SREDA MAY 2012

Business Excellence

Page 20 - SASKATOONEXPRESS.COM - May 28-June 4, 2012

Regional Economic Development Authority The Saskatoon Regional Economic Development Authority (SREDA) is very proud of the community it serves. SREDA’s three main goals are to retain and expand local business in targeted sectors, to attract new investment in focus areas, and to ensure the Saskatoon Region is the place to live, work, invest and prosper. We are “Celebrating Growth” through past successes and the new opportunities that now lay ahead.

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Saskatoon builds for the future

Tim LeClair, Chief Executive Officer of SREDA

It is no longer “news” that the Saskatoon Region economy is leading the nation in growth and that it will likely continue over the next ten years. This presents both tremendous opportunities and challenges for business, particularly, for the construction industry.

Construction activity within the Saskatoon business region is set to once again hit historic levels due to a “burgeoning” residential activity to large scale infrastructure, commercial, retail, and utility projects.

A Supply Chain Analysis Report, commissioned by SREDA in partnership with Springboard Innovations

Inc. shows some remarkable data on the construction sector.

The total estimated annual construction potential for Saskatoon’s construction companies could reach as much as 2.8 billion annually over the next ten years (2012 – 2020).

Several different data factors were considered in this valuation – Gross Domestic Product growth (GDP), building permits, anticipated infrastructure and utility projects, and projected mining expansions.

The number of building permits issued by the City of Saskatoon in 2011 was considered as the base.

A total of 4,651 building permits

J.A.B.A. Construction experts in home renovations strangers and chaos in your house everyday.

It’s better to get it done with.” And although Anderchek says newer builds can be less stressful since you’re not living amidst the mess and noise, “renos have a nicer end product,” and you can now renovate your home to use all of the latest energy efficient and maintenance free materials and designs that new homes are incorporating.

Anderchek also has some tips for those who are thinking of starting up renovation companies. “When you’re starting out, you’re working seven days a week for unknown rewards, and it’s hard to do renovations all year long.

You need to diversify to make sure you can create work for all of the seasons. - guys don’t think of that. And you have to be able to find qualified manpower.” He adds that you need to be able to keep up to date with product and design changes and be able to deal with staff issues. “It’s stress all the way around. But I must like it, because I’m still sitting here.”

J.A.B.A. Construction is a private sector investor in the Saskatoon Regional Economic Development Authority. He would advise those starting out to consider a membership with SREDA for start-up advice, chances to make connections and links to the right resources.

“A membership in SREDA is a great way to network and to get your name out there.”

Involvement in SREDA gives you the opportunity to meet people you could do business with. And since SREDA is committed to seeing Saskatoon expand, membership “shows you care about the growth of the city.”

The boom in Saskatoon’s home construction business is obvious - it seems as if new homes are going up everywhere. But what you can’t see as easily is that home renovations are on the rise, too.

Dave Anderchek started J.A.B.A. Construction in 2001 and has been doing home renovations in the city ever since. He has some advice for you if you are considering renovating your home.

According to Anderchek, the most common mistake made by families who want to renovate is under-budgeting. “Most people don’t take into consideration things like overhead costs, insurance, compensation and tools.”

Similarly, Anderchek adds that “the internet is both the best and worst thing” for people thinking about renovations, in that it gives people ideas of what products and designs they might want, but doesn’t help factor in the other costs.

Talking and planning these details with your contractor is the best way to go. “To me, it’s a challenge. Every job is different, every homeowner is different and has different ideas,” Anderchek says of working with his clients to plan and do their renovations, “and most of them appreciate hearing the truth.” Anderchek maintains that a good contractor will tell you if a large renovation is going to be worth the money it would cost, or if it would be more cost-effective to build a new home. And if you do go forward with a large renovation, Anderchek suggests you do it all at once instead of in stages. “Renovations done in stages just increase the stress and chaos. You’ve got

(residential and non-residential) were issued in 2011 which represented a construction value of 936 million. The 4% GDP growth for Saskatoon (CMA) projected by the Conference Board of Canada in its Winter 2012 Metropolitan Outlook is taken into account. Also calculated in is the value of capital investment estimates for the anticipated infrastructure and utility projects (roads, bridges, highways, airports, power, water, heat, telecommunications) in Saskatoon and surrounding areas, plus the expected mining expansions (Enterprise Saskatchewan Major Projects Inventory, 2011).

The biggest caveat to this 2.8 billion level of hyperactivity projected for the Saskatoon Region construction sector - the need for a robust labour force.

Currently, the sector is drawing from a very good base of semi-skilled labour in Saskatchewan. However, it will require a deeper labour pool in terms of skills to successfully meet demand and keep pace. Engineers, architects, skilled technicians and tradespersons, across all disciplines, are the talent the sector needs.

Construction companies, construction associations, and educational institutions are actively working on a variety of initiatives that will build the desired skilled labour force of the future for this province. This includes meaningful engagement with the First Nations and Aboriginal peoples, attracting youth to the industry, and national and international labour recruitment.

SREDA believes a Labour Market Strategy that can provide both short-term and long-term solutions for the dominant industries in the Region is needed. As one part of that strategy, SREDA is

working with the Canadian Business Councils in Arizona, Nevada, and California to develop options for skilled labour recruitment.

SREDA is proud to have our private sector investors and educational partners profiled in this Business Excellence feature. Dave Anderchek of J.A.B.A Construction provides words of wisdom for those aspiring to get into the business. Alan Thomarat of the Saskatoon and Region Home Builders Association discusses an overview of the housing market and how it has changed over the last 10 years. The Saskatchewan Industry Education Council discusses their innovative programs that promote industry careers and introduce youth to the vast opportunities.

