How to Prepare for Site Selector Requests as Companies Onshore
7 Oct 2020
Many companies are moving to onshore manufacturing operations in the wake of COVID-19. The pandemic has caused extensive delays and supply chain disruptions, and in an effort to prevent these delays in the future, onshoring is on the mind of many business executives. As the onshoring trend grows, community leaders, property managers and developers should prepare for the opportunity to attract these companies. Site selectors are now issuing requests for information at a higher rate than normal. The most prepared community leaders will have the opportunity to compete and win new business for Elk River.
The Site Selectors Guild predicts the onshoring trend will continue to grow in 2020 and 2021 -
“Guild members predict COVID-19 will accelerate the regionalization of supply chains, with 81 percent of respondents saying COVID-19 will have a major impact on global supply chain strategies.
Members pointed out that the previous focus on the lowest cost scenario, which led to growth in China and Southeast Asia, will now become more balanced as companies look to reduce risk. This could benefit North American locations as more companies look to locate production facilities close to the customers they serve and increase redundancy. Many Guild members predict an uptick in on-shoring to the United States, Canada and Mexico – especially in the pharma and life sciences industries.”
New executive orders require changes effective immediately
A recent executive order puts pressure on U.S. agencies to purchase PPE, medical equipment and drugs from U.S. manufacturing companies, and to do so quickly. The executive order that was signed on August 8th gives agencies 90 days to present a plan for how they will obtain medical supplies and medications from manufacturers located in the United States. Companies who want to continue to supply U.S. agencies like Medicare are experiencing the most pressure. As companies return home, and current ones expand, many communities will have the opportunity to win contracts and prosper.
Tips for community leaders preparing to attract new businesses
As requests from site selectors roll in, community leaders should be prepared with ready information on community assets and incentives, available properties, location advantages and workforce merits. If these preparations are made in advance, it will be easier for leaders to respond quickly to requests. Time is of the essence.
Previously, location decisions could take more than a year. As a result of the pandemic, companies must quickly adjust to changing rules and regulations. Leaders, developers and property owners should be proactive so that if a site selector calls, they are ready.
The following information should be included-
#1 Available Commercial Sites
Property listings with updated information on convenience to infrastructure and the availability of utilities should be prepared. A guide on how quickly permits could be issued and building commenced should also be included.
#2 Utility Advantages
Utility advantages like availability, rates and broadband access should be highlighted.
#3 Location Advantages
Location advantages like proximity to major metropolitan areas should be listed.
#4 Transportation Assets
Rail access, airports and other transportation assets should be clearly listed. These advantages, along with points of interstate access, need to be organized and placed into a format that is easy for site selectors to navigate.
#5 Strong workforce
The Elk River workforce is knowledgeable, competent and ready to work. These strong points are the result of the fine educational institutions and widely available training programs the City offers. The expertise of the local workforce needs to be captured for site selectors and executives.
These tools are available on our website
Community leaders, property managers and developers can find much of this information already available on our website. We can search for sites and regional resources and combine them into a report that can be shared with site selectors. To do so, simply click the icon on the page that says “Add to report”. Once each page has been added, click “View custom report” to generate it. Since we know that site selectors and executives are making fast decisions, the ability to create this report immediately could be very useful. For more information regarding how to prepare for site selector requests, contact us.
References and further reading