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1 SET Overview and Exploration of Regional Data Session 1 Today, We Will Lay the foundation for SET work together Review the Regional SET Forum Explore the regional economic data: Regional industry clusters Employment and occupation Chart the next steps

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Page 1: SET Overview and Exploration of Regional Dataagecon.okstate.edu/files/session1 32016.pdf · • Represents the entire value chain of a broadly defined industry from suppliers to end

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SET Overview and Exploration of Regional Data

Session 1

Today, We Will

• Lay the foundation for SET work together

•Review the Regional SET Forum•Explore the regional economic data:•Regional industry clusters•Employment and occupation

•Chart the next steps

Page 2: SET Overview and Exploration of Regional Dataagecon.okstate.edu/files/session1 32016.pdf · • Represents the entire value chain of a broadly defined industry from suppliers to end

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SET Participating States

Insert new map

SET Purpose: Doing Better Together

The regional team

develops and implements a 

High Quality Regional Economic Development Plan

that builds on the region’s current and emerging economic strengths.

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High Quality Plan: Essential Components

Evidence‐Based

Focused on Regional Economic 

Development 

Aligned with Goals

Broadly Supported

Practical

Team’sRegional Plan 

Building Shared Expectations

Collaborating

Cooperating

Coordinating

Networking

Trust

Effectiven

ess

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Guiding Principles for Our Discussions

Sample ideas:

• Enter into the discussion enthusiastically.

• Give freely of your experience.

• Allow and encourage others to contribute.

• Listen attentively and take accurate notes.

• Ask questions when you don’t understand.

• Appreciate the other person’s point of view.

• Provide constructive feedback and receive it willingly.

• Keep confidences and assume others will.

• Confine your discussion to the topic.

Forum Review

Page 5: SET Overview and Exploration of Regional Dataagecon.okstate.edu/files/session1 32016.pdf · • Represents the entire value chain of a broadly defined industry from suppliers to end

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Civic Engagement Forum Review

• Regional Strengths & Challenges 

• Data Snapshot Reactions

Demographics

•What are the region’s population trends? 

• Is the region’s prosperity increasing or decreasing?

•How does the region’s human capital compare with the state? 

Page 6: SET Overview and Exploration of Regional Dataagecon.okstate.edu/files/session1 32016.pdf · • Represents the entire value chain of a broadly defined industry from suppliers to end

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Workforce Data•What are the region’s unemployment trends? 

•Are more people commuting into the region or commuting out?

•How do regional earnings compare to the state or nation? 

Data Scavenger Hunt: Thriving Businesses

• Number of employees

• Workforce skills needed

• Type of business (i.e. manufacturing, retail, health services)

• Average earnings

• County

• Size • Large=over 100 employees• Small= under 100

• Other businesses/industries for which it is providing support

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Note: In‐migration and Out‐migration includes movement within the CB region.

Establishments

An establishment is a physical business location. 

Branches, standalones and headquarters are all 

considered types of establishments.

Definition of Company Stages

0 12 3

4

Self‐employed

2‐9 employees

10‐99employees

100‐499employees

500+employees

Source: Compiled from http://www.youreconomy.org, accessed March 17, 2016

Components of Change for Establishments2000-2013

Establishments Launched 11,879

Establishments Closed 9,761

Net Change 2,118

Net Migration (Establishments moving into minus Establishments moving out of the region)

123

Total Change 2,241

Percent Change 43.4%

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Establishments

Questions:• What size businesses have shaped the region’s economic growth in the last 14 years?  • Which ones are growing or declining the most? • How might these trends shape the region’s future economic growth?

Source: Compiled from http://www.youreconomy.org, accessed March 17, 2016

Number of Establishments by Company Stages

2000 2013

Stage Establishments Proportion Establishments Proportion

Stage 0 1,396 27.0% 1,942 26.9%

Stage 1 2,986 57.8% 4,399 60.9%

Stage 2 719 13.9% 822 11.4%

Stage 3 55 1.1% 57 0.8%

Stage 4 7 0.1% 4 0.0%

Total 5,163 100% 7,224 100.00%

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Jobs & Sales by EstablishmentsQuestions:• What establishments are the 

most numerous based on company stages? 

• What stages have experienced the largest growth? The greatest decline? 

• What company stage employs the largest number of people?

• What stage captures the most sales?  

• Which ones have experienced the greatest percentage loss over the 2000‐13 period?

