Archive for June, 2002

Featured Website: MckinseyQuarterly.com

Sunday, June 30th, 2002

By Jeff Vedders

An interesting web site we came across recently was The McKinsey Quarterly at www.mckinseyquartlerly.com. 

The McKinsey Quarterly is an on-line journal with articles on business strategy, published by McKinsey & Company, a management consulting firm out of New York.  Its articles cover corporate functions such as marketing and operations, and information on major industries such as automotive, computers and electronics, and financial services.

The site archives articles as far back as 1995.  This is a great site to use to get a sense of some of the issues that companies face internally (for example, strategy) as well as industry-wide issues.

New & Expanded Announcements: January 2002 – April 2002

Sunday, June 30th, 2002

By Jeff Kelley

The results are in for the first quarter. According to Conway Data’s New & Expanded Announcements these are the top 10 state for January 2002 – April 2002.  The total number of announcements for the first quarter was 313.

 

Rank State Number of Announcements
1 CA 24
2 MN 24
3 IL 22
4 ME 19
5 FL 18
6 NY 17
7 VA 15
8 IN 14
9 TX 13
10 NJ 12

Is it Rural or Urban?

Sunday, June 30th, 2002

By Pete Julius

What is your definition of a rural area? Some people call all non-metropolitan areas rural regions, while others put areas with populations of less than 5,000 people in the rural category. Numerous definitions are used to classify a region as rural or urban, making it harder for economic developers to select the right classification. 

The law requires some federal and state economic development organizations to use Census Bureau classifications to allocate program funds, set program standards, and implement each program.  For those communities that could be either rural or urban it is very important to understand the classification system.  It is also essential to understand any changes that occur within the system and what they could mean to a community.  Recently, the Census Bureau revised its classification of rural and urban areas. 

The 1990 Census definition labeled rural areas as those community boundaries with less than 2,500 people.  However, the new 2000 definition instituted by the Census Bureau is quite different.  The new definition is now based on population density and not just boundary lines.  This definition will not only include communities with less than 2,500 but it will also include the surrounding areas, which contribute to the community’s overall economy. 

The change will cause some traditional rural areas to become classified as urban.  Since this change in classification was just announced, it is not clear what it means for the future.  The switch in terminology could cause a reform in Federal and state funding.  If you wish to view these changes further, please click on the following link: http://www.census.gov/geo/www/ua/ua_2k.html.

Attracting the Creative Class

Sunday, June 30th, 2002

By Katie Terpstra

“Keep your tax incentives and highway interchanges; we will go where the highly skilled people are.”

Carley Fiorina, Hewlett-Packard CEO

Richard Florida, in his book The Rise of the Creative Class, describes the emergence of a new social class, the creative class.  He believes creativity is the driving force behind economic growth and that “cities should stop worrying about attracting companies and start worrying about attracting members of this class.”  Once the creative people have been successfully attracted, the companies seeking this type of workforce will naturally follow.

Mr. Florida defines the core of the creative class as “people in science and engineering, architecture and design, education, arts, music, and entertainment, whose economic function is to create new ideas, new technology and/or new creative content.”  He estimates that the class includes 38 million members or more than 30 percent of the nation’s workforce.

In order to attract the creative class to an area, Florida believes a place must have “the 3 T’s”—technology, talent and tolerance.  While he believes geographical place does still play an important role in attraction, he also writes, “Access to talented and creative people is to modern business what access to coal and iron ore was to steelmaking.” 

Whether you agree with Florida or not, he raises some interesting issues through his research.  Have you witnessed the presence of this creative class in your area?  Do organizations need to be more innovative in their attempts to attract companies?  Is it feasible to attract people rather than companies?  Click here to send us your feedback.

Sources & Links:

º    www.slate.msn.com/?id=2066325: An article based on Florida’s book which asks the question: “Why do some cities thrive and others flounder?”

º    www.creativeclass.org: Florida’s website which contains more information about his book, The Rise of the Creative Class, including excerpts.

º    www.optimizemag.com/issue/007/quiz.htm: An interesting quiz designed to test how creative your workplace is.