Case Study: A $400 million OEM designing, and manufacturing telecommunications and medical equipment outsourced manufacturing to an Electronics Manufacturing Services (EMS) company in Mexico. Issues with quality (>10% rejects), on-time delivery (~80%), requirements to maintain excessive finished goods inventory, and the increasing costs associated with managing the EMS contractor (up to [...]
Material originally presented in OMEP Webinar, June 23, 2020. By- Debra Mervyn- The Mervyn Group In-Shoring is defined as using USA based manufacturers and suppliers for the outsourced activities. Near-Shoring (or Regionalization) is the use of countries located on a continent or region for the outsourced activities. Reshoring is bringing back [...]
As described in Reading, Writing, Arithmetic and Reshoring companies were forced to or jumped on the bandwagon to move manufacturing offshore, in part, to lower cost of products or services. Accurate cost accounting started to expose hidden costs chipping away at margins. These hidden costs were not hidden but dumped in [...]
Reading- History of Off Shoring The origins of Offshoring to a U.S.A. enemy can be traced to World War II when Chiang Kai-shek was displaced by Mao, thanks to the United States, but that is another story, Link. Communism ensued and U.S. China problems began at our own hands. History is [...]
The truckers circled round the capital, February 6, 2020, in protest over governor Kate Brown and the Oregon state legislature’s new taxes: gross receipt’s tax, carbon tax, payroll tax and many, many more. You name it there is a tax on business and employees. Your business is facing the ramifications of these taxes. [...]
As explained in the last article, Deming and Drucker were instrumental in taking manufacturing from individual craftsmanship to modern automated production at volume with repeatable quality in all aspects of dimensions, performance, and characteristics. They were advocates of eliminating waste and continuous improvement. They even went so far as to develop [...]
Executives and managers often struggle with who is in charge. One of their battle fields is quality. Often executives do not see the value in quality systems, while managers more often do, but it is not guaranteed. Quality managers always do, but are unable to quantify the benefits in business-savvy terms. [...]