Relocation or Renew Location?

If You Could Start Your Business From Scratch, What Would You Do?

Businesses in industry are frequently starting up a new facility, consolidating facilities, or moving to a new location. In these cases, because of the natural disruption that comes with an event of this significance, many of these companies can institute changes, both physical and cultural, that bring significant improvement to the operation of the enterprise.

These changes can range from the layout of the plant to the integration of ‘front office’ activities into an integrated project team/business unit organization. In many cases, especially for an operation that has been in place in the same location for many years, the ability to make changes of this significance can breathe new life into an organization, as well as provide some significant competitive paybacks (i.e., cost reductions, quality improvements, space reductions, speed, attitude, customer satisfaction, etc.). The justification for this type of change can usually be easily developed through a feasibility study of the operational impact of making the change. Many times the payback amounts and time periods are so significant that it would be a terrible business decision to not make the move.

Is it possible that making the same change in your current site would provide the same type of positive financial result?

If the payback of a new facility start-up or relocation to a new site is significant, is it possible that the payback of making the same type of ‘drastic’ change in your current site would provide the same type of financial result? Now, if your plant or facility is 100 years old, it may be that you just need a new building. But in many relocations, the plant is moving into a facility that is not new and provides no significant advantage over the current site. In some cases, building modifications are performed to enhance the atmosphere and capability of the operation. However, in many cases, an equal impact could have been achieved had the investment/modifications been applied to the current facility.

Are you serious?

If a company is serious, and we mean really serious, about change and improving their total enterprise, there is an equally powerful reason to consider “Plant RENEWLOCATION”. Now, if you were to do this at home, it would be because your wife/husband has harassed you for several years and you would call it ‘remodeling’. It usually involves many things other than just some paint and plaster. If you talk with anyone who has been through a significant remodeling project, they will tell you: 1) “It was a pain, 2) “Yes, it costs a lot of money”; and, most importantly, 3) “I wish we had done this years ago”. Now, why do people make these comments? Usually, because in their newly ‘remodeled’ home they have a whole new attitude about living in their new old house. It is brighter, cleaner, and more efficient. It makes you proud to live there again. Gee, isn’t that what we want in our business operations? Is that not what our Board of Directors, our CEO’s, our CUSTOMERS are (harassing us about) asking for? So….do you ‘have to’ relocate to gain these advantages? What if you could just RENEWLOCATE?

It’s not the MOVE, it’s the CHANGE!

Now, sometimes it is just the right thing to do to change locations and facilities. It may be demographics, accessibility, physical limitations, and a host of other good reasons. But, many times it is not the move that is needed it is the CHANGE that is needed. That is where there is a great opportunity for businesses that want to RENEW (remodel) their attitudes as much as their facilities. Is it going to cost a lot of money? Yes. (It must be feasible and justified) Is it going to be disruptive? (It is a pain – aren’t most things that produce BIG results?) YES. Will you wish you had done it years ago? YES!

It takes Leadership

So, what is the catch? The CATCH is the same thing it always is with ‘big change’ – it is leadership. Big change is not for the timid. It is for the guy/gal who wants to do what they know is right. It is for the leader who has a true desire to see how good they can be. It may be for the leader who has one last chance to save his job or perhaps all the jobs of all his/her employees, associates, and friends in the company. But, bottom line, it is up to the leader. Failure will be precipitated by the leader who changes his facility but not the company’s attitude about how they are going to do business from this point forward. If you cannot ‘inspire it’, ‘live it’, and ‘demand it’, then do not undertake this change. If you can, then you need to seriously consider RENEWLOCATION as an option to take your company into an improved future.

How do I get started?

What are the first steps of RENEWLOCATION? First, you better go off into the woods, to the mountain top, to your church, and inquire deep inside about your ability and desire to make a change of this magnitude. If you think you are ready, you have the ‘right stuff’, or you have no other choice, then, gird your loins and get ready for a fun-filled ride to the future. If you know your business needs it, but you just can’t do it, then you can: One, submit your resignation or accept a non-leadership position; or Two, just go back to your old plant/way of doing things and wait to get fired or see your business collapse around you. If your answer is “Let’s get going!”, then you have to start your analysis and justification for the events you are about to put into action. This begins with two things: a good VALUE STREAM ANALYSIS; and, an in-depth Feasibility Study. With these two tools you can gather the information and data you need to make informed decisions, build a plan of what you want to do, and provide a well thought out and easily presentable justification for yourself and for those who you might just have to go to for money or approval. With this homework done, you sure will look good, won’t you?

Give It Some Thought

Why don’t you take your trip to the mountaintop and give RENEWLOCATION a little more thought. It may be just what you need to get a New Business without changing addresses.