Auckland The city of opportunity
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Auckland
The city of
opportunity
An analytical view of the social and
economic performance of Auckland based
upon PwC global Cities of Opportunity
indicators, to assess the city’s global
competitive advantages.
October 2012
© 2012 PricewaterhouseCoopers New Zealand. All rights reserved. ‘PwC’ and ‘PricewaterhouseCoopers’
refer to the New Zealand member firm, and may sometimes refer to the PwC network. Each member firm is a
separate legal entity. Please see www.pwc.com/structure for further details.
pwc.co.nz
We are proud to present to you the With Auckland playing a central role
Auckland is a inaugural edition of Auckland: The city
of opportunity.
in New Zealand’s development, we
sought to assess, based upon the Cities
business-friendly, of Opportunity framework, how the
With cities around the world
attractive city increasingly being seen as engines
city is performing, both from a regional
and global perspective, and more
that shows for growth, PwC has developed a
importantly to gain an understanding
framework to assess a city’s social and
strong potential economic performance against a set
of the value of the ‘Auckland
experience’.
for growth in
Auckland
of key indicators and variables. In the
PwC annual global report, Cities of We see Auckland as a business-friendly,
order to compete Opportunity, this model has been used attractive city that shows strong
globally… to gain insight into how cities around potential for national collaboration in
the world are performing and what we order to compete globally, and we hope
can learn from them. our collaboration as an organisation,
operating across New Zealand, will
We believe that today’s economy and
A successful emerging trends, such as urbanisation,
support this effort.
can provide cities with new possibilities This report has been prepared in
city will balance and opportunities, if these are accordance with the terms of our Work
managed well. Alternatively, cities Statement dated 1 June 2012 and is
social and economic might deteriorate into areas suffering subject to the restrictions set out in
from social ills whose unintended Appendix B.
strengths: the city of consequences, among other things,
have a negative impact on growth. This
opportunity provides is why it is so important to understand
how urban dynamics work, and to
Auckland an share what we can learn about their
effects with city government officials,
assessment of this policymakers, business people,
academics and citizens mutually
balance. looking to invest in the success of
their cities.
Craig Rice David Walker
Partner Director
Advisory Leader Advisory
Contents
03 05 07
Summary Competing About the study
globally
09 11
Approach Auckland City
in focus
Appendices
25 35
Appendix A: Key Appendix B:
to the variables Restrictions
Auckland
16 6 th
2
The
city of
in ease of doing
th
Summary
opportunity
business
globally
nd
in natural
Solidly in the Overall Opportunities environment
middle of the 14 Seoul
15 Madrid
for
pack 16 Auckland improvement
17 Milan
Auckland scores a credible Ranking comparisons Overall summary
16th place when assessed 18 Beijing with the top cities in each
against the 27 other cities category, shown overleaf,
in the Cities of Opportunity. Sustainability highlight these areas of 1
Stockholm Seoul Singapore Stockholm Sydney Beijing Singapore Berlin Paris London
In doing so it exhibits strength, but also where
real strength in the
and the natural improvement opportunities Auckland
measures related to natural environment lie. These include transport 2nd
environment, ease of doing and infrastructure, economic 5
1 Sydney
business and health, safety clout and city gateway. The Auckland
and security. These results 2 Auckland pleasing thing to note is 6th
indicate that it is one of the 3 San Francisco that all three relate to key
more liveable cities in the 4 Toronto priorities in the Auckland Plan 10
Auckland Auckland
world. In addition to these and related transport and
5 Berlin 10th 10th
strengths, it scores strongly economic development plans.
Auckland
in the measures relating to On a further positive note,
12th
Rank
innovation and demographics. Ease of doing some areas of infrastructure
15
improvement are already
With regard to ease of business being implemented, including
Auckland
15th Auckland
doing business, Auckland
4 New York the rail electrification and 16th
achieved first place in two
the ultra fast broadband
of the underlying variables. 5 Toronto rollout. The key for Auckland 20
Similarly, within health, 6 Auckland improving its rankings will
safety and security it achieved
7 Stockholm be to ensure the momentum
three top 5 variable rankings
8 Los Angeles that has been initiated
with low crime and a stable
through both the integration 25
political environment being
of Auckland governance and
key factors.
implementation of strategic
infrastructure projects is Auckland Auckland 28th
27th 27th Auckland
maintained.
Innovation Tech Transportation Health, safety Natural Economic Ease of business Cost Liveability City gateway
readiness and security environment clout
Measure Categories
3 Auckland The city of opportunity 4Auckland
The
city of
Competing globally
opportunity
In the current era of Similarly, impressive scores Beyond this local context there Territorisation – a new focus Auckland is currently Other desirable strategic goals
globalisation, countries, in the natural environment is a global one for Auckland on the city as a territory: The facilitating a number of include:
regions and cities are all in and ease of doing business to consider, and with it comes city is not only an organisation related initiatives including
• higher density of talent,
competition against each other indicators are not matched by global trends that affect city and service provider, it is a clusters and provincial
knowledge, innovation,
- co-opetition1 has become the economic clout or technology and regional development. place for human interaction. connectivity7, but for Auckland
research and intellectual
new challenge facing cities. readiness, where the city The most important trends5 The city has also grown in to emerge as a globally
landmarks
At the same time there has needs to provide a platform we see at this point in time importance as a place to live, relevant city for the future,
never been a more natural to attract significant foreign relating to cities are: work and exist. This means there is a real need to continue • higher mass transit
environment for regional Asia investment in productive that there is a shift in viewing building stronger vision, coverage and lower cost of
Rurbanisation – the world is
Pacific cooperation. sectors. the city as a service provider strategy and coordination infrastructure
going to town – but rural areas
to viewing the city as a place between the city, the
Auckland fares well as a very In addition, although are becoming as important as • increased attractiveness of
within which all important government and upper North
liveable city in comparison to Auckland is reasonably the urban: The OECD predicts investment and investment
activities of the society occur. Island provinces within this
a number of its much larger well placed in the area of that by 2050, 70% of the projects.
