Tag Archives: Cost

JIT workers and Sales Impact

A Wall Street Journal article (July 27, 2011) describes the 2009 sales drop of 4.5 % and employment drop of 8.3 % and a ten year growth of 19 % while private sector jobs dropped 2 million.  One concept described … Continue reading

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Vertical Integration, Global Supply Chains and reliable power in India

The New York Times (July 27, 2011) describes a vertically integrated global supply chain built by the Adani Group – with coal mined in their mines in Indonesia, South Korean manufactured ships transporting it 4,000 miles to their port in … Continue reading

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Is US Inshoring of manufacturing and services a trend ?

An article in CNN Money (http://money.cnn.com/2011/06/17/news/economy/made_in_usa/index.htm?hpt=hp_t2) asks if the examples of companies inshoring i.e., bringing outsourced activities back to the US, is a long term trend. The articles identifies GE’s appliance plan in Kentucky that will produce refrigerators and water … Continue reading

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Impact of the DOT delay rule on flight cancellations

An article in CNN.com (http://www.cnn.com/2011/TRAVEL/06/13/tarmac.delays.cancellations/index.html?hpt=hp_bn12) describes the impact of the new Department of Transportation rile that penalizes airlines up to $ 27,500 per passenger for ground delays of more than three hours.  The result was a drop in such delays … Continue reading

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China cost advantage for manufacturing to disappear by 2015 ?

A report by the Boston Consulting Group (BCG) summarized in Supply Chain Digest (June 6, 2011) describes wage growth in China of 17 % a year (vs 3 % in the US) , increasing appreciation of the Yuan and labor … Continue reading

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Volkswagen’s considers building the Audi in it’s US plant

An article in the Wall Street Journal (May 25, 2011) states that  US production enabled VW to drop prices for the Jetta by $ 8,000 thus enabling it to compete with Honda and Hyundai’s cars in the category.  In addition, … Continue reading

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Power cuts in China and manufacturing impact

A Wall Street Journal article (18 May 2011) describes electricity rationing in Taizhou, China, which required some factories to halt production one day a week in March, two days a week in April and three days a week in May. … Continue reading

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Robots to pick drug dosages

An article in Forbes (May 23, 2011,62-66) describes robotic picking and lifting of drug dosages by Remedi Seniorcare. Conveyor style robots take pills from tubes and create individual patient daily dosage sealed plastic pouches. This saves time for nurses and … Continue reading

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Royal weddings, product design and manufacturing

An article in the New York Times (May 5,2011) describes how Pippa Middleton’s (Kate’s sister) gown (worn during the British wedding celebration of William and Kate)  inspired the company Faviana as well as David’s Bridal to create versions for the … Continue reading

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Opening a US plant to make candles

A Wall Street Journal article (May 5, 2011) describes the travails of Chesapeake Bay Candle as they tried to open a plant in the US. Candles face a 108.3 % inport duty and thus only 20 % of their volume … Continue reading

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