Ten Organizational Design Models to align structure and operations to busines...
Reshoring lighthouse design centre, glasgow, aug 2013 (1)
1. MIke Parsons
Business mentor and innovation coach
Innovator in Residence, Lancaster University Management
School
co-author (with Mary Rose) Invisible on Everest
Founder OMM, lightweight packs and clothing
Formerly CEO and chief innovator Karrimor : 320
employees
6. WHY is RESHORING essential?
EVIDENCE BASED
Sourcing in China since early 80’s
Findings from my April 2013 visit to S China
7. CHINA SUPPLIES
Cost inflation + labour shortage
China factories based on (inland based )
migrant labour
Demographics
New emerging middle class = consumers
8. Western World
London’s streets no longer paved with Gold
New attitudes
Job shortages
Young people’s attitude to factories - change
9. additional rationale for reshoring
IP protection - less ‘leakage’
shorter lead times,
Less capital tied up
Closer to own production
Faster innovation
10. THE HURDLES to RESHORING
Higher costs
Operational (machine) skills
Factory management skills
11. Overcoming hurdles
Ask your China suppliers to set up in Europe
Change business model, sell direct
Innovate by design, use emerging technology
Lean manufacturing/pull systems
12. Overcoming hurdles - examples
Apple brings Foxconn to USA
Change business model, internet and online
sales
Emerging technologies -- 3D printing
Convince your customer that better service =
higher outcome margins
Intake margins, product managers ‘god’
13. The reshoring JOURNEY is long
Every journey
begins with a single step
Start now!
Mike Parsons
Business mentor
and innovation coach
theomm.mike@gmail.com
14. Mike Parsons theomm.mike@gmail.com
Business mentor and innovation coach
Innovator in Residence, Lancaster University Management
School
co-author (with Mary Rose) Invisible on Everest
Formerly CEO and chief innovator Karrimor : 320 employees
Founder OMM, lightweight packs and clothing