How to Improve Resilience and Response Time

Jun 28, 2022Articles

Our quick changing geopolitical climate is causing companies to reconsider their offshoring strategies. Unpredictable forecasting, which we talked about in a previous blog post, and the logistical nightmares that come from choosing the wrong trend are just a small part of the challenging circumstances that manufacturers deal with when outsourcing their production. 

From cars and footwear to vaccines, we are rediscovering the advantages of having suppliers closer to consumers. According to The Manufacturer, “Global players such as Apple and GoPro that have been expanding local facilities and moving manufacturing closer to their key markets have seen the benefits of being able to exercise a more strategic manufacturing vision.” Also, Ford and South Korea’s SK Innovation recently announced a plan to build a lithium-ion battery plant in Kentucky and Europe, in order to help ease the semiconductor crisis. 

In a Financial Times article, Simon Freakley, chief executive at AlixPartners, stated that, “Not even China is going to be the low-cost manufacturing center it once was. Areas like Texas and Kentucky have the added advantage of just in time and just in case.”

This shift is called “Onshoring,” the practice of bringing offshored operations back home to their original country. There are several benefits:

  • Logistics become simpler- Goods are unlikely to get stuck in the Suez Canal
  • Response times are quicker- Ease of introduction of new products and responsiveness in your time zone
  • Feeling secure in your OTIF orders- You would not need to cater for weeks at sea, travel restrictions, or factory auditing overseas.
  • More Sustainable: Reduces carbon footprint

It may not be for everybody, but now is the time to consider manufacturing from home. We want to help make this transition as seamless as possible with our proprietary inventory management software, Supply Stream. It reduces shortages,ensures more timely shipments from manufacturers to their customers, recovers lost orders, and eliminates operational expenses. By integrating Supply Stream into your production operation, you can rest assured that you’ll never run out of raw material again.

For more information, visit