GLOBAL FOOTPRINT SERVICES: PLANT CLOSURE

GLOBAL FOOTPRINT SERVICES:

PLANT CLOSURE

GLOBAL FOOTPRINT SERVICES: PLANT CLOSURE

BACKGROUND

As part of a global restructuring of business units, a multinational chemical company was closing one of their Chinese production facilities. EWA engaged as Project Leader with responsibility for closure implementation.

GLOBAL FOOTPRINT SERVICES: PLANT CLOSURE

APPROACH

Six months prior to plant closure

    • Closure strategy (budget, timing, expenditures, government relations, etc.)
    • Defined implementation team (Operations, HR, Legal, Security, IT, etc.)
    • Development of communication plans (staff, government, external, etc.)
    • Security risk assessment (employee unrest, physical & IP assets theft, etc.)

Three months prior to plant closure

    • Implementation of operational and protective security measures
    • Finalized equipment & inventory disposition, decommissioning plant, etc.
    • External stakeholder negotiations (governmental agencies, landlord, etc.)
    • Obtain approvals from business zone, governmental authorities, etc.
    • Identification of compliance and payment issues, severance packages
Step 3

Upon plant closure and after

    • Finalization of equipment disposition and plant demobilization
    • Filing government documentation in keeping with the registration, business license, board resolutions
    • Filing of all necessary financials, bank accounts, tax, VAT rebates, registered capital and customs documentation
    • Competition of all de-registration and governmental documentation and plant turnover to the landlord
GLOBAL FOOTPRINT SERVICES: PLANT CLOSURE

RESULTS

    • No theft of IP assets, physical violence or governmental authority repercussions
    • 100% of employees signed employment forms
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