Not just photo-ops: Businesses gain from political visits

ASHEVILLE – Before Chris Champlin begins every tour of Thermo Fisher Scientific, the vice president and general manager of the Asheville plant grabs a set of plastic safety glasses and a pair of steel-toe caps to slide over his leather dress shoes.

"It's protocol," he said, as he pushed open the door to the factory floor where men bend copper frames for ultra-low temperature freezers and yellow forklifts rove around the room.

When 10th District U.S. Rep. Patrick McHenry visited the manufacturing facility last month, site manager Jeff Powers told the North Carolina congressman the same thing before he handed the Republican protective glasses.

Then again, the three people who give these types of tours at Thermo Fisher Scientific have had plenty of time to hone their routine.

Champlin estimates that at least six politicians have accepted invitations to visit the Asheville plant in the last 12 months.

For politicians, visiting and speaking at businesses like Thermo Fisher Scientific gives them a chance to better understand the district they serve, meet with constituents and learn more about an employer in the region.

But there is another side to the story. These events, held privately and publicly, are not one-sided affairs for political gain. Sometimes the businesses do the inviting — and have the most to gain.

So, when McHenry walked the 289,000-square-foot facility in March, he heard about the lab products manufactured every day at the Asheville facility.

He learned that the ultra-low freezers are being used by research scientists whose mission is to find a cure for cancer.

He was informed the business employs close to 1,000 people between its manufacturing plant just shy of Weaverville, its call center at Biltmore Park and its training facility on Elk Park Drive.

And, when the topic of scientific research came up, a person whose legislative powers can actually help determine the fate of its funding through the National Institutes of Health was listening.

A similar spiel was given when U.S. Rep. Mark Meadows walked the floor in February 2013 and again when former U.S. Sen. Kay Hagan toured the site in September 2013. There was also an April 2012 visit from U.S. Sen. Richard Burr and an October 2012 one from former U.S. Rep. Heath Shuler.

"For any visitor, we always want to put on a good show," Champlin said. "It's all about becoming more visible in what we do."

The value of putting on a good show will never be found on a company's balance sheet, but there is still much to gain.

"Generally, there are three values that a business would derive from a politician making a speech at their business," said Ted Zoller, director of the Center for Entrepreneurial Studies at the University of North Carolina's Kenan-Flagler Business School. "To support the brand and support the overall identity of the company in the region, to serve as a recruitment vehicle and position the company as a vital engine of economic development and innovation in the regional economy and the third reason is to receive consideration by way of legislation and policy."

Home-field advantage

An immediate upside to hosting a politician is the chance for a company to be able to show, rather than tell people in power, the work it does daily.

"It's like you're opening the door and inviting them into your home," said Kathryn Blackwell, vice president of communications and marketing for Continental Automotive Systems.

The international company has plants in countries around the world, including a facility in Fletcher that employs about 700 people and manufactures hydraulic systems and braking instruments for the automotive industry.

When the facility celebrated a $35-million expansion in March 2014, Gov. Pat McCrory, former N.C. Commerce Secretary Sharon Decker and Meadows met privately with company leaders for 30 minutes before the event began.

"You're not trying to catch someone's ear as they're walking into a session in Washington. And, you have the elected official that is about to be in front of literally hundreds of constituents at once. You have them captive, heart and mind, at that point," Blackwell said.

According to Jeff Scott, plant manager at Continental's Fletcher plant, educating politicians about the work being done right before their eyes during a tour can bring the company's mission home in a meaningful way.

During the recession, people were not buying much of anything — including cars. Now, those days are gone, and, as a result, the Fletcher facility has been able to grow, not only in terms of its production numbers but its employment opportunities.

"It's good for our dignitaries to know what it is we do from a business standpoint and how we are a big part of our community and what we have to offer," Scott said.

The same thing can be said at Thermo Fisher Scientific.

The Massachusetts-based company has been making scientific equipment at its Asheville manufacturing plant for more than a decade. However, Champlin joked that few people enjoy talking about ultra-low temperature freezers.

Seeing, he explained, is not only believing but inspiring.

