Mark Hansel
NKyTribune managing editor
The question “Why NKY?” was answered by three of the region’s business leaders at the Northern Kentucky Chamber of Commerce monthly Eggs ‘N Issues networking event Tuesday at Receptions in Erlanger.
Joanie Arias, vice president of DHL Express CVG Americas Hub, oversees day-to-day operation of a facility that includes more than 2,000 employees.
Ken Lewis, former owner of the Party Source and current owner of New Riff Distillery on the same campus in Bellevue, has more than 40 years’ experience in the spirits/retailing business.
Guy van Rooyen, president and CEO at Salyers Group and Donna Salyers Fabulous Furs, also previously held senior positions at several financial services and consulting companies.
DHL started with just one route, three employees and four customers. The company has become a global market leader in the international logistics industry that includes more than 285,000 people in 220 countries.
Arias said the number one reason DHL chose the Cincinnati/Northern Kentucky International Airport for its hub is that 60 percent of the nation’s population can be reached with a one-hour flight.
“For us with all of the multi-national customers that we have, that was very, very important, in making that decision,” Arias said.
CVG is the largest hub in DHL’s Americas region, with more than 80 flights in and out of the airport every day.
Lewis, who sold the Party Source to employees, said New Riff Distillery represents an important investment for bourbon.
Lewis, who is originally from Louisville, was debt free after selling the Party Source. He demonstrated his faith in Northern Kentucky, however, by investing money in a product that takes four years to bring to the market.
“Bourbon is the signature industry of Kentucky,” Lewis said. “If you’ll adopt New Riff, we promise to give back to this community and help bourbon tourism and bourbonism in Northern Kentucky.”
The Salyers Group is developing hotel Covington, a $22 million-dollar renovation of Coppin’s Department Store with the Aparium Hotel Group.
Van rooyen, originally from Australia, said the boutique hotel is an expression of the hospitality of the local area.
“It’s a feeling of welcoming – to feel like you’re being embraced by friends,” van Rooyen said. It’s a hotel that’s as much for the locals, if not more so, than it is for the travelers.”
Lewis said when he chose to locate the Party Source in Northern Kentucky 25 years ago, it was primarily to attract customers from Ohio, which still had only state liquor stores at that time.
His reasons for locating New Riff in Bellevue were much different.
“It’s the advantage of being in this fabulous, business friendly – personal relationships matter – kind of smaller area that’s still part of the Greater Cincinnati metropolitan area,” Lewis said.
van Rooyen said he has traveled all over the world and has not experienced anything quite like Northern Kentucky.
“It’s (people are) very prideful of their community…people want to see local businesses succeed and sort of be chosen first if given the opportunity,” van Rooyen said. “There’s just this underlying, sort of grit-under-the-fingernails, hard work ethic. Nobody asks for free lunches.”
Perhaps the biggest challenge for many companies looking to locate or expand in Northern Kentucky is the lack of a qualified and available workers.
The problems of advanced manufacturers that require workers with a specific skill set have been well documented, but DHL, which operates a third shift hub, also has challenges.
Transportation, family obligations and the nature of high-volume, third-shift work contribute to a high turnover rate in the logistics industry. DHL has made a concerted effort to accommodate workers through tuition reimbursement, weekend bus routes and other programs designed to attract and retain employees.
“In the last 18 months we have really taken a much larger stance toward where we look for our future employees,” Arias said. “We all know that there is actually a shortage of employees for different level of employment. However I’m proud to say that I believe we are on the upside of that.”
van Rooyen said Northern Kentucky has all of the advantages of a large metropolitan region without many of the challenges experienced in the huge markets. Traffic is manageable and real estate is reasonable compared to New York, Chicago and other very large metropolitan areas.
“We sit in this little sweet spot of access where you can go anywhere pretty easily,” van Rooyen said. “We’ve got a lot going for us.”
The discussion was moderated by Patrick Crowley of Strategic Advisers.
The next Eggs ‘N Issues takes place April 19 at the Receptions banquet facility and features representatives from the Cincinnati Reds.
For more information on Northern Kentucky Chamber of Commerce events and activities, click here .
Contact Mark Hansel at mark.hansel@nkytrib.com