Posts Tagged ‘Corporate Relocation’

Top Metropolitan Areas for Corporate Relocation

Friday, March 23rd, 2012

Houston, now the fastest-growing economy in North American according to Site Selection Magazine, has more corporate real estate projects than any other city in the United States. The greater metropolitan area secured some 195 corporate facility expansion projects, making it the leading corporate growth area according to a new study from the Brookings Institute. This top ranking among other very large and growing metropolitan areas confirms what many corporate executives already know, that Houston is a great location for growing business.

Other growing metropolitan areas with over a million in population include Chicago, Pittsburgh, Dallas/Fort Worth and New York. It’s no real surprise that Texas has two of the top five large cities for corporate relocation, as business owners site the low state taxes and cheap cost of living as important factors for a thriving corporate environment. Many companies are considering cheap domestic corporate relocation instead of Asia because of this.

Large metropolitan areas aren’t’ the only places that are seeing corporate growth. Communities with populations under 200,000 are also seeing the benefits of corporate relocation. Towns like Decatur in Alabama, Springfield in Ohio and Williamsport in Pennsylvania are among the top three towns under 200k to see tremendous growth in the corporate sector. Businesses make the decision to move to these smaller communities for a wide variety of reasons that may include factors such as close connections to the community and a more intimate work force.

The Changed Realities of Corporate Relocation: Part Two

Thursday, March 8th, 2012

The mature population, especially the baby boomers, is increasing everywhere. Workers older than 45 years old are growing more than 18 times the rate of the under-45 population in the 2000s. With a majority of the voting-age population at least 45 years old, public policy should increasingly adapt to the aging population’s needs in this decade. With 92% of the growth among non-whites, primarily Hispanic and Asian, and 50 percent of births now non-white, the population is quickly transitioning away from traditional demographics.

An additional reality that will affect real estate development planning and potential hiring is reduced interstate migration. Studies point out that interstate migration slowed due to rising unemployment and the increase in home foreclosures. This affected college graduates and young adults, who tend to be the most mobile, the most. These groups can be the lifeblood of the labor force and they are most responsive to shifts in the growth industries. This is also indicative of young adults encountering a brutal job market, as many moved back home with their parents after graduating.

States and metropolitan areas that relied too heavily on immigration for growth will need to reanalyze their approach economic development. They’ll need to shape recruitment/retention efforts in order to diversify their economies and create more job opportunities for local residents. The slowdown may actually provide windfall population gains as locals will not be able to move due to a lack of employment options elsewhere. Companies with well thought-out, targeted industry planning, adoption of flexible economic incentives and training fund programs, and focused corporate relocation, could set the stage for growth in the following decade.

The Changed Realities of Corporate Relocation: Part One

Tuesday, March 6th, 2012

Recent research regarding corporate relocation has shown five new realities that have impacted and will continue to impact corporate decisions regarding relocation. Two main areas of consideration are workforce availability and real estate development.  When it comes to the current workforce, the realities are all over the place. The population is getting older but more ethnically diverse. Household incomes are lower and more polarized. The 2000’s was the first decade on record in which real median household income declined.

More than a third of U.S. adults held post-secondary degrees in 2008, up from only a quarter in 1990. This has been an important factor that helped propel U.S. economic growth. Unfortunately, the 2010 Census indicated that younger adults in urban areas are not following suit, which is a disturbing trend that could seriously impact the skill set of the workforce. Emigration from metro areas also continues, growing at the rate of three times that of the urban core. This factor will continue to have a significant impact on corporate moving and associated real estate development.

Another reality of the future U.S. workforce is that the last decade was the slowest decade of population growth in 70 years, slightly less than the 1980’s and significantly below the 13.2 percent growth rate of the 1990s. A golden lining to these developments is that the Sunbelt continued to be the beneficiary of the most growth. The lower 9.7 percent rate could be attributed to a variety of factors including homeland security concerns and an economy in recession that drives workers back to their original homes.

