As a contract manufacturer, Concept2Manufacturing Partner Noreen King has dedicated her career to building and sustaining a company in an industry that, until recently, had structured its business model around sending the majority of its contracting business overseas.
But put a finger to the wind, and things seem to be shifting. That’s just what King observed in a recent article published in Manufacturing Business Technology. In the article, King pointed out a number of important statistics:
- By the end of 2014, it is predicted that 20 percent of Asia-sourced finished goods and assemblies consumed in the U.S. will have shifted from China to the Americas (source:Gartner, December 2011).
- Companies focusing on reducing inventories and improving just-in-time delivery practices are making the liabilities presented by global supply chains a driving force in this shift (source: Bloomberg Businessweek, February 2012).
To meet the growing demand that reshoring will bring, contract manufacturers here in the U.S. should focus on two things: Reducing the lead-time of production and improving supply chains. King’s recommendations on how to do just that can be found by following this link.