To calculate the scores reflected in the compasses, the data is transformed into rank percentiles for each indicator with a scale of 0 to 200. For indicators where a lower value signifies higher attractiveness, for instance the air pollution indicator, the score is ‘flipped’ by subtracting the values from 200. As a final step, the ordinary averages of all the indicators are calculated to become composite scores in each dimension (Seunga Ryu et al., 2024[1]).
Indicators are selected because of their relevance as drivers of regional performance or their importance to the attractiveness of a region to any of the three target groups (investors, talent and visitors). In this report several indicators are introduced into the TL3 territorial attractiveness database since the first edition at the TL2-large region level was launched. The inclusion of new indicators such as climate resilience and digital transformation significantly enhances the framework for regional attractiveness by addressing contemporary challenges that traditional indicators may overlook. Climate resilience indicators, for example, provide critical insights into a region's ability to withstand and adapt to environmental risks, an increasingly important factor for long-term sustainability and investment attractiveness. Similarly, digital transformation indicators highlight a region's capacity to adapt to the rapidly evolving digital economy, which is crucial for attracting talent, fostering innovation, and ensuring economic competitiveness. By incorporating these indicators, the framework not only becomes more comprehensive but also future-oriented, offering a clearer understanding of how regions can thrive in a world shaped by environmental and technological shifts (Seunga Ryu et al., 2024[1]). More details, along with the set of computed regional compasses, are available on the OECD’s interactive webpage: Rethinking regional attractiveness | OECD.