Case Study

Aligning Strategy, People, and Communications During Facility Closures

How Strategic Collaboration Enabled a Smooth Transition for a Leading Manufacturer

SUMMARY/OVERVIEW

Centralizing Distribution While Supporting Workforce Change

In 2025, a prominent manufacturer and distributor reached a pivotal moment. Confronted by significant financial and operational challenges, the organization acted decisively to protect its long-term viability and remain competitive. Leadership opted to consolidate six distribution centers into a new, centralized facility — an important strategic step that also would result in staff reductions and major changes for employees and their families.

The organization turned to BDO to help plan and execute the people and communications components of the transition. BDO’s Global Employer Services (GES) team led the HR project management office (PMO), providing governance, coordination, and execution support. In parallel, our People Strategy & Solutions (PS&S) team developed an overarching communications strategy to enable timely, consistent messaging aligned with organizational goals.

Working alongside the organization’s leadership, we supported a coordinated transition that maintained operational momentum while prioritizing a respectful, employee-centered approach.

Key Takeaways

Operational support

Strong Human Resources Project Management Office support 

Customer satisfaction

Comprehensive people-centered communication and guidance

Efficient collaboration

Powerful cross-collaboration and strategic relationships

Employees in a meeting inside a warehouse
The Challenge

Navigating Plant Closures and Employee Transitions with Precision and Care

The organization made the difficult decision to phase out operations at all locations while ramping up production at a new state-of-the-art facility. To navigate the logistical complexities of these phased closures, the organization needed to:

  • Manage workforce reductions, retention, and transition, including encouraging eligible employees to remain with the company through relocation.
  • Deliver clear, consistent, and timely messaging to the workforce while remaining compassionate and supportive.
  • Develop contingency communications plans in the event of pre-announcement leaks.
  • Support a lean and overextended leadership team throughout the announcement and transition period.

Recognizing that news of facility closures and reductions would be difficult for employees and their families, leaders sought compassionate ways to manage the workforce transition.

BDO Employee presenting to a client
The Approach

Unified Approach to Workforce Transition and Stakeholder Engagement

Our GES and PS&S professionals teamed together to deliver a seamless, end-to-end approach to workforce transition during the consolidation. 

BDO’s GES team led with high-level HR Project Management Office (PMO) support designed to facilitate a smooth workforce transition while maintaining compliance with applicable laws. During this type of business transition, an HR PMO centralizes planning, execution, and oversight for HR initiatives, helping ensure alignment with business objectives while also identifying and tracking broader interdependencies outside of HR. We supported the client with the following key activities:

  • Financially focused workforce decisions: We developed a model for retention and severance programs to guide decision makers and help them understand the cost impact of various options being considered. In addition, we evolved the client’s initial “peanut butter” approach that spread available funds evenly across the organization to a targeted method that allocated more dollars for longer-term retention and roles most critical to the business without increasing the overall budget. This alternative approach better met our client’s goals.
  • Compliance monitoring: Our team monitored the organization’s compliance with applicable laws, including the U.S. Worker Adjustment and Retraining Notification (WARN) Act, and helped our client navigate required notice obligations and timelines.
  • Thought leadership: Our strong strategic relationship with the client’s leaders positioned us to assist with additional needs that arose. We tracked terminations and relocation acceptances, modeled out retention and relocation levers, and served as a thought partner to the leaders navigating this stressful change.

Learn more about how our GES team helps align business goals and workforce strategies.

BDO’s People Strategy & Solutions team helps organizations meet business objectives with people-centric strategies. For this client, that process meant developing a communications strategy that emphasized clarity, consistency, and compassion. 

  • Leader readiness: We crafted key messaging for leaders at all levels, focusing on message alignment and thoughtful communication with employees and other stakeholders.
  • Cascaded deployment: Rolling out communications through a structured cascade helped support the key messaging. 
  • Message control: In accordance with our guidance, the organization released announcements simultaneously across all facilities to help reduce confusion and curb misinformation.
  • Close executive alignment: We coordinated with the CHRO and CEO to draft communications and created a clear timeline for supporting materials. Leaders also received plans about sharing updates with all key stakeholders.
  • Two-way engagement: The FAQ documents and scheduled Q&A sessions we recommended provided further opportunities for engagement and transparency. 

With a lean leadership team managing diverse, complex responsibilities, the collaboration among GES, PS&S, and the client helped leaders manage every phase of the transition efficiently and in full compliance with applicable laws while retaining a consistent focus on transparency, compassion, and operational continuity for all stakeholders.

“We built a communications strategy that helped leaders know what to say, when to say it, and how to engage meaningfully with their teams.” 

- JESSICA ROHMAN, LEAD CONSULTANT
PEOPLE STRATEGY & SOLUTIONS

Two manufacturing employees discuss
The Results

Thorough Execution Leads to Positive Outcomes

Our coordinated, end-to-end approach helped leadership and HR teams feel well-prepared for both the announcement and the transition. The client carried out its plant closure announcements and related workforce transition activities smoothly, with little disruption. 

“BDO’s strategic and tactical guidance was instrumental to the success of our facility consolidation — across both the business and people dimensions. Their knowledge ensured a well‑coordinated transition, and our leaders and teams felt fully prepared from start to finish. Our town hall announcements resonated deeply with employees. BDO was critical to achieving a successful outcome.”
Chief Human Resources Officer
Manufacturing Client

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