How Will the Recent Surge in Reshoring Affect US Manufacturers? [Podcast] – ThomasNet News

by admin on August 25, 2021

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“We’re getting to an Amazon-driven, consumer-driven world,” says Mahesh Rajasekharan, president and CEO of global ecosystem integration software solutions company Cleo. “Even though they’re B2B manufacturing buyers, they have a B2C mindset right now.”

Equipped with both a Ph.D. and a masters degree in Industrial Engineering, along with an MBA in Finance, Strategy, and Marketing, Rajasekharan is well positioned to provide unique insights on what he and his customers are seeing across the global supply chain in light of the pandemic and other recent influencing factors.

In conversation with Cathy Ma, vice president of platform growth and engagement at Thomas, on the latest episode of the Thomas Industry Update Podcast, Rajasekharan says there are three key questions industrial business leaders should be asking themselves, including:

  1. What do you do as a supplier?
  2. What do you do as a manufacturer?
  3. How do you use data?

For suppliers, Rajasekharan says, the focus should be on product availability and lead times. Ensuring accuracy “on product availability, inventory statuses, and delivery notifications lowers the total cost of ownership for the manufacturer. So they’ll go from a low cost to a more reliable supply chain that offsets the risks and business cost.”

Manufacturers, on the other hand, should prioritize having supply sources close to their areas of demand. This focus allows manufacturers “the ability to make sure that they can meet their customer SLAs, but depending on supply, which is local where they can control the lead times, they can absolutely make up for the increased cost through better demand capture and essentially incremental operating margins on the business,” explains Rajasekharan.

Finally, data and information optimization allows industrial business leaders to improve their agility and flexibility, which incrementally adjusts cost and improves their supply chain.

“Bottom line, I think, is that it’s all about digital transformation,” Rajasekharan says. “Manufacturers are somewhat slower in becoming digital because they think it’s all about cost, cost, cost. But now post-pandemic there’s a huge opportunity to go from just-in-time to just-in-case. Now we’re all thinking, ‘Okay, I’m going to have an agile supply chain. I want to have multiple sources of supply. And I’m going to have real-time information.’

Listen to the Full Podcast Episode

Hear the rest of Rajasekharan’s predictions for the impact of reshoring on the global supply chain and learn from the podcast episode’s second guest, Niels van den Boogert, vice president and general manager of Conveying Solutions at Ammega, as he discusses how the company’s multiple business lines are expanding by capitalizing on reshoring opportunities by streaming the full episode on any of the following platforms:

Check out the extended video cut of this episode on YouTube.

Image Credit: Thomas Industry Update Podcast

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