Growth and expansion is an exciting challenge to have. I use the word challenge intentionally because identifying a new location is a crucial decision. The wrong choice can prove to be very expensive and altogether disastrous. As most companies do not have the team of experts or the available time to make an informed decision, those that use site selectors are at a distinct advantage.
Site selection and the industry as a whole can be a bit esoteric to a newcomer. Simply put, site selectors look at four key criteria – operating costs, operating conditions, quality of life, and unique physical infrastructure. As such, it is no surprise that states or regions that are competitive in these areas are experiencing an increase in projects in the site selection industry. Over the last three years, we have seen a greater concentration of projects in the southeast. The available land provides more competitive operating costs and the increased concentration of projects creates a workforce that makes operating conditions more favorable for companies to grow here. To a lesser extent, the quality of life in these states offers an attractive value proposition for manufacturers and their leadership as well.
One element that continues to be a mainstay of the site selection industry is relationship building. Site selectors spend years in the industry, which allows them to build relationships with economic development organizations, regional groups, and local authorities. These relationships become invaluable as clients use site selectors to guide them through the location strategy process. There are over 3,000 counties, parishes, boroughs, etc. across the United States. Having a site selector on your side gives you the opportunity to leverage their relationships and knowledge of industry sectors to narrow that field of 3,000.
You’ll find that site selectors come in all shapes and sizes. Some offer a full-service approach, including incentives negotiation and site location, while others specialize just in site location. It is important to understand what your company’s goals are and what you want to achieve. This will help you and your site selector to be successful.
Like I said, growth and expansion is an exciting challenge to have, but don’t go at this challenge alone. Site selectors create organization, leverage quality data and apply precision to the complexity of growing and expanding. We are able to guide our clients to an informed decision based on understanding. Call on Ady Advantage to help with one of the most important decisions your company will make. The difference will be life altering!