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What Automotive Supply Chain Leaders Need To Understand Before Reshoring

What Automotive Supply Chain Leaders Need To Understand Before Reshoring

FromAuto Supply Chain Prophets


What Automotive Supply Chain Leaders Need To Understand Before Reshoring

FromAuto Supply Chain Prophets

ratings:
Length:
27 minutes
Released:
May 15, 2023
Format:
Podcast episode

Description

At the heart of The Prophets’ vision are “The 24 Essential Supply Chain Processes.” What are they? Find out, and see the future yourself. Click here The U.S. trade war with China is in full swing, and automotive supply chain leaders are considering their next moves.With the Uyghur Forced Labor Prevention Act (UFLPA) now signed into law and preventing imports from areas using forced labor in manufacturing, companies are setting their sights on alternative markets including India, Mexico and Africa.The Reshoring Institute’s executive director, Rosemary Coates, returns to Auto Supply Chain Prophets with insights into why automotive supply chain leaders need to ensure that any reshoring plans encompass proper planning and plenty of supplier analysis.“You have to go out there and look at your supply chain,” the author of The Reshoring Guidebook says. This proactive approach is critical to adapting to the way supply chain is done in the 21st century.Themes discussed in this episode:The Uyghur Forced Labor Prevention Act (UFLPA) is draconian, but was signed into law for good reason.Positive, proactive control over supply chains is essential for automotive leadership today.Between employment contracts and permits, reshoring from China is no easy feat.Africa needs time to develop as an alternative to China, and India isn’t as attractive as it might look.Europe lacks what the U.S. has: Consumer demand, manufacturing support and governmental support.The top two things supply chain executives intending to reshore need to consider are: Proper planning and supplier analysis.Featured on this Episode  Name: Rosemary CoatesTitle: Executive director and founder of The Reshoring InstituteAbout: As a supply chain professional with many talents, Rosemary provides insight and expertise into automotive supply chain management and the growing trend of reshoring. Connect: LinkedIn | Twitter Episode HighlightsTimestamped inflection points from the show[1:39] UFLPA shielding: The U.S. has come down hard on imports from labor camps powered by the Uyghur ethnic minority in China.[4:24] Positive control: Supply chain leaders need positive and proactive control over supply chains by (surprise) visiting factories making their products — not just any product. This limits the likelihood that suppliers are using slave or child labor.[6:20] Forbidden words: Jan pins down the “two words that every supply chain purchasing professional never wants to hear.” Thankfully, Rosemary provides guidance on a solid total acquisition cost model and where it needs to come from.[9:37] Goodbye, China: Companies intending to reshore manufacturing won’t find it easy. Chinese employment contracts make layoffs very expensive. Then there are the permits: If a company just leaves, they might never be allowed back in again. And they can forget about getting molds and tools back.[13:01] Africa: The next
Released:
May 15, 2023
Format:
Podcast episode

Titles in the series (56)

We really can’t predict the future … because nobody can. What we can do, though, is help auto manufacturers recognize, prepare for, and profit from whatever comes next. Auto Supply Chain Prophets gives you timely and relevant insights and best practices from industry leaders.