KPMG Competitive Alternatives

KPMG is out with their 2010 version of their Competitive Alternatives report which compares the costs operating a sample facility for a variety of industries across 100+ global locations.   While you could drive a Mack truck through some of the assumptions, this report is valuable in that it is one of the only global comparative reports of its type that I know of.  You can compare the cost of business in Fredericton to Frankfurt and have a well recognized brand (KMPG) backing you up.

Of course, jurisdictions pay to be included which makes it a little more dicey.  Consider it a type of marketing expenses.

KPMG has been doing this for I think around 15 years and the only thing that has fundamentally changed over that period has been the shrinkage in cost advantage for Canada.  A place like Moncton used to be shown as 50% cheaper than many U.S. jurisdictions- now the cost advantage is down to to a few percentage points for some locations.  But again put it in its proper place.

Here are some summary findings.  click on the link above to run your own reports.

 

COMPETITIVE ALTERNATIVES 2010 COST MODEL

DETAILED COMPARISON REPORT

(USD$’000)

 

Total location-sensitive costs

   
   
   

City

Web Content Development

Frankfurt

 $ 16,397

Paris

 16,277

Rome

 16,254

Osaka

 15,866

Boston

 15,042

Boston

 15,042

Utrecht

 14,241

Detroit

 14,206

Houston

 14,042

Atlanta

 13,698

Toronto

 13,260

Manchester

 13,224

Edmonton

 12,910

Vancouver

 12,826

Halifax

 12,558

Montreal

 12,387

Charlottetown

 12,362

Fredericton

 11,750

Moncton

 11,641

   

City

Clinical Trials Management

Frankfurt

 $ 6,442

Osaka

 6,032

Rome

 5,900

Boston

 5,359

Boston

 5,359

Detroit

 5,035

Houston

 4,993

Atlanta

 4,878

Toronto

 4,757

Vancouver

 4,445

Manchester

 4,405

Charlottetown

 4,379

Edmonton

 4,355

Paris

 4,181

Montreal

 4,018

Utrecht

 3,712

Halifax

 3,705

Fredericton

 3,325

Moncton

 3,275

   

City

Metal Machining

Osaka

 $ 16,041

Frankfurt

 14,086

Boston

 13,853

Boston

 13,853

Edmonton

 13,791

Detroit

 13,482

Houston

 13,456

Vancouver

 13,415

Toronto

 13,252

Rome

 13,209

Paris

 13,156

Utrecht

 12,969

Halifax

 12,921

Montreal

 12,917

Atlanta

 12,845

Fredericton

 12,829

Charlottetown

 12,798

Manchester

 12,742

Moncton

 12,629

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One Response to KPMG Competitive Alternatives

  1. Being a few percentage points down is a lot better than being 50 percent down, but it still leaves us at a competitive disadvantage when it comes to recruiting web developers, clinicians and machinists.

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