Make a move: how to keep employees onboard in a major relocation.

• Author: Stewart, Heather
• Position: Lessons Learned

Spillman Technologies faced a crucial turning point in 2005. Located in Logan, the growing company was finding it difficult to recruit skilled workers--the talent pool in Cache Valley was not big enough, and many potential hires just didn't want to move to Logan.

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The company also needed better access to the Salt Lake International Airport. Travel is a huge part of Spillmans business--the company spends almost $1 million a year on travel--and the long drive from the airport to Logan was an added burden to employees and executives.

On top of all that, Spillman had outgrown its building. Needing to obtain new offices anyway company leaders weighed the idea of relocating to the Salt Lake area.

But the three-decades-old company had nurtured an employee-centered business. Spillman Technologies considers its employees family, says CEO Lance Clark. So the challenge was moving the company from Logan to Salt Lake and retaining as many employees as possible.

"It's all about the people," says Clark. "Software is so intangible. It's really the people. It was important that we kept the core group together: the software engineers who know the product inside and out, the support technicians who know the product, and the sales staff who know how to sell the product."

Calm the Fears

The first step was presenting the idea to the team. "When we announced it, it was a big shock," says Clark.

The company had selected a site in West Valley City to build a new facility. Company executives held an open house near the proposed site to present detailed plans and answer employee questions.

"We wanted to give employees the vision," says Clark. "It helped calm a lot of fears and got them excited about it."

Ease the Financial Sting

Moving creates a lot of expenses--and Spillman resolved to eliminate as many as possible for employees. The company paid for moving expenses and living expenses, and took care of closing costs when employees sold and then bought new homes. "It was a hefty bill ... close to $2 million" says Clark.

Take on the Logistics

In addition to footing the bill, the company provided professional resources to help make the move painless for employees. Spillman retained a real estate agency that handled the home sales in Logan and then helped employees find new homes in the Salt Lake area. The real estate agency provided one-on-one consultations to the employees and showed homes in Davis, Salt Lake and Utah counties.

Spillman also...