The US has encountered several decades of declining manufacturing, much of it moving off shore to regions where lower labor costs are available. Today, we are seeing a chance as these same regions confront increased costs, largely as a result of these same workers’ wages increasing. This change is also as a result of manufacturers desiring to be closer to their end customer and reducing an emerging cost, freight, etc. for the products they sell.
But wait. As the offshore move happened, so did the needed supply chain to support the manufacturing of products. As this work comes back to the US, these supply chains will need to be rebuilt. We are seeing this already in the automotive industry. Our challenge in part, is to ensure that new emerging suppliers see greater efficiency than did the previous suppliers.
How can we accomplish these hefty goals? From the webcast (see link below) with American Machinist on Driving “Preferred Supplier” status for your manufacturing business, discussion includes the needs of the supply chain for “new visibility” and the new overall efficiencies that will follow.
This may seem to be a scary proposition for many businesses to share information with suppliers on an ongoing basis and not all businesses will be ready to take this on. However, in this new rapid-paced manufacturing environment, there will be companies that can take action and those that fade away.
For more details, check out free on-demand webcast; http://americanmachinist.com/webinar/driving-preferred-supplier-status-your-manufacturing-business
Posted by: Christine Hansen, Manager, Product Marketing at Epicor