WBI City RoundOECD LEED Programme Meeting
Paris, February 2004
Greg ClarkChairman, OECD LEED Forum of Cities and Regions
Cities and Regions in OECD Countries and Latin America:
How can we learn?
What is the question?
• How can Cities in OECD countries and Cities in Latin America Learn together?
• Why is city learning so important?• What is OECD learning about city
performance?• How can we organise effective learning
and sharing?
Cities, Regions and National Developmentin the Global era.• Globalisation has re-positioned cities.• Cities now assets; they ‘produce’ the international economy, and act as
national gateways, and attractive brands. National assets.• Unique offering: dense infrastructure, face to face, creative milieu, diverse
and innovative, cultural endowment. Knowledge economy advantages.• Not in competition with smaller cities and towns, but not well understood,
need for better co-operation mechanisms.• A national, and trans-national, spatial perspective is essential.• Cities are responding to globalisation in diverse ways, and we need to know
what is working. Research focuses on what globalisation is doing to cities, not on how cities are responding. Practitioner perspective.
• There are major barriers to optimising city performance.• Social and economic inclusion is a major challenge, national policies are
having limited effect, and new approaches are needed.• There is a national interest in helping cities to succeed. Only a few larger
cities can provide nations with world city functions.• A ’new deal’ for cities in needed. Learning not copying.
• Why is learning about city development so important?
• Cities make a major contribution to national prosperity within the new international knowledge economy. City success is key to national success.
Moscow
WarsawPrague
Budapest
Tallinn
Vilnius
Bratislava
Sofia
BucharestLjubljana
Riga
Kiew
Berlin
Paris
London
MadridRome
Oslo
Brussels
Athens
Helsinki
Stockholm
Lisbon
Dublin Copenhagen
Europe of Cities
The contribution of Cities…..
Advanced service hubs.24/7Creative and cultural centres.Visitor economy destinations and channels.Gateway, front door, interchange, and entrepot.Centres of knowledge and learning.Innovation and commercialisation.Large domestic market, critical mass of
consumers.Branding and identity.
The contribution of cities….
Fiscal surpluses.Density of infrastructure.Logistics platforms.Return on investment.Entry point for new populations.
Competitive Advantage of Diversity.
• What is the OECD role?
• Through LEED programme OECD is encouraging the growth of a practical knowledge base in what is working, and is fostering knowledge and know-how sharing.
OECD Role30 Member States incl Mexico, Korea, Japan, NZ, Australia, USA, Canada.LEED Programme since 1982.LEED Directing Committee: 30 national Governments plus key inter-
governmental organisations.
Evaluations, Reviews, and Investigations.
Partners Club of practitioner organisations.
4 Fora Social innovation.Entrepreneurship.Partnerships and Local Governance.Cities and Regions.
Network of Local Development Centres:Trento
Others to come………?
OECD LEED Forum of Cities and Regions:
Building an Agenda.New sources of job growth at local level.
Health, Environment, Culture, Sport.
New tools for Local Development.Local Development Agencies.Innovative and Private Finance.Regional Entrepreneurial Reviews.Regional Reviews of FDIs.Regional dimensions of Local Development StrategiesLocal development benefits from large infrastructure investments and major events.Enterprise in distressed urban areas.Migrants and refugees: economic inclusion and competitive advantage of diversity.
Others……We always welcome proposals….
Join the LEED Partners Club!
OECD and International Collaboration.
Growing issue for International Orgs:OECD, EU, World Bank, ILO, UN, IMF, WTO.
Practitioner Networks.eg INED.IEDC, EURADA, EDAC.EDANZ, BURA, OECD, Clusters Asia Pacific.
Potential is very significant.Learning not copying.
What is a Practitioner Perspective?
Learning from other practices. Good and Bad.Implementation the key variable; not policy.Factors that promote effective implementation.Factors that inhibit effective implementation.Focus on means to achieve ends, not just ends.Avoid copying policies from elsewhere without understanding what
makes them work.Good strategy and policy is very important but meaningless without
implementation.Good implementation occurs even without good strategy and policy
occasionally.Focus on the reality of how to get things done.Influence policy to make it more implementation-ready.
Globalisation and Local Development: 20 year trends.
• Globalisation and the New Economy: – Trade and Economic Integration, Industrial Restructuring,
Demographic mobility, ICTs, Public Sector Reform, De-centralisation….mobility, change is possible.
• Globalisation, Cities and Regions: opportunities and challenges:– Functional roles, hubs and nodes, clustering, high demand for
effective locations, cities/regions reinvent their role.• But,
– Social, spatial,and economic variations within and between cities and regions.