context. Infrastructure that
and more developed peers. intellectual capital and world’s population will live Smart citization – smart
binds the region together and The overall conclusion is that
The city has recognised innovation, through many in cities, which means that solutions are of the essence:
eases transportation of people there is a significant potential
this through the vision set strengths relating to the we have a clear global trend In order for the city to be
and goods on roads, rail and in in Auckland, but to harvest
down by the council on its education system, it is of urbanisation. At the same able to grow in a sustainable
the air is vital. this potential requires a strong
establishment in 2010, to hampered in the area of time, the cities’ connections (sustainagile6) economic,
be the world’s most liveable research. This low research to rural areas becomes even ecological and social local and national leadership
city. Accordingly it needs base is related to other lower more important as the rural way, to host a growing focus on those areas that will
to continue leveraging and scoring variables such as IT areas provide workers for the number of inhabitants, and really make a difference.
enhancing those features that technologies development and cities and produce food. Trend accommodate them in a good
ensure it remains an attractive foreign direct investment. analysts like John Naisbitt and sustainable way, smart
destination for visitors, pointed this out some time technologies, smart strategies
Auckland will have to deliver
citizens and businesses alike. ago, when he said: “There is and smart governance and
on the priorities it has set for
no question that cities are the policies need to be in place.
But to move ahead in global itself in The Auckland Plan There is a significant
engines of economic growth
stakes, the results of this study if it wants to make a step Regional specialisation/
highlight that quality and change and climb the ladder
and centres of dynamic
transformation – the city potential in Auckland,
social and cultural activities
quantity of infrastructure will of economic success.
and development, although
and regional development: but to harvest this
need significant progression. The city is located in a potential requires
there exist some contrary
This has been identified regional context where it
through previous studies2 and
messages like the future lies
can be an engine for national a strong local and
in a living countryside …”.
plans and is a key feature of
This dual trend is hastened
development and growth national leadership
The Auckland Plan3. Major – if managed properly. focus on those areas
by ‘smart’ and time effective
infrastructure including The European Union 2020
rail electrification and the
modes of transportation and
agenda for smart, sustainable that will really make
infrastructure corridors along
motorway network is in the
with new technology such
and inclusive regional a difference.
process of being delivered but specialisation places the
as eMobility to enhance the
there is still much to be done4. notion of regions and clusters
transportation of people
on the proactive agenda of
and goods into and out from
nations. The existence of
the city.
clusters means that unique
1. Cooperation and Competition, Northern Lights: Nordic Cities of Opportunity, PwC 2012 capabilities create competitive
2. The Challenge for Local Government: Infrastructure, page 61, section 1, part 2. Royal Commission on Auckland advantages.
Governance, March 2009
3. Auckland Plan 2012
4. Para 775, chapter 13, Auckland’s Transport, The Auckland Plan
5. Cooperation and Competition, Northern Lights: Nordic Cities of Opportunity, PwC 2012 6. Sustainable and agile
7. Upper North Island Inter-regional Strategic Alliance Agreement, 2011
5 Auckland The city of opportunity 6Auckland
The
city of
About the study
opportunity
Auckland: The city of When the first edition of
Cities of Opportunity was
Our measures are designed
to favour holistic capital
The 2012 main Cities of
Opportunity study9 also
The 2012 study also identified
a number of positive forces at
opportunity has been developed developed in 2007, PwC market centres with vibrant highlights several critical work including:
and assessed consistently with made a decision to rank
cities across 10 indicator
economies and strong quality
of life. Our view is that a
urban issues in depth. These
include:
• the upside potential of
the overall global assessment categories whilst foregoing successful city will balance
globalisation
• the great recession
to ensure comparability. overall rankings to avoid the
misperception of a contest.
both social and economic
strengths so the people
continues to hamper
• the increasing attraction of
cities to travellers of all sorts
mature city governments
In hindsight, the New York and infrastructure support
and stubborn joblessness • the expanding growth
versus London comparison each other. The challenge
adds a serious problem of urban service centres,
was a natural but irrational of building a city, keeping
– employment refuses to supported by rising demand
focus given the significance it on top and evolving
bounce back to anything and high levels of education
of the broader portfolio of with changing needs is the
near levels before the boom and training
cities. Curious readers, then dynamic we’re seeking to
years that preceded the
and now, are expected to ask, illuminate. The measures we • opportunities to build new
global financial crisis
quite commonsensically, “who use are selected to develop or retrofit old infrastructure
wins?” an accurate reflection of • mature and emerging cities
that balanced city and its depend on each other to • the promise that innovation
Within this context, Auckland offers in urban clusters.
metamorphosis. balance their economies
is joining a growing band
of cities participating in This shows the parallel that • big uncertainties hang over These issues are very relevant
assessments that supplement exists between good economic the entire picture, from to Auckland and its future
the major study. This provides and social indicators. Among destabilising climate change direction mapped out in
the opportunity for Auckland the 10 indicators, five to political and social the Auckland Plan and
to measure its performance correlate in a close positive tension to technological the associated Economic
against the key global players pattern – intellectual capital transformation – Development Strategy
across all or a snap shot of and innovation; health, continuation of the 20 year published earlier this year.
participants as depicted in safety and security; ease of urban renaissance cannot The measurement framework
the various charts and tables doing business; technology realistically be taken as that has evolved since the
contained within this report. readiness; and demographics inevitable. first study was initiated is an
and liveability.
excellent means for Auckland
In other words, when one to assess its own progress and
goes up, the other tends to set priorities in these plans,
A successful city going forward will do so as well. For example, in addition to understanding
balance both social and economic the indicators from the its relative place in the global
2011 global study found scene.
strengths so the people and that health and intellectual
infrastructure support each other. capital correlated to a striking
+87%8.
