Posts Tagged ‘offshoring’

Will Olympic uniform outrage be the catalyst for change?

July 19th, 2012
By: Vicki Bell

By now, the U.S. Olympic CommitteeRalph Lauren, and you probably have heard much about the U.S. Olympic athletes’ official uniforms, and I don’t mean their style. A July 12 report on the ABC program World News Tonight featured a look at the uniforms designed by Ralph Lauren and made—head-to-toe—in China.

Most of the feedback to the online report on abcnews.go.com was negative. So was the feedback from “Stamping News Brief” subscribers responding to the last week’s newsletter that featured the ABC report. (more...)

Manufacturing: The most powerful jobs engine of all

September 13th, 2011
By: Tim Heston

On Sunday The New York Times business section put a metal fabricator front-and-center. The reporter visited Vermeer, a Pella, Iowa, manufacturer of heavy equipment--and a manufacturer The FABRICATOR covered several years ago. The Times reporter pointed out that “as president Obama urges Congress to enact a package of tax cuts and new government spending intended to revive growth and create jobs, one crucial corner of the American economy--manufacturing--has largely fallen off Washington’s radar screen.”
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Are jobs coming or going?

December 1st, 2010
By: Vicki Bell

September 23, 2010, Caterpillar broke ground for a new hydraulic excavator manufacturing facility in Victoria, Texas. Production is anticipated to begin in mid-2010, and once fully operational, the plant is expected to employ more than 500 people and triple the company’s U.S.-based excavator capacity. That’s good news for Victoria and for the U.S. economy. 

Among the excavator models the new facility will produce are several currently manufactured in Akashi, Japan, and exported to the U.S. While the facility in Japan will continue to operate to meet the growing demand for excavators in Asia, moving production of excavators for the North American market back to the U.S. is a welcome example of an onshoring/backshoring/reshoring trend that began in 2009. Just how is that trend holding up and will it continue? (more...)

Labor is not a bad word

April 27th, 2010
By: Tim Heston

Countless talking heads have argued for and against globalization. Some say it’s an unstoppable force, as companies continue their hunt for the company that gives the most bang for their buck. In manufacturing, that often translates to the cheapest labor that can meet or exceed required quality standards. Others have said fuel costs have changed the math behind the global supply chain. As the economy emerges from recession, fuel costs are sure to rise, and once they do, outsourcing certain work to factories across the ocean won’t make as much sense as it once did. Still others argue that lean manufacturing, the new norm, forces the supply chain to react just in time, and it can’t do this if it has to ship large parts across an ocean.

This is all just math, though—measurements of money and time—and I’ve got a feeling that it’s not the real reason that so many are so passionate. I think it’s more about our view of labor. In manufacturing, labor has turned into a bad word. Managers succeed in part by reducing the labor content within the parts they produce. The less labor it takes to make something, the better. (Even the phrase labor content is a bit dehumanizing.)

No wonder manufacturing has trouble attracting skilled workers. What budding skilled tradesperson, one who has a passion for the attributes of hands-on metalworking, would want to join an industry that has given the word labor such a bad name?

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Irony in Ireland: Global trade and volcanic ash

April 19th, 2010
By: Tim Heston

‭This week has dripped with irony.

On Wednesday I traveled to a press event at Combilift,‭ ‬a forklift and material handling equipment manufacturer several hours northwest of Dublin,‭ ‬in the rolling green hills of County Monaghan.‭ ‬The company exports most of its vehicles and keeps much‭ ‬of its supply base local,‭ ‬a practice that has won the company numerous awards from Irish commerce organizations.‭ ‬The forklift-maker has achieved something local business groups anywhere would applaud. It manufactures locally,‭ ‬sells globally.

Then,‭ ‬well,‭ ‬there‭’‬s this volcano,‭ ‬which has brought a portion of global business to its knees.‭
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