The Economic Working Group considered numerous issues and volumes of data relating to factors affecting higher education, in general, and the College of Charleston, in particular. Recognizing that economic trends and issues are complex and interrelated, we attempted to identify the most important influences, opportunities, and threats that should be taken into account when developing a strategic plan for the College. Our report highlights the opportunities created by these economic forces by utilizing a point by point format of observations and implications.

Background
The College is located in an area whose economy is undergoing significant change. The Charleston metropolitan area has made a remarkable recovery from the economic dislocation generated by the Federal government's decision to close the Navy base and shipyard. In the last year, the tri-county area population has grown at more than twice the national pace and now totals more than 540,000. Employment growth has also expanded rapidly at a 3.3 percent rate, and the unemployment rate continues to decline and is now under 3 percent. The local economy continues to be restructured. Government's share of regional employment has declined from more than 30 percent in 1991 to approximately 20 percent today. The services sector now provides the most jobs, (28% of all jobs in the region), followed by trade (25%), government (21%), manufacturing (10%), transportation and utilities (6%), and finance-insurance-real estate (6%). However, a disproportionate share of the recent job growth in the Charleston area has been in lower-wage industries such as hotels, restaurants, hospitals, and social services, which does little to raise the average wage for workers. Personal income in the region remains 13 percent below the national norm.

Observation #1:
Projections indicate that the local and national economies will continue to grow and prosper over the next decade, but growth will be uneven. The economy will continue to change, and the work force will become more diverse. The demands of the work force will change as employers adopt new technology and adapt to evolving markets. Changing trends and global competitive forces will affect various sectors differently. There will be an increasing demand for highly educated workers who are capable of understanding and quickly adapting to the constantly changing work environment.

Implication:
Liberal arts graduates will continue to be valued in the labor market due to their broad-based education and their ability to continually learn, solve problems, and adjust appropriately to change. The College should not lose its liberal arts identity. To the contrary, it should aggressively promote its liberal arts tradition. Consideration should be given to establishing the College as "The Liberal Arts College of South Carolina."

Observation #2:
Liberal Arts will continue to provide an appropriate type of education for the knowledge-based economy. Despite new opportunities for study on-line, desire for a traditional "university experience" will not diminish. The College's basic audience will continue to be the 18-22 year-old recent high school graduate, seeking a B.A or B.S. degree. But because of the growing need for education among non-traditional students, there will be pressure on the College to expand and diversify its offerings.

Implication:
The College may need to move more aggressively in the area of distance education, expand its offerings in continuing education, and develop new curricula -- and perhaps new degrees -- in response to market demand.

Observation #3:
The structure of the economy will continue to change in favor of more services. The sectors expected to increase the most, particularly in the Charleston area, are health care, hospitality and tourism, transportation services, and entrepreneurial enterprises. In addition, given the economic development initiatives underway to attract certain key industries to this area, information-based/high tech & biotech research oriented organizations as well as manufacturing industries are expected to expand if these efforts are successful.

Implication:
The College may have to allocate resources differently and make modifications in curriculum to reflect the needs of the changing economy.

Observation #4:
Projected demand for college graduates in most fields will be strong in the next decade including those with liberal arts degrees. However, the fields expected to be in greatest demand include computer and other technical areas as well as management related fields. Specifically mentioned by the US Bureau of Labor Statistics as the fastest growing occupations and those with the largest employment increases include:

Requiring Bachelor's Degree:

• Data base administrators and computer support specialists
• Engineering, science and computer systems managers
• Computer engineers and system analysts
• Physical and occupational therapists
• Teachers, secondary and special education
• Artists and commercial artists
• Marketing, advertising and PR managers
• Financial managers

Requiring Master's Degree:

• Speech pathologists and audiologists
• Psychologists
• Counselors
• Librarians, professional
• Curators, archivists, museum technicians
• Operations research analysts

(Source: 1998-99 Occupational Outlook Handbook)

Implication:
The College may have to allocate resources differently and make modifications in curriculum to reflect the needs of the changing economy.

