Do you want to streamline your Supply Chain?

Many buyers are taking note of the benefits reaped by the companies that have moved production close to their markets. Instead of focussing solely on low cost production for example in China or India evidence is beginning to emerge on how the supply chains become increasingly robust with the repatriation of production.

Through keeping productions closer to our market(s) we can create shorter, flexible and more effective supply chains that also help reduce the environmental impact. Since most organisations are becoming increasingly concerned with the reduction of their environmental footprint, we can achieve direct positive effects through reduced transport emissions. Furthermore, through Swedish production (standards) you have full control over the manufacturing process and are certain of the fact that everyone is authorised and adheres to laws and regulations applicable to your industry. In comparison, with Asian production it is always difficult to control factors such bribes or child labour etc.  This is an important ‘hygiene factor’ and requires oversight in order to prevent negative customer perceptions. While considering increasing number of global crisis that have emerged in recent years, research shows that localised supply chains are more resilient and cope with the crises better through all stages.

The trend is clearly towards a more self-sufficient system that exists in different regions. Working as a buyer strategically and in close collaboration with critical suppliers who in turn have a network of subcontractors in a local region can be crucial to evade future crises. Since working together proactively reduces vulnerabilities.