, private universities in the
country.
Mary Frances Postupak, VP Economic Development, East Stroudsburg University, East Stroudsburg
ESU has been providing comprehensive education services since 1893 and is one of the premier schools of
the Pennsylvania State System of Higher Education.
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Dr. Sangwhui Cho, President, Hyundai-Rotem USA, Philadelphia
As part of the Korean-based Hyundai Motor Group, Hyundai-Rotem of Philadelphia manufactures railway
vehicles, industrial machinery, defense transportation, and specialized equipment.
Bill Bogle, President, Genesis Packaging Technologies, Exton
Genesis Packaging is a leader in the science and technology of pharmaceutical vial processing and
handling. The company has manufactured vial equipment since 1946 and to this day maintains
manufacturing, design, engineering, and sales in Pennsylvania.
John Pullo, Vice President of Ground Systems, Gentex Corporation, Simpson
Gentex is an innovative, high-technology focused defense equipment and system designer, supplier, and
manufacturer located in Northeastern PA.
Tim Williams, Vice President, Greenville Neuromodulation Services, Greenville
Filling a gap in the neuroscience industry, Greenville Neuromodulation offers services for patients and
medical professionals focused on the treatment of movement disorders. In additional to global technical
support, their team has designs and manufactures specialized neurosurgical tools.
Harry Edelman, Executive Vice President, Heyl and Patterson, Pittsburgh
Heyl and Patterson is an engineering company specialized in large equipment, bulk material handling, and
thermal processing equipment for the chemical, steel, biomass, energy, port, and mining industries. They
also provide consulting and field services, as well as lab services for testing and analytics.
Richard Somiari, President, ITSI-Biosciences, Johnstown
Integrated Technologies & Services International (ITSI) is a professional service organization dedicated to
providing integrated technological, bio-analytical and high throughput research services to the global
community.
Rich Conti, President, Matson Lumber Company, Brookville
This 9th generation family owned hardwood lumber company currently operates three facilities in
Northwestern PA and exports products to approximately 28 different countries.
William (Bill) Pote, President & CEO, MegaPhase, Stroudsburg
MegaPhase designs, manufactures and sells coaxial cable assemblies to OEMs building advanced
microwave and optical electronic systems.
Lou Dejoie, Chair, International Law Group, McNees Wallace & Nurick, Harrisburg
With more than 130 attorneys practicing in the areas of business law and litigation, McNees Wallace &
Nurick uses their successful clients first approach to provide quality service through six regional offices.
Clark Stapelfeld, Director of International Business, New Pig Corp., Tipton
With a large offering of inventive products, New Pig Corp. designs and manufactures products to absorb,
contain, and clean up splatters and spills of all kinds.
Sean Mahoney, Director of Marketing, Philadelphia Regional Port Authority, Philadelphia
The Philadelphia Regional Port Authority (PRPA) is a state agency that owns and leases terminals to
private operators. In addition, they offer maintenance, marketing, and other related services.
Eileen Melvin, President & CEO, UMF Medical, Johnstown
In addition to manufacturing high-quality medical exam tables and equipment and offering Exam Room
Solutions, UMF Medical offers world class support and service with patients and providers in mind.
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Kevin Frank, President & CEO, Voith, York
Voith is an international leader in the energy, raw material, and automotive industries. Founded in 1867,
Voith employs more than 40,000 people, operates in 50 countries, and is one of the largest family-owned
companies in Europe.
Greg Booth, CEO, Zippo Manufacturing Company, Bradford
Zippo Manufacturing Company is the maker of the iconic Zippo lighter. The Bradford-based company was
founded in 1932 and is still owned by descendants of Zippo lighter investor George G. Blaisdell. Recently,
the company celebrated the manufacture of their 500 millionth lighter.
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