Morgan Olson Ramps Up in Danville

Van Manufacturer Utilizes Virginia Talent Accelerator Program to Quickly Build Workforce

Morgan Olson, Danville

In the competitive arena of economic development decision-making, answering the “Where are we going?” question leads to an equally critical query: “How fast can we get there?”

Fueled by the new Virginia Talent Accelerator Program, the Commonwealth now has a simple answer for companies and site consultants: “Faster than ever.”

In partnership with Michigan-based Morgan Olson, North America’s leading manufacturer of all-aluminum walk-in step vans, the Virginia Talent Accelerator Program is conducting its first speed test: recruiting and training 700-plus assemblers and fabricators for the company’s new facility outside Danville in Southern Virginia.

“The process has been great, and the resources to get us established in a new area have been phenomenal,” said Morgan Olson Vice President of Human Resources Brent Butler. “The Virginia Talent Accelerator Program has been an extremely valuable resource to partner with.”

Morgan Olson, Danville

Under the Hood

The Virginia Talent Accelerator Program launched in 2019 as a collaboration between VEDP and the Virginia Community College System. Its objective is to do exactly what it states — accelerate the hiring and training timetable so that new and expanding companies can ramp up their new operations as quickly as possible. The program’s world-class instructional designers, 3D animators, videographers, and graphic designers make this happen in partnership with the company by creating customized recruitment and training services at no cost to the company.

It’s not the only workforce development incentive that Virginia is using to influence companies to consider the Commonwealth. They can also opt for the Virginia Jobs Investment Program (VJIP), an existing grant program designed for companies who want to develop recruitment and training in-house. Anticipating the impact it could have on their start-up time, Morgan Olson opted for the full-service approach offered by the Virginia Talent Accelerator Program.

When the Rubber Meets the Road

When IKEA announced in July 2019 it would shut down its 925,000-sq.-ft. facility at Cane Creek Centre Industrial Park, eliminating 300 jobs, the facility wasn’t on Morgan Olson’s radar. But it set the stage for a frenzied few months.

Morgan Olson had been performing reconnaissance around the country to secure the site of its fourth expansion in six years. The company started with ambitious site selection criteria: an existing building with ceilings of 26 feet or higher, a minimum of 500,000 sq. ft. of manufacturing floor space, and 100 acres of developable real estate. After a nationwide search that included other Virginia options, the company narrowed the search to four sites.

“Things skinny down really quickly when you’re looking for a big space like that,” said David Halladay, vice president of operations for Morgan Olson.

With several of Morgan Olson’s vehicle production programs evolving and several promising new programs on the horizon, the company decided a 500,000-sq.-ft. facility would no longer be sufficient.

“That’s when VEDP brought to our attention the IKEA factory,” Halladay said.

With a real-estate option in hand, Virginia was now able to offer a customized training solution through the Virginia Talent Accelerator Program. The timing synced up ideally for Morgan Olson to become the first company to benefit from the program.

“It was a very, very attractive package to help with training, tax rebates, credits for investments,” Halladay said. “Just a very attractive package from the state of Virginia.”

The First Leg

In October 2019, just three months after IKEA announced its departure, Virginia Governor Ralph Northam, Morgan Olson leadership, and other key players gathered in Danville to make the official announcement. It was now time to get rolling: hiring, onboarding, and training the 703 new employees who would contribute to the assembly of the aluminum walk-in step vans making deliveries to homes and businesses across the country.

After the announcement, Virginia Talent Accelerator Program staff and representatives from Danville Community College (DCC) traveled to Morgan Olson’s plant in Loudon, Tenn., to gain a complete understanding of the company’s plans, requirements, and vision for the Danville facility. This included observing the assembly process and conversing with Morgan Olson’s operations, human resources, and training leaders, along with subject matter experts in every aspect of the operation. Development of custom materials to support Morgan Olson’s pre-hire screening, job-specific training and leadership development progressed for the next three months to get ready for instruction that began in March.

Former IKEA employees received priority consideration for Morgan Olson’s open positions. Once candidates applied, they were screened in pre-hire sessions focused on core skills: assembly, riveting, and measuring.

“In general, the pre-hire screening was valuable and saved us time,” Butler said. “It gave us a broader look at individuals.”

Training began in March at the nearby Institute for Advanced Learning and Research. There, eight Virginia Talent Accelerator Program trainers began their instruction aided by simulations, broadcast-quality videos, and 3D animations illustrating Morgan Olson’s production processes.

Training for production team members includes an introduction to tools and equipment, safety procedures, and skills such as riveting and quality inspection. The technical training culminates with trainees building the cab of a step van. Soft skills, including communication skills and Lean principles, are equally important components of production training.

Team leads, supervisors, and managers are immersed in a 160-hour Leadership Academy to equip them with skills that enable Morgan Olson’s collaborative culture, tackling topics including emotional intelligence, managing conflict, and managing across generations. By the end of April, the Virginia Talent Accelerator Program hit the milestone of delivering 500 training hours.

Steven Parker, general manager at the Danville-Pittsylvania facility, has been Morgan Olson’s boots on the ground from the start, working closely with the Virginia Talent Accelerator Program.

“I’ve worked with workforce development programs in four different states throughout the Southeast. They all have amazing qualities that make their states proud and able to draw business,” Parker said. “[The] Virginia Talent Accelerator has been the most engaged that I’ve worked with. They have such a talented and diverse team that covers all the needs for a company new to the area. They’re proficient with training, recruitment, applicant screening, Lean principles, leadership development, and standardized work.”

Morgan Olson, Danville

Shifting Gears

As the Virginia Talent Accelerator Program team delivers training for the start-up, the other key cog in the collaboration, DCC, is providing additional support while gearing up to serve Morgan Olson’s long-term needs.

“Morgan Olson has already hired six welders from our non-credit program and one welder from our credit,” said Debra Holley, DCC’s vice president for academic and student affairs. “Once students can return to campus, DCC plans to incorporate Morgan Olson materials and welds into the project work that is part of the credit programs.”

Even before the Morgan Olson announcement, the college was working to increase student capacity investing in state-of-the-art facilities. DCC also developed the model and led the effort for the current regional engineering and manufacturing career development pathway that starts in the sixth grade and runs through high school into the community college.

At the completion of the company’s ramp-up, DCC will be positioned to assume the training functions, with a focus on further advancing employee skills. Holley said the college will support Morgan Olson’s long-term needs through traditional workforce development programs as well as two-year degree programs. They will also set up specialized, short-term training.

“I have no doubt that when it’s time for us to take over addressing Morgan Olson’s training needs, the transition will be smooth and efficient,” Holley said.

Looking Ahead

With Morgan Olson on the fast track, the halo effect of the Virginia Talent Accelerator Program is already being felt in Southern Virginia. Regional leaders are starting to hear from companies in the Morgan Olson supply chain that are interested in making the move as well.

This is a bigger story than what’s happening in Southern Virginia, with new chapters unfolding across the Commonwealth. The Virginia Talent Accelerator Program is the Special Forces of Virginia’s arsenal of services, designed to be rapidly deployed anywhere in the Commonwealth to deliver results quickly and efficiently.