From the Rust Belt to the Sun Belt

Wednesday, February 22nd, 2012

Classic American cities like Detroit, Toledo, Buffalo and Cleveland were once the thriving centers of U.S. manufacturing. These cities had a strong middle class, vibrant economic development and a quality of life that was second to none in the entire world. Sadly, these old cities have been ravaged by corporate relocation to places like Asia and South America. What’s been left behind is often called the “Rust Belt”, which describes the decaying factories and developments that now make up much of these once vibrant cities. As a response to massive job losses, families that once lived in the Rust Belt have moved away to find work. Many of them find themselves moving where cities are growing, the Sun Belt.

The Sun Belt is a term for areas of the country that are predominantly warmer than the North East: Texas, New Mexico, Arizona, Nevada and California. These states saw dramatic increases in economic development and population as areas in the north started to fade. Many of largest cities in the nation are located in the Sun Belt. Cities like Orlando, Houston, Albuquerque and Phoenix are fast growing and typically have low unemployment. Many people from the North have found themselves moving to Texas in order to take advantage of the growing economy there.

Moving south isn’t just for job seekers though. Places like Florida and Arizona are extremely popular destinations for people who are retired. The warm climate and more affordable living costs are very appealing to seniors on a fixed income. Students also find themselves moving south to take advantage of growing University systems in growing states.

Corporate Relocation to the Far East

Monday, February 6th, 2012

Corporations have been flocking to the far east for the past few decades due to cheap labor costs, friendly governments and lax environmental regulations. The specific countries that businesses are moving to, however, seem to be constantly shifting. China remains a stronghold of cheap plastics manufacturing and some high tech. Taiwan was once a juggernaut in high technology manufacturing but has been eclipsed since the rocket like rise of the mainland. Countries like Singapore and Malaysia have had a long steady presence of foreign firms that have helped those countries develop modern cities.

Manufacturing is not the only thing moving to the far east. With increasing education standards and more college graduates than ever, far east countries are producing an unprecedented number of engineers and designers. This means that American corporations are exporting more than just low skilled labor, they are transferring entire design and engineering departments to places like China and Singapore. Increasingly U.S. employees are acting as ambassadors or communications officers for companies that have shifted nearly all of their production processes across the Pacific ocean. Corporate relocation to these areas of the world sees no sign of slowing in the near future.

What Are the Types of Corporate Relocation

Wednesday, January 25th, 2012

Moving jobs overseas is a big talking point in the ongoing presidential campaign. The most talked about sector of the economy that is involved in these corporate relocations is the manufacturing industry. This is because the manufacturing industry has seen a huge exodus of jobs to places in Southeast Asia, Mexico and Latin America. But manufacturing isn’t the only sector of the economy that is sending its operations overseas. Jobs like customer service, engineers and even creative positions like design and writing have found news homes in other countries.

While international relocation of corporate operations is the most popular topic, many facets of business are moving within the United States. These domestic corporate relocations are really just a microcosm of overseas relocations. Businesses tend to move from places with high labor and operating costs to places with low labor and operating costs. This is why many companies move operations from places in the Northeast and California to cheaper and lower taxed areas like the Midwest and Texas. The regions receiving these businesses typically have lower unemployment during recessions and a much higher growth rate during good economic times. If one thing is true, however, is that no place booms forever, as new places always pop up to compete on prices and taxes.

Successful Corporate Moving

Sunday, January 8th, 2012

The task list during a corporate move can seem almost infinite. Depending on the type of company, the amount and type of items that will have to be moved may be heavy, hazardous, fragile and even highly technological. Moving these items is not the type of job you want to leave to just any old moving company that you find in the phone book, but to a professional corporate moving service. One of the most common items most corporations will be moving is servers and computer terminals. You want a moving service that will hand these items with care, not just throw them into the back of the truck as if they were boxes of pillows.

