THE VALUED RELATIONSHIP BETWEEN WORKFORCE TRAINING AND
ECONOMIC DEVELOPMENT: A CORRELATION STUDY
By
Kevin A. Cojanu

JOHN DeNIGRIS, Ph.D., Faculty Mentor and Chair
JOHNNY MORRIS, Ph.D., Committee Member
ADOLFO GORRIARAN, Ph.D., Committee Member

Kurt Linberg, Ph.D., Dean, School of Business & Technology

A Dissertation Presented in Partial Fulfillment
Of the Requirements for the Degree
Doctor of Philosophy Capella University
December 2007
UMI Number: 3288820
3288820
2008
UMI Microform
Copyright
All rights reserved. This microform edition is protected against
unauthorized copying under Title 17, United States Code.
ProQuest Information and Learning Company

systems focused on developing workforce ready individuals within rural communities do
have an impact on economic development.
Dedication
This dissertation is dedicated to the most important person in my life, Susan.
Susan’s love, caring, dedication, and just plain old patience of a saint made all of this
possible. Susan was my rock, my motivation, and my love. She provided me with the
stamina to be something more than I thought I could be. In this dedication, I can only tell
her that the deep love we have for each other has helped us to overcome the hardships we
faced. This has made us stronger together and forged a bond that is unbreakable – I love
you Suzy!
Acknowledgments
There are many people that need to be part of this acknowledgement. First and
foremost, my mother, Marlene, who forever pushed me to be all I could be in life, and not
because she wanted a doctor in the family. My father, Stan, who will not see the
successful completion of this milestone because of his passing in 2005, but I know he is
watching with pride. I truly need to acknowledge the unwavering support of my in-laws,
Joni and Charlie. They have supported my every effort and my direction in this world,
and Charlie always had a joke or story that put everything into perspective. My friend,
my brother in this world, Randy, who was always asking how it was going and presented
me with a sounding board when life got tough. In every aspect of life, we meet people
that become family whom you love and care for, unconditionally. Trisha and Erik, of the
Hornitos family, have become just such family. I cannot fail to mention Dave and Loree,
who left me this year, 2007. I missed their tough love, but their faith helped me through
some difficult times. My daughter, Megan, who I tried to set an example for in that life is

Nature of the Study 11
Organization of the Remainder of the Study 12
CHAPTER 2: LITERATURE REVIEW 14
Introduction 14
Overview 14
Community Involvement 16
Workforce Development Associations 31
Business Involvement 42
CHAPTER 3: METHODOLOGY 51
Introduction 51
Foundation for the Methodology 51
Research Design Strategy 54
Sampling Design: Population and Sample 55
Measures 56
Data Collection Procedures 57
Pilot Testing 58
Data Analysis Procedures 58
Limitations of Methodology 59
Internal Validity 60
External Validity 61
Expected Findings 61
Ethical Issues 62
Conclusion 63
CHAPTER 4: DATA COLLECTION AND ANALYSIS 64
Introduction 64
Review of Research Questions and Hypotheses 64
Review of Data Collection 65

Introduction 98
Summary of the Study 98
Discussion of the Results 99
Hypothesis 1 99
Hypothesis 2 101
Hypothesis 3 102
Conclusions 104
Recommendations for Future Research 105
REFERENCES 107
APPENDIX A: SURVEY QUESTIONS AND INFORMED CONSENT 117
APPENDIX B: SURVEY DATA: HYPOTHESIS #1 126

APPENDIX C: SURVEY DATA: HYPOTHESIS #2 131

APPENDIX D: SURVEY DATA: HYPOTHESIS #3 136

List of Tables
Table 1. Survey Response 66
Table 2. Participant Age Categories as Recorded by the Researcher’s Survey
Instrument 66
Table 3. Question 1 Age Categories and Responses 68
Table 4. Question 2 Age Categories and Responses 69
Table 5. Question 3 Age Categories and Responses 71
Table 6. Question 4 Age Categories and Responses 73
Table 7. Question 5 Age Categories and Responses 75
Table 8. Question 1 Age Categories and Responses 77
Table 9. Question 2 Age Categories and Responses 79

Statute 288.0656). Section 2 Article (a) says:
Economic distress" means conditions affecting the fiscal and economic viability
of a rural community, including such factors as low per capita income, low per
capita taxable values, high unemployment, high underemployment, low weekly
earned wages compared to the state average, low housing values compared to the
state average, high percentages of the population receiving public assistance, high
poverty levels compared to the state average, and a lack of year-round stable
employment opportunities (Florida Statute 288.0656) .
In addition Section seven states:
… A rural area of critical economic concern must be a rural community, or a
region composed of such, that has been adversely affected by an extraordinary
economic event or a natural disaster or that presents a unique economic
development opportunity of regional impact that will create more than 1,000 jobs
over a 5-year period (Florida Statute 288.0656).
Workforce development in rural communities of Florida is not treated equally
across the state because there are no viable programs that can properly educate or train
the existing workforce to advance the viability of the community (Garlich & Tesinsky,
2005). This research study evaluates the impact of an unskilled workforce on business
opportunities for economic growth in rural communities in Florida.
Workforce Training and Economic Development 2
Ulrich Research (2002) provided research that determined workforce availability
compared to workforce development opportunities in Highlands County Florida were at
risk based on the level of training and education within the available workforce.
Davenport (2006) suggests that according to corporate executives the United States must
increase the education and skills of rural and urban communities in order to remain
competitive in retaining jobs. Dychtwald, Erickson, and Morrison (2006) cite that fewer
degreed people in the workforce significantly influence economic growth of business in

