Bringing Jobs Back to the USA: Rebuilding America’s Manufacturing through Reshoring, 1st Edition (Hardback) book cover

Bringing Jobs Back to the USA

Rebuilding America’s Manufacturing through Reshoring, 1st Edition

By Tim Hutzel, Dave Lippert

Productivity Press

245 pages | 36 B/W Illus.

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pub: 2014-06-12
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Description

A follow-up to Tim Hutzel's previous book, Keeping Your Business in the USA: Profit Globally While Operating Locally, this book tells the stories of companies that have sent their jobs outside of the USA and the negative effects this had on the quality of their products and services, employees, supply chain providers, and consumers.

Bringing Jobs Back to the USA: Rebuilding America's Manufacturing Through Reshoring reveals the motivation these companies had to offshore their jobs as well as the errors of omission they made by not understanding the true cost of offshoring. Exposing the true cost of offshoring to US organizations and citizens, it supplies concrete suggestions to help government officials and activists prevent offshoring and incentivize reshoring.

The book provides food for thought for businesses currently thinking about sending US jobs to foreign countries. Outlining a roadmap for reshoring using a step-by-step methodology, it provides business leaders with the understanding to make the right decisions regarding reshoring their products back to America.

Watch the authors discuss how manufacturing and jobs can be shifted back to the USA.

https://youtu.be/EwQf50rdlFA

Reviews

Hutzel and Lippert bring a precision of presentation that one would expect of master practitioners in manufacturing. … I encourage you to read this book not only as a primer on reshoring, but also as a point of inception for your engagement in the movement. … How can you encourage decision makers and influencers to rally for reshoring? In essence, how can you make a difference?

—Chuck Proudfit, President of At Work on Purpose and SkillSource Consulting, Cincinnati, Ohio, USA

Table of Contents

THE STORY OF RESHORING

Why Companies Offshore

References

THE HERSHEY KISSES STORY

Why Hershey Made the Decision to Offshore

References

DEVASTATING TRENDS TO OUR ECONOMY AND OUR AMERICAN WAY OF LIFE CAUSED BY OFFSHORING

Five Other Companies That Also Offshored American Jobs

Radio Flyer

La-Z-Boy

Nike

Levi Strauss

Whirlpool

References

Results of Offshoring

Labor Costs

Regulatory Burden Lessened

Safety Compliance

Union Strength

References

THE RESHORING TREND

Five Companies That Brought American Jobs Back Home

Caterpillar

Master Lock

Neutex

General Electric

WindStream Technologies

Conclusion

References

Motivation to Reshore

Quality

Patriotism

Quick Delivery

Shipping Costs

Rising Labor Costs Overseas

Cash

Intellectual Property

Continuous Improvement

Travel

Exchange Rates

Innovation

Conclusion

A DECISION-MAKING MODEL TO RESHORE … OR NOT

A 360° Approach to Making a Reshoring Decision

Who to Involve in Opening Blind Spots

Marketing

Engineering

Operations

Quality

Regulatory

Sales

Customer Service

Warranty

Accounting

Finance

Purchasing

Customers

Phase I: Analyze the Current Offshored Manufacturing Source

Step 1. Determine the True Unit Cost of the Offshored Product

Step 2. Calculate the Offshored Product’s Velocity of Cash©

Step 3. Calculate the Offshored Product’s Cash Conversion Cycle

Step 4. Identify the Intangible and Hidden Issues That the Offshored Product Is Causing

Step 5. Conduct a SWOT Analysis of Having the Product Offshored

Phase II: Select and Analyze the New Onshore Manufacturing Source

Step 1. Select New Manufacturing Source

Lean Methodology

In House or Outsourced

Engineering Design and Manufacturing Process

Manufacturing Equipment

Materials Supply

Labor Availability

Step 1. Post the Position

Step 2. Review and Deselect Unqualified Candidates

Step 3. Send a Questionnaire and Exercise to the Selected Candidates

Step 4. Group Interview

Summary

Step 2. Estimate the Onshored Product’s True Unit Cost

Step 3. Estimate the Onshored Product’s Velocity of Cash

Step 4. Estimate the Onshored Product’s Cash Conversion Cycle

Step 5. Estimate the Intangible and Hidden Issues of Reshoring the Product

Step 6. Conduct a SWOT Analysis of Having the Product Reshored

Step 7. Compare the Current and Proposed Sources

PREPARE FOR RESHORING

Phase III: Prepare for the New Onshore Manufacturing Source

Develop the Hoshin Plan to Reshore

Deploy the Hoshin Plan

MAKING THE DECISION TO RESHORE IS JUST THE BEGINNING

Reshoring Will Not Be a "Piece of Cake"—Many Issues to Confront and Overcome

Scarcity of Skilled Resources

Poor Basic Work Skills

Anemic Supply Chains

Location

Incentives

Right-to-Work States

Increasing Operational Effectiveness with Lean

Creating Your Own Lean Management System

References

LOOKING INTO THE FUTURE

Why It Is Important to Bring American Jobs Back to the United States

Micro- and Macroeconomic Issues

Reshoring Pioneers

Next Steps for You

Our Beliefs

Our Motivation

Our Experience

To Community Leaders

To Economic Development Directors

To Religious Leaders

To Manufacturing Leaders

Final Comments

References

Index

About the Authors

Author

Tim Hutzel was born into a blue collar family in a very small town in southwestern Ohio in 1945. His parents were Depression-era folk who survived by watching their pennies and working hard. Tim entered the workforce at age 14 doing odd jobs such as washing pots and pans at a neighborhood restaurant, operating kiddy rides at a small amusement park, delivering papers, and performing light factory work. Three years later, Tim joined the US Army at age 17 as a volunteer and learned the fine art of field artillery; he spent three years in West Germany helping keep the Russians on the east side of the Berlin Wall. Fifty plus years later Tim has accrued experiences that include three university degrees, 21 years employment at GE Aviation, 20 years self-employment helping businesses improve themselves, writing a book on how American companies can survive in the United States, serving as adjunct professor to Miami University’s Schools of Engineering and the Farmer School of Business. And now, Tim has written this book with his good friend, Dave Lippert. Tim’s age says retirement, but his actions prove differently; he continues to be involved with American businesses, helping them improve their operations and profitability.

Dave Lippert grew up in southwestern Ohio in an industrious family that founded a manufacturing business in 1907, making and selling industrial casters, wheels, and carts. Currently, Hamilton Caster is in its fourth generation of family management. Dave spent his summers working in the family business and experiencing the sights, sounds, and smells of the manufacturing floor. He earned his engineering degree at the US Air Force Academy and after serving six years in the Air Force, returned to Hamilton Caster to work under his dad, then the president. In 1995 Dave succeeded his father to become the company’s fifth president, the position he now holds. Dave led his company to adopt the Toyota production system philosophy by creating the Hamilton Caster management system, a spin-off of what is commonly known as a Lean management system. In 1996, Hamilton Caster was awarded first place among Ohio small businesses for team excellence based on early experiences with Lean. Dave is unwaveringly dedicated to his family, church, company, community, and helping American businesses reach their full potential.

Subject Categories

BISAC Subject Codes/Headings:
BUS000000
BUSINESS & ECONOMICS / General
BUS042000
BUSINESS & ECONOMICS / Management Science
BUS070050
BUSINESS & ECONOMICS / Industries / Manufacturing Industries