The Saskatoon Regional Economic Development Authority (SREDA) is a non-profit organization that provides economic development services to the Saskatoon Region which includes City of Saskatoon and 31 surrounding regional municipalities. Financial support is received from the City of Saskatoon, Regional Communities, and the private sector.

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SASKATOONEXPRESS.COM - May 28-June 4, 2012 - Page 21

Regional Economic Development Authority

103 - 202 Fourth Avenue North, Saskatoon, SK CANADA S7K 0K1 1.800.706.1977

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SIEC introduces labor market opportunities to Saskatoon’s youth As Saskatchewan’s economy continues to grow, so too does the number of jobs needing to be filled. In an effort to be proactive, groups like the Saskatoon Industry Education Council are working to ensure that there are qualified individuals to fill those jobs in the future.

Together with its industry partners, the Saskatoon Public School Division, the Saskatoon Catholic School Division, Prairie Spirit School Division, the Saskatoon Tribal Council and various community groups, the SIEC is committed to introducing opportunities in the labour market to Saskatoon’s youth, with programs focussed on construction, manufacturing, health-care, information technology and tourism. SIEC’s goal, says director Janet Urchacz-Hart, is an “intentional engagement” of students by “bringing industry into the classroom and bringing the curriculum to life.”

In order to achieve this purpose, the SIEC has developed various programs for Saskatoon and area schools. Although the program is mostly in high schools at the moment, younger children are also involved. There is currently a program to teach fourth graders about the province’s mining industry, and Urchacz-Hart would like to see the program implemented as soon as kindergarten. For older students, there are numerous out of classroom learning opportunities. Events like Spotlight on Careers showcase various job opportunities in the five partner sectors, and give employers “the chance to connect with youth.” And this May and June will see the return of the Cardboard Boat Race Challenge, where grade seven and eight students design and build cardboard boats capable of carrying them across Harry Bailey pool. This year, over

students as well. The SIEC’s partnership with the Saskatoon Regional Economic Development Agency, which is also a SIEC board member and who are “big advocates of their members working with us,” is important in this regard. SREDA advertises SIEC’s goals amongst its members and provides funding and mentorship opportunities for youth programs in an effort to help the program grow along with the province’s economy and job opportunities. “We’re trying to visualize the future,” Urchacz-Hart says, “in order to provide more opportunities for our children here at home.”

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1,900 students will take part in this challenge, which will be judged in part by members of the Association of Professional Engineers and Geoscientists of Saskatchewan, offering up a great opportunity for that industry to engage with students. Summer mentorships offer more extended opportunities for students to explore industry options in our province.

News of the SIEC’s success has spread, and a similar program should be up and running in Regina this fall. Additionally, North Battleford, Yorkton and Prince Albert school divisions have shown interest. Locally, UrchaczHart would like to see the program expand to include not only younger children, but more industries as well. The agri-business, transportation, environment, bio-tech and oil and gas industries are areas she sees in particular as important to include in the program. As well,

she would like to encourage small and medium businesses to consider partnering with the SIEC as to increase their exposure to Saskatoon

Dave Anderchek, President General Contracting * Residential * Commercial

#9 1100 7th Avenue North * Saskatoon, SK * S7K 2V9

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Saskatoon & Region Home Builders Association works to ensure responsible, sustainable growth Many people say that Saskatoon is enjoying an economic boom. Alan Thomarat, Executive Officer of the Saskatoon & Region Home Builder’s Association, isn’t one of them.

“To say there is a boom suggests there will be a bust,” he says. “I don’t see that happening in Saskatoon anytime soon.”

One way to look at the strength of Saskatoon’s economy, the fastest growing in Canada for the last five years, is to compare housing starts ten years ago to today. Ten years ago “there were only 1,000 starts. We didn’t have enough work to keep our trades people here.” Fast forward to 2012, where there are currently 3,000 starts on the market and Thomarat just recently returned from Toronto as part of a group, which included members of the Saskatoon Regional Economic Development Authority, trying to recruit skilled workers to fill our vacant job positions, where, he says, “Saskatoon was the star of the show.”

And not only are the housing starts up, but Thomarat states that there is a “real uptake” in the number of units that are being sold before their construction is finished. Thomarat adds that our stable and resource driven economy and growing reputation as a welcoming, diverse city with a world-class university, but with only a ten minute rush hour, means that not only is Saskatoon on the map now at these international recruitment trips, but “people know how to say it. They know how to spell it.”

With the influx of immigrants and ex-pats

moving to the province and the housing starts skyrocketing, Saskatoon & Region Home Builder’s Association’s work is increasingly important. Not only do they keep a tight control over standards, safety, and education for their members, but they keep a close eye on demographic changes in the city and surrounding area in order to anticipate future housing demands.

“We need to be three to five years ahead of the curve,” Thomarat says, in order to provide enough time for land development, utilities hook ups and construction to happen in time to meet the demand. Right now demographic studies show a large number of Saskatoon residents set to retire over the next few years, which will again lead to job openings and people moving to the city. Even though post-secondary institutions in the province are doing what they can to train as may skilled tradespeople as possible, Thomarat says immigration will be an important part of filling positions across the forty trades and in our labour market for many years to come. He credits SREDA with being on the forefront of driving growth and promoting Saskatoon’s image as a place to live, work and do business at home and abroad. He says that Saskatoon & Region Home Builder’s Association has a “great alliance” with SREDA, one that will help Saskatoon ensure it reaches its potential.

And what is that potential? With its strong economy and growing reputation, Thomarat says that Saskatoon is “the 21st century place to be.”

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