Thursday, December 6, 2012

Apple to Move Back Manufacturing

imageToday’s big news doing the rounds is that Apple intends to bring the manufacturing operations back to the US! This happens a day after I wrote extensively on this trend, discussing several examples from many large companies evaluating their off-shored manufacturing operations and deciding to bring them back. Some simply don’t find it cost effective any more, others may have a combination of reasons including the IP and branding risks.

Wednesday, December 5, 2012

The New Manufacturing Destination: Americas

imageThe pendulum on far-shoring for manufacturing may have just swung back. Many factors including higher gas prices, rising labor costs in China, shrinking product life-cycles, innovation premium, environmental-awareness, social branding needs and even political environment have contributed over the last few years to reverse a trend that seemed irreversible. Smaller, nimble, pioneering companies started the reverse trend during the last few years and it may finally become a tide with the likes of GEs joining the fray.