When Merial, a maker of animal health products, decided it wanted all of its facilities located in one general area, it didn't take long for the company to decide on Georgia. Merial relocated its North American headquarters to Duluth, Ga., in April 2001. The company previously had its headquarters in the Northeast.
"We now have three sites within 50 miles of each other," said Dr. Nalini Saligram, spokesperson for Merial. "We really wanted to serve our customers better and this way, we sort of form a business triangle."
Merial is a $1.6 billion global company. Its primary focus centers on animal health products , namely pharmaceuticals and vaccines, according to Saligram.
"As a company, we are committed to enhancing the health and well being of animals," she said.
Merial has nearly 6,000 employees in 150 different countries. By consolidating its headquarters in Georgia, the three Merial locations now total nearly 1,000 people in state. Before the move, Merial had 400 workers in Georgia.
As a promotional move, Merial held its grand opening last May at an Atlanta zoo, sponsoring misting stations for the gorillas and free entry to children. Along with its Duluth headquarters, Merial has a research and manufacturing facility in Athens and a manufacturing facility in Gainesville. The headquarters facility houses a variety of functions, such as management offices, human resources, legal, and information technology departments.
Merial constructed a new building for its headquarters, which later received the American Institute of Architects' Georgia 2001 Design Award of Excellence for Interior Architecture from a pool of 100 other entries.
"It really has some interesting design elements," said Saligram. "It's beautifully constructed."
The building, which cost $25 million, contains 132,000 square feet of space over six floors.
Adjustment easy in Georgia
The transition to Georgia was a smooth one for Merial, according to Saligram. What made this possible was a good working relationship between the company and community. From simply welcoming the company to town, to helping employees obtain driver's licenses, Merial's workers settled in fairly smoothly.
"The business community has been very good in facilitating the move," said Saligram.
Merial focuses its operations on two main areas, production animals and companion animals. It is a key supporter and supplier of products in the agricultural industry, the beef and poultry industry, and in pet health care.
Its key products include Ivomec, a parasite control medicine for cattle; flea and tick product Frontline; and Heartgard, a heart worm medicine for companion animals.
GE Power Systems expands in Atlanta
From pets to power, companies are expanding in Georgia. GE Power Systems first set up shop in the Atlanta area in 1998. As of this year, this leading power equipment supplier has created 2,200 jobs in the Atlanta metro area, according to Jan Smith, spokesperson for GE.
GE Power Systems recently consolidated its energy services division in Atlanta, along with its sales headquarters, and followed that up with its e-business services division as well.
GE Power Systems moved its headquarters to the Atlanta area in February 2001 for a number of reasons. The primary reason is Atlanta's reputation as a key transportation hub, and with 30,000 employees and numerous customers located across the globe, Smith said easy access to transportation is a key element.
According to Smith, GE Power Systems also has many key customers in the Southeast, along with other GE facilities in South Carolina and in Florida. The Atlanta area offers a good pool of technical resources in know-how and personnel.
"That's really been a home run for us," said Smith. "Most of our 2,200 employees came from the Metro Atlanta area."
Some transferred and were recruited to join the team in Atlanta.
"The state of Georgia is a business-friendly state," said Smith. "They make us very welcome here. Clearly, they make it a place where it is good to do business."
GE Power Systems moved into the Wildwood Office Park, located just north of Atlanta. It leases 620,000 square feet of space in five different buildings.
Starting from scratch in 1998, GE Power Systems had an annual payroll of $130 million by the end of 2001 in the Atlanta area. This translates into an annual economic impact on the community of nearly $325 million, according to Smith.
"Clearly, this has been an excellent decision for us," she said.
GE Power Systems supplies equipment and services for all energy needs. This includes turbines and other power generation technology, and management solutions for oil, gas, distributed power and energy rental industries.
Henry County zooms forward
Just 30 minutes south of downtown Atlanta, Henry County has been growing at a rapid rate. The county, with a population of 120,000, is the fourth-fastest growing county in the nation.
Distribution facilities have been popping up in the county, thanks to Interstate 75, which bisects the area, and the Norfolk Southern railroad spur. Toys 'R Us operates a 970,000 square foot distribution center in Henry County, while Nestle and Ford both have boxes that top 700,000 square feet.
The Greater Atlanta metro is within two days of 80 percent of the U.S. population by truck, and within two hours by air.
Recently, ALTA Inc., a manufacturer of plastic bottles, opened its first facility in North America in Henry County. The company employs 50 people at a 150,000 square foot facility.
Ken's Foods, based in Massachusetts, opened an operation in the county in 1997 that covered 87,000 square feet. Today, the facility is 250,000 square feet and 250 people work there. Ken's is a private label bottler of salad dressings.
Pier 1 to build distribution center in Savannah
Reaching the United States, and the world, easily is one reason distribution companies are locating and expanding in Georgia. In Savannah, Pier 1 Imports will build a new distribution center at the Crossroads Business Center.
The company already has a 400,000 square foot distribution center in the city. The expansion will double that. The facility should open by 2003, and will serve 200 stores.
"We have enjoyed a great relationship with the community," said Marvin Girouard, chairman and CEO of Pier 1. "This is an exciting time for Pier 1 as we look forward to the future with this new distribution center to help us serve our stores and our customers more efficiently."
The Crossroads Business Center is located near Interstate 95, the Savannah International Airport and the port.
Auto industry makes noise
The auto industry is quite strong in Georgia, with manufacturers and suppliers growing in the state. Last July, Pirelli announced it would move its headquarters, research and development facility, and a new manufacturing plant to Rome, in northwest Georgia.
The company will invest $141 million and create about 300 new jobs at the Floyd County Industrial Park. The manufacturing facility will churn out Pirelli tires.
"We looked at numerous states and communities and determined that Rome offered the best strategic fit for our company," said Carlo Bianconi, recently retired president and CEO of Pirelli Tire North America.
Pirelli has already hired over 20 employees and will continue adding workers throughout the year.
Also in Floyd County, F-tech Inc. in 2001 opened an auto parts manufacturing facility. Workers at the facility produce suspension parts for a Honda plant in Alabama.
F-tech, based in Japan, occupies 145,000 square feet and employs 75 people. Another Honda supplier, Neaton Rome, opened in Rome earlier.
Rome will also be home to a biomedical company this year. beo'carta, based in Glasgow, Scotland, will open an office and laboratory at the Coosa Valley Technical College Business Expansion Center.
The company helps other firms develop pharmaceuticals for fighting diseases. According to Dr. David Mousdale, managing director of beo'carta, the company will start with five employees and hopes to grow to 75 or more in the future.
Matt Bird-Meyer is a freelance writer from Warrensburg, Mo.