Evaluation of Cluster Attractiveness: Multi-Factor Approach Architectural, engineering & related services: NAICS 5413 Indicators of Cluster Attractiveness Assessment of Attractiveness Middle Low I) Cluster Potential 1 2 3 4 5 6 7 Weights High 8 9 10 40% Employment Growth X Output Growth Average Wages Life-Cycle Phase????? Shift & Share Analysis (Competitive Comp.) II) Cluster Industry Characteristics Output/Worker Direct Value Added/Worker Output Multiplier Location Quotient Percent Local Demand met by Local Suppliers. (Social Accounts, Commodity Summary, LAST column) III) External Environment Supporting Industries Labor and human resource pooling Access to information and performance measures Access to inputs and infrastructure X X X? X 35% X X X X X 25% X X X 1 1) Employment Growth (1998 to 2001) Growth: 11 county area: -6.43% USA: 9.78% Actual Employment: 11 county area 1998: 3,482; 2001: 3,258 USA 1998: 1,171,410; 2001: 1,285,927 Source: Bureau of Labor Statistics, www.bls.gov, County Patterns Data 2) Output Growth (1997 to 2001) Growth: 11 county area (Toledo, OH MSA): 34.66% USA: 49.22% Actual Output: 11 county area (Toledo, OH MSA) 1997: $341,388,000; 2001: $459,738,000 USA 1997: $116,986,061,000; 2001: $174,571,080,000 Sources: 1997 Economic Census, IMPLAN Data, www.census.gov/epcd/ec97/metro8/M8400_54.HTM 3) Average Wages (2001) 11 county area: $49,823 USA: $53,4343 Source: Bureau of Labor Statistics, www.bls.gov 4) Life-Cycle Phase 5) Shift and Share Analysis (Competitive Component 1997 to 2001) Total change in local industry employment: -224 Share Component: 198 Shift Component: 142 Competitive Component: -564 Source: Bureau of Labor Statistics, www.bls.gov, Country Patterns Data, IMPLAN Data 2001. 6) Output/Worker (2001) 11 county area: $83,695 USA: $74,409.87* * The output per worker in the 11 county area was calculated only for the cluster (IMPLAN code 439). The output per worker for USA was calculated as an average of output per worker in all professional service industries (IMPLAN code 437-460) 2 7) Direct Value Added/Worker(2001) Method 1: Compare the direct value added/worker for the cluster in the 11 county area vs. the architectural and engineering industry in the entire nation. 11 county area: $62,424 USA: $68,539 Method 2: Determine where the direct value added/worker in the industry for the 11 county area lies in respect to direct value added/worker in the entire nation across all industries. 11 county area: $62,424 USA: $59,748 Source: IMPLAN data for 2001 8) Output Multiplier 11 county area: 1.163913 The output multiplier of the architectural and engineering cluster placed in the lowest 10% of all the industries operating in the 11 county area. 9) Location Quotient (2001) .8234 Source: IMPLAN data for 2001 10) Supporting Industries (2001) The number of regional suppliers in the value-chain of this cluster above 0.1% is 33 The number of suppliers in the national value-chain of this cluster above 0.1% is 58 The percentage of regional suppliers in the overall value chain 33/58 = 56.9% 11) Labor and human resource pooling (2001)* 11 county area (educational attainment score): 2.8 Architectural and engineering industry (educational attainment score): 4.12 * The educational attainment score was calculated by assigning a score to a given level of educational attainment and then weighing that score by the percentage of the population or workforce that achieved this educational level. The scores that were assigned were the following: 1 – No high school diploma 2 – High school graduate 3 – Some college, no degree 4 – Associates degree 5 – Bachelor’s degree 6 – Master’s degree University of Toledo both offer engineering degrees at the bachelor’s and master’s level. BGSU offers only an associate’s degree in architecture and engineering. 3 12) Access to information and performance measures Architect Associations and Supervisory Organizations 1) American Institute of Architects, Toledo Chapter 2) State of Ohio Board of Examiners of Architects Engineering Associations and Supervisory Organizations 1) 2) 3) 4) Ohio’s Engineer’s and Surveyor’s Board Ohio Society of Professional Engineers American Society of Civil Engineers, Toledo Chapter American Society of Mechanical Engineers, Northwest Ohio Chapter 4