"I think one of the reasons the politicians accept our invite almost all the time is because we still make stuff. In a day when people will concentrate on something that could be app-based where you can't see it, touch it, feel it or everything else, what we do is special," he said.

And when it comes time to call on legislators for some help, a special visit to the business can help cement a company and its interests in the mind of a politician.

"As a lobbyist in D.C., I can barely do justice to try to describe what you see when you come to the site," said Tim Fenton, senior director of global government relations for Thermo Fisher Scientific. "But once they walk in the door, put on the steel-toe boot covers and the safety glasses, it's just a much more meaningful interaction than I could ever hope to accomplish in Washington, D.C. in a business suit."

Formal and informal lobbying

In mid-May, construction is expected to wrap at the New Belgium Brewing distribution center in Enka, though it will not be opening until sometime this fall.

Despite the faraway opening date, New Belgium spokesperson Susanne Hackett said private visits from politicians and other community stakeholders at the distribution center can be expected in the coming months.

"We are celebrating that milestone with those who have been part of that process," Hackett said in an email, noting that construction is ongoing at the $140 million East Coast brewery being built in the River Arts District. "We include elected officials, and many others, in events that mark partnership milestones that have made our local Asheville brewery and distribution center and national expansion possible."

One of the most effective ways a company can not only celebrate its milestones but remind politicians of its needs is through lobbying efforts that align with business interests.

"I think there is a general perception that there is dialogue between business and politics, but most people don't know how direct it is. When you have a major business employing hundreds or thousands of people, they are definitely engaged in the political system," said Zoller, whose research at UNC Kenan-Flagler, among other topics, has focused on the role and structure of entrepreneurial networks. "They need to influence clients who can support the growth of the company, on both the elected and professional side, to make sure their interests are covered. You can look at any company and see that any company will have interests. Many companies these days are looking for incentives to continue to expand and grow and add to their employment base."

According to Andrew Lemley, government affairs specialist for New Belgium, there is a running list of public policy items the beer company tracks and supports with direct lobbying at the state and federal levels.

"At New Belgium Brewing, we believe that good public policy is good for people, the environment and business," Lemley said. "We work with our legislators to support the craft beer industry and issues that have wider reaching affects like clean water, sustainable agriculture, good workplace policies and employee ownership."

Voicing business-driven policy concerns does not always take place in brokered meetings between lobbyists and lawmakers.

Building these relationships can take place right on the manufacturing floor.

And unlike a letter writing campaign or a power meeting, inviting a politician to tour and talk at a business establishment can be more powerful, largely because it can be more difficult to forget.

"I always say to our site leaders that one 90-minute site visit with a tour, town hall and a discussion is worth 100 Washington, D.C. meetings as far as value goes," Fenton said. "A meeting with a lobbyist wearing a suit in Washington is not really memorable. They spend all day in Washington meeting with people in suits."

However, unlike the cause-and-effect world of business, there are no guaranteed outcomes for a business that hosts a politician.

"You have to determine to what extent an official has legislative power, and what kind of access do they have, and whether they are a high-ranking official on key committees that review policy," Zoller said. "But you have to remember that even if someone has a lot of sway, they can't command or guarantee anything."

That doesn't stop companies from trying to make sure they are whispering their needs in the right ears, though.

For Thermo Fisher, NIH-backed projects are a significant market for the business.

When McHenry and Hagan visited the facility on two separate occasions, it was a talking point made by both elected officials during their town hall meeting with local Thermo Fisher employees — even though Hagan and McHenry come from different sides of the aisle.

"When we do seek help from politicians concerning anything, whether it be NIH funding or something else, it's always a bipartisan effort," Champlin said.

Employee access

But a visit isn't just about the company leadership getting a chance to talk politics. Employees get to do some of the talking, too.

When McCrory and Meadows toured the Continental plant in Fletcher on March 28, 2014, Charles Shepherd had not previously interacted with politicians or elected officials.

But on that day, the materials supervisor got his chance.

