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A SITE SELECTION INVESTMENT PROFILE:
                             Columbus, Ohio Region


              Driving
         Economic Growth
          In the Midwest




                                                                                                                                                        Photo by David Phalen courtesy of Experience Columbus
                      Columbus is changing from a steady performer to one
                          of the country’s most dynamic metro areas.



T
The Columbus Region has been called                                                                      The new Main Street bridge over the Scioto
                                                               b y R O N S TA R N E R                    River frames the downtown Columbus skyline.
the test market of the United States
                                                         ron.starner@siteselection.com
because of its diverse economic profile —
part university town, a national logistics
hub, a center of retail brands such as the            As founder, chairman and president                 she notes. “Our clients are nationwide, and
Limited Brands and Wendy’s, and the               of Oxford Consulting Group Inc. in                     it can be very expensive to fly out of any
second home of Chase bank, which hap-             Columbus, Kerr has seen firsthand the                   of the airports in our other markets. That
pens to be the region’s largest employer.         benefits of a central Ohio location.                    would result in higher costs to our clients.
On closer inspection the Columbus region              “I founded the company in 1998 in                  We have access to all major markets at a
is all of those things and more, includ-          Indianapolis,” Kerr says. “In 2004, we sold            reasonable price here in Columbus.”
ing home to Honda of America’s North              off a portion of the company and we relo-                 Kerr says that “it just made sense to ex-
American headquarters and an impressive           cated our headquarters to Columbus. We                 pand in the Columbus area. We completed
list of burgeoning technology businesses.         have been here ever since and have estab-              our site selection process in April and we
In fact, nearly 190 companies                                     lished a presence in Canada,           have identified a site near the downtown
have chosen the Columbus                                          Atlanta and the Bay Area               area. We expect to hire 45 new employees
Region to locate and expand                                       of California. We looked at            over three years.”
in the past 18 months, totaling                                   all of those as potential sites           Oxford, with existing offices in the
over 22,000 jobs announced.                                       for expansion. In fact, when           Columbus suburb of Westerville, pro-
   When Michelle Kerr                                             we went into this process,             vides information-technology consulting
scoured the country for the                                       we were thinking that we               services for a variety of clients. “We do IT
best possible expansion loca-                                     would expand outside of                supply-chain and business integration con-
tion for her high-tech consult-                                   Columbus.”                             sulting,” says Kerr. “We connect suppliers
ing firm, she didn’t have to                                          The pull of Ohio, in the            with manufacturers and manufacturers
look far.                              Michelle Kerr, founder,    end, was too much to resist.           with retailers. We do fulfillment optimi-
   She found exactly what she         chairman and president,     “When we looked at the                 zation and provide other IT services and
                                   Oxford Consulting Group Inc.
needed in her hometown of                                         centrality of Columbus and             support to small to mid-sized businesses in
Columbus, Ohio.                                   the strong access to university talent in the          the area.”
   Plenty of companies are coming to same 11-county region, we came to the realiza-
conclusion in the Buckeye State’s capital         tion that this is the very best location for           A Deep Pool of Talent
city. With a central U.S. location and a ro-      our business to grow.”                                    Oxford’s business model demands a
bust transportation network serving both              Kerr says there’s a lot to like in Colum-          constant infusion of talented technical
coasts, Columbus has rapidly moved to the bus. “We have a low cost of living and                         workers. “We are hiring out of school and
short list of corporate site searches.            good Midwestern values and work ethic,”                training our own work force,” Kerr says.

20   JULY 2012 S I T E S E L E C T I O N I N V E S T M E N T P R O F I L E : C O L U M B U S , O H I O
“We wanted access to a variety of schools.                Columbus is “a smart and open
Within two hours are 44 colleges and                  community,” notes McDonald. “We
universities. Also, the retail presence here          are a Midwest city whose best days
in Columbus certainly helps.”                         are ahead of it, not behind it.”




