Press Release

Cluster analysis is the latest buzz phrase in economic development circles. But the concept is based on sound logic: identify your region’s strengths, then focus your resources to build around them.

Economic development organizations in North Carolina’s Piedmont Triad region are adopting the cluster analysis approach wholeheartedly. A recent study performed by the Piedmont Triad Partnership recommends that the Greensboro/High Point/Winston-Salem region focus its economic development efforts in the following industry segments:

• Transportation and logistics;
• Life sciences and biotechnology;
• Financial and insurance services;
• Advanced materials and manufacturing.

Womble Carlyle has long identified these as key areas, so the firm already is positioned to both benefit from these economic development plans as well as help the region grow.

Gregory Chabon, a corporate and securities attorney in Womble Carlyle’s Greensboro office, said cluster analysis is a smarter, more cost-effective approach to economic development. Traditionally, economic developers have taken a scattershot approach to luring new industries. But the cluster approach targets potential companies that match an area’s existing resources.

"You look at what you do and what you have, then find the industries that fit," Chabon said. These industries are the ones that have the most potential to create future jobs.

The logistics and supply chain sector is a natural fit, Chabon said. The Piedmont Triad has abundant “natural resources” for logistics companies, including five interstates—I-85, I-40, I-77, I-73 and I-74—plus a world-class international airport, which is served by seven air cargo companies including FedEx. In addition, the Triad boasts passenger and freight rail services through Norfolk Southern and CSX, and the triad is one of two Inland Terminals for the North Carolina deep water ports.

Chabon said companies are placing an increased emphasis on making supply chains more efficient as a way to lower costs, since most already have made their manufacturing process as cost-effective as possible. Numerous companies, including Old Dominion, Kmart, Polo/Ralph Lauren and Salem Logistics, have made the Piedmont Triad a hub for their distribution and supply chain operations.

Womble Carlyle recently sponsored and planned the Nexus Supply Chain Conference for executives from supply chain companies from across the Southeast. A second conference is in the works for October. The firm also has a Supply Chain Task Force to meet the needs of companies in this field, making Womble Carlyle unique among the region’s law firms in its specific focus on Supply Chain Management.

Life sciences has long been an area of focus for the firm. Womble Carlyle was the first full-service law firm to open an office in Research Triangle Park and has formed a Life Sciences team to focus on clients in the pharmaceutical/animal health, biotechnology and medical devices fields. As an active player in the growing Piedmont Triad Research Park in Winston-Salem, Womble Carlyle will remain heavily involved in the life sciences for decades to come.

Advanced materials and manufacturing, particularly nanotechnology, promises to revolutionize manufacturing. North Carolina A&T University is playing a major role in developing nanotechnology. Womble Carlyle’s substantial involvement with university technology transfer at A&T, UNC-Greensboro, Wake Forest University and others improves the odds that important developments find a way to commercialization.

Even though the traditional manufacturing industries of tobacco, textiles and furniture aren’t as large as they were a generation ago, manufacturing remains a critical Triad industry. Womble Carlyle represents key area manufacturers such as RJ Reynolds and numerous furniture companies.

In addition to Womble Carlyle’s legal work, firm attorneys are actively involved at the highest levels of the region’s economic development planning. Firm Managing Member Keith Vaughan is the current Vice-Chairman of the Piedmont Triad Partnership, while Member Alfred Adams serves on the Board of Directors of the Downtown Winston-Salem Partnership and is Chairman of Board of Directors of the Downtown Winston-Salem Foundation. Firm members hold key positions with the Piedmont Triad Entrepreneurial Network (PTEN), the Nussbaum Center for Entrepreneurship, the Babcock Deacon Incubator at Wake Forest University, the Greensboro Partnership and other Triad-area economic development organizations.

Economic development leaders have said cooperation between Triad communities will be key to future successes. Several economic development groups already have combined efforts to better serve the whole region, not just one county or community.

Chabon said Womble Carlyle is uniquely qualified to play a role in regionalization efforts, since the firm has offices in both Greensboro and Winston-Salem.