Observation #5:
Life-long learning will more and more become the norm. For job security, employees will need to possess those current skills and knowledge that are in demand. People will be looking for additional educational and training opportunities to enhance their skill sets. They increasingly will turn to non-traditional programs tailored to meet their specific needs for subject matter, time and method of delivery.

Traditional universities have been slow or unwilling to adjust to these trends. Thus, alternative educational institutions such as University of Phoenix, Western Governors University, and the corporate universities at Motorola and Microsoft are increasingly supplying the higher educational and training offerings the market demands. Whether these alternative educational suppliers pose a threat to traditional liberal arts programs or just to market sensitive niches is unknown.

Implication:
The College should consider offering or expanding:

• degree and non-degree courses via distance education
• web based education for both part and entire courses
• certificate programs
• seminars and workshops targeted for specific businesses and industries
• graduate programs, particularly geared to market needs (e.g., Executive MBA)

Observation #6:
The economic development effort for the Charleston metropolitan area is coordinated by the Regional Development Alliance. The Alliance has recognized that the Charleston area will no longer be able to attract industry by selling "cheap land and cheap labor." Their strategic plan calls for attracting manufacturing and industries which have a strong technology orientation. Education is the key to their development strategy as they attempt to shift from "more jobs" to "better jobs."

Implication:
The College should support this economic development effort by:

• Developing and offering advanced degrees in selected fields such as computer science and information technology as well as executive education in business
• Developing and offering distance learning opportunities for area employers and putting greater emphasis on this type of delivery system
• Expanding continuing education offerings, particularly off the main campus
• Continuing training of economic developers through the S.C. Economic Developers' School and developing similar training programs where needed
• Offering in response to market needs undergraduate and graduate degree and non-degree certificate programs.

Implication:
The College should vigorously continue activities such as attracting international students, developing degrees and curricula with an international perspective, and sponsoring conferences for international colleagues. It should consciously develop ties with international organizations and firms, to establish the College as the educational institution in the state which does the most to support global outreach. The College may want to consider developing an English as a Second Language Institute for the Low Country.

Observation #8:
Many partnership possibilities exist with business and industry that are mutually advantageous, often providing additional external funding for the College, faculty or students.

Implication:
The College should greatly expand:

• Student internship and co-op programs
• Career development and placement programs including participation in career fairs and other related events through Career Services and Adult Student Services
• Faculty internships and summer employment to keep faculty current
• Naming opportunities for campus facilities and endowed chairs
• Encouragement for businesses to donate equipment and resources to the College
• College conducted seminars and training programs at employer site
• Featured speakers sponsored by business or industry

Observation #9:
Although the College is a key part of the region's economy, its capabilities at the moment are underused. Businesses and industry are not always aware of the College's offerings or unsure of its willingness to explore partnerships. Local companies do not have a central point, other than the Office of the President, for contact. While the College has links with business and industry through the Office of Institutional Advancement, these may be seen as essentially aimed at fund-raising. Efforts at true partnership with organizations outside the College walls are sporadic and not well coordinated.

Implication:
The College may want to more aggressively promote its programs and curricula in the region, particularly non-traditional or new substantive areas that are relevant to the needs of the market. It should highlight such things as its excellent programs in math and science, its new major in International Business, its strong language program, its rapidly growing majors in Information Science and Communications, and its new minor in Latin American and Caribbean Studies. The College should consider creating a full-time position for an individual whose sole responsibility is to act as liaison for the College with business and industry. This individual would work closely with -- and serve as Community focal point for -- individuals and offices such as: deans and senior administrators Career Services, Continuing Education, Adult Student Services, Institutional Advancement, and College Relations.

Note:
The above paragraphs summarize only the highlights of the Working Group's wide-ranging discussion over the past several months. In the name of brevity we have chosen not to attach as appendices any of the documents that were studied or include footnotes that might normally be expected in such a paper. Suffice to say that the Committee collected information from many quarters, including statistical studies, trend analyses, economic development reports -- both regional and national -- and the views of leaders in the local business community. For the reader interested in the reference material that underpins the above, extensive documentation is available in the office of the Dean of the School of Business and Economics.

Community Consultants:
Alan Craig, Corporate Development Director, Charleston Metro Chamber Ben Cole, President and CEO, Charleston Regional Development Alliance