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Rob Spiegel
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Blogger
Re: Efficiency brings manufacturing home
Rob Spiegel   7/9/2013 2:49:34 PM
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Rrietz, you're right about the compounded number of reasons for re-shoring. What I'm seeing is not so much re-shoring as proper-shoring. This is, manufacturing is relocating near its end market. So some of the U.S. manufacturing that began in America and migrated to Asia is moving to Eastern Europe to serve Europe. Some is moving from Asia to Mexico to serve the U.S.

Rob Spiegel
User Rank
Blogger
Re: Efficiency brings manufacturing home
Rob Spiegel   7/8/2013 10:46:36 AM
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Nancy, I think in a lot of cases, the downside of outsourcing has caught up with companies and is now threatening the idea of cost savings. There are a range of costs tied up in quality issues.

NadineJ
User Rank
Platinum
Re: Efficiency brings manufacturing home
NadineJ   7/2/2013 5:23:42 PM
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Rob-I've only seen small to medium manufacturing capacities thriving in the US.  The massive scales that China has succeeded with are moving to SE Asia, Africa and Eastern Europe. 

I see that investment is up but I don't see that mass-production is up.

Do you have examples of companies that produce on a massive (1 million+ units per month) scale in the US?

Rob Spiegel
User Rank
Blogger
Re: Efficiency brings manufacturing home
Rob Spiegel   7/2/2013 2:49:34 PM
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Nadine, manufacturing has already come back to North America. A.T. Kearney's 2013 Foreign Direct Investment Confidence Index (FDICI) put U.S. manufacturing back above China as the largest manufacturing region. Higher wages in Asia and shipping costs are drawing manufacturers closer to the makets they serve. For one, the manufacturing that went to Asia tended to be low cost, low mix. The big complicated manufacturing from indiustrial equipment to cars remains near its market -- a great deal of it here. Add to that military and medical -- which isn't leaving North America -- and the U.S. is still a manufacturing powerhouse.

etmax
User Rank
Gold
Re: Prototyping
etmax   7/2/2013 10:22:09 AM
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Very true, we used to get local PCB's in 2 days if we wanted them, now the fastest is 5 days because of foreign shipping. I used to specify locally made PCB's from our supplier (they also had foreign made) but because we were one of very few that demanded it they shut down their local production and 100 years expertise was retrenched.

etmax
User Rank
Gold
Re: Efficiency brings manufacturing home
etmax   7/2/2013 10:18:30 AM
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I think we need to pray for higher gas prices. I worked for a US company that manufactured part of the equipment in Mexico and then sent it to Singapore for final assembly then sent it back to the US for wholesale to OEM's. That can only happen when shipping costs are ridiculously low. A similar argument could given for the cost of phone calls, if phone calls weren't so cheap you wouldn't have so many calls at dinner time wanting to sell you something and all of the help lines wouldn't be staffed overseas.

The other option is that we finally become patriotic and demand locally manufactered goods and don't buy cheap imports.


If we don't follow one of these 2 paths we really have exactly the economy that we want.

William K.
User Rank
Platinum
"Twisted Traces???"
William K.   7/1/2013 7:42:27 PM
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This sounds like a good start on a trend that should be rewarding in many ways. And it sounds like they are intent on being a full service board house, which can be the best way to gain customers. I wish them success.

William K.
User Rank
Platinum
"Twisted Traces???"
William K.   7/1/2013 7:42:04 PM
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This sounds like a good start on a trend that should be rewarding in many ways. And it sounds like they are intent on being a full service board house, which can be the best way to gain customers. I wish them success.

rrietz
User Rank
Iron
Re: Efficiency brings manufacturing home
rrietz   7/1/2013 10:44:12 AM
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Not only are manufacturing efficiencies allowing re-shoring, but labor costs are rising off-shore.  Shipping costs can go down if transoceanic travel is reduced.  The point about the risk of loss of intellectual property is also a part of the equation.  Buy local, think global.

AnandY
User Rank
Gold
Prototyping
AnandY   7/1/2013 7:38:40 AM
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Prototype of the PCB is manufactured for the stable design, because inherent design faults become obvious in a prototype. In such a case, these faults need to be addressed and the prototype needs to be remade. It's very important that you get quick prototyping services from PCB manufacturing firm to lauch the product to the market faster. Delay at the prototyping stage wil push the deadlines forward.

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