outsourcing – OM in the News

Prescription for Pharmaceutical Shortages: Reshoring

Reshoring of pharmaceuticals is viewed by many as a critical issue for the safety and security of the American health care system.

Shortages of a wide array of drugs, including chemotherapy medicines, antibiotics, children’s fever medications, poison antidotes, and AD/HD medications, currently plague the U.S. supply chain and sometimes delay or prevent patients from obtaining critically needed supplies.

Video Spotlight:

Prescription drug shortages make treatment decisions difficult for doctors and patients (July 4, 2023, PBS NewsHour)

By Lisa M. Spencer|2023-11-05T04:44:51+00:00November 5, 2023|Tags: forecasting, outsourcing, reshoring, risk management, shortages, subcontracting, supply chain management|

Pickle Wars: Grillo’s Pickles Deals with Stolen Recipe

Grillo’s Pickles traces it recipe origins back over a hundred years to Travis Grillo’s grandfather. The family recipe calls for fresh food using simple, real ingredients.

In 2008, Travis began selling pickles from the trunk of his car—a 1984 Cutlass Supreme—in and around Connecticut and Massachusetts. That same year, he moved to a hand-made cart in Boston.

In 2009, Whole Foods discovered Grillo’s Pickles and added them to a local store. Grillo’s continued to expand, and by 2019, was the number 2 […]

By Ross L. Fink, Ph.D.|2023-08-13T07:03:57+00:00August 13, 2023|Tags: intellectual property, legal issues, outsourcing, risks, sourcing, subcontracting|

Vertical Integration in the Grocery Industry

The importance of private labels for grocery stores is increasing.

Customers are looking for cost savings that many private label brands offer. However, some private label brands are moving to upscale products, only available through their store, using better quality ingredients and proprietary recipes to drive customer demand.

For example, Albertsons has an O Organics line, which offers an organic option to its customers. Target’s private label brand, Good & Gather, provides products without synthetic colors, high-fructose corn syrup, and artificial sweeteners.

Another […]

By Ross L. Fink, Ph.D.|2023-07-26T05:58:05+00:00July 26, 2023|Tags: outsourcing, supply chain management, vertical integration|

Ford’s Return to Vertical Integration

The push toward electric vehicles (EVs) is driving substantial change among traditional auto manufacturers.

In a recent interview, Ford CEO Jim Farley discussed how the company needs to change. EVs are more than just changing the drive train. As a result, Ford plans to vertically integrate.

Two areas receiving attention are software and components for EVs (specifically lithium batteries).

Currently, over 1400 Tier 1 suppliers provide the majority of Ford’s parts. The decision by Ford marks a return to the vertical integration strategy […]

By Ross L. Fink, Ph.D.|2023-07-13T06:04:05+00:00July 19, 2023|Tags: automation, outsourcing, sourcing, strategy, supply chain risk, sustainability, vertical integration|