In Search Of America's Best Manufacturing Locations

IndustryWeek (9/16, Jusko) – Specifically, let's discuss where is the best place to build new manufacturing facilities in the United States…Typical criteria for manufacturing site selection include a laundry list of factors, such as ready sites, adequate infrastructure, labor availability and costs, training resources, customer location, supplier location, tax policies and incentives…But other factors may apply. "We forget about the impact of product cycle in site location. For sunrise industries, it really is the location of the skilled talent they need to develop their product and deal with rapid model cycles…Once the model cycle slows down and the product cycle ages and gets more mature, industries are going to be more motivated by the cost profile of places."

The Incentives Imperative – Incentives are important. In many instances it is a tie-breaker in the site-selection process, says Hill. But, while incentives may be top of mind for manufacturers looking to locate a plant in the United States, don't let their lure overwhelm your thinking, suggest several site selection experts…"It just does not make sense to look at incentives on the front end because they will not overcome disadvantageous operating environments in communities in the longer term."  Volkswagen's Geanacopoulos offers another perspective. He suggests the incentives process is important "not only as a question of financial value but as a question of partnership and commitment and [the] relationship" a company can expect from the community in which it locates.