Although it seems like a daunting effort, plant relocations are a strategic necessity.
Management teams are increasingly leveraging this tool to control costs and fortify their operations against global economic and supply chain disruptions. However, the key to a successful relocation lies not in speed but in precision. Operations teams must have a strategic and keen eye for design, people and technology to embark and succeed on such a strategic initiative. At TBM, we have led large plant relocation projects for many manufacturers and have developed these insights and considerations to help those who have a relocation project on the horizon.
In this article you will learn how to:
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- Make the Right Moves: The decision to relocate demands more than just choosing a new site. It requires meticulous due diligence on capacity needs, current facility conditions, integration with existing sites, and consideration of future business demands.
- Take Each Step With Precision: Our experience in handling massive relocation projects underscores the critical importance of precision. No detail should be deemed irrelevant, and speed should take a back seat to thorough planning. The first step is to formalize design criteria, ensuring alignment with strategic intent and early engagement of the entire project team.
- Build a Solid Plan: A relocation plan hinges on developing design principles for the new site as well as thinking beyond office space.
The following are key considerations as you enter the planning process to ensure a successful move:
- Formalizing Design Criteria. Establish space requirements early on to avoid wasted time and ensure team alignment.
- Consolidation Strategy. Audit all current sites, assessing operations, headcount, skills, and equipment to avoid pitfalls.
- Smart Manufacturing Planning. Integrate manufacturing technologies early to increase productivity and future-readiness.
- Customer Impact Assessment. Gauge the impact on service provision, inventory handling, and forward planning.
- Labor Considerations. Prioritize the availability of the right skills over general labor availability.
- Transportable Training and Development. Make training an integral part of the relocation plan based on core skills at each location.
- Proactive Communications. Transparency is key; communicate early and consistently with all stakeholders.
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