Archive for April, 2014
At the present time, major corporations like Ford Motor Company, Apple Computer, NCR and Michelin* are planning to bring jobs back to the U.S. through an initiative termed “reshoring”. The definition of reshoring is basically the opposite of offshoring. It is a business process where companies outsource work domestically vs sending jobs overseas.
Essentially, reshoring will move manufacturing jobs from Asia back to the United States of America. The focus on reshoring is due to rising labor and shipping costs overseas and the high unemployment rates locally here in the U.S. The list below explains how reshoring impacts the U.S. business climate in a positive manner.
- Reduces imports and recovers local jobs.
- Increases the skilled labor market to boost the economy.
- Creates more innovation with manufacturing plants locate near R&D facilities.
- More control of products and management.
- Resolves customer needs in a timelier manner.
- Strengthens companies by reducing compliance risk and intellectual property.
- Assists with balancing local and U.S. budgets.
In an effort to bring manufacturing back to the U.S., Harry Moser founded “Reshoring Initatives”. He has over 45 years of manufacturing experience and is the current chairman of GF AgieCharmilles. Moser’s background also consists of working for the Singer Sewing Machine Company factory in New Jersey.
Moser says, “The Reshoring Initiative takes direct action by helping U.S. manufacturers realize that local production and sourcing often reduce their total cost of ownership of purchased parts and tooling. The Initiative also trains suppliers to demonstrate to these manufacturers the economic advantages of local sourcing. Through reshoring, manufacturing in the United States is starting to gain momentum.” Source <-link – www.reshorenow.org.
One manufacturer of spun and fabricated metal products, Kryton Engineered Metals in Iowa, is spearheading the reshoring effort by bringing back jobs that were once overseas. The CEO of Kryton, Kevin Harberts, was even asked speak in Washington DC with the hopes of helping manufacturers in the U.S.
To get involved and/or learn about how the reshoring initiative can help your manufacturing company, visit www.reshorenow.org.