                                                                                                                                                                                      Photo courtesy of Experience Columbus
   Kerr notes that she worked closely with                A case in point is Zulily, the
the Columbus Chamber of Commerce                      online retailer that recently added
on the expansion. “They supported me                  a new fulfillment center in Obetz.
throughout the entire process,” she says.             The daily deal website that offers
“They held our hand through the process               products for moms and young chil-
and got us the tax incentives we needed.              dren plans to add several hundred
In fact, we received all of our needed                jobs in the Columbus region over
permits so quickly, I thought it was a joke,          five years.
                                                                                                FedEx and other logistics carriers operate out of
but it was very real.”                                    The company’s site search
                                                                                                Rickenbacker Airport in Columbus, giving many
   Kerr adds that “people in Columbus                 included numerous Midwest and             manufacturers in Ohio’s capital region a competitive
truly want to work. They are motivated to             Mid-Atlantic locations before the         edge on shipping times.
work hard. Their families are important to            firm chose Obetz for Zulily’s second
them as well. This is a great place to raise          fulfillment center. The other one is                based business. We design and build the
a family. People can enjoy the many things in McCarran, Nev.                                             equipment that makes the product our
that Columbus has to offer and they can                   Zulily CEO Darrell Cavens credited             customer makes.”
do it at a reasonable price.”                         JobsOhio and Columbus2020 with meet-                  Homsi also likes the fact that, from Co-
   Other companies agree. Access to                   ing all of the company’s expansion needs.          lumbus, Autotool can easily reach its many
markets and institutional resources gives                                                                customers in Detroit, Ohio, Kentucky,
technology firms and advanced manufac-                 Competing for Business                             Tennessee, Alabama and Canada.
turers in the Columbus area a strategic                   Another example is Autotool Inc.,                 “Manufacturing is moving more toward
advantage, says Kenny McDonald, CEO                   an automotive industry supplier, which             intelligent and lean manufacturing that is
of Columbus 2020, the region’s economic               recently decided to double its work force          more automated and less labor intensive,”
development organization.                             and its real estate footprint in the Ohio          he adds. “It is now more dependent on
   “The costs of doing                                                                                                      lean processes and lean
business in Columbus,                                                                                                       operation. Manufacturing
                                            Ohio State is a major resource for
and really in all of Ohio,
are so much less than
the rest of the country,”
                                            “
                                            filling our lab with workers.
                                                                                                             ”
                                      — Jeff Carpenter, vice president, sales and marketing, Food Safety Net Services
                                                                                                                            will not chase the cheapest
                                                                                                                            labor but more the skilled
                                                                                                                            labor. It will need to find
McDonald says. “That is                                                                                                     the markets that have the
a big reason why Columbus is a magnet                 capital region.                                    better educated engineers and those that
for manufacturers, logistics companies,                   The firm is building a new $5-million,          have the more experienced skilled labor.
headquarters and business services, and               80,000-sq.-ft. facility in Plain City and will That is exactly what we have found here in
science and technology firms.”                         increase its labor force to 70 workers over        Columbus.”
                                                      three years.                                          That’s also what Food Safety Net Ser-
                                                          “The best business advantage of our            vices found in Columbus. Jeff Carpenter,
                                                      Columbus location is the quality of the            vice president of sales and marketing
                                                      work force,” says Bassam Homsi, founder            for FSNS, says the quality of labor was
                                                      and president of Autotool. “Labor costs            a driving factor behind the company’s
                                                      played a minimal role in our site selection        selection of Columbus for its ninth testing
                                                      because we hire engineers, so we tend to           laboratory.
                                                      pay our employees a lot anyway. What we               “We do full microbiological testing for
                                                      really like here is the fact that the commu- the egg industry,” says Carpenter. “Ohio is
                                                      nity supports technology businesses like           the second or third largest egg-laying hen
                                                      ours. The innovation process is supported          cluster in the U.S., and this is a natural
                                                      here by Tech Columbus and other groups             choice for our operation.”
                                                      from the technical side. Having that com-             The San Antonio-based company
                                                      munity support has been very helpful.”             will employ 40 to 60 workers in the new
                                                          Homsi notes that Autotool looked at            12,400-sq.-ft. lab on Fisher Road on the
                                                      other markets. “We looked around Bir-              west side of Columbus. The $1.2-million
                                                      mingham, Ala., because we have served              facility is set to open on Nov. 1.
                                                      Honda for many years,” he says. “But we               “We are able to hit six different states
Autotool Inc. is an automotive manufacturing
supplier that is doubling its work force and its      know that we can find skilled engineers             with courier vehicles from Columbus,”
total facility footprint in Columbus.                 for our operation here. We are a project-          Carpenter says.                          SITE


       This investment profile was prepared under the auspices of Columbus2020. For more information, contact Wendy Worth at 614-225-6941
                               or by email at ww@columbusregion.com. On the web, go to www.columbusregion.com.

