Bootheel Region Study
Central Region Study
Kansas City Region Study
Lake Ozark-Rolla Region Study
Lower East central - Cape Region Study
Northeast Region Study
Northwest Region Study
Southwest Region Study
St. Louis City Study
St. Louis Metro Region Study
Springfield Region Study

Target Missouri II:

The Kansas City Region
Executive Summary

Six analysis tools are used to determine which industries should be chosen for targeting in the Kansas City region. The first two, Specialization Ratios (SR) and the Regional Shift (RS) component of Shift-Share Analysis (SSA), help to determine which industries might have a competitive advantage in a region. The third and most important type, the Economic Impact (EI) analysis, helps to identify which industries will benefit the region most should they expand. The Skills-Mismatch Index (SMI) determines whether the skills of the available workforce in a region match the needed skills for a particular industry. The Industrial Mix (IM) component of SSA helps to identify emerging industries. Finally, the Current Employment (CE) level of a regional industry helps to determine whether needed infrastructure is in place to attract particular industries and is an important factor when considering SRs. Industries are awarded points on a scale of 0 to 100 based on whether they meet necessary criteria in these six categories. Those industries that score the highest are those recommended for targeting.

The diagram below presents a graphic illustration of this methodology. The orange lines connect those factors that have a specific relationship as described above.

Industries chosen for targeting are those industries that have high scores in the six categories discussed above. For each category, a condition has been established that determines whether an industry has performed well in a category. For each category in which an industry performs well, that industry is awarded a set amount of points. If an industry does not meet the condition for that category, no points are awarded. The categories and their point values are as follows:

Category Point Value
Condition 1: High Economic Impact 40
Condition 2: High Specialization Ratio 20
Condition 3: Strong Regional Shift 20
Condition 4: Low Skills-Mismatch 10
Condition 5: Positive Industrial Mix & Regional Shift 5
Condition 6: High Current Employment 5
Total Points: 100

The tables that follow present those industries with scores of 50 or higher on the target scale for Kansas City. No industry scored a perfect 100 points in the city. Drugs (SIC 283) and Misc. Chemicals (289) each scored 95 points, along with Concrete Products (327). Surprisingly, Motor Vehicles and Equipment Mfg. (371) scored only 55 points. This industry had consistently scored at the top for each region previously surveyed. Another ten industries (of the 84 total) scored 80 points or higher, while 50 of these scored the minimum 50 points.

Other interesting findings are related to the Life Sciences Industries in Kansas City. Of these, only the Drug Industry has a strong presence in the City. Other life science-manufacturing industries have high potential economic impact and a good skills match with the City'acute;acute;s workforce, but a relatively weak presence. This implies that Kansas City is ripe for development in areas such as Industrial Chemicals (286), Medical Instruments (384), and Agricultural Chemicals (287). Similarly, the Transportation Manufacturing industry also has high potential in the City.

TM2 has provided a list of 84 industries that have the best potential for economic development in Kansas City. The original Target Missouri provided a list of only 34 target industries for the entire Kansas City Metro Region. Of these, only 22 appear on both lists, so in this case, the two studies have obtained somewhat different results. The expanded list generated by TM2 provides a list of industries that better fits the specifics of Kansas City, as well as providing rankings that shed some light on the relative importance of certain industries.

Kansas City Target Industries
SIC Industry Total Score
283 Drugs 95
327 Concrete, gypsum, & plaster products 95
289 Miscellaneous chemical products 95
267 Converted paper products except containers 90
285 Paints and allied products 90
40 Railroad 90
473,474,478 Miscellaneous transportation services 85
491,%493 Electric utilities 85
492,%493 Gas utilities 85
494-497,%493 Water and sanitation 85
63 Insurance carriers 85
64 Insurance agents, brokers, and services 85
50,51 Wholesale trade 85
45 Air Transportation 75
251 Household furniture 70
331 Blast furnaces and basic steel products 70
341 Metal cans and shipping containers 70
374 Railroad equipment 70
239 Miscellaneous fabricated textile products 70
272 Periodicals 70
295,299 Miscellaneous petroleum and coal products 70
751 Automotive rentals, without drivers 70
48 Communications 65
60 Depository institutions 65
62 Security and commodity brokers 65
792 Producers, orchestras, and entertainers 60
791,799 Amusement and recreation services, nec 60
243 Millwork, plywood, and structural members 55
254 Partitions and fixtures 55
252,253,259 Office and misc. furniture and fixtures 55
371 Motor vehicles and equipment 55
265 Paperboard containers and boxes 55
42 Trucking 55
794 Commercial sports 55
321-323 Glass and glass products 50
324 Hydraulic cement 50
333 Primary nonferrous smelting & refining 50
334,339 All other primary metals 50
335 Nonferrous rolling and drawing 50
342 Cutlery, hand tools, and hardware 50
345 Screw machine products, bolts, rivets, etc. 50
346 Metal forgings and stampings 50
348 Ordnance and ammunition 50
349 Miscellaneous fabricated metal products 50
351 Engines and turbines 50
352 Farm and garden machinery and equipment 50
353 Construction and related machinery 50
355 Special industry machinery 50
356 General industrial machinery and equipment 50
357 Computer and office equipment 50
358 Refrigeration and service industry machinery 50
366 Communications equipment 50
367 Electronic components and accessories 50
372,376 Aerospace 50
373 Ship and boat building and repairing 50
375,379 Miscellaneous transportation equipment 50
381 Search and navigation equipment 50
384 Medical equipment, instruments and supplies 50
386 Photographic equipment and supplies 50
387 Watches, clocks, and parts 50
201 Meat products 50
202 Dairy products 50
203 Preserved fruits and vegetables 50
204,207 Grain mill products and fats and oils 50
206 Sugar and confectionery products 50
208 Beverages 50
209 Miscellaneous food and kindred products 50
21 Tobacco products 50
221-224,226,228 Weaving, finishing, yarn, and thread mills 50
225 Knitting mills 50
227 Carpets and rugs 50
229 Miscellaneous textile goods 50
261-263 Pulp, paper, and paperboard mills 50
273 Books 50
281,286 Industrial chemicals 50
282 Plastics materials and synthetics 50
284 Soap, cleaners, and toilet goods 50
287 Agricultural chemicals 50
291 Petroleum refining 50
301 Tires and inner tubes 50
308 Miscellaneous plastics products, nec 50
472 Passenger transportation arrangement 50
781-783 Motion pictures 50
871 Engineering and architectural services 50
Life Science Industries
Information and Communications Technologies
Advanced Manufacturing Industries

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