8. Page 16, 2011 Cities of Opportunity report - heat map of the 10 indicators and www.pwc.com/cities for a look at all variables 9. Page 9, 2012 Cities of Opportunity report
7 Auckland The city of opportunity 8Auckland
The
city of
Approach
opportunity
The mix of variables and cities is Like cities, Cities of
Opportunity continues
In terms of the data indicators
we construct, a robust
Understanding the scoring:
seeking transparency and
The scoring methodology was
refined; the parameters of research to evolve. PwC and the sampling of variables is simplicity developed to ensure transparency
stay consistent Partnership for New York City
first considered the report
utilised, each of which has to
be: relevant; consistent across
Because Cities of Opportunity and simplicity for readers
is based on publicly available
seven years ago, asking what the sample; publicly available
data supported by extensive
New York had to do to remain and collectible; current; free
research, three main sources
competitive on the world of skewing from local
were used to collect the
stage. PwC immediately nuances; and truly reflective
relevant data: The data was collected during In attempting to score
extended the research to other of a city’s quality or power.
the latter half of 2011 and cities based on relative
cities around the world to find See pages 27 - 34 for a key i. Global multilateral
first quarter of 2012. In the performance, we decided at
patterns and lessons. In four to the variables. development organisations
majority of cases, the data the outset of our process that
editions of the global report, such as the World Bank and
Data is normalised where used in the study is from 2010 for maximum transparency
the analysis has grown from the International Monetary
appropriate, minimising the and 2011. and simplicity, we would avoid
11 to 27 cities. This report Fund
likelihood of a city doing In some cases, national data overly complicated weights to
provides the opportunity ii. National statistics
well solely because of its was used as a proxy for city the 60 variables. Consequently
to see where Auckland sits organisations such as UK
size and historic strength. data. Country-level data was each one is treated with equal
against these 27 comparator National Statistics and the
This eliminated the need only used when consistent, importance and weighted
cities and in doing so reflect on US Census Bureau, and
to differentiate between highly reliable sources of equally. This approach
its agreed strategic direction.
variables that reflect a city’s iii. Commercial data providers. publicly available city data makes the study easily
In 2011, it was highlighted raw power (such as the was unavailable for all study understandable and usable by
that economics and quality number of foreign embassies cities. business leaders, academics,
of life are tightly linked in or greenfield projects) and policymakers and lay persons
successful modern cities. its quality or intensity (such The scoring methodology alike.
The 2012 study continues as percent of population with was developed to ensure
transparency and simplicity Once all of the 60 variables
to build on this aspect of higher education). More had been ranked and
socioeconomic balance. variables are now stated in for readers, as well as
comparability across cities. scored, they were placed
a way that is normalised for into their 10 indicators (for
either land area or population The output makes for a robust
set of results and a strong example, economic clout or
than in previous editions. demographics and liveability).
foundation for analysis and
The 60 variables selected discussion. Within each individual group,
are divided into 10 indicator the variable scores were
groups create and develop an summed to produce an overall
even more accurate image of indicator score for that topic.
city success. This produced 10 indicator
league tables that display
the relative performance
of the study cities from
best performing to worst
performing.
9 Auckland The city of opportunity 10Auckland
City in
focusAuckland
City in
The focus
city of
opportunity
How Auckland ranks For the purpose of this report
we have assembled the cities
are supplemented by snapshot
charts comparing Auckland
These comparators include three
Pacific rim cities with strong
into ranking tables by category, to a smaller sample of five links; Sydney, San Francisco and
divided into three blocks comparators cities. Los Angeles; Toronto which was
representing high, medium and These snapshot comparisons subject to council integration
low scores. To present detailed have been produced for each of akin to Auckland in 1998; and
results in a more readable Stockholm as a similar sized
How the cities rank10 Holistic balance characterises These cities are hardly to achieve strong results in
format, the summary tables
the 10 metric areas.
European city.
Overall 2012 rankings the top 10 cities in our identical, and they do not the areas of transport and
rankings: all are well excel in every indicator, but infrastructure, economic clout
New York established centres of they all are able to achieve a and city gateway. Although, in Rank Innovation Tech
readiness
Transportation Health, safety
and security
Natural
environment
Economic
clout
Ease of
business
Cost Liveability City gateway
economic energy and relative balance across the 60 reality it would be difficult to
London 1 Stockholm Stockholm Sydney
intellectual vitality. variables. move the latter two variables 2
Toronto Although dispersed among given the strength and locality
Toronto San Francisco Toronto Auckland Sydney
Auckland scores a credible 16th 3 Toronto Sydney SF Toronto
Stockholm continents, their common place when assessed against of the global comparator 4 San Francisco Stockholm SF Toronto
Paris bond is depth: of economic the 27 other cities in the Cities cities, which are much larger. 5 Stockholm San Francisco Toronto
infrastructure and networks; of Opportunity. In doing so it There are opportunities to
San Francisco 6 Auckland
of law and jurisprudence; exhibits real strength in the improve the transport and 7 Sydney Los Angeles Stockholm Toronto Stockholm Los Angeles Stockholm
Singapore of commercial protection; infrastructure metrics which
measures related to natural 8 Los Angeles Los Angeles
Hong Kong of educational systems and environment, health, safety are a key focus of the Auckland 9
Chicago cultural foundations; of civic and security, and ease of doing Plan. 10 Auckland Auckland Los Angeles
organisations; and of social business. However unlike the 11 Toronto Sydney San Francisco Toronto Los Angeles
Sydney security. cities in the top 10, and as 12 Los Angeles Auckland
Tokyo depicted in the category chart 13 Sydney Stockholm Sydney SF ST
Berlin below, it is currently unable 14 Los Angeles San Francisco
15 Auckland San Francisco
Los Angeles Overall summary 16 San Francisco Auckland
Seoul 17 Sydney
18
Madrid 1
Stockholm Seoul Singapore Stockholm Sydney Beijing Singapore Berlin Paris London
19 Toronto
Auckland Auckland 20
Milan 2nd
21
5
Beijing 22 Stockholm
Auckland 23 Sydney
Kuala Lumpur 6th
24
25 Los Angeles
Shanghai 10
Auckland Auckland 26 Los Angeles
Moscow 10th 10th
27 Auckland Auckland Sydney
Auckland
Mexico City 12th 28 Auckland
Rank
Abu Dhabi 15
Auckland
Buenos Aires 15th Auckland The details of the 10 metrics and • three major job sectors • there may be signs of the • if quality of life drives city
16th their component 60 variables – business and financial industrial/information economies, businesses and
Istanbul
that lead to this overall ranking services; wholesale and retail; revolution, which may lead to professionals will be attracted
Johannesburg 20
appear on the following pages. and manufacturing, dominate technological unemployment to the most liveable cities
Sao Paulo Definitions of the variables are many city economies • if protectionism spreads as a • tradable, professional
Mumbai contained in Appendix A of this • cities that prosper are those way to counter-lingering slow and financial services are
25 report. with the deepest, broadest growth, all cities will lose jobs important income generating
High
Other key generic findings in and highest quality education in production activities in developed cities
Auckland 28th
Medium
Auckland
27th
the 2012 study and the ‘what if’ • those that are wired most • construction positively
27th Auckland
scenarios that are relevant for thoroughly and effectively for improves urban optimism,
Low Innovation Tech Transportation Health, safety Natural Economic Ease of business Cost Liveability City gateway
Auckland include:
readiness and security environment clout
businesses and individuals while health as well as
Measure Categories also feature strongly hospitality and tourism add
meaningful colour to the
10. Rankings have been recalibrated from the main 2012 Cities of Opportunity assessment with the addition of Auckland.
shape of the local economy.
This may cause minor variations from the 27 cities featured in the global report
13 Auckland The city of opportunity 1410 20
25
30
5
Auckland Sydney San Francisco Los Angeles Toronto Stockholm
Auckland Auckland Auckland
City in Auckland
The focus 0
city of Innovation Tech Transportation Health, safety Natural Economic Ease of business Cost Liveability City gateway
opportunity
1. Intellectual capital and innovation: 2. Technology readiness:
readiness and security environment clout
Generating the skills that generate growth The competition for digital advantage
Measure Categories
Per capita consumption (RHS)
continues to intensify
Overall summary - Comparator subset
How the cities rank Of the 10 indicators in the This is evident in the 2012 Three Asian cities ranked in The 2011 study clearly Auckland in 2012 is positioned How the cities rank
Intellectual Capital study, intellectual
Innovation capitalTransportation
Tech and rankings
Health, safety where
Natural Stockholm the topCost
Economic Ease of business 10 in the research
Liveability City gateway distinguished between the mid table with strength in the Technology Readiness
readiness and security environment clout
innovation consistently attract and Toronto once again performance of their leading tangible and intangible accessibility and infrastructure
and Innovation 30
significant attention. This finished first and second universities, which indicates assets a city needs to areas. The ongoing rollout of Seoul
Stockholm is because
25
in a modern and respectively. Auckland Asia knows what it needs to lead in intellectual high speed broadband will San Francisco
global economy, it is almost scored a 10th place in this do to achieve a competitive capital and innovation assist this measure going
Toronto axiomatic that intellectual comparison, just missing the position in this area. and straightforward forward. Where the city New York
20
Paris capital, and the innovation top ranking group. Within the technological preparedness. struggles is in the area of Stockholm
Finally we note Auckland’s
San Francisco it generates
15 is the engine of individual variables, areas relatively strong result was IT infrastructure bandwidth software development and Chicago
both social development and of potential weakness for buoyed with a first place and school internet access multi-media design.
New York Singapore
economic
10 growth. Auckland include innovation ranking in the literacy and are required for economic We note that the Cities of
London and university research and academic progress. The London
The 2011 study noted that enrolment scale, with similarly Opportunity report suggests
Sydney 5 performance. 2011 data had an 81% positive Los Angeles
it is extremely difficult to high rankings in the areas this particular variable is
Los Angeles compete with the power of intellectual property correlation between cities with potentially directly linked Tokyo
0
of a long-established and Sydney protection and entrepreneurial a robust technology backbone to the level of foreign direct
Chicago Auckland
globally dominant city
San Francisco Los Angeles Toronto
environment.
Stockholm
and strong intellectual assets. investment which Auckland Hong Kong
Auckland whose institutional networks scores poorly in. Toronto
Tokyo and sophistication were Paris
specifically designed to extend Technology readiness - Comparator subset
Hong Kong Sydney
and maintain its dominance.
Berlin Internet access in schools Broadband quality score Digital economy score
Software development Moscow
and multi-media design
Seoul Intellectual capital and innovation - Comparator subset Auckland
1
Milan Beijing
Intellectual 5
Singapore Classroom
size
Libraries
Skills
attainment
Literacy
Higher
education
Research
performance
Innovation property
Entrepreneurial
environment Berlin
protection
Madrid 1
10 Shanghai
Moscow 5 Madrid
Shanghai 15
10
Kuala Lumpur
20
Abu Dhabi Istanbul
15
Beijing 25 Milan
20
Mexico City Abu Dhabi
Kuala Lumpur 25
30
Buenos Aires
Auckland Sydney San Francisco Los Angeles Toronto Stockholm
Buenos Aires Mumbai
30
Sao Paulo Auckland Sydney San Francisco Los Angeles Toronto Stockholm Mexico City
Johannesburg Johannesburg
Mumbai Sao Paulo
Istanbul
High
High
Medium
Medium
Low
Low
15 Auckland The city of opportunity 16Auckland
City in
The focus
city of
opportunity
3. Transportation and infrastructure: 4. Health, safety and security:
Transportation and infrastructure - Comparator subset
Good connections remain at the nexus of From Aristotle to the current day,
Public transport Mass transit Cost of
Licensed taxis
Major construction
Housing
strong cities securing citizens’ wellbeing is key
systems coverage public transport activity
1
How the cities rank Nothing is more fundamental The public transport system These results reinforce Cities5 divide neatly here To gauge the relative health, Auckland scores relatively How the cities rank
Transportation and to a city’s definition than its variable assesses the various transport being clearly between those enjoying long- safety and security of a city, well in this measure, being at Health, Safety and
built environment, yet long systemic elements of a fully identified as a major priority term10stability and relative we measured personal risks the cusp of the high ranking
Infrastructure before the internet, people modern and efficient public in The Auckland Plan. The affluence and those still including crime, as well as the cities, just below New York and
Security
15
Singapore knew that it took more transport network, which plan has a vision of moving to striving to either get ahead or physical safety and number London. Very high variable
Stockholm
than bricks and mortar to are manifestly more than the outstanding public transport establish a new, resilient fabric of hospitals a city offers to scores are achieved for the
Seoul make a community: it’s the sum of public train tracks. within a single network.