technologically perceptive because of the economic resources available to them. Rural
colleges face the same issues because of available funding to develop and deliver new
workforce training programs. Therefore, these communities are behind in developing
into economic centers that focus on developing workforce skills at the earliest possible
learning levels and or delivering workforce training. Kastsinas and Moeck (2003)
expands on this position to promote a review of current funding models for college
tuition. This review should account for the real cost of tuition including items such as
childcare, transportation, and living expenses.
Statement of the Problem
The lack of a skilled workforce is having an impact on businesses and the
economic development of rural communities in the State of Florida. Highlands County
Florida is one example that finds the most educated of the available workforce making on
the range of $26,000 to $32,000 in 2000 according to the Ulrich Research (2000) study.
Workforce Training and Economic Development 4
Additionally, the highest paid positions make up less than 12% of the total population of
Highlands County Florida (Ulrich Research, 2000). Some of the conditions can relate to
the actual level of skills that are available from high school and college graduates
entering into the workforce. In some cases workforce resources do not have the
knowledge to contribute to the business objectives that relate to the growth of local and
relocated businesses (Andersson & Karlsson, 2007).
The Academy of Management Review (Tallman, Jenkins, Henry & Pinch, 2004)
promotes the definition of Industrial District as a single focused geography to promote
the industry of choice. This definition identifies that the knowledge sharing for the
development of specialized workforces occurs at all levels of business, education, and
local government to develop the Industrial District to meet the current and future needs of
the specific industry.
Markusen (2004) promotes the concept of ’Industrial Targeting’ as a form of

business opportunities for economic growth in rural communities in Florida.
Swager (2000) defines economic development as a method of utilizing resources
such as land, buildings, and people to provide for underdeveloped regions and countries.
Sperling (2005) states:
Over the past two decades, the share of workers with at least a high school degree
grew by 19 percent; over the next two decades, it will grow by only 4 percent. At
the same time, high-skilled technical jobs have grown five times faster than the
Workforce Training and Economic Development 6
population since 1980. Unless we expect massive new immigration or increased
fertility rates, we will need to increase the pool of highly skilled workers or face a
growing labor shortage (p.137).
Sperling (2005) implies there is a lack of highly skilled workers to support the
potential requirements of businesses in the United States. This research study examines
how a dwindling skilled workforce could influence business and economic growth. The
research study also focuses on the levels of education within the workforce and the
possible impact on businesses and economic growth of local communities within the
United States. To provide the necessary workforce for a business and to contribute to
economic growth, businesses may need to contribute to the learning outcomes and
potentially work with the community (or country) to develop that potential workforce
resource (Preparing for tomorrow through education and workforce development, 2006).
Specifically, economic development is a focus for developing economic growth
with no real specific boundaries or limitation. Economic development has assumed the
role as one of the dominating issues in the world today. There is a great deal to be said
for acting global and working local when the competition for economic business has no
country or continent boundaries, but the maintenance of global business relies solely on
available resources within the village, town, city or metropolitan urban center (Koehler &
Wurzel, 2003).

Workforce Training and Economic Development 8
In the Southeastern United States the wages per-capita are the lowest in the
nation. Florida is one of the largest states in the geography and it represents about 35%
of the total workforce in the Southeast. The quality of workforce development is
dramatically impacted in rural areas and hit harder with potentially fewer opportunities
(Shuptrine, 2006).
The Work Readiness Credential is a voluntary program created by the U.S.
Department of Commerce to promote a ready workforce. Florida is a participant, but
does not have a solid base for running the program in urban or rural communities. The
program does not focus on developing workforce skills in specific areas. It will make the
resource a better candidate for providing basic job skills (Olson, 2006).
Workforce development is rural communities like Highlands County Florida
suffer from a potential lack of direction in developing programs to educate and train the
workforce to open opportunities for business development and relocation. Some
communities establish themselves as a leader in specific industry clusters. The ability to
promote a specialization based on workforce skills works to establish the community and
draw the interest of businesses in that industry (Romanelli & Khessina, 2005). The
challenge to meet any specific industry criteria may relate to the demographics of the
community, which provide a workforce that is trained and or trainable with the required
business skills. In cluster opportunities, communities look to the business seeking to
locate to assist in the training process (Jeter, 2004).
This study seeks to create new avenues of opportunity for businesses and
communities to evaluate current workforce development activities and determine if the
specifics of the strategy are in the best interest of the workforce being developed and
Workforce Training and Economic Development 9
providing current and new services to business and or customers (OECD economic
surveys, 2005).
Community leadership: People and organizations, government or public support,
that provides opportunities for success in the communities in which they live. Providing
strategy to stir new growth starts with the commitment and leadership within the
communities (Walsh, 2006).
Resources: Workforce-capable individuals that are ready, willing, and able to fill
the needs of industry and business in the communities for which they reside. These
resources are not defined by any gender, race, sexual preference, or ethnic background.
Global Economy: The ability to sell products and services globally by allowing
for businesses to create products and services in geographical regions that take advantage
of low-cost resources to create competitive costs of productions and or delivery of
services.
Assumptions
For the purpose of this study, the following assumptions were made: (a) voluntary
participants from the National Rural Economic Developers Association (NREDA)
members were surveyed, (b) this study rigorously focused on the ethical codes and
regulations of Human Subjects in Research for the data collected, processed and
analyzed, (c) interview questions produced impartial, and unbiased statements in the
design format when it was provided to the NREDA membership, (d) analysis took place
Workforce Training and Economic Development 11
to reduce bias interpretation as patterns began to develop outcomes, and (e) the study was
limited to focusing on rural communities in Florida.
Limitations
This study was limited by these elements: (a) representation in the study only
came from the NREDA membership, and (b) the definition of a resource was not based
on gender, race, sexual preference, or ethnic background.