outsourcing – OM in the News

Peloton Manufacturing Cycles to the U.S.

Peloton has selected Troy Township, Ohio, as the location for its first factory in the U.S. to build bikes and high-end treadmill machines.

The factory will have one million square feet of manufacturing, office, and amenities space. More than 2,000 jobs will be added to the area. When the new factory is up and running by 2023, Peloton will become less dependent on its third-party manufacturers in Asia to produce home fitness equipment to meet surging local demand in the U.S..

By Anita Lee-Post, Ph.D.|2021-10-14T21:31:29+00:00October 14, 2021|Tags: capacity planning, facility location, insourcing, location, outsourcing|

Ford Ion Park: Vertical Integration for Batteries

Ford is launching a new battery development center called Ford Ion Park in Southeast Michigan. The center’s purpose is to conduct research on building battery cells for electric cars that are long lasting, quick to charge, and sustainable for the environment.

By preparing to make the batteries in-house, Ford will be less dependent on overseas suppliers and stay competitive with other car makers such as Tesla, Volkswagen, and General Motors.

Video Spotlight:

Ford Electric Car Battery Manufacturing (Apr […]

By Anita Lee-Post, Ph.D.|2021-06-15T22:17:27+00:00June 15, 2021|Tags: bottleneck, capacity strategies, insourcing, outsourcing, vertical integration|

Semiconductor Shortage Takes a Bite out of Apple

A shortage of semiconductors is affecting the production of cars and electronics.

This is another example of a bottleneck in a strained supply chain. Several factors converged to create the current situation, and it appears that consumers will have to endure the consequences of disrupted supply chains for some time. A solution to the problem is to strengthen the domestic supply chains, but it will take years to implement.

Video Spotlight: The Reasons for the Semiconductor Shortage

This […]

By CMKaruppan|2021-05-12T21:35:41+00:00May 18, 2021|Tags: bottleneck, bullwhip effect, insourcing, outsourcing, respsonsive supply chain design, shortage, sourcing, supply chain management|

Rare Earth Elements and the Triple Bottom Line

COVID-19’s impact on supply chains has brought attention to the United States’ reliance on China and other countries for manufacturing critical items using Rare Earth Elements (REE).

REE materials are needed to make hybrid car batteries, computer touch screens, and special magnets used in the defense of the nation. The issue arose from environmental regulations that begin in the 1960s to the 1980s. As costs rose to make products using REE in the United States, manufacturing shifted to other countries.

Video […]

By David Little, Ph.D.|2020-06-30T03:54:44+00:00July 10, 2020|Tags: coronavirus, outsourcing, reshoring, sourcing, supply chain risk, sustainability, triple bottom line|