The Piedmont Expansion Program: Community Colleges in International Trade

by Eduardo A. Peniche

from VCCA Journal, Volume 3, Number 1, Spring/Summer 1988, 16-21

© Copyright 1988 VCCA Journal


The concept of the Piedmont Export Expansion Program (PEEP) grew out of a discussion by two officers of the Piedmont World Trade Council (PWTC) of Lynchburg, Virginia: Mr. Gerald M. Wilson, President; and this writer, a member of the Council Board of Directors and former president of the Council. Prior to that, Mr. Wilson had broached the subject of the Commonwealth of Virginia establishing an International Trade Institute with Charles Robb, who was then Lieutenant Governor. As a result, a decision was made to promote a regional effort for the Central Virginia area. Subsequently, this author created a project proposal, "An Export Expansion Program of Central Virginia," in collaboration with Mr. Wilson and circulated it to PWTC members. With input from the membership, the concept was then explained to Mr. Ralph W. Brown, Jr., then Coordinator of Research and Planning at Central Virginia Community College (CVCC), for his reactions and guidance.

As the project moved forward in the fall of 1982, a potential source of funding was identified through the Virginia State Council of Higher Education (SCHEV) which had established a "Funds for Excellence Program" for institutions of higher education. The concept was in keeping with the criteria SCHEV required for proposed programs, "...to benefit industry or to promote economic development..." Consequently, a proposal was submitted for potential funding, "A Model for Utilizing Higher Education Institutions to Promote an Export Expansion Program for Central Virginia." It was funded with "seed money" for the 1983-84 academic year.

Purpose

Originally, it was planned that this project would accomplish the following activities:

The project was developed to serve the Central Virginia region comprised of the Cities of Lynchburg, Altavista, and Bedford, and the Counties of Amherst, Appomattox, Bedford, and Campbell, an area having a combined population of approximately 1800,000. Although situated several hundred miles inland from any seaport, the area is highly involved in trade in the various world regions.

Planning the Project

Once notification was received in October l982 that SCHEV would fund the proposal, a group of interested academicians and businessmen gathered to work out the style and format of the program. The first formal meeting, held in February 1983 at the Lukens Corporation, was chaired by Mr. Gerald M. Wilson, President of the PWTC. Subsequent meetings were held at CVCC and Lynchburg College. The participants in these planning sessions, among others, were: L.Keith Elrod, Eduardo A. Peniche, Hendrik Schmidt, Kamal Abouzeid, and Ralph W. Brown, Jr.

As a result of these planning sessions, a viable program was developed for implementation starting on September 27, 1983. The project was named the Piedmont Export Expansion Program (PEEP).

During the evolution of the "Staff" it soon became apparent that members had special talents to contribute to the program. Keith Elrod had extensive business experience in his position with International Marketing for General Electric, while Henk Schmidt had vast knowledge of international financing from his position as Vice President with Central Fidelity Bank. Professor Kamal Abouzeid, Dean of the School of Business at Lynchburg College, had an extraordinary understanding of the complexities of international business. Ralph Brown, Jr. contributed his services as planner to the project during the crucial initial stage, and this writer was chosen as the Project Coordinator. As the Staff evolved in this interactive process, it was clear that Elrod, Schmidt, and Abouzeid complemented each other with their collective experiences and abilities, while the Coordinator and Brown served as a support team to the others. Mr. Brown's major responsibilities included serving as an advisor and back-up to the coordinator and as the author of the PEEP Monograph.

The program features were established as follows.

A major concept that became the thrust of this project was that of integrating six aspects into a program that would provide a complete understanding of the export trade. Included in this approach was the primary idea that, in order to combine academic and business experiences, it was necessary to insure that "nuts and bolts" topics would be emphasized over theoretical or cultural aspects.

Having decided on an integrated approach, the question arose as to the number of participants to be served. It was felt that the subjects to be dealt with could best be presented through a seminar format. Since the average size became 24 per group, it proved to be the workable method.

Through various staff meetings, a schedule for an academic year was drafted, which evolved from a series of 30 to 35 topics that the Staff identified during their brainstorming sessions. It was decided that the schedule calendar should parallel CVCC's schedule, including fall, winter, and spring quarters.

Because of work schedules and individual abilities, Keith Elrod was selected to head the program as Dean. The overall administrative responsibility for the project was assigned to the author. Except for the Research Associate, the primary instructors were the staff members. In addition, a faculty member from Randolph-Macon Woman's College and businessmen from the PWTC served as guest lecturers for special topics at no cost to the project.

The question was raised during planning as to those who would be invited to attend from various businesses. Should it be the chief executive officers of the companies or the managers and shipping clerks? It was decided to let the selection of the various representatives be determined by the companies themselves. In addition, it was decided to invite college students from the local colleges to attend on a free basis if recommended by their Dean or college advisor. Unfortunately, no college students participated other than to attend special sessions or seminars with the diplomats.

Since an integrated approach had been agreed upon, it was decided to physically locate the various functions of the project at several different locations. As the applicant agency, CVCC was designed as the location for the administrative organization. During the planning stages, an office at the Lukens Corporation was used and was maintained throughout the entire project serving as the "downtown" location as necessary. Lynchburg College, a private four-year liberal arts college, was selected as the setting for the classroom activities for the project. In addition, classes in Spanish in support of the project were taught at CVCC. Portuguese, through the Self-Paced (Self Instruction) method, was also made available to the participants.

