SPECIAL ADVERTISING SECTION
QUALITY-OF-LIFE LEADERS
Connecting Quality of Life to
the Bottom Line
Proving that quality of life indices pay off is not something these experts can back statistically. But they all note that satisfied employees are more likely to stay on the job and be more productive, all of which positively affect the bottom line. Conversely, the inability to attract or retain workers and managers can hurt or even sink a business.
"We know quality of life makes a difference because a good location with a good quality of life will attract the better managers and executives [more] than a place where no one wants to go. Happy employees are more productive. You end up with a better operation. It's as simple as that," says Goforth.
He and DeVuono cite examples of companies that were hurt financially when they let dollar signs dictate a location's choice. Goforth knows of a major manufacturer that sunk $100 million into a site that proved so unappealing that many employees resigned or sought transfers. DeVuono cites the example of a Pennsylvania company that moved 20 miles to Delaware only to find it had to offer financial incentives to encourage employees to make the commute.
"There's a cost to making employees happy, but there's a long-term benefit in employee retention," says DeVuono.
To illustrate this point, Butcher cites several New England-based companies that have insisted on expanding in their current locations because of a skilled work force. One, a Massachusetts manufacturer, chose to stay in the Bay State even though Butcher says "by all rights [they] should have left the country to expand their business. But they had deep roots and wanted to maintain their current work force because they felt the production was far greater than they could get from a lower-paying work force both inside or outside the U.S."
Rareshide assisted a Manhattan-based financial firm in moving to Tampa, Fla., where the firm has been "ecstatic about the productivity they're getting out of that location. Their employees are happy not to "deal with the hassle of commuting and other big-city issues."
Regions That Do It Right
Hordes of regions and municipalities tout their quality of life, but these site selectors say hype and a happy face won't cut it. The following are issues site selectors we interviewed insist are essential:
One-stop shop for economic development data and assistance;
Good regional planning and regional cooperation;
Diverse housing stock;
Real, not fabricated, data including soft costs that relate to quality of life;
Testimonials from companies in the same sector;
Streamlined permitting process;
Easy-to-comprehend tax structure;
Cooperation between non-profits and for-profits in the region;
A region or municipality that makes you feel wanted.
Author Amy Zuckerman coined the term "hidden tech" for a Feb. 10, 2002, article in Boston Globe Magazine. She is founder of Hidden-Tech, the networking organization for virtual companies based in western Massachusetts.
Visitwww.hidden-tech.net.