Selecting a Qualified/Non-Conflicted Site Selection Advisor is Critical to Making the Best Site Location Decisions
Selecting the right site selection advisor, whether internal to the firm or conducting a site search, is critical to successful location and should eliminate the costliest site selection mistakes.
The first of two most frequent mistakes in selecting a site selection advisor is relying on those that lack the experience to provide comprehensive advice on the site selection process and generate recommendations with a sound quantitative and qualitative foundation. It is critical that site selection advisors whether internal or external, possess the comprehensive experience necessary to understand the wide range of considerations necessary to provide the most valuable site location recommendations.
The second most frequent mistake related to obtaining site selection advisory services is reliance on site selection advice from outside advisors not motivated exclusively by the operational and financial success of the client’s site selection project.
For example, some companies conducting site searches choose not to retain an expert advisor but rather rely on specific state or local government officials that are actively selling sites in their territories. In this case, government economic development officials focus on selling and presenting attributes of labor draw, site attributes, and other critical site location factors in a positive light, as would be expected. The client would be best served by an advisor setting up competition for the project while verifying both the pros and cons of sites being presented in all locations.
In another example, some companies choose to obtain site selection advice from private sector entities that may have other motivations, realized or not, that do not serve to achieve the exclusive fiduciary benefit of their client. As an example, if an advisor is compensated via commissions or other compensation at some sites under consideration but not others, a conflict of interest could arise that negatively impacts the site location decision.
[Strategic Development Group, Inc. is a nationally recognized expert in site selection and incentive negotiation for manufacturing and headquarters facilities that has directed project valued at over $2 billion during the last five years. We would be pleased to discuss your company’s site location needs to add value to one of your site location projects and can be contacted at [email protected] or (803) 748-1207).