Implementation of the Program

After final approval of the draft copies of the fall, winter, and spring schedules, a mail-out brochure, describing the program's emphasis on areas of international marketing and financing, was distributed by the Project Coordinator. Also included were sections on the geographical and historical aspects as well as the cultural differences and cultural change in Latin American countries.

While the original intent was to have a maximum of 30 participants in the program, it soon became apparent that this number had been overly optimistic. As it developed, the average number each quarter was 14, which did not include visitors from the business community or from the colleges who attended selected presentations. Surprisingly enough, 31 students enrolled each quarter for the Spanish courses for businessmen and travelers.

One example of the variety of issues addressed by this program is the portion of the Winter session which was devoted to "practical considerations for exporters," such as: packing, forms, controls, forwarding, shipping, insurance, etc. This program provided practical information for the participants and exemplifies the emphasis that was given throughout the academic year.

One of the highlights of the program was a seminar devoted entirely to the discussion of a case study related to international marketing held on June 5, 1984. At an earlier session, the class participants and staff had received copies of a "Case Study Case VI-4" found in International Marketing by P. R. Cateora. An informative and interactive dialogue provided an opportunity for the participants to apply aspects of theoretical and experiential concepts relating to international marketing to a realistic situation.

One of the major activities each quarter involved having diplomats from the Latin American countries participate in the seminars. The diplomats, economic or trade counselors at their embassies, also visited various local firms and afforded area businessmen the opportunities for a "one-on-one" meeting to discuss matters of mutual interest. For example, Lukens Corporation was able to solve a longstanding problem that it had in Guatemala related to foreign exchange. HARCO managed to discuss matters related to bidding in Honduras. Simplimatic Engineering Company and Limitorque Corporation discussed marketing opportunities of their products in Colombia and Venezuela, respectively. And Griffin Pipe was able to obtain information to locate a distributor in Peru.

Evaluation of the Project

Since turnover in the class participants was anticipated, each group was given the opportunity to evaluate the program at the end of each quarter. They gave the program an overall score of approximately 4.30 on a scale of 1 to 5 (86%) and many positive comments were also received. Participants were awarded CEU's each quarter and received a certificate Award of Completion. Those who completed the entire 30-week program were awarded a special Certificate of Completion.

The cooperative arrangement between academicians and businessmen, while certainly not unique, was very successful. Much of the instruction was provided by individuals from the business sector who had "hands-on" experience and could relate well to the participants. Additionally, the academicians provided logistical support and a classroom environment as well as conducted seminars covering theoretical aspects of export trade and seminars on the culture of the Latin American countries. It was an effort that brought together business leaders and faculty members from Lynchburg College, Randolph-Macon Woman's College, and Central Virginia Community College giving team lectures in an atmosphere of professional cooperation.

Summary of the Program

This project, as intended, has served to motivate individuals and firms to become involved in export trade or to expand their current export operations. In addition, various spin offs from this project have been realized. For example. Lukens Corporation was able to solve the company's problems with release of divisas in Guatemala and was able to initiate negotiations for a joint venture in that country for 1985.

As the project progressed throughout the year and publicity regarding the three-day visits each quarter by the diplomats increased, it became evident that a very powerful drawing card had been created. As part of their visits to the City of Lynchburg, the diplomats were greeted by city officials and presented with engraved Jefferson cups. During their stay, they visited a number of businesses and industries as guests of their chief executive officers. A banquet and reception was also given each quarter for the diplomats under the auspices of the PWTC. Seminars were held at Randolph-Macon Woman's College and Central Virginia Community College as additional activities to the original plans for the diplomats. These added features included a Latin American Studies Seminar and luncheon at Randolph-Macon Woman's College hosted by the college's President, Dr. Robert A. Spivey, and a Chief Executive Officer's Breakfast/Seminar hosted by Central Virginia Community College's President Dr. Johnnie E. Merritt.

Results

Perhaps the most important result of the PEEP project was the relationships established among international businessmen, academic institutions, the service industry, and the public sector. A program like PEEP might even be "franchisable" through colleges and other educational institutions with some financial assistance from government agencies and business.

It is even feasible to create programs at the graduate level in international business working cooperatively with local community colleges that would be involved in certifying secretaries, shipping managers, and others in the area of international trade. Seed money from government and industry would be a small price to pay for better qualified international trade personnel.

In summary, as a result of this successful joint venture between academia and business, community colleges, as well as other educational institutions, should be viewed as potential resources available to assist in the understanding and promotion of international trade.

Note: Under the title of Piedmont International Business Program (PIBP), Lynchburg College is presently implementing a similar program in the Central Virginia area.

Recommendations


Eduardo A. Peniche is Assistant Professor of Foreign Languages and also Public Information Officer at Central Virginia Community College. He was coordinator for the Piedmont Export Expansion Program and is currently a member of the Advisory Group to the Governor of Virginia on International Education and of the SCHEV Committee on International Education. He was recently appointed to the advisory board for a Hispanic culture and language program to be produced by WGHB in Boston.