The Boston Consulting Group has predicted a manufacturing renaissance over the next five years. China is slowly losing their low wage advantage. Oceanic transportation issues have caused many a supply chain manager to go prematurely grey. And happily, part of why manufacturing is shifting is because of productivity gains in the US.
So if BCG is right and as much as 30% of the imports from China in several specific sectors (see below for a list) could return to the U.S., will you be prepared?
While it is difficult to forecast the future, every manufacturer in the U.S. needs to be ready for the next growth trend – while continuing to meet the existing competitive pressures.
Here’s a tip: prepare for the shift by moving to a Pull-driven strategy.
A Pull strategy gives your operations the flexibility to respond more quickly to changes in customer demand – meaning you are less likely to get caught flat-footed.
By the way, for the multi-nationals reading this – this applies to you too. Regardless of where your facilities are located, improved productivity will help you cope with whatever comes next.
To read the whole story, click here: Manufacturing “Renaissance” to Begin Returning to U.S. Around 2015, Research Firm Says
According to BCG, the industries likely to create 2 to 3 million jobs as a result of manufacturing returning to the U.S. are vehicles, auto parts, electrical equipment, household appliances, furniture, plastic and rubber products, machinery, fabricated metal products, and computers/electronics.