The Gilbert and Barker Manufacturing Company: An Industrial Relocation

The Gilbert and Barker Manufacturing Company: An Industrial Relocation Douglas M. Orr, jr.* On December 7, 1965, The Gilbert and Barker Manufacturing Company (Gilbarco) announced it would move its entire facility from West Springfield , Massachusetts, to Greensboro, North Carolina. Gilbarco's relocation was somewhat unique because it involved all of the company's domestic operations rather than a single plant or division of a larger entity. This paper traces the events leading to Gilbarco's relocation decision and examines the underlying motivations and problems that confronted company officials. (1) While students of location theory have continually developed a more refined framework for locational analysis, some of the practical realities that influence specific locational decisions are not always given sufficient recognition . The case study approach to an individual company's relocation helps call attention to the myriad of political, social, and emotional exigencies that almost defy inclusion in the theoretical constructs of the academician. The factors that influenced Gilbarco's decision to move to Greensboro should be of special interest to those who have called for programs designed to attract higher quality types of industry to the South. Gilbarco is a firm employing skilled workers with comparatively high wages. While one firm's relocation is not indicative of a trend, it is the kind of development the South needs in order to break from its past reliance on low-wage and low-labor-skill industrial sectors. THE GILBERT AND BARKER MANUFACTURING COMPANY. The Gilbert and Barker Manufacturing Company (S.I.C. 3586) was established in 1865 by John F. Barker and Charles N. Gilbert to make gas machines for kerosene and whale-oil lamps. In 1910 the company introduced its first gasoline pump for dispensing gasoline at service stations, and today they account for the greater part of the Gilbarco's sales. A line of related equipment is also produced. Gilbarco is a fully owned subsidiary of Standard Oil Company of New Jersey. In addition to its local headquarters and manufacturing facilities, it has a nation-wide domestic marketing organization as well as subsidiaries and licensees who make and sell Gilbarco equipment in Canada, Europe, Asia, Latin America, Africa, and Australia. Including its subsidiaries and licensees, Gilbarco is the largest gasoline pump manufacturer in the world. It is the third-leading producer in the United States, with all domestic production taking place at the new Greensboro plant. (2) The Gilbarco firm, with 750 employees, was one of the older and more important manufacturers in the Springfield area. It was the largest manufacturer in West Springfield and also provided that city with its largest tax source. ?Mr. Orr is a doctoral candidate in geography at the University of North Carolina, Chapel Hill. The paper was accepted for publication in July 1967. 14The Southeastern Geographer HISTORY OF THE GILBARCO RELOCATION. In November 1963 the management of Gilbarco decided that a new facility would have to be constructed for the company's entire domestic operations. The physical plant in which the company was housed was a 60-year-old multi-story structure to which several additions had been made through the years (Fig. 1). The main highway to the front of the plant was a highly congested thoroughfare, and transportation to and from the plant often necessitated passing through the most crowded areas of West Springfield. The plant itself was split by a city street across which parts sometimes moved six times before final shipment. It was necessary for Gilbarco to decide if it should rebuild in the West Springfield area or locate in some other part of the country. The company employed The Fantus Company, the largest plant location consultant in the nation, to make a survey of potential sites and recommend possible areas for Gilbarco's relocation. Coincidentally, Fantus was also making a study for the Greensboro, N. C, Chamber of Commerce concerning advantages to industry in locating at Greensboro. At this time, the employees of Gilbarco and the people of West Springfield were aware that Gilbarco was planning construction of a new plant, but the general opinion was that the new facility would be located in the West Springfield area. However, the Gilbarco management had already become relatively certain that relocation...