Make vs. Buy
Almost all production environments have one thing in common: they have a long history that has led them to produce what they do, exactly how they do it. While there is often comfort in the status quo, there can also be great comfort in the knowledge that external resources exist to help you overcome challenges. There are four primary reasons to seek solutions from a supply chain integration specialist:
- Core Competency: Are you able to perform this function or process well? Does it
makes sense for your organization? - Opportunity Cost: What additional duties could you accomplish if you were not performing this process in-house? What benefit would be gained by choosing an alternative path?
- Production Cost: What are the hard costs of the in-house process – parts, labor, and management?
- Process Investment: What costs are required to set-up and maintain this function in- house?
Are you confident in your decision to make or buy? It's never too late to talk through a process and determine if opportunities exist for cost savings and for overall production improvement. It all starts with
Down With Drones?
Drone development continues full speed ahead, capturing curiosity. And, rightly so. Drones complete with sense-and-avoid sensors and algorithms that will enable them to see obstacles and avoid collisions are certainly worthy of attention. Does the trendy talk and technology get manufacturers excited about the future of their lines and logistics? Maybe, however recent studies show that 40% of today's organizations are not currently pursuing increased mechanization to streamlines processes. And, by 2018, this percentage will shrink to 17% (Morai Logistics, 2015). So while the world looks to the sky, manufacturers will keep their feet on the ground…at least for now. Drones, automation, mechanization? What do you see for the future? Share your thoughts with us!