A.T. Kearney Global Cities 2015

New York and London remain the world’s most global cities, as they are the only cities to rank in the top 10 of both the Global Cities Index and the Global Cities Outlook according to the A.T. Kearney Global Cities 2015 that was released today. San Francisco leads the Global Cities Outlook due to its strength in innovation. Other cities ranking at the top of the Global Cities Outlook include London (#2), Boston (#3), New York (#4), and Zurich (#5).

The Global Cities 2015 includes two parts—The Global Cities Index (GCI) and the Global Cities Outlook (GCO). This is the fifth edition of the GCI, which was launched in 2008. The GCI provides a unique assessment of global engagement for 125 cities representing all continents and regions, measuring how globally engaged each city is across 26 metrics in five dimensions—Business Activity, Human Capital, Information Exchange, Cultural Experience, and Political Engagement. The GCO is new this year: It evaluates the future potential of 125 cities based on the rate of change across four dimensions—Personal Well-being, Economics, Innovation, and Governance.

Mike Hales, A.T. Kearney partner and study co-leader, comments, «We have identified 16 cities that are ranked in the top 25 of the GCI, indicating superior current performance, and in the top 25 of the GCO, indicating future potential. We call these cities the ‘Global Elite.’ Beyond New York and the Global Elite includes Los Angeles, Chicago, Toronto, San Francisco, Boston, Paris, Brussels, Berlin, Amsterdam, Tokyo, Singapore, Seoul, Sydney and Melbourne.

Erik Peterson, A.T. Kearney partner and managing director of the A.T. Kearney Global Business Policy Council, states, «The structure of the Global Cities 2015 measures both the current performance and future potential of cities to attract and retain global capital, people, and ideas. As cities continue to expand their global influence, the Global Cities results inform the strategies of business leaders (placement of regional headquarters, research centers, and other operational hubs) and city governments (improvement plans and investment decisions).»

The race for global city status is accelerating. Since 2008, the average GCI scores have increased by 10 percent. Cities that can only maintain their score, therefore, will likely decline in the rankings. Although the top five cities in the GCI have largely retained their position since the Index was launched in 2008, the overall Index scores are becoming more tightly grouped.

In comparing the top GCI cities in Europe versus North America, the European cities prevail today, but North American cities perform better in the GCO, showing more future potential, especially in innovation. The top cities in China significantly outperform those in India today, but the race for the future is much tighter.

Andres Mendoza-Pena, A.T. Kearney principal and study co-author, notes, «In reviewing the 16 cities that make up the Global Elite, all of these cities are from advanced economies. Cities in advanced economies enjoy a significant lead on innovation, which may become tomorrow’s key differentiator for global cities.»