By Paul Minnis, The Republic Reporter
Cummins Inc.'s decision to produce a new diesel engine in Columbus promises direct and indirect benefits to the community.
The benefits are so massive, in fact, officials will never grasp exactly what the project means, according to local and state officials.
Jack Hess, who heads Columbus Area Chamber of Commerce, said the 600 to 800 jobs created will go to local people, but also to outsiders who will move here and boost the local economy through shopping and other activities.
Among the incentives given to Cummins was a state promise to provide funding to educational institutions to expand their curricula in advanced manufacturing.
That means other companies in the region - not just Cummins - can look forward to a better-trained work force, Columbus Mayor Fred Armstrong said.
The resulting higher-quality work force might convince new companies to move to the area, creating even more economic development.
"Advanced manufacturing is a very good job that pays well," Armstrong said. "There's so much forward thinking here. That's what makes Columbus special."
Hess said a rule of thumb is that 12 service jobs are created for each manufacturing job in a community.
Market forces, such as the available work force, limit that number, although such a large manufacturing splash is sure to bring spin-off companies, such as restaurants, grocery stores and gas stations.
Also, the new Cummins operation could lead to new spin-off supplier companies, or at least increased business for the auto-related companies already here.
Economist Morton Marcus said a big benefit to Cummins' decision is that it dispels insecurities that Cummins, which has its roots in Columbus, will leave here.
"I think it's a reaffirmation of Columbus as an important center for production by Cummins, which was a question in many people's minds," Marcus said.
"This shows a dedication to the community. Had they put these jobs somewhere else, it would have hurt the pride of Columbus."
Marcus, a former professor in Indiana University's Kelley School of Business, said Cummins' decision shows it does not think the work force market is extended too far, even with a Honda Motor Co. plant coming to Decatur County.
In fact, Columbus has a lot more to cheer about with Cummins than its neighbor does with Honda.
Honda was a single facility that happened to land in Decatur County due far more to its location than its economy or its work force.
Cummins' decision to invest in Columbus is "part of a whole succession of big investments here over a long time period," he said.
"If you're sitting in Asia and looking at a 20-year history of Columbus and Greensburg, it would not take long to read the Greensburg list compared to Columbus'."
John Burnett, chairman of Columbus Area Growth Council, said Cummins' continuing commitment to Columbus is a tribute to the city's education system.
He said Cummins needed a qualified work force and wanted to be sure its people and their families have accessible, affordable education opportunities.
Tom Vujovich, president of Columbus Redevelopment Commission, said the employees Cummins hires will help bring new vitality to downtown Columbus.