The manufacturing sector is constantly challenged on several fronts: cost reduction leading to outsourcing & offshoring, ensuring sustainable practices, enhancing lean production efficiencies, managing the globalization of the supply chain, integrating new and agile digitalization methods, and manage supply disruptions. The industry now faces another challenge driven by the recent market downturn: near sourcing/ in-shoring which requires re-establishing local manufacturing capability and scaling up the capacity.
- Disruption of historic supply networks: geopolitical and regulatory disruption of historic supply networks driving cost escalation and reduced availability of raw materials, components and finished goods.
- Manufacturing footprint optimization: supply chain and production footprint optimization to accommodate supply network changes and a growth in near shoring, in-shoring of manufacturing.
- Agile: lean manufacturing processes, tools, skills and training to enable respond quickly to customer needs and market changes, controlling costs and quality.
- Digitization: data connectivity, advanced analytics, including portable network devices initiating a paradigm shift in smart production, quality, inventory, maintenance and reliability programs.
- Skilled labor talent gaps: employee & talent retention, leadership development, coupled with changing workforce demographics and evolving skill requirements.
- Sustainable growth: demand for increased regulations, production efficiencies, reduction of unit costs, meet expectations on health, safety and emissions.