"I see their faces of television all the time. It felt great to share words with them," said Shepherd, who has worked for the automotive systems company for a decade. "Both gentlemen asked how long had I worked for Continental, my job description and how I ended up working for the company. I enjoyed the conversations. I could see that they heard every word I spoke because both of them asked a lot of questions."

It isn't every day that a person gets to go to work and talk directly to their representatives.

"It's the element of employees as voters," said Blackwell. "It is a rare opportunity for someone to be able to speak and shake hands with an elected official."

Two years ago, President Barack Obama visited Linamar Corp. less than 24 hours after he gave the State of the Union address to the nation. During his talk to about 300 people at Linamar Corp., the president specifically referenced Asheville's Jeff Brower, a machinist at the plant that he met during his tour of the local manufacturing facility.

"It's a highlight just meeting him — he's the president of the United States!" Brower said during a Feb. 13, 2013 email interview with the Citizen-Times. "I felt honored and proud to be an American and part of this great team at Linamar."

The downside to these visits, however, can be disruption. Scott, the plant manager, said these visits are often planned months in advance. On these days, Scott said the business can expect a slight decline in its production.

As Champlin explained at Thermo Fisher, "If an employee is stopping to tell an official how they do something, then they aren't doing it."

Oftentimes, a town hall style forum will be held. At Thermo Fisher, employees can attend these events on a first-come, first-served basis.

Fenton, the senior director of global government relations for Thermo Fisher Scientific, helps arrange some of these visits. Though employees are able to ask their own questions, Fenton said he does provide sample questions to one or two employees who he thinks will be able to get the conversation started.

"You always need a first person to ask a question. I always try to make sure somebody's going to break the ice. I tell them, 'Here's a suggested question, but feel free to ask what you want,'" he said. "More often than not, those questions don't get asked because they don't need them because they have their own ready."

Building relationships

But more than anything, company officials say these political visits are an important step in developing their relationship with politicians for the present and the foreseeable future.

"As anyone with a growing business knows, it takes a village. You don't get there alone. Elected officials are just one of the necessary partners that make communities and businesses thrive. And, as we've seen, what happens in Raleigh and Washington hits home, and we want to help keep home top of mind," said Hackett, a spokesperson for New Belgium.

It's a never-ending cycle, too.

In the coming days, Continental will host Pennsylvania Congressman Mike Kelly at its headquarters in Detroit, where he will meet with executives and then the broader employee base. Kelly is a co-chairman on the House Automotive Caucus.

"One day, he could be working on legislation and call for using our technology as standard equipment," Blackwell said, comparing the hypothetical example to what happened years ago with federal legislation requiring that all new passenger vehicles built after September 2011 must be equipped with anti-lock braking systems.

"All of that started somewhere. That's the type of thing we look to engage in discussion with the elected officials," Blackwell said. "But you don't expect anything to take hold after a half-hour meeting with a congressman. It's all about building relationships."

And those relationships can make a real difference in the overall success of the business, Champlin said of Thermo Fisher Scientific.

"You know what they say," he said. "You always want to have relationships before you need them."

Political visits

Some of the political visits and speeches at area businesses in the last three years:

March 10, 2015: U.S. Rep. Patrick McHenry tours and holds a town hall at Thermo Fisher Scientific.

October 15, 2014: Gov. Pat McCrory and U.S. Rep. Mark Meadows tour and speak at the grand opening of Asheville's GE Aviation plant opening.

March 28, 2014: Gov. Pat McCrory, U.S. Rep. Mark Meadows and former N.C. Commerce Secretary Sharon Decker visit Continental expansion event in Fletcher.

Sept. 6, 2013: Former U.S. Sen. Kay Hagan tours and holds a town hall at Thermo Fisher Scientific.

Feb. 13, 2013: President Barack Obama tours and speaks at Linamar Corp.

October 3, 2012: Former U.S. Rep. Heath Shuler tours and holds town hall at Thermo Fisher Scientific

April 12 2012: U.S. Sen. Richard Burr tours and holds a town hall at Thermo Fisher Scientific

April 5, 2012: Former Gov. Bev Perdue attends and speaks at New Belgium Brewery's East Coast facility announcement.