Chasing cheap labor and managing in silos are just two of the mistakes that Jeffrey Karrenbauer, president of Insight Inc., says companies continue to make. Karrenbauer shares his opinions about these and other practices that are, and are not, working in supply chain management.
Hong Kong has maintained its status as the world's freest economy, a distinction that it has achieved for 20 consecutive years. The nomination was made in the 20th anniversary edition of the Index of Economic Freedom, published jointly by The Heritage Foundation and The Wall Street Journal.
What should we make of the volatility that seems to be suddenly sweeping some of the world's most dynamic developing economies, including China, India, Brazil, Turkey, South Africa, Indonesia, and Mexico?
Over the last year, we've posted a number of blogs and published some articles on the benefits of outsourcing. We've discussed the reasons why companies choose to outsource specific functions and shown how business process outsourcing (BPO) providers can actually improve operations and save money. What we glossed over was the necessary relationship that has to exist between the company that's outsourcing and its provider. Making a success out of this relationship is a shared responsibility, one that cannot be overstated.
The key to successful international expansion is to get the help your company needs to fill the gaps in its expertise. And "”especially if you're a small or midsize business "” those advisers must be both knowledgeable and trustworthy. And local.
Slowly and steadily, a handful of Indian aerospace companies are getting absorbed into the global supply chain of OEMs. For instance, in the opto-electronics segment, the new Samtel-Thales Avionics joint venture "plans to become the first electro-optic house in the country," said executive director Puneet Kaura. By 2015, the company intends to supply the infrared search and track system as standard equipment for the Dassault Rafale fighter for the Indian Air Force. Meanwhile, the Thales-Bharat Electronics surface radar joint venture is on track and will be fully operational by March, said Eric Lenseigne, Thales's country head for India. "Offsets at a later stage could be a possibility."
Proforma IdeaPress has managed to remain competitive in the market for printed promotional items, even though its plants are in the U.S. and customer requirements can be extremely complex. Company co-owner Pratt Pande tells how it's done.
Analyst Insight: 2011 marked a watershed year in the way supply chain managers conceived of global practice. Natural disasters that shook up traditional global sourcing coupled with a growing willingness to rethink the value of lowest piece-part pricing led companies to reassess what it means to operate efficient, effective supply chains. Companies are rethinking and reconfiguring supply chains to be more rational, regional, practical, low in total cost and risk, and high in fostering quality and customer value - moving toward rational, lean value streams. - John Shook, chairman and CEO, Lean Enterprise Institute
