In brief
Greenfield means planning a new site without existing building constraints; brownfield changes or expands an existing plant. The right choice cannot be derived from one criterion alone. It depends on capacity, site strategy, workforce, approvals, relocation risk and life-cycle cost.
Decision criteria compared
| Criterion | Greenfield | Brownfield |
|---|---|---|
| Layout freedom | High because the ideal structure can be considered early | Limited by buildings, utilities and ongoing processes |
| Operational disruption | Production can continue at the existing site | Conversion and relocation phases affect operations |
| Expandability | Can be planned systematically if plot and axes are suitable | Depends on reserves, adjacent space and building structure |
| Workforce and location | Availability and commuting patterns must be reassessed | Existing workforce and infrastructure remain available |
| Approvals | Comprehensive new approval process | Scope of modification and existing rights require early clarification |
Underestimated brownfield effort
At an existing site, costs do not arise from new technology alone. Temporary conditions, repeated moves, provisional solutions, protective measures and work outside production hours can dominate implementation. Every brownfield variant therefore needs at least one realistic construction and relocation sequence in addition to the target layout.
Underestimated greenfield risks
A new build creates freedom but shifts risks to location, approvals, site development and workforce. A geometrically ideal layout has little value if skilled staff are unavailable or transport and energy connections do not fit the operation. The site search must therefore form part of the factory strategy.
Six questions for the direction decision
- Are capacity and expansion reserves at the current site sufficient?
- Can critical material flows be fundamentally improved within the existing structure?
- Which interruptions are acceptable during ongoing operations?
- Which workforce, energy and transport advantages does a new site offer?
- How do investment and life-cycle costs differ between the variants?
- Which option remains viable after a second growth step?
A comparable evaluation model
A robust decision applies the same assessment horizon and volume scenarios to both routes. In addition to initial investment, the calculation covers transition costs, productivity losses, ramp-up, expansion and any later decommissioning. Three scenarios — base, growth and stress — show whether the ranking remains stable.
Related content: the factory planning process, cost logic and our factory planning consultancy.