             Write in #243 for free info.                                    S I T E S E L E C T I O N I N V E S T M E N T P R O F I L E : C O L U M B U S , O H I O JULY 2012   21

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Driving Economic Growth in the Midwest

  • 1. A SITE SELECTION INVESTMENT PROFILE: Columbus, Ohio Region Driving Economic Growth In the Midwest Photo by David Phalen courtesy of Experience Columbus Columbus is changing from a steady performer to one of the country’s most dynamic metro areas. T The Columbus Region has been called The new Main Street bridge over the Scioto b y R O N S TA R N E R River frames the downtown Columbus skyline. the test market of the United States ron.starner@siteselection.com because of its diverse economic profile — part university town, a national logistics hub, a center of retail brands such as the As founder, chairman and president she notes. “Our clients are nationwide, and Limited Brands and Wendy’s, and the of Oxford Consulting Group Inc. in it can be very expensive to fly out of any second home of Chase bank, which hap- Columbus, Kerr has seen firsthand the of the airports in our other markets. That pens to be the region’s largest employer. benefits of a central Ohio location. would result in higher costs to our clients. On closer inspection the Columbus region “I founded the company in 1998 in We have access to all major markets at a is all of those things and more, includ- Indianapolis,” Kerr says. “In 2004, we sold reasonable price here in Columbus.” ing home to Honda of America’s North off a portion of the company and we relo- Kerr says that “it just made sense to ex- American headquarters and an impressive cated our headquarters to Columbus. We pand in the Columbus area. We completed list of burgeoning technology businesses. have been here ever since and have estab- our site selection process in April and we In fact, nearly 190 companies lished a presence in Canada, have identified a site near the downtown have chosen the Columbus Atlanta and the Bay Area area. We expect to hire 45 new employees Region to locate and expand of California. We looked at over three years.” in the past 18 months, totaling all of those as potential sites Oxford, with existing offices in the over 22,000 jobs announced. for expansion. In fact, when Columbus suburb of Westerville, pro- When Michelle Kerr we went into this process, vides information-technology consulting scoured the country for the we were thinking that we services for a variety of clients. “We do IT best possible expansion loca- would expand outside of supply-chain and business integration con- tion for her high-tech consult- Columbus.” sulting,” says Kerr. “We connect suppliers ing firm, she didn’t have to The pull of Ohio, in the with manufacturers and manufacturers look far. Michelle Kerr, founder, end, was too much to resist. with retailers. We do fulfillment optimi- She found exactly what she chairman and president, “When we looked at the zation and provide other IT services and Oxford Consulting Group Inc. needed in her hometown of centrality of Columbus and support to small to mid-sized businesses in Columbus, Ohio. the strong access to university talent in the the area.” Plenty of companies are coming to same 11-county region, we came to the realiza- conclusion in the Buckeye State’s capital tion that this is the very best location for A Deep Pool of Talent city. With a central U.S. location and a ro- our business to grow.” Oxford’s business model demands a bust transportation network serving both Kerr says there’s a lot to like in Colum- constant infusion of talented technical coasts, Columbus has rapidly moved to the bus. “We have a low cost of living and workers. “We are hiring out of school and short list of corporate site searches. good Midwestern values and work ethic,” training our own work force,” Kerr says. 20 JULY 2012 S I T E S E L E C T I O N I N V E S T M E N T P R O F I L E : C O L U M B U S , O H I O