Source: Compiled from http://www.youreconomy.org, accessed March 17, 2016

Number of Jobs by Company Stages

Year 2000 2013 % Change

Stage 0 1,396 1,942 39.1%Stage 1 10,376 13,586 30.9%Stage 2 18,387 22,427 22.0%Stage 3 9,326 10,038 7.6%Stage 4 4,695 3,380 -28.0%

Total 44,180 51,373 16.3%

Sales ($ 2013) by Company Stages

Year 2000 2013 % Change

Stage 0 $167,942,882 $129,728,731 -22.8%

Stage 1 $1,613,947,783 $896,863,710 -44.3%

Stage 2 $1,951,472,991 $1,618,057,361 -17.1%

Stage 3 $926,657,707 $933,867,601 0.8%

Stage 4 $601,921,385 $236,475,100 -60.7%

Total $5,261,942,749 $3,814,992,503 -27.5%

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Employment by IndustryNAICS Description 2014 Jobs

90 Government 16,10744 Retail Trade 6,65262 Health Care and Social Assistance 6,18811 Crop and Animal Production 6,15923 Construction 3,66072 Accommodation and Food Services 3,63581 Other Services (except Public Administration) 3,55452 Finance and Insurance 2,75231 Manufacturing 2,62556 Administrative, Support, Waste Management & Remediation Services 2,05653 Real Estate and Rental and Leasing 2,00154 Professional, Scientific, and Technical Services 1,54748 Transportation and Warehousing 1,12742 Wholesale Trade 1,01271 Arts, Entertainment, and Recreation 80861 Educational Services 44151 Information 30821 Mining, Quarrying, and Oil and Gas Extraction 26455 Management of Companies and Enterprises 23122 Utilities 17099 Unclassified Industry <10

Total 61,299

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Top Five Industry Sector Employment Growth

Source: EMSI Class of Worker 2014.3 (QCEW, non-QCEW, self-employed and extended proprietors)

Questions:  • What regional industry sectors have seen the greatest growth?  • Did they grow at the same rate as the state?

• What factors are causing the growth?

NAICS Description2009 Jobs

2014 Jobs

ChangeChange

(%)

StateChange

(%)

21Mining, Quarrying, and Oil and Gas Extraction

192 264 72 38% 25%

61 Educational Services 352 441 89 25% 7%

53Real Estate and Rental and Leasing

1,619 2,001 382 24% 19%

52 Finance and Insurance 2,298 2,752 454 20% 15%

62Health Care and Social Assistance

5,508 6,188 680 12% 9%

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Top Five Industry Sector Employment Decline

Source: EMSI Class of Worker 2014.3 (QCEW, non-QCEW, self-employed and extended proprietors)

Questions:• How does the industry sector make‐up of the region compare to the rest of the state?  • Which industry sectors are growing and declining the most in employment? 

NAICS Description2009 Jobs

2014 Jobs

ChangeChange

(%)

StateChange

(%)

55Management of Companies and Enterprises

427 231 -196 -46% 22%

71Arts, Entertainment, and Recreation

1,074 808 -266 -25% 13%

31 Manufacturing 3,187 2,625 -562 -18% 10%

22 Utilities 202 170 -32 -16% 0%

23 Construction 4,094 3,660 -434 -11% 4%

Page 10: SET Overview and Exploration of Regional Dataagecon.okstate.edu/files/session1 32016.pdf · • Represents the entire value chain of a broadly defined industry from suppliers to end

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Reality Check and Next Steps

Did the data reveal:

• Any new opportunities that should be considered?

• The need to eliminate previously considered opportunities?

• New partners that need to be included in the planning process.

Actions: Begin Writing the Plan

• Describe and summarize the Civic Engagement Forum process and results.

• Summarize key strengths and challenges based on the data

• Describe the selected clusters:• Why were these clusters selected for further exploration?

• What are the strengths and challenges associated with the selected clusters?

• Which suggested opportunities are associated with each selected cluster?

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Exploring Industry Clusters

Industrial Clusters

Clusters are groups of inter-related industries that drive wealth creation in a region, primarily through export of goods and services.

Vertical Clusters• Represents the entire value chain of a broadly defined industry from suppliers to end products.

• Examples: • Auto manufacturing (glass, paint, engine, plastic, etc. that goes into making a car)

• Healthcare (service providers, equipment, medical supplies, pharmaceuticals)

Horizontal Clusters• Groups of similar industries that use the same resources including raw materials and/or labor

• Examples: • Silicon Valley

• Wall Street Financial District

• Napa Valley Wine Region

Page 12: SET Overview and Exploration of Regional Dataagecon.okstate.edu/files/session1 32016.pdf · • Represents the entire value chain of a broadly defined industry from suppliers to end

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Example of a Vertical Cluster

Example of a Horizontal Cluster

Page 13: SET Overview and Exploration of Regional Dataagecon.okstate.edu/files/session1 32016.pdf · • Represents the entire value chain of a broadly defined industry from suppliers to end

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LIST OF CLUSTERS• Advanced Materials 

• Agribusiness, Food Processing & Technology 

• Apparel & Textiles 

• Arts, Entertainment, Recreation & Visitor Industries 

• Biomedical/Biotechnical (Life Sciences) 

• Business & Financial Services 

• Chemicals 

• Computer & Electronic Product Manufacturing

• Defense & Security 

• Education & Knowledge Creation 

• Electrical Equip, Appliance & Component Manufacturing

• Fabricated Metal Product Manufacturing

• Energy (Fossil & Renewable) 

• Forest & Wood Products 

• Glass & Ceramics 

• Information Technology & Telecommunications 

• Machinery Manufacturing

• Manufacturing Super‐cluster 

• Mining 

• Primary Metal Manufacturing

• Printing & Publishing 

• Transportation & Logistics 

• Transportation Equipment Manufacturing

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How to interpret cluster data resultsThe graph’s four quadrants tell a different story for each cluster.

