IFMA / NI Convention
IFMA/NI Seminar Helps Businesses
Avoid Pitfalls of Corporate Relocations
How do industrial organizations ensure a trouble-free, cost-effective corporate relocation? To help members determine the best answers to that question, IFMA/NI (International Facility Managers Association/Northern Illinois Chapter) sponsored a seminar as part of their annual conference.
The seminar was titled “The Strategic Move: Moving Your Company to a New Facility,” presented by Midwest Industrial Relocation Associates (MIRA).
MIRA, a non-profit industry group founded to help companies avoid relocation problems, conducted the seminar and question-and-answer session for an enthusiastic audience of more than forty corporate executives.
Relocation Professionals
Led by MIRA Executive Director Joseph D. Cavolick, assisted by a panel of eight relocation professionals, the seminar was divided into two sections. The first addressed the process involved with the acquisition and build-out of the new property. The second section addressed the preparation for and actual move of equipment, people and their business processes.
In his introduction, Cavolick noted that these two aspects of the relocation project develop in parallel, finally merging at the actual move. He emphasized that how well a company can integrate the two projects will determine the ultimate success of the move.
Cavolick launched the seminar with a discussion of the essential first part of any corporate relocation, which is a thorough understanding of the reasons for the move and the specific goals the company wishes to accomplish.
Location and Property Issues
Dan Benassi, of Paine-Wetzel Real Estate, discussed the property aspects of relocation, beginning with assessment of the current real estate situation, and moving to defining location requirements and desired facility features. Benassi detailed the process of choosing a location including finding a number of alternate properties and using a set of weighted criteria to narrow them down to between two and four acceptable, available options. At this point, if a move still seems to be the optimum solution, negotiations and due diligence begin.
Due Diligence and Inspection
Mike Wojciechowski of Compass Mechanical Services, an HVAC contractor, and Steve Delo of Mission Thermal Infrared, an aerial inspection service, detailed due diligence and inspection activities. Wojciechowski listed major areas of concern including environmental, structural, electrical, mechanical, heating and air conditioning issues. Delo discussed the importance of inspecting for water intrusion and the effectiveness and affordability of the infrared inspection method.
Design and Construction
The due diligence and negotiations period, Cavolick noted, is also the time to firm up plans, determine required property changes, set budgets and timelines, select and coordinate vendors and outside experts, and set rules for delivery of services. Once the deal is complete, work can begin on detailed design, demolition and/or construction, installation of electronics and equipment, and set up of office space, factory floor, warehouse, docks and other facility areas and functions.
Moving the Company
The second half of the seminar began with Cavolick discussing how to prepare the company for the move, and a discussion of the actual move itself. Cavolick stated the importance of choosing one Project Leader who will be responsible for the entire move, as well as core teams for each business functionality, such as HR and procurement, and specialty teams to provide specific knowledge of crucial areas such as telecommunications.
Budget and Timelines
Cavolick introduced the final two topics, setting budgets and developing timelines. The entire panel, including Jim Borring of Interact Business Products, John Ciborowski of Rent-a-Crate, Pam Towers of OEC Business Interiors and Paul Zaccarine of Mimosa Interior Landscape, presented a typical timeline for a major relocation. The seminar concluded with a lively question & answer session and individual conferences with many in the audience.
MIRA Seminars
MIRA seminars are available at no cost to industry groups and associations, as well as to individual companies. To schedule a seminar, for a free copy of MIRA’s informative Industrial Relocation Guide, or for information on the benefits of becoming a member of MIRA, call Joseph D. Cavolick at 847-753-9898 and visit the MIRA website www.miramoves.org.
Midwest Industrial Relocation Associates
(FOR IMMEDIATE RELEASE Contact: JOSEPH CAVOLICK EXECUTIVE DIRECTOR MIDWEST INDUSTRIAL RELOCATION ASSOCIATES MIRA)
847-753-9898
Northbrook, Illinois, October 8, 2005.