Regionally Focused Reshoring Initiatives

by admin on December 8, 2010

Projects are underway to move from Phase 1 (broad communication and dissemination of the concept and tools) to Phase 2 (regionally focused reshoring Initiatives that result in a measured # of jobs actually brought back). IL and OH are currently the most advanced in Phase 2. There is also interest in CT, MD, SC, AZ and MI.

Phase 2, very briefly:

a. The Team (Chambers of Commerce, State Economic Development offices, Governor, Mayor, maybe the local labor unions, etc.) brings out OEM execs to learn about reshoring and to commit to try to bring work back to improve their bottom lines and strengthen the community. I believe the execs will make a stronger effort for their home town or state than they would for the country.

b. I train supply chain managers and suppliers re the TCO Estimator and re how to identify the ”bright-red-apple” parts and tools that will be most profitably reshored.

c. We hold a Fair where the supply chain managers would bring offshored work. Shops would review the work and later follow-up and quote. The Fair could have only local participants or be a full national NTMA/PMA Purchasing Fair. See www.purchasingfair.com

d. The Team follows up to motivate the OEMs and monitor the results, e.g. # of jobs brought back.

e. We calculate the effort’s $ cost per job reshored. I believe the result will be relatively permanent manufacturing jobs brought back for 1% of what a one year government job cost under the Stimulus Program.

f. Develop model to take to other cities/states.

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