Atlanta, GA (PRWEB) February 13, 2014
As quickly as companies fled overseas for cheap manufacturing options, new findings on true costs are driving those companies back to the U.S. On the leading edge of reshoring is PartnerTech Inc., providing total solutions in contract manufacturing.
Decreasing energy and labor costs are two of the primary factors contributing to the U.S. becoming a more desirable destination for manufacturing. Energy in the form of natural gas and electricity are becoming more economical and the true cost of labor is now more attractive in the US.
The average U.S. labor cost is expected to range from 16-35% lower than other offshore markets including the U.K., Japan, Germany, France and Italy by 2015. The U.S. is often on par with other low cost regions when shipping, warehousing, and timing differentials are factored in.
These advantages, from an energy and labor cost perspective, are fueling a growing trend with foreign companies to relocate manufacturing to the U.S., as well as large to small U.S. companies returning from offshore locations. In both instances, businesses are looking to take advantage of more agile manufacturing processes, quicker entry into the market, and economical distribution, all of which are attributable to postponement manufacturing.
Postponement manufacturing allows late stage configuration of products, that is closer geographically and timing-wise to the end consumer’s point of need; allowing for generics until actual orders are received for final assembly. Postponement Manufacturing reduces the risks in forecasting especially during slow periods or times of rapid change. Cash is preserved and companies enjoy more flexibility and cost control while improving service levels to their clients.
Postponement Manufacturing is just one of the ways PartnerTech U.S. helps its clients scale production, improve shipping and sourcing methods, and manage costs. By adapting best practices in forecasting, supply chain, distribution, and capital strategies with our clients own systems, we help make our clients more responsive to their own customers, says Managing Director, Gary Bruce.
About PartnerTech Inc. - A Trusted Industrial Partner, PartnerTech, Inc., a wholly owned subsidiary of PartnerTech AB of Sweden, develops and manufactures products on behalf of leading businesses in the market areas of Defense and Maritime, Industry, Information Technology, MedTech & Instrumentation, CleanTech and Point of Sale Applications.
With almost 1,400 employees at its plants in Sweden, Norway, Finland, Poland, the UK, the United States and China, PartnerTech reports annual sales of more than SEK 2.2 billion (approx. $335MM) PartnerTech AB (http://www.partnertech.com), the parent company, is headquartered in Malmö, Sweden, and is listed on the Nasdaq OMX Stockholm Exchange.
The PartnerTech North American facility is located in Atlanta, Georgia, one of the three largest distribution markets in the United States. This location offers customers the ability to reach more than 80% of US consumers within two flight hours or two truckload delivery days.