UE News Feature: Outsourcing Goes Inside

Steve Grube grube at ix.netcom.com
Thu Mar 25 08:03:39 PST 1999

Read their webpage-article but it didn't say much about the real risks to the manufacturers who are doing or considering "insourcing." My point is that if it is a threat to workers, which it is, owners don't care much about that. I think it is best to fight it on terms of what is the risk to the *manufacturer* or what do they lose in doing this. The article had one comment that mfrs may discover they're shifting costs [to "suppliers"] but not necessarily *reducing* costs. So that's the challenge, to list the reasons why mfrs may lose out on this way of organizing manufacturing. For instance, if the *supplier* provides the modular units to the floor, then over time the supplier is more adept at innovative mfg & assembly practice and the "customer" [Ford, GM, M-B, VW, etc] falls behind gradually since they lose in-house floor expertise, which is always critical to innovative practice. But there must be many good reasons to fight this. (I realize this post begins to straddle some mfg newsgroup).

-steve grube

Mark Meinster wrote:

> In the manufacturing sector workers are fighting to protect their jobs
> not only from outsourcing, but from new schemes such as modular
> manufacturing, otherwise known as "insourcing"...
> http://www.ranknfile-ue.org/uen_0299_outs.html
> Mark Meinster

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