Strategic Business Plan Version 2007-1 March 1, 2007 prepared by: SCIENCE APPLICATIONS INTERNATIONAL CORPORATION CHARLIE CRIST GOVERNOR February 27, 2007 Florida's economy is at a critical point in time. Economic development opportunities abound, but so too does increasing global competition, particularly in the aerospace industry. Florida is the premier location for aerospace business and investment, but we must work hard to maintain that position. The future economic prosperity of Florida depends in large part on a vibrant aerospace and hi-tech industrial base. In this regard, Space Florida is the organization to lead the way. The Space Florida Act requires the organization to submit a strategic business plan. The enclosed business plan, however, is much more than a required reporting document. The Strategic Business Plan for Space Florida will guide aerospace economic development in Florida and serve as a blueprint for business development, education, spaceport operations, research and development, workforce development and financing. The plan will direct the efforts of Space Florida and ensure that the organization focuses on efforts that will generate the greatest return for the citizens of Florida. The Strategic Business Plan provides an overview of Florida's current strengths and weaknesses, along with potential threats as well as opportunities. I am most excited about the opportunities to expand aerospace business throughout the state. Through a smart, strategic approach, we can capitalize on these opportunities, maximize our strengths and enhance our position as the global leader in space exploration and commerce. As Chairman of Space Florida, I praise the efforts of the Board in the development of this Strategic Business Plan. This is the first step toward an even brighter future for Florida's space industry. Charlie Crist CC/psh THE CAPITOL TALLAHASSEE, FLORIDA 32399 • (850) 488-2272 • FAX (850) 922-4292 SPACE FLORIDA Version 2007-01 Strategic Business Plan March 1, 2007 TABLE OF CONTENTS 1.0 Executive Summary...............................................................................................................1 2.0 Background and Introduction.............................................................................................. 4 2.1 Background......................................................................................................................... 4 2.1.1 The Governor’s Commission on Space and Aeronautics in Florida ........................... 6 2.1.2 The Space Florida Act and the Formation of Space Florida ....................................... 7 2.2 Introduction to Space Florida............................................................................................ 10 2.2.1 The Space Florida Strategic Business Plan ............................................................... 11 2.2.2 Mission, Vision, and Organizational Values ............................................................. 11 2.2.3 Key Values................................................................................................................. 13 2.3 Strategic focus for the Space Florida Board of Directors, Committees, and staff............ 14 2.3.1 Immediate priorities “top ten” ................................................................................... 15 3.0 Market Assessment.............................................................................................................. 17 3.1 Global Market Overview .................................................................................................. 17 3.2 Florida’s Opportunities..................................................................................................... 25 3.3 Legal and Regulatory Challenges ..................................................................................... 32 4.0 Strategy and Implementation Summary ........................................................................... 34 4.1 Strengths, Weaknesses, Opportunities, Threats Analysis Report Summary .................... 34 4.2 Strategic Initiatives........................................................................................................... 39 4.2.1 Spaceport Operations................................................................................................. 40 4.2.1.1 Strategic Direction.............................................................................................. 40 4.2.1.2 Immediate, Short-Term, and Mid-Term Actions................................................ 41 4.2.1.2.1 Immediate Actions......................................................................................... 42 4.2.1.2.2 Short-Term Actions ....................................................................................... 45 4.2.1.2.3 Mid-Term Actions ......................................................................................... 46 4.2.2 Business Development............................................................................................... 48 4.2.2.1 Strategic Direction.............................................................................................. 48 4.2.2.2 Immediate, Short-Term, and Mid-Term Actions................................................ 49 4.2.2.2.1 Immediate Actions......................................................................................... 49 4.2.2.2.2 Short-Term Actions ....................................................................................... 51 4.2.2.2.3 Mid-Term Actions ......................................................................................... 54 4.2.3 Education, Research & Development, and Workforce Development ....................... 55 4.2.3.1 Strategic Direction.............................................................................................. 55 4.2.3.2 Immediate, Short-Term, and Mid-Term Objectives and Actions....................... 57 4.2.3.2.1 Immediate Actions......................................................................................... 58 4.2.3.2.2 Short-Term Actions ....................................................................................... 61 4.2.3.2.3 Mid-Term Actions ......................................................................................... 61 i SPACE FLORIDA Version 2007-01 Strategic Business Plan March 1, 2007 5.0 Management Summary....................................................................................................... 63 5.1 The Management Team .................................................................................................... 63 5.2 Organizational Structure................................................................................................... 65 5.2.1 Management Gaps..................................................................................................... 67 5.3 The Board of Directors ..................................................................................................... 67 5.4 Standing and Advisory Committees ................................................................................. 68 6.0 Financial Plan....................................................................................................................... 69 6.1 General Assumptions........................................................................................................ 69 6.2 Annual Operating Budget ................................................................................................. 69 6.3 Statement of Projected Income and Expenditures ............................................................ 70 6.3.1 Detailed Revenue and Cost Assumptions.................................................................. 71 6.4 “Above the Line” Investment Opportunities .................................................................... 73 LIST OF FIGURES Figure 1 - Florida’s Aeronautics, Space, and Aviation Industry Cluster 2004............................. 21 Figure 2 – More than Launch – Handling More of Value Chain in Florida................................. 28 Figure 3 – Space Vehicle Supply Chain ....................................................................................... 29 Figure 4 – Florida’s Space, Aeronautics, and Aviation Industry Cluster ..................................... 31 Figure 5 – Space Florida Organizational Chart ............................................................................ 66 Figure 6 - Immediate, Short-Term and Mid-Term Investment Opportunities.............................. 73 LIST OF TABLES Table 1 - Summary of Recommendations of the Governor’s Commission on the Future of Space and Aeronautics in Florida.............................................................................................................. 8 Table 2 - Florida’s Space, Aeronautics, and Aviation Industry Profile 2005............................... 19 Table 3 - Projected Income and Expenditures .............................................................................. 70 APPENDICES APPENDIX A - ACRONYMS..................................................................................................... 75 APPENDIX B - SUMMARY OF ACTIONS............................................................................... 76 APPENDIX C - COMPARISON OF COMMISSION RECOMMENDATIONS AND STRATEGIC BUSINESS PLAN ACTIONS................................................................................78 APPENDIX D - CONTACT INFORMATION...........................................................................