20
of life for themselves. Top cities residents and visitors. Quality stable political environment, Toronto
Toronto connections – the individual, The variables measure the Stockholm, Toronto, Sydney, and availability of healthcare level of crime and end of Sydney
Major construction activity 25
Tokyo social and economic networks broadest possible coverage, which provides an indication Chicago and San Francisco at various stages of life also are life care. The key variable Chicago
– that transform a thriving city or extent to which the largest of the strength of a city’s perform very well across a factored in. preventing Auckland from
Hong Kong 30 San Francisco
into a global centre and, more possible percentage of a city’s ongoing development also range of measures; lower onesSydney
Auckland BecauseSanthere appears to
Francisco Losbe
Angeles moving into the topStockholm
Toronto group is
Stockholm rarely, a metropolis of historic population has access to the are similarly consistent – though the performance of the health Singapore
ranks at the lower end of the universal agreement on a city’s
New York resonance. widest possible means of in the inverse direction – across system. Berlin
comparison scale. responsibility to its citizens
London Transport and infrastructure public conveyance. In this the variables. Correlation and wellbeing, this measure London
regard, it comes as no surprise On a more positive note, analyses show a strong positive
Madrid play a significant role in Auckland scores first in the essentially tests civic viability, New York
a city’s development and that Auckland features at the relationship between cities cohesion and advanced socio-
bottom end of the transport measure of available diversity, with robust scores in health,
Paris cohesion and so this measure cost and quality of housing, economic achievement. This Auckland
seeks to assess the networks of and infrastructure measure safety and security and other is why the indicator tends to
Berlin with low results achieved albeit this may now be coming good traits like intellectual Milan
internal mobility and physical under pressure with housing award long term stability and
Buenos Aires in the areas of mass transit capital and innovation, and Abu Dhabi
connection that bind a city demand growing steadily relative affluence.
Chicago together and maximise both coverage and cost of public demographics and liveability Tokyo
transport. through 2012. (87% and 84%, in 2011
Mexico City its economic efficiency and Los Angeles
social integration. respectively) – essentially
San Francisco showing ‘healthy cities’ also Paris
Abu Dhabi tend to have good quality of life Madrid
Transportation and infrastructure - Comparator subset
Milan and productive energy. Hong Kong
Shanghai Public transport Mass transit Cost of
Licensed taxis
Major construction
Housing
Seoul
systems coverage public transport activity Health, safety and security - Comparator subset
Kuala Lumpur Kuala Lumpur
1
Health system
Hospitals End of life care Crime Political environment
Moscow 5
performance Johannesburg
Beijing 1 Buenos Aires
10
Mumbai 5 Mexico City
Sydney 15 Shanghai
Istanbul 10
Beijing
20
Los Angeles Mumbai
15
Sao Paulo 25
Istanbul
Auckland 20 Moscow
30
Johannesburg Sao Paulo
Auckland Sydney San Francisco Los Angeles Toronto Stockholm 25
High High
30
Medium Auckland Sydney San Francisco Los Angeles Toronto Stockholm Medium
Low Low
17 Auckland The city of opportunity 18Health, safety and security - Comparator subset
Health system
Hospitals End of life care Crime Political environment
performance Sustainability and the natural environment - Comparator subset
1
Natural disaster risk Thermal comfort Recycled waste Air pollution Public park space
5
Auckland
City in 1
The focus 10
5
city of
opportunity
5. Sustainability and the natural
15 6. Economic clout:
10
environment:
20 Reaching the high ground carries its own
15
Weighing the effectiveness of public policy
25 momentum but no guarantees
20
How the cities rank Measuring
30 and judging Auckland scores very highly The final variable, natural Beijing
25 has rocketed to the London, Paris and New York Accordingly, economic How the cities rank
Sustainability sustainable development
Auckland is Sydney
a in thisSan
category,
Francisco beingLos
just
Angeles disaster
Torontorisk, is anStockholm
area top of the economic clout finished in the top four again clout has a great deal to Economic Clout
complicated process, requiring behind first placed Sydney, that Auckland is unable to rankings
30 in the 2012 Cities this year, exactly the same as do with staying power,
and the Natural continual reassessment. with key strengths in thermal influence but is placed mid of OpportunityAuckland
study due toSydney last year – a telling result
San Francisco since
Los Angeles which consequently,
Toronto is what
Stockholm
Environment Beijing
Currently this is assessed comfort, air pollution and table. its performance which sees it all three cities are the financial ‘economic stability’ comes
through a range of variables public park space. The lowest ranked second in one variable centres of countries that have down to in the end. Longevity New York
Sydney including natural disaster risk, scoring variable was recycled and appearing in the top five been much more affected by allows a city to build the Paris
Auckland thermal comfort, recycling, waste and the good news here in four others. Auckland scores the global financial crisis than economic institutions and London
San Francisco air pollution and public park is that Auckland has recently poorly, not only due to a lack other developed economies or networks that will enrich
Shanghai
Toronto space. adopted a new integrated of historical longevity but even several emerging ones. it and therefore extend
waste plan for the region. also because a number of the This suggests that economic its financial weight and Singapore
Berlin This should lead to significant variables, particularly relating strength, having been credibility way beyond its Toronto
Milan recycling improvements when to attraction of foreign direct ‘earned over time’, cannot be borders. Hong Kong
Stockholm it is implemented in 2015. investment, are very low. dissipated by one financial
Moscow
The productivity variable is crisis, no matter how deep or
Moscow
Sustainability and the natural environment - Comparator subset a relatively good result being debilitating.