Modified from: http://www.charlestonregionaldata.com/bubble-chart-explanation/

EmergingBottom right(weak but advancing)

StarsTop right (strong and advancing)

MatureTop left

(strong but declining)

TransformingBottom left (weak and declining)

Contains clusters that are moreconcentrated in the region and are

growing. These clusters are strengths that help a community

stand out from the competition.Small, high-growth clusters

can be expected to becomemore dominant over time.

Contains clusters that are moreconcentrated in the region but

are declining (negative growth).These clusters typically fall

into the lower quadrant as job losses cause a decline

in concentration.

Contains clusters that are under-represented in the

region but are growing, oftenquickly. If growth trends

continue, these clusters willeventually move into the top right

quadrant. Clusters in this quadrantare considered emerging strengths

for the region.

Contains clusters that are under-represented in the region (low concentration)

and are also losing jobs. Clusters in this region may

indicate a gap in the workforcepipeline if local industries anticipatea future need. In general, clusters in this

quadrant show a lack of competitiveness.

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Percent Growth in Specialization 

Level o

f Sp

ecializationMature

Education & Knowledge Creation Mining Manufacturing sub-cluster

• Machinery Manufacturing

Mature Clusters

Agribusiness, Food Processing & Tech (3.82; 6,718)

Elect. Equip., App. & Component Mfg. (2.94; 376)

Star Clusters

Forest & Wood Products (1.17; 994)

Mining (1.16; 205)

Transforming Clusters

Energy(Fossil & Renewable) (0.87; 2,797)

Fabricated Metal Product Mfg. (0.83; 400)

Transportation & Logistics (0.59; 1,109)

Manufacturing Supercluster (0.55; 1,112)

Arts, Ent, Rec. & Visitor Industries (0.53; 1,285)

Defense & Security (0.38; 971)

Information Technology & Telecom. (0.33; 769)

Transportation Equipment Mfg. (0.1; 51)

Emerging Clusters Glass & Ceramics (0.93; 94)Biomed/Biotechnical (Life Science) (0.83; 3,868)Machinery Manufacturing (0.57; 223)Business & Financial Services (0.53; 4,180)Chemicals & Chemical Based Prod (0.49; 354)Printing & Publishing (0.36; 364)Education & Knowledge Creation (0.32; 443)Advanced Materials (0.30; 534)Apparel & Textiles (0.29; 127)Primary Metal Manufacturing (0.19; 26)Computer & Electronic Product Mfg. (0.1; 36)

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Top Five Occupations in 2013

Questions:

• What are the education and skill requirements for these occupations?

• Do the emerging and star clusters align with the top occupations?

• What type salaries do these occupations typically provide?

Source: EMSI Class of Worker 2014.3 (QCEW, non-QCEW, self-employed and extended proprietors)

Management Occupations

12.7%

Sales and Related

Occupations12.3%

Office and Administrative Support Occupations10.4%

Food Preparation and Serving Related Occupations 7.1%

Personal Care and Service Occupations 6.8%

All Other Occupations

50.7%

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Science, Technology, Engineering & Math

Questions:

• How do STEM jobs compare to the state?

• What has been the trend of STEM jobs over time?

• How important are STEM jobs to the region’s Star and Emerging clusters?

*Note: STEM and STEM-related occupation definitions from BLS (2010)

Source: EMSI Class of Worker 2014.3 (QCEW, non-QCEW, self-employed and extended proprietors)

788698

-11.4%

Change20142009

Job change in STEM occupations*

CBR, OK

Rest of Oklahoma

62,433

5.2%

59,374

Now What?

Based on the assets of the region and current industrial trends… 

What clusters should this region explore further? 

Page 16: SET Overview and Exploration of Regional Dataagecon.okstate.edu/files/session1 32016.pdf · • Represents the entire value chain of a broadly defined industry from suppliers to end

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Reflections

Thanks for your attention and feedback!!!

Planning Steering Committee:Please stay after for a meeting –

won’t last longer than 1 hour.

Scott Clawson

[email protected]

918-686-7800

Lynn Malley

[email protected]

405-744-9827

Dave Shideler

[email protected]

405-744-6170