Considering more than China’s labor costs

0

SupplyChainBrain: The Library:

“Before you consider outsourcing to China,” Fabin says, “you might want to consider which aspects of production it makes sense to outsource. You need a clear picture of your total supply chain cost.”

Another example about not being blinded by low China labor costs. Companies need to consider the costs of increased complexity as well as the 5-6 week trip across the ocean. I've read other accounts that say if a company has to ship even 10% of product by air freight, rather than by ocean, that China outsourcing savings can evaporate.

Please check out my main blog page at www.leanblog.org

The RSS feed content you are reading is copyrighted by the author, Mark Graban.

, , , on the author's copyright.

Note: Comments have been turned off for the time being to try to shut down excessive spam/bot traffic to the site. If you'd like to add a comment, please share the post on LinkedIn or Twitter with your comments and thoughts.

Subscribe to get notified about posts via email daily or weekly.

close

Get New Posts Sent To You

Leave A Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.