Paris Milan
at the top end of the medium
Natural disaster risk Thermal comfort Recycled waste Air pollution Public park space grouping of cities. Sydney
New York Tokyo
Madrid 1
Stockholm
Economic clout - Comparator subset
Los Angles 5 Mumbai
Financial and Attracting FDI:
Buenos Aires Number of Global
500 headquarters
business services Number of
Attracting FDI:
Capital investment
Productivity
Rate of real
GDP growth Seoul
employment greenfield projects
10
Chicago 1 San Francisco
Singapore 15 Madrid
5
Beijing Abu Dhabi
London 20 10
Berlin
Sao Paulo 25 Buenos Aires
15
Hong Kong Chicago
30 20
Mumbai Auckland Sydney San Francisco Los Angeles Toronto Stockholm Sao Paulo
25
Seoul Kuala Lumpur
Tokyo 30 Istanbul
Johannesburg Auckland Sydney San Francisco Los Angeles Toronto Stockholm
Mexico City
Kuala Lumpur Los Angeles
Mexico City Auckland
Istanbul Johannesburg
Shanghai
Abu Dhabi High
Medium
High
Low
Medium
Low
Economic clout - Comparator subset
Financial and Attracting FDI:
Number of Global Attracting FDI: Rate of real Ease of doing business - Comparator subset
business services Number of Productivity
500 headquarters Capital investment GDP growth
employment greenfield projects
1 Number of Foreign Level of Workforce
Ease of starting Resolving Employee Flexibility of Operational
countries with embassies or shareholder management
19 a business insolvency regulations
visa waiver
visa travel
consulates protection
risk climate
risk Auckland The city of opportunity 20
5Auckland Sydney San Francisco Los Angeles Toronto Stockholm
Auckland
City in Economic clout - Comparator subset
The focus
city of Financial and Attracting FDI:
opportunity Number of Global Attracting FDI: Rate of real
7. Ease of doing business: 8. Cost:
business services Number of Productivity
500 headquarters Capital investment GDP growth
employment greenfield projects
1
Competitive cities know how to stay
5 Comparative advantage is the bottom line
competitive
10 for every city, developing or developed,
Ease of doing business - Comparator subset
How the cities rank This15 measure shares with Auckland scores a very as the 2012 order tilts east
Ease of starting
a business
Resolving
insolvency
Employee
regulations
Number of
countries with
visa waiver
Flexibility of
visa travel
Foreign
embassies or
consulates
Level of
shareholder
protection
Operational
risk climate
Workforce
management
risk
Ease of Doing Business intellectual capital and commendable sixth on the
1
innovation,
20 the most number table which includes two first This indicator confirms the Auckland appears mid-table in How the cities rank
Singapore of variables, a total of nine. places in variables relating 5
potential of cities that are not this measure with high scores
The25reason for this dataset to ease of starting a business
Cost
Hong Kong among the long-established achieved in the area of low
is obvious; the combination and level of shareholder 10
global financial capitals, taxation and cost of business
London 30
of innovation and human protection. It also scores very Berlin
Auckland Sydney San Francisco Los Angeles Toronto Stockholm to compete
15
in attracting occupancy. Problematic
New York capital with a hospitable highly in the operational investment. The five top areas appear in the area of Seoul
and responsive business risk climate, but suffers cities consumer price increases Kuala Lumpur
Toronto 20 in this ranking – led by
environment is the classic somewhat in the area of Berlin by a significant margin, and the relatively high cost
Auckland Istanbul
recipe for economic success. travel flexibility. These results followed
25 by Seoul, Kuala of internet. The latter is a
Stockholm have the potential for further Mexico City
Lumpur, Istanbul and relatively well publicised issue,
Los Angeles improvement given they Mexico
30 City – are affordable along with the connection Johannesburg
Chicago directly relate to a number places to do business.
Auckland Sydney speeds.SanConnection
Francisco speeds
Los Angeles Toronto Stockholm Los Angeles
of the five priorities sitting should be addressed through
The rankings as in 2011, Madrid
Tokyo in Auckland’s economic the government’s ultrafast
challenge the traditional Chicago
development strategy11, broadband rollout currently
Kuala Lumpur perspective on the cost-
which specifically seek to underway nationally.
San Francisco competitiveness of mature Mumbai
grow a business-friendly and
Sydney cities with London, New York Toronto
connected city.
and Paris along with Sydney
Seoul Abu Dhabi
appearing in the lower scoring
Paris Ease of doing business - Comparator subset category. San Francisco
Berlin Ease of starting Resolving Employee
Number of
Flexibility of
Foreign Level of
Operational
Workforce Stockholm
countries with embassies or shareholder management
a business insolvency regulations visa travel risk climate
Madrid visa waiver consulates protection risk Cost - Comparator subset Shanghai
1
Mexico City Auckland
Milan 5
Total tax rate
Cost of business
Cost of rent Consumer price index Cost of internet iPod index Buenos Aires
occupancy
1 Beijing
Johannesburg 10
5 Hong Kong
Abu Dhabi 15
Sao Paulo 10 Moscow
20
Beijing Milan
15
Istanbul 25
Singapore
Moscow 20 London
30
Buenos Aires New York
Auckland Sydney San Francisco Los Angeles Toronto Stockholm 25
Mumbai Paris
Shanghai 30 Sao Paulo
Auckland Sydney San Francisco Los Angeles Toronto Stockholm Sydney
High
Tokyo
Medium
High
Low
Medium
Low
Cost - Comparator subset
11. 2012 Auckland Economic Development Strategy, Our Five Priorities, page 24
Cost of business
Total tax rate
occupancy
Cost of rent Consumer price index Cost of internet iPod index Demographics and liveability - Comparator subset
1
21 Auckland The city of opportunity 22
5 Cultural vibrancy Quality of living Working age population Traffic congestion20
15
25
20
30
25
Auckland Sydney San Francisco Los Angeles Toronto Stockholm
30
Auckland
City in Auckland Sydney San Francisco Los Angeles Toronto Stockholm
The focus
city of
opportunity
9. Demographics and liveability: 10. City gateway:
We know it when we see it An indicator that measures a city’s global
connection
Demographics and liveability - Comparator subset
How the cities rank What defines socio-economic In gauging demographics City gateway is a new measure This is contrasted by New An exception to the distance How the cities rank
Demographics well-being – that happy state and liveability, Cities of that was inserted into the
Cultural vibrancy
York, which
Quality of living
is hampered and scale issue relates to
Working age population City Gateway
Cost - Comparator subset Traffic congestion
where people are satisfied Opportunity considers a 2012 study. It serves a control by a poor airport to central the Airport to CBD access
and Liveability and productive, businesses potpourri of ingredients: the function
1 for the results in the business district connection, which has the opportunity
London
are busy and making Cost of business size of a city’s working age
money? demographics
5
and liveability something very relevant to for improvement through
Paris Total tax rate
On 1the personal side, various occupancy
Cost of rent Consumer price index
population and speed of its
Cost of internet iPod index
indicator and is best to be Auckland. two projects. The first is Paris
Sydney studies offer differing keys to workers’ commutes, quality of read
10 with rankings in those
the project to connect the Beijing
Because the measure
Hong Kong happiness:
5 not smoking, being living and cultural vibrancy. measures. contains variables heavily North-western and South- Shanghai
educated, exercising, enjoying Auckland appears towards The15indicator tends to quantify weighted to the volumes western motorways, currently
San Francisco New York
good10
health, living in warm the top end of the medium a city’s global connections of international travel underway and due for
Singapore climates, living on islands and, ranking groups and completion in 2016. The Madrid
15
and20attraction beyond its local movements and associated
Toronto of course, having more money. interestingly scores higher second is the proposed Airport Tokyo
borders. By measuring a city’s infrastructure such as hotel
Berlin The list goes on. Perhaps than New York.
