Automotive supply giant Faurecia had all but made up its mind to locate a manufacturing plant in Arkansas when Mississippi
recruiters invited them to visit the Delta.
Judging from their decision, Faurecia liked what they saw. In February, the company announced plans to open the plant in
Cleveland instead.
“We took an aggressive approach to get them to come here and look at the site,” said Rick Byars, senior project manager
for economic development at Entergy Mississippi. “They were wowed by the reception from local, state and Entergy representatives.
They noted our desire for them to locate in Cleveland, and it made a big impact.”
Entergy Mississippi has stepped up its economic development presence under the leadership of president and CEO Carolyn
Shanks, who believes that the only way for Entergy to grow its business is to promote growth in its service territory.
Her message is consistent with the company’s “back to basics” initiative, launched in 1998 to focus more resources on
customer service and community involvement. Since then, Entergy Mississippi’s economic development team has restructured
to meet the changing needs of its 45-county service territory.
For example, a community development position was created in the Delta for Lawrence Johnson, whose extensive background
in customer service and local involvement will help build cooperative networks and new opportunities for growth
throughout the region.
“We can’t wait around for business to find us,” said John Turner, director of economic development for Entergy Mississippi.“We’re working hard to develop innovative programs to attract new industries and investing more in existing ones. We
have a new management team with a new focus. We have to do different things to be successful.”
The rules of economic development have changed over the years, Turner said, and Entergy has redefined its strategy to
keep Entergy and Mississippi in the game.
The company now plays more of a facilitator role, he explains, linking together state and local agencies, generating more
funding sources, and helping communities capitalize on their best features and turn weaknesses into assets.
“Economic development has become a very competitive process,” he said. “It now involves site consultants who have
very specific expectations and business models. We also have to continually adjust to trends in the economy.”
Entergy Mississippi has formed alliances with the Mississippi Development Authority, community development agencies,
universities, and other entities to help recruit new businesses and retain existing ones.
Turner’s staff devotes significant resources to preparations on the front end - studying business models, performing competitive
evaluations of communities, and identifying target areas that have the best chance of landing a prospective business
or industry.
“We try to make sure that when prospects come to Mississippi, our communities get a fair look and we show them in their
best light,” Turner said. “We pride ourselves in our relentless pursuit of landing a prospect.”
Even though the pace has picked up, the foundation of economic development is still the same: making communities marketable.
“We act as the selling agent for communities,” Byars said. “We’re their advocates.”
Byars was part of the team that led Faurecia to the site in Cleveland. They put together an incentive package that included
grants from MDA, Entergy and the Mississippi Partnership. They also worked to resolve equipment issues that could have
stopped negotiations at an early stage.
“They seemed to have a clearer vision and, in turn, a better model for associating with prospective companies,” said
Michael Kamsickas, vice president of Faurecia’s Metal Business Unit. “Their commitment, personal hospitality, and positive
relations towards both new and existing business are evident.”
Entergy Mississippi was involved in a similar effort to attract Textron Fastening Systems to Greenville, where 500 new
jobs will be created when operations begin this fall.
Like Faurecia, Textron had its sights set on another location in a neighboring state when MDA and Entergy representatives
pointed them to a building in Greenville that suited the company’s needs.
But finding the right building was just the first step. Textron also had concerns about recruiting and retaining qualified
employees and having access to distribution routes for their products.
To allay staffing issues, the team worked with Mississippi State University’s engineering department to strengthen programs
for hiring and retaining technical staff.
To address supply and distribution needs, the team demonstrated that the Port of Greenville could be used to receive large
shipments at the plant, where 60 million pounds of steel will be processed every year.
“Entergy was part of a team that made every effort to answer our questions and provide the leadership to make the
Greenville plant a positive decision,” says Bob Simpson, executive vice president of global operations for Textron. “Other
states did not have the same cooperation from the business community.”
Recruiting new industries is only half of the economic development equation, Turner says. To cultivate a robust environment,
businesses must thrive and grow. Last year, Entergy created a section within its economic develop team to focus exclusively
on retention and expansion.
When news spread that United Plastic in Sardis was feeling competitive pressure to relocate in Arizona or Mexico, Entergy
pulled in the MDA and local resources and put together an expansion incentive package that included industrial development
bonds, loans, and community development block grants for infrastructure improvements.
Entergy Mississippi also offered incentives based on increased power consumption projected with the addition of equipment
and machinery.
“Partnering for power with Entergy was a great incentive and motivator for our development and expansion,” said David
Robakiewicz, general manager of the Sardis plant. “The team identified equipment needs and developed a site plan, and Entergy
assigned a project manager to communicate with us and ensure a smooth transition.”
Like many states, Mississippi has lost thousands of manufacturing jobs to markets where low-skill labor is cheaper. Now
the state must capitalize on opportunities to attract more high-skilled and professional labor, Turner stresses, and Faurecia
and Textron prove that Mississippi can offer a work force that’s capable and willing to be trained.
Sharpening Mississippi’s competitive edge will benefit the state’s business environment and improve the quality of life for
all Mississippians, Turner said. That’s why Entergy stays involved.
“From the top down, we have more economic development focus,” he said. “There are opportunities today that have never
existed before in Mississippi. Our task is to be very aggressive in economic development, because we believe that the next
five years will define where our state goes in the next 20 years.” DBJ
