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                           PROJECT CASE  


AUTOMATIC DATA PROCESSING

Based upon projected business volume and migration to a Shared Services platform, ADP determined that up to 3,000 B2B customer service associates would be required over the next five years. ADP initially retained WDGC to provide input on ideal headcount sizing. Predicated on interviews with other companies, WDGC‘s past client experience, and ADP internal HR objectives we determined that ideal size for new sites would be 1,000 to 1,500 FTEs.

WDGC was subsequently retained to recommend three locations to underpin a five-year roll-out strategy. Each location would need to support staffing levels of at least 1,000 over a 30-36 month horizon. Major drivers shaping ultimate location decisions were:

bullet Sufficient critical mass (population, labor force, underemployed pool)
bullet Presence of lower wage call centers
bullet Absence of large, high wage call centers
bullet Labor costs at least 25% less than NJ or CA
bullet Sustainability of labor market advantage
bullet Ample pool of annual two and four year college graduates
bullet Fast track construction for buildings in the 100,000 SF range
bullet Ample parking (7 spaces per 1000 RSF)
bullet Site well positioned to targeted labor pool
bullet Dual teleco feed to the building
bullet Reliable electric power
bullet Minimal natural disaster risk
bullet Time Zone balance
bullet Reasonable incentives package


WDGC launched a two-phase analysis to identify the optimal locations. Phase One was composed of desktop research and outreach to ED groups. Second phase research involved fieldwork including interviews with call centers and like office employers.

Two locations emerged as targets for deploying future customer service operations. They were El Paso, TX, and Augusta, GA. ADP assumed labor market leadership in all three locations. Business costs were up to 25% lower than NJ and CA. Labor quality has been excellent and turnover modest. Incentives packages worth over $10,000 per new hire in all three areas were “icing on the cake.”

 

     
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