25
global draw, city gateway rooms, Auckland appears at rail loop which is under Hong Kong
20
most persuasively, it might reflects the actual reality of the bottom of these rankings. consideration in the longer
Stockholm Areas of weakness include Singapore
be argued, people are most 30
today’s network world and This is due to a combination term12.
London 25
satisfied when they like what cultural vibrancy and Auckland Sydney San Francisco Los Angeles Toronto Stockholm
working age population, takes the pulse of the city’s of its relatively small size Los Angeles
they30have at the moment, not social, economic and cultural and geographic remoteness.
Chicago what they might have in theSydney albeitSan this latter variable Chicago
Auckland
generally Francisco
receives lowLos Angeles Toronto Stockholm magnetism internationally. Given these distance and scale
Los Angeles future, but the restless energy Kuala Lumpur
scores in developed cities. There was no surprise in the factors cannot be changed,
Auckland and pursuit of progress that the importance of the Moscow
builds great cities takes a bit of Traffic congestion appears main study that London took
demographics and liveability
New York as a relative strength in first place given its function Istanbul
a different twist. variables becomes paramount,
Tokyo comparison to the benchmark as a hub of European travel, San Francisco
group. However, Auckland sustained by four airports. to ensure attractiveness is
Abu Dhabi Seoul
had equivalent scores with five maximised.
Madrid Sydney
other cities including London
Kuala Lumpur and Buenos Aires. Berlin
City gateway - Comparator subset
Milan Milan
Number of International Incoming/outgoing
Moscow Demographics and liveability - Comparator subset Hotel rooms International tourists
Association Meetings
Aircraft movements
passenger flows
Airport to CBD access Toronto
1
Sao Paulo Cultural vibrancy Quality of living Working age population Traffic congestion Mexico City
Buenos Aires 1
5 Stockholm
Beijing Sao Paulo
5 10
Johannesburg Buenos Aires
Mexico City 10
15 Johannesburg
Shanghai 20
Mumbai
15
Seoul Abu Dhabi
25
Istanbul 20 Auckland
Mumbai 30
25 High
Auckland Sydney San Francisco Los Angeles Toronto Stockholm
High
30 Medium
Medium Auckland Sydney San Francisco Los Angeles Toronto Stockholm
Low
Low
12. Section 8, page 76, Draft Auckland Regional Public Transport Plan, October 2012
23 Auckland The city of opportunity 24Auckland
AppendicesAuckland
Appendices
The
city of
opportunity
Appendix A:
Key to variables
Air pollution Airport to CBD access Attracting FDI: Classroom size Cost of public Digital economy
Measure of outdoor air A measure of the ease of using number of greenfield Number of students enrolled transport score*
pollution levels based on public transit to travel between projects in public primary education Cost of the longest mass Assessment of the quality of
annual mean concentrations a city’s central business district programmes divided by transit rail trip within a city’s a country’s information and
Number of greenfield (new
of particulate matter 10 and the international terminal the number of classes in boundaries. The cost of a bus communications technology
job-creating) projects in a city
micrometers (PM10) in of its busiest airport in terms these programmes. Primary trip is used in the cities where (ICT) infrastructure and
that are funded by foreign
diameters or less, which reflect of international passenger education programmes usually there are no rail systems. the ability of its consumers,
direct investment. Data covers
the degree to which urban traffic. Cities are separated into begin at ages five to seven and businesses and governments
the period from January 2003
populations are exposed to this categories according to whether
through July 2011. Figures
last four to six years. Cost of rent to use ICT to their benefit.
fine matter. Figures are based a direct rail link exists; if so, the Data was sourced from the
provided by FDI Intelligence. Monthly rent for a one-
on daily measurements or data number of transfers required; Consumer price index “Digital Economy Rankings
bedroom apartment in the
that could be aggregated into and if not, whether there is a Broadband quality A relative measure of the 2010 – Beyond E-readiness”,
city centre (in USD). Figures
annual means. In the absence of public express bus route to the price of consumer goods by by the Economist Intelligence
annual means, measurements airport. Cities with direct rail
score provided by Numbeo, a
location, including groceries, worldwide cost-of-living Unit.
covering a more limited period links are preferred to those Measurement of the quality
restaurants, transportation database.
of the year were exceptionally with express bus route to the of a broadband connection Ease of entry: number
and utilities. The CPI measure
used. Figures were sourced airport. Cities with rail links in a given country using the
does not include housing Crime of countries with visa
from the World Health with the fewest transfers are Broadband Quality Study. This
expenses such as rent or waiver
Organisation’s Public Health ranked higher than those with index is calculated based on Amount of reported crimes
mortgage. Figures provided by
and Environment database, more. Within categories, cities the normalised values of three in a city such as petty and Number of nationalities
Numbeo, a worldwide cost-of-
which is of global scope aiming are ranked against one another key performance parameter property crimes, violent able to enter the country
living database.
