Manufacturing Footprint
Optimizing your manufacturing footprint is more important than ever before. Global uncertainties and disruptions are driving many companies to determine how to prepare their manufacturing footprint for the future from for example the perspectives of cost, risk and sustainability.
Southeast Asia is the highest economic growth region of the world the next years. But how to organize your manufacturing & distribution set-ups to take advantage of this large market from a manufacturing and distribution perspective? And how does Asia fit into the current global trade tariff discussions?
Regionalization of value chains means servicing European customers with nearby competitive manufacturing plants. Required: cost effective production with smart manufacturing technologies in locations in Europe, Middle East and Africa which combine low cost, high quality of the business environment (a.o. talent base) and low risks
In the current global environment, uncertainty is a given. Geopolitical turmoil, (manufacturing ) technology developments, labor market challenges, tax climate changes to name a few, are drivers for your company to review and optimize its manufacturing footprint. Strategic considerations that should be included in the scope of your manufacturing footprint initiatives are for example:
- Can we de-risk our manufacturing footprint through decentralization?
- Should we consolidate to maximize economies of scale or should we manufacture close to our customer base in a decentralized footprint?
- What will be the impact of new manufacturing technology on our optimal footprint for the future?
- How should be balance Make versus Buy strategies?
- Are strategies such as near-sourcing, near-shoring, re-shoring, China+1, viable strategies for our company?
A thorough process, with quantitative analysis combined with qualitative and risk analysis, allows you to determine the best footprint solution for your manufacturing operations taking into account business strategy, volume projections and expected external developments.
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