  • 2. “We wanted access to a variety of schools. Columbus is “a smart and open Within two hours are 44 colleges and community,” notes McDonald. “We universities. Also, the retail presence here are a Midwest city whose best days in Columbus certainly helps.” are ahead of it, not behind it.” Photo courtesy of Experience Columbus Kerr notes that she worked closely with A case in point is Zulily, the the Columbus Chamber of Commerce online retailer that recently added on the expansion. “They supported me a new fulfillment center in Obetz. throughout the entire process,” she says. The daily deal website that offers “They held our hand through the process products for moms and young chil- and got us the tax incentives we needed. dren plans to add several hundred In fact, we received all of our needed jobs in the Columbus region over permits so quickly, I thought it was a joke, five years. FedEx and other logistics carriers operate out of but it was very real.” The company’s site search Rickenbacker Airport in Columbus, giving many Kerr adds that “people in Columbus included numerous Midwest and manufacturers in Ohio’s capital region a competitive truly want to work. They are motivated to Mid-Atlantic locations before the edge on shipping times. work hard. Their families are important to firm chose Obetz for Zulily’s second them as well. This is a great place to raise fulfillment center. The other one is based business. We design and build the a family. People can enjoy the many things in McCarran, Nev. equipment that makes the product our that Columbus has to offer and they can Zulily CEO Darrell Cavens credited customer makes.” do it at a reasonable price.” JobsOhio and Columbus2020 with meet- Homsi also likes the fact that, from Co- Other companies agree. Access to ing all of the company’s expansion needs. lumbus, Autotool can easily reach its many markets and institutional resources gives customers in Detroit, Ohio, Kentucky, technology firms and advanced manufac- Competing for Business Tennessee, Alabama and Canada. turers in the Columbus area a strategic Another example is Autotool Inc., “Manufacturing is moving more toward advantage, says Kenny McDonald, CEO an automotive industry supplier, which intelligent and lean manufacturing that is of Columbus 2020, the region’s economic recently decided to double its work force more automated and less labor intensive,” development organization. and its real estate footprint in the Ohio he adds. “It is now more dependent on “The costs of doing lean processes and lean business in Columbus, operation. Manufacturing Ohio State is a major resource for and really in all of Ohio, are so much less than the rest of the country,” “ filling our lab with workers. ” — Jeff Carpenter, vice president, sales and marketing, Food Safety Net Services will not chase the cheapest labor but more the skilled labor. It will need to find McDonald says. “That is the markets that have the a big reason why Columbus is a magnet capital region. better educated engineers and those that for manufacturers, logistics companies, The firm is building a new $5-million, have the more experienced skilled labor. headquarters and business services, and 80,000-sq.-ft. facility in Plain City and will That is exactly what we have found here in science and technology firms.” increase its labor force to 70 workers over Columbus.” three years. That’s also what Food Safety Net Ser- “The best business advantage of our vices found in Columbus. Jeff Carpenter, Columbus location is the quality of the vice president of sales and marketing work force,” says Bassam Homsi, founder for FSNS, says the quality of labor was and president of Autotool. “Labor costs a driving factor behind the company’s played a minimal role in our site selection selection of Columbus for its ninth testing because we hire engineers, so we tend to laboratory. pay our employees a lot anyway. What we “We do full microbiological testing for really like here is the fact that the commu- the egg industry,” says Carpenter. “Ohio is nity supports technology businesses like the second or third largest egg-laying hen ours. The innovation process is supported cluster in the U.S., and this is a natural here by Tech Columbus and other groups choice for our operation.” from the technical side. Having that com- The San Antonio-based company munity support has been very helpful.” will employ 40 to 60 workers in the new Homsi notes that Autotool looked at 12,400-sq.-ft. lab on Fisher Road on the other markets. “We looked around Bir- west side of Columbus. The $1.2-million mingham, Ala., because we have served facility is set to open on Nov. 1. Honda for many years,” he says. “But we “We are able to hit six different states Autotool Inc. is an automotive manufacturing supplier that is doubling its work force and its know that we can find skilled engineers with courier vehicles from Columbus,” total facility footprint in Columbus. for our operation here. We are a project- Carpenter says. SITE This investment profile was prepared under the auspices of Columbus2020. For more information, contact Wendy Worth at 614-225-6941 or by email at ww@columbusregion.com. On the web, go to www.columbusregion.com. Write in #243 for free info. S I T E S E L E C T I O N I N V E S T M E N T P R O F I L E : C O L U M B U S , O H I O JULY 2012 21