to provide data at both national according to the cost of a single categories: download crimes and street crimes. Data for a tourist or business visit
throughput, upload throughput was sourced from the Mercer without a visa. Excludes
and city levels. one-way, adult weekday trip Cost of business
and the length of the trip, with and latency. A formula weights Quality of Living reports. those nationalities for whom
occupancy
Aircraft movements each factor weighted equally. each category according to the only those with biometric,
quality requirements of a set of Annual gross rent divided by Cultural vibrancy diplomatic or official passports
Count of air traffic movements
at each of the major airports Attracting FDI: capital popular current and probable square feet of Class A office Weighted combination of city may enter without a visa.
investment future broadband applications. space. Gross rent includes rankings based on the quality
servicing a city, including civil
The Broadband Quality Study lease rates, property taxes, and variety of restaurants,
international and domestic Total value of greenfield (new
is an index produced by SAID maintenance and management theatrical and musical
passenger, cargo and non- job-creating) capital investment
Business School University of costs. Data produced by CBRE performances, and cinemas
revenue flights but excluding activities in USD in a city that
Oxford and Universidad de Global Office Rents. within each city; which cities
military flights. are funded by foreign direct
Oviedo, sponsored by Cisco. recently have defined the
investment. Data cover the Cost of internet ‘zeitgeist’, or the spirit of the
period from January 2003
The current monthly price times; and the number of
through July 2011. Figures
for Internet service (6 mbps) museums with online presence
provided by FDI Intelligence.
with unlimited data using within each city. The ‘zeitgeist’
cable or ADSL (in USD). rankings take into account
Figures provided by Numbeo, cultural, social and economic
a worldwide cost-of-living considerations.
database.
* Country level data
** Based on most populous city
27 Auckland The city of opportunity 28Auckland
Appendices
The
city of
opportunity
Appendix A:
Key to variables
Ease of starting a End-of-life care* Financial and business Foreign embassies or Housing Innovation Cities
business** Ranking of countries services employment consulates Measure of availability, Index
Assessment of the according to their provision Number of jobs in financial Number of countries that are diversity, cost, and quality The index comprises 331
bureaucratic and legal of care for their citizens at the and business services activity represented by a consulate or of housing, household cities selected from 1,540
hurdles an entrepreneur must end of their lives, taking into as a share of total employment embassy in each city. Figures appliances, and furniture, cities based on basic factors
overcome to incorporate and account the basic healthcare in the city. Financial services sourced from GoAbroad.com. as well as household of health, wealth, population,
register a new firm. Accounts environment, availability, includes banking and finance, maintenance and repair. geography. The selected
for the number of procedures cost and quality of care. insurance and pension funding Health system This measure is produced by cities had data extracted from
required to register a firm; The Quality of Death Index and activities auxiliary to performance the Mercer Quality of Living a city benchmarking data
the amount of time in days scores countries across four financial intermediation. reports. programme on 162 indicators.
categories: Basic End-of-Life Measurement of a country’s
required to register a firm; the Business services includes The benchmarking data was
Healthcare Environment; health system performance Incoming/Outgoing
cost (as a percentage of per a mix of activities across scored by analysts using best
made by comparing healthy
capita income) of official fees Availability of End-of-Life the following subsectors: passenger flows available qualitative analysis
Care; Cost of End-of-Life life expectancy with
and fees for legally mandated real estate and renting Total number of incoming and quantitative statistics.
Care and Quality of End-of- healthcare expenditures
legal or professional services; activities; IT and computer and outgoing passengers, (Where data was unavailable,
Life Care. These indicator per capita in that country,
and the minimum amount related’; R&D, architectural, including originating, national or state estimates
categories are composed adjusted for average years
of capital (as a percentage of engineering, and other terminating, transfer, and were used). Data was then
of 27 variables, including of education (as years of
per capita income) that an technical activities, legal, transit passengers in each of trend-balanced against 21
quantitative, qualitative education are strongly
entrepreneur must deposit accounting, bookkeeping, and the major airports servicing global trends. The final
and ‘status’ (ie whether or associated with the health of
in a bank or with a notary auditing activities, tax, and a city. Transfer and transit index had a zeitgeist (analyst
not something is the case) populations in both mature
before registration and up consultancy; advertising and passengers are counted twice. confidence) factor added and
data. The indicator data is and emerging countries).
to three months following professional, scientific, and Transit passengers are defined the score reduced to a three-
aggregated, normalised and Methodology adapted from
incorporation. Assessment technical services and business as air travellers coming from factor score for cultural assets,
commissioned by the Lien the 2001 report, “Comparative
scores gathered from Doing services where not elsewhere different ports of departure human infrastructure, and
Foundation. efficiency of national health
Business 2012, The World classified. Data sourced by who stay at the airport for networked markets. For city
systems: Cross-national
Bank Group. Oxford Economics. brief periods, usually one classification, these scores
Entrepreneurial econometric analysis.”
hour, with the intention of were competitively graded
Employee environment Flexibility of visa Hospitals proceeding to their first port of into 5 bands (Nexus, Hub,
regulations** Measurement of the travel destination (includes sea, air, Node, Influencer, Upstart).
Ratio of all hospitals within The top 33 percent of Nexus
Sum of three rank scores entrepreneurial attitudes, Ranking based on the number and other transport hubs).
each city accessible to and Hub (and selected Node
from the World Bank’s Doing entrepreneurial activity and of visa waivers available for international visitors for every cities of future interest) final
Business study including: ratio entrepreneurial aspirations tourist or business visits and 100,000 individuals of the graded scores were ranked
of minimum wage to average in a country using the Global the length of time for which total population. by analysts based on trends
value added per worker; Entrepreneurial Index the visa waiver is granted.
(GEINDEX). The GEINDEX over two to five years. A Node
notice period for redundancy Ranking is based on the Hotel rooms ranking is considered globally
dismissal (for a worker with integrates 31 variables, number of those countries
including quantitative and Count of all hotel rooms competitive. The index is
20 years of tenure, in salary that grant a waiver for at
qualitative measures and within each city. produced by 2Thinknow
weeks); and paid annual leave least 90 days, excluding those
individual-level data and Innovation Cities™ program.
for a worker with 20 years of countries whose residents
tenure (in working days). is produced by the Centre can enter without a visa only
for Entrepreneurship and if they have a biometric,
Public Policy, George Mason diplomatic, or official
University. passport.
* Country level data
** Based on most populous city
29 Auckland The city of opportunity 30You can also read