– Globalisation alone insufficient for social and economic justice.– Regional and Local development capacity a critical ingredient.– New National, Federal, and Multi-national roles in promoting local
development capacity.– Different contexts for private investment and partnership.
Changing Practices of Local Development
• Changes to focus and goals:– Sites and buildings to firms, people, and skills.– Hard to soft infrastructure.
– FDI to diverse regional economies and talent attraction/retention.
• Changes to organisation:– Regional and Municipal departments to corporate programmes.– New geography/ new economy.– Wide range of partnerships/Special purpose vehicles.
• Changes to tools:– Grants to funds.– Incentives to credits.– Land use zones to development companies.– Influence and advocacy.
• Changes to skills needed:– Generalists to professional specialists.– Wide range of training now available.
Local Development: A Distinctive task of local and regional government
• LD is not like most public services or functions.• Influencing and shaping market based processes.• Not a (local or regional) government monopoly.• New organisational forms: partnerships, JVs,
companies, and development agencies.• New rationales and roles for public sector.• Risks, costs, tasks, priorities, strategies..have to be
shared.• Outward looking: customer focused, wide range of
clients and stakeholders.• 80/20.• Public and Private Sectors have to be well organised;
separately and together.
Local Development, Good Governance, and Modernisation
• Functional economic areas/regions are the site.• Need to align economic geography and political
geography where feasible.• Unintended consequences:
– Spillovers.– Displacement.– Substitution.– Competition between neighbours (bidding wars).
• Dangers of zero sum or negative aggregates.• ED is a strong driver of metropolitan/municipal reform.• Metropolitan economic development alliances and
organisations often lead the way. Public and Private together drive change.
New National, Federal and Multi-national Roles.
• Not the ‘death’ of the national state, but a more precise set of roles within a more complex canvass.
• Urban Policy Reviews and Regional Policy Reviews in last 10 years(UK, Japan, Canada, Germany, Italy, Mexico, Portugal, Poland)
• Cities and regions re-established as focus for national policy and support- seen as key to prosperity and social justice.
• Multi-national organisations see cities and regions as essential for national economic growth and as sites for future investment. (World Bank, EIB, EBRD, IADB, etc)
• Economic development has become more aligned with national and multi-national policies:
• Need to know more about sub-national economies.• Expansion in the range of agencies getting support.• New metropolitan government.• Goals of economic development have broadened.• New national policies: flexibilities, incentives and governance, not rigid
programme design.
So…….We need to understand how cities are responding
to globalisation and what is working.
We can organise our learning around these themes.
12 basic responses from cities within OECD countries.
Competitiveness and cohesion agenda.
OECD city responses to Globalisation: opportunities and challenges. 1-6
Vision, strategy, foresight, resource mobilisation, alignment.Barcelona, Melbourne, Turin.
Identity, Marketing, Branding, Promotion.Montreal, Sydney, Frankfurt.
Connectivity, Openness, Internal and External Receptivity.Paris, Athens, Amsterdam
Quality of Life/Place and Public service excellence, esp workforce.Vancouver, Melbourne, Vienna, Copenhagen.
Metropolitan and city regional scale and governance.Washington DC, Toronto, London, Auckland.
Major Catalytic Projects.Barcelona, Bilbao, Turin, Miami.
OECD city responses to Globalisation: opportunities and challenges. 7-12
Diverse Economy, Productive/Innovative Milieu. Business Networks.Helsinki, Los Angeles, Lyon.
New national interface. Clout and flexible investment.New York, Berlin, Dublin.
New population access and settlement.Miami, Toronto, London.
Build the Urban Management tool box.Chicago, Berlin, London, Rome, Rotterdam.
Economic Inclusion paths.Glasgow, Dublin, Amsterdam.
Sweating Assets and Building Capacity.San Diego, Philadelphia,
OECD city initiatives for economic inclusion
Labour market transition.
Informal economy strategy.
Investment instruments with local reach.
Settlement and conversion programmes.
New forms of entrepreneurship.
Procurement and supply chain value.
People and place progressing together. Place equity.
Corporate responsibility and tackling discrimination.
Opportunities for learning:
12 city initiatives for competitiveness and cohesion.
Different patterns of development.Design faults in the system.Regional coherence of local actions.Time/Geography , Political/Economic.Supporting elected leaders.Centralised versus de-centralised systems.Honesty versus promotion.Leadership versus partnership?Up-skilling busy people.
Learning from bad practices, as well as good.
