BusinessJournal A MONTHLY PUBLICATION OF JOURNAL PUBLISHING AND THE COMMUNITY DEVELOPMENT FOUNDATION
FEBRUARY 2014
Furniture company with Northeast Mississippi ties eyes rapid expansion, page 3
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THE NORTHEAST MISSISSIPPI
ChamberConnection A publication of Journal Publishing and the CDF Chamber Division – February 2014
Community preparedness is about vision If you’ve heard or read anysources, and thing about last week’s hard work. UnGRAMMER Inc. announcelike corporate ment that will bring 650+ jobs America, which to Lee County, you’ve probahas the flexibility bly also heard the famous to create and exphrase, “If you build it, they ecute a business will come,” referring to the plan, community shell building built by CDF change requires that GRAMMER Inc. will ocplanning and Community cupy. While those words are then enlisting Development true, a building alone is not support and Foundation enough to secure direct foradaptation to president, CEO eign investment in a communew ideas, which nity. While many factors can take a lot contribute to a company’s more time. DAVID site selection, one of the most The first step RUMBARGER influential factors in winning calls for the comlarge projects like GRAMMER munity to idenInc. is the work done by the tify a product or competing community before a site - a physical location for incompany even begins it selection vestment by a prospective comprocess. pany. Sites need to be vetted. It Success in economic develop- isn’t simply identifying some land ment is the goal of every commu- like a fifty-acre bean field on the nity, and it comes with the price edge of town. The land needs to of community preparation. be owned or optioned with a Preparation takes time, re- clear title and no impingements
such as mineral rights, easements, or environmental shortcomings that elongate the location timeline. The land must have adequate utilities, water, wastewater, electricity, natural gas, transportation, and most recently, bandwidth in telecommunications. There is an old saying “No site, no project,” and in the current economic development market the site must be fully prepared. Many regional utilities have used versions of certified site programs to motivate and encourage communities to focus on this aspect of community preparation. Our supplier, the TennesseeValley Authority (TVA) was one of the first to recognize and put money into sites. Readyto-go sites separate communities into winners and losers at the beginning of the location process. The better prepared the community and the site, the more likely a community is to make a candidate list for a prospect visit.
After a site is developed, a community must identify and cultivate the qualities that will convince someone to make the community their home. Put simply, what could make someone want to live here? A community needs to focus on its quality of place. The quality of place issue seems to dominate discussions as a fundamental requirement of the location success. What exactly does it mean? When a company considers a potential community, can they envision recruiting executives and staff to live and work there? Over the years, the factors have grown to encompass a variety of qualities like affordable housing and well-rounded neighborhoods, arts opportunities, sports, and healthcare. Schools and public services are assumed to be strong points and need to be highlighted. The community needs a diverse economy that will present career opportunities for the trail-
ing spouses. One of the most difficult visits is when the plant manager facing reassignment to the new operation comes along for the visit. The presentation suddenly requires a more complicated and thorough strategy. For example, one of our recent prospects had a daughter who was a star softball player. After a lot of talk about utilities, labor force, and construction possibilities, his emotional concern surfaced and the area’s softball opportunities for a sixteen-yearold girl became a major factor. Those, non-location elements, dictated his site preferences and house-shopping patterns to maximize her playing time and scholarship potentials. We understood, made the proper introductions, and located the company that has since expanded. A lot of economic discussion TURN TO VISION, 14
GRAMMER Inc. to open operations in Lee County Project will create 650 new jobs Community Development Foundation (CDF) and officials from automotive and commercial vehicle supplier GRAMMER Inc. announced January 29 the company will open its newest manufacturing operations in the Tupelo Lee County Industrial Park South. The company will occupy a 75,000-squarefoot shell building built by CDF in 2013. The entire project represents a total funding of $30 million over the next five years and will create up to 650 new jobs in two phases. GRAMMER Inc. is the U.S. subsidiary of GRAMMER AG, leading supplier
of automotive interiors and seating systems for commercial vehicles. The Lee County location, which will serve as the company’s new official U.S. headquarters, is scheduled to be operational by the end of 2014. “GRAMMER could have chosen any location in the country to serve as its U.S. headquarters, but they have put their trust in the people of Lee County, Mississippi. I applaud GRAMMER officials for their decision to invest in our workforce, creating quality job opportunities for our area’s residents,” said CDF Chairman Chauncey
Godwin, Jr. GRAMMER AG, based in Amberg, Germany, specializes in the development and production of components and systems for automotive interiors, as well as driver and passenger seats for off-road vehicles, trucks, buses, and trains. The company’s Automotive Division supplies headrests, armrests, and center console systems to premium automakers and automotive system suppliers. Lee County Board of Supervisors President Darrell Rankin commented, “The jobs that will be created by this company will have a
Governor Phil Bryant and GRAMMER Inc. CFO and Board Member Volker Walprecht shake hands after announcing GRAMMER is moving its U.S. headquarters to northeast Mississippi and will open a manufacturing facility there, creating up to 650 new jobs over the next five years. positive impact on our community and will further strengthen our regional economy.” GRAMMER Inc. will
begin filling job positions in the fall of 2014 and will coordinate all hiring through the WIN Job Center in Belden. For more in-
formation regarding job availability or the application process, contact the WIN job center at (662) 842-4371.
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