There’s no question that the American manufacturing industry is in dire need of an overhaul. With more and more companies offshoring their operations, Americans are struggling to find the manufacturing work they so greatly depended on in years past. The economy is feeling it, too. While 8 in 10 American consumers say they would buy American-made products, an Associated Press-GFK poll found that many consumers are more likely to select lower priced imports over higher priced American-made products.
How, then, can the United States return to its former glory with the allure of low cost goods always looming over American households and budgets? The answer: Reshoring. Reshoring is the practice of bringing manufacturing operations back to the U.S. from overseas. In doing this, companies save money, reduce lead times, restore American jobs, and give the economy a boost.
Over the last few years, several organizations have forged a movement to encourage companies to consider reshoring. At the forefront of this reshoring movement is Harry Moser, president of the Reshoring Initiative.
Founded in 2010, the Reshoring Initiative is a not-for-profit organization that strives to show business owners how and why local manufacturing simply makes business sense.
As a matter of fact, the Reshoring Initiative reports that a majority of businesses see a 20-30% miscalculation when making sourcing decisions. To bring these errors to light, the Reshoring Initiative created the Total Cost of Ownership Estimator®, a free tool that helps businesses accurately determine their total cost of offshoring. The calculator takes into account all aspects of offshoring including inventory carrying costs, shipping expenses, and intellectual property risks. The idea is to get companies to think critically about their options and ask themselves whether offshoring truly is the most cost effective option.
The Reshoring Initiative’s website also provides countless resources for businesses to utilize in their reshoring research. From case studies and data-driven reports to webinars and video presentations, the Reshoring Initiative makes a concerted effort to help manufacturers find their footing when considering shoring options.
The organization also encourages and supports workforce development and works to change the perception that American manufacturing is a low skill industry that’s unsafe and low paying.
But that’s not all the Reshoring Initiative does. The organization is active in both industrial and political landscapes, making their message heard throughout the U.S. So far, Moser has taken his cause to the White House, Congress, and more than 25 manufacturing conferences. The initiative also boasts more than 30 sponsors including Modern Machine Shop, Bank of Merrill Lynch, and The Association for Manufacturing Technology.
To learn more about reshoring or to inquire about how you can get involved in the reshoring movement, be sure to visit the Reshoring Initiative online at www.reshorenow.org.