Based on the article "Time to Rethink Off shoring?" I decided to look into some research regarding the cost and vast variability in the price of oil and other energy in the supply chain world. Though oil costs are currently rather stable, we all know that they will be increasing in the future- are supply chain managers focusing on this looming threat as a way to reduce "offshore" costs by simplifying the locations of the pieces of their supply chains? It would seem to make sense, as the cost of transporting materials continues to increase.
I found this paper http://arrow.dit.ie/cgi/viewcontent.cgi?article=1064&context=nitlcon which examined the supply chains of logistics and transportation companies in Europe, noting that several are now starting to heavily focus on the sustainability of their supply chains via transportation. So in the end will it be the high labor costs in China that drive US manufacturing elsewhere, or simply the fact that they are on the other side of the world?
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