GROW MINNESOTA! 2003-2013 Building Businesses, Jobs And Local Chambers
WHY CHANGE & GROWTH? Change drives our economic fate. No change, no growth! Think: Development of the economy... Not: Economic development.
FORTUNE 500 COMPANIES IN MN (2012) State Ranking Company Name Fortune 500 Ranking 1 United Health Group 22 101.9 2 Target Corporation 38 69.9 3 Best Buy 53 50.3 4 Supervalu 75 37.5 5 CHS 78 36.9 6 3M 102 29.6 7 U.S. Bancorp 132 21.4 8 Medtronic 164 15.9 9 General Mills 181 14.9 10 Land O Lakes 210 12.8 11 Xcel Energy 246 10.7 12 Ameriprise Financial 248 10.6 13 C.H. Robinson Worldwide 259 10.3 Revenues ($ billions) 14 Mosaic 268 9.9 15 Hormel Foods 327 7.9 16 Thrivent Financial for Lutherans 332 7.8 17 Ecolab 365 6.8 18 St. Jude Medical 437 5.6 19 Nash Finch 498 4.8 Source: CNN Money http://money.cnn.com/magazines/fortune/fortune500/2012/states/mn.html
FORTUNE 500 COMPANIES IN MN (2012) State Ranking Company Name Fortune 500 Ranking 1 United Health Group 22 101.9 2 Target Corporation 38 69.9 3 Best Buy 53 50.3 4 Supervalu 75 37.5 5 CHS 78 36.9 6 3M 102 29.6 7 U.S. Bancorp 132 21.4 8 Medtronic 164 15.9 9 General Mills 181 14.9 10 Land O Lakes 210 12.8 11 Xcel Energy 246 10.7 12 Ameriprise Financial 248 10.6 13 C.H. Robinson Worldwide 259 10.3 Revenues ($ billions) 14 Mosaic 268 9.9 15 Hormel Foods 327 7.9 16 Thrivent Financial for Lutherans 332 7.8 17 Ecolab 365 6.8 18 St. Jude Medical 437 5.6 19 Nash Finch 498 4.8 Source: CNN Money http://money.cnn.com/magazines/fortune/fortune500/2012/states/mn.html
FORTUNE 500 COMPANIES IN MN (1983) State Ranking Company Name Fortune 500 Ranking 1 3M 44 6.6 2 Honeywell 59 5.5 3 General Mills 63 5.3 4 Control Data 80 4.3 5 Land O Lakes 100 3.8 6 Pillsbury 115 3.4 7 Farmers Union Central Exchange 234 1.5 8 Hormel Foods 239 1.4 9 International Multifoods 268 1.1 10 Ecolab 379 0.6 11 Deluxe 427 0.5 12 American Hoist & Derrick 467 0.4 Revenues ($ billions) Source: MinnPost http://www.minnpost.com/macro-micro-minnesota/2012/05/layoffsgeneral-mills-and-lessons-minnesota%e2%80%99s-fortune-500-companies
GROW MN! 2003-2013 RESULTS 8017 one-on-one business retention visits 2,731 in Metro Area 5,286 in Greater MN 19% are revisits 17% in Metro Area 20% in Greater MN We know Minnesota s economy!
CURRENT CONDITIONS & OUR FORECAST Gaining strength, but still tentative.
80% BUSINESSES REPORTING INCREASING SALES 70% 60% 50% 40% 30% 20% 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Metro Area Greater MN
BUSINESSES REPORTING INCREASING PROFITABILITY
BUSINESSES CREATING NEW PRODUCTS IN THE LAST YEAR
ANOTHER MN INNOVATION: WHAT IS IT?
ANOTHER MN INNOVATION: WHAT IS IT?
PetChatz
FASTEST GROWING MARKETS INTERNATIONAL
FASTEST GROWING MARKETS UNITED STATES
American Hospital, Dubai
BUSINESSES REPORTING EXPANSION PLANS
EXPANSION PLANS: % GROWING IN MINNESOTA 95% 90% 85% 80% 75% 70% 65% 60% 2005 2006 2007 2008 2009 2010 2011 2012 2013 Metro Area Greater MN
ADDED JOBS IN THE LAST YEAR
TROUBLE RECRUITING IN THE LAST YEAR
DIFFICULTY RECRUITING EMPLOYEES?
TROUBLE RECRUITING
LONG TERM OUTLOOK: GROWTH BUT TENTATIVE Innovation. Metro Area not at pre-recession levels, and sliding Greater MN not at pre-recession levels, and sliding Export sales Expansions US markets rising International flat Trend is flat, but sharp decrease since 2012 US markets up, slightly International flat Trending toward MN! Workforce not sufficient for growth not sufficient for growth
RESULTS 2003 thru 2013 One-on-one business assistance 1160 firms, affecting 15,185 jobs* 360 in Metro Area, 800 in Greater MN Shaping the statewide business agenda Health care (2008) Environmental permitting (2010, 2011) K12 Education (2010) Workforce (2012) *began tracking this in 2009.
2013 RESULTS 902 one-on-one business retention visits 234 in Metro Area, 668 in Greater MN 27% are revisits 19% in Metro Area, 29% in Greater MN 195 firms assisted, affecting 3,865 jobs 51 in Metro Area, 144 in Greater MN
WHAT ARE YOUR NEW INVESTMENT PLANS? Data from businesses that told Grow Minnesota! their investment plans. Percentages are greater than 100% since some businesses have plans for more than one of these investments.
HIGHEST RATED ATTRIBUTES Balance of State 1. Recreational opportunities 2. Social organizations & networks 3. Electric reliability 4. K-12 education 5. Higher education SE MN 1. Electric reliability 2. Crime rate 3. K-12 education 4. Overall workforce quality 5. Recreational opportunities
LOWEST RATED ATTRIBUTES Balance of State 1. State taxes 2. Health care costs 3. Workers' compensation rates 4. Health insurance requirements 5. Unemployment insurance SE MN 1. Health care costs 2. State taxes 3. Health insurance requirements 4. Workers compensation rates 5. Unemployment insurance
IMPROVING MN S BUSINESS CLIMATE PROGRESS? ATTRIBUTE ON MN CHAMBER AGENDA? RECOMMENDATION PROGRESS? Health care costs Pay for outcomes, not procedures 2008 legislation has reduced s State taxes Repeal the B2B sales taxes; federal conformity #1 priority for 2014 Health insurance requirements Eliminate mandates; more defined contribution plans Losing ground. Mandate added in 2013 Workers comp rates Reduce health care expenses (over 1/3) DOLI report to legislature, 2014 Unemployment insurance Retain current benefits and financing. Rate reduction adopted in 2013
CHANGE CONSTANT! Change drives our economic fate. No change, no growth! Think: Development of the economy... Not: Economic development.