Tag Archives: Global

The US and Mexico Truck Transport Agreement

Posted on July 27, 2011 by aviyer2010

A New York Times article (July 6, 2011) summarizes the recent agreement to let Mexican truckers carry loads into US destinations, thus decreasing trade frictions (cost and time delays) at the US-Mexico border.  In turn, this agreement decreases Mexican tariffs … Continue reading →

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Vertical Integration, Global Supply Chains and reliable power in India

Posted on July 27, 2011 by aviyer2010

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 ?

Posted on June 17, 2011 by aviyer2010

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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China cost advantage for manufacturing to disappear by 2015 ?

Posted on June 8, 2011 by aviyer2010

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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Adjusting Apparel features to balance margins with appeal

Posted on May 31, 2011 by aviyer2010

An article in BloombergBusinessweek (May 30, 2011 page 18) describes efforts by designers to balance the needs of designers, who want clothes to be appealing, with manufacturers who want to produce them and maintain margins. This tug-of-war has become even … Continue reading →

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

Posted on May 26, 2011 by aviyer2010

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

Posted on May 19, 2011 by aviyer2010

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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Opening a US plant to make candles

Posted on May 6, 2011 by aviyer2010

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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Rethinking JIT under supply disruptions and erratic growth

Posted on April 29, 2011 by aviyer2010

A Wall Street Journal article (April 29, 2011) describes companies like Terex and Al-jon Manufacturing and their increased inventories of raw material and finished goods given supply disruptions and increased sales growth.  Whil Just-In-Time inventories enable supply to be maintained synchronized … Continue reading →

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Automobile OEM custom chips and Japanese supply bottlenecks

Posted on April 28, 2011 by aviyer2010

An International Herald Tribune article (April 27, 2011) describes the impact of the earthquake caused destruction to chip manufacturer Renesas Electronics with a 40 % market share of automobile microcontrollers.  The company was formed by the merger of three chip … Continue reading →

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