Corporate relocation is not just about the transport of company goods, but getting everything in the business back up and running as soon as possible.  For this reason, you want a corporate relocation team that knows what they are doing and will be able to do it in a quick and efficient manner. Every day that a business is offline because of a move is another day where money is not being made. It’s essential to get everything moved as quickly as possible so that business activities can get back to normal. Consulting with a professional corporate relocation service is really the only way to do this, as they can handle the physical move while important company people take care of what really matters.

Speed Is Essential for Corporate Relocation

Monday, January 2nd, 2012

When a company decides to move their operations to a new domestic or international location, there is always a concern about speed. Managers and CEO’s are primarily concerned about business downtime, which can be a huge hindrance to making profits and can be a huge disruption to customers. The primary way to combat this is to make the move go as quickly as possible. This requires a lot of planning, manpower and strict attention to detail. When going ahead with such a corporate relocation, it’s a good idea to consult with a global relocation service that has expertise and extensive knowledge in the area of moving businesses.

There are a variety of approaches that can be taken for a corporate move depending on what type of operations need to be relocated. Moving a manufacturing operation will require a much different plan than simply moving administrative positions. For example, major manufacturing usually requires specialized machinery that can’t be re-bought due to enormous costs, so large machines will need to be physically moved to the location of the new operations. This may require special vehicles and transportation services that are not available to the general public.

Corporations usually take one of two approaches when it comes to employees and corporate moving. They either pay to have their old employees move to their new operations, or hire completely new workers to staff the new location. A corporation’s approach in this situation will depend upon the skill level needed, costs of relocating employees and general labor costs in the new country or region. Moving employees to new operations requires speed, as employees are almost always the lifeblood of any business. The quicker employees are back to work at the new location the quicker the company will be able to bring in revenue and please customers.

Corporate Relocations Continue

Sunday, December 18th, 2011

Corporate relocations to all parts of  the world have been going strong for the last several decades. Corporations relocate for a variety of reasons including reduced costs and access to superior labor sources. Where corporations decide to relocate, however, continues to change year to year. Southeast Asia, Mexico, and South America in particular have seen tremendous growth in the last decade.High tech companies in particular have been looking for areas of the world rich in cheap labor with lax taxation and friendly governments.

Relocating your business or corporation domestically or internationally is a very strenuous and complicated process. Relocation requires a whole slew of preparation and adherence to the local laws and regulations. When it comes to the physical transport of your business goods, look to a global relocation service that works in corporate relocations. They can help arrange the efficient transfer of all your materials to your new location so that you can focus on more important things like employees and customers.

Many Companies Relocating to Texas

Thursday, October 20th, 2011

Corporations all over the United States and Canada have taken the opportunity over the last decade to relocate operations to Texas. Big cities like San Antonio, Austin, Houston and Dallas are some of the fastest growing metropolitan areas in the nation. Companies give a variety of reasons for moving to the lone-star state. Among them are reduced taxes, cheaper real estate, larger talent pools and nicer weather. Employees might find themselves following their employers to Texas if the incentives are right, and there are a lot of things to look out for when moving to Texas.

Weather in Texas during the summer can be extreme for those who are not used to it. Temperatures top 100 degrees much of the summer with humidity at or near 100%. This type of heat can feel suffocating to some and it’s important to stay in doors with air conditioning if a person can’t handle it. Texas can also get tropical storms or hurricanes from June to November, but these storms are more rare the further north and west a person is. When the weather is right, however, the state offers a vast array of outdoor activities and fun events to take advantage of.

The food found in Texas may also be quite different that what some people may be used to. Central Texas prides itself on being the beef barbeque capital of the world. Many establishments are famous for their beef brisket and ribs. The large Mexican population also means that there are tons of authentic Mexican and Tex-Mex restaurants in nearly every town and city. Of course, if you live in one of the big cities, there are plenty of restaurants and stores that offer all of the normal foods Americans are used to, so there is no reason to feel left out.