Finding Profitable Proximity

Low labor costs and stable oil prices have driven the move to offshore production in industries as diverse as textiles and high technology products for almost 30 years. Since then, it has become an almost universally accepted article of faith that manufacturing in low-labor cost (LLC) countries and shipping to demand markets is the smart…

A Return to Profitable Proximity

It is true that there has been in the past a great deal of momentum around outsourcing and offshoring to low-labor cost (LLC) countries in Asia — China in particular. The combination of increasing consumer pressures about pricing (and therefore cost) during a time of economic stress, along with country/regional incentives, lower corporate tax rates,…

Managing the Loss of Knowledge

People are the most valuable piece of the supply chain puzzle. Without great supply chain folks, our supply chains would break, the wheels would stop turning, and we would end up in chaos. It is the knowledge that people hold that make them invaluable; knowledge of their supply chains, the collaborative relationships that they have…