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Zentech Continues Assembly Manufacturing Expansion

Posted by Laura Austin on Thu, Oct 18, 2012 @ 07:00 AM

Suddenly, “made in the USA” has real meaning again. In fact, you need look no further than Baltimore-based Zentech Manufacturing to understand just how much of an advantage this can be.  Zentech specializes in Printed Circuit Board (PCB) manufacturing assembly for a variety of clients in sectors as varied as medical diagnostics, telecommunications and defense, but the expertise of this burgeoning services company goes much deeper.  Zentech has built its success on collaboration and efficiency in every phase of the design and assembly manufacturing process, and that offers the potential to drastically improve your products and the way they get to market.  Zentech can shepherd your project all the way from concept stage to shipping, literally building innovation and cost savings into every step.  It’s the kind of integrated, can-do approach that once defined American manufacturing, and companies all over are taking notice.

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Topics: SMT Assembly, Reshoring, contract electronics manufacturing, off shoring, Zentech technologies, product assembly, contract manufacturing, manufacturing, electronic manufacturing company, assembly electronic, Contract Electronics Assembly, manufacturing assembly

Contract Manufacturing Moving Back to USA

Posted by Laura Austin on Tue, Sep 11, 2012 @ 07:00 AM
American manufacturing is finding itself in a much deserved media spotlight as more companies decide to set up shop for production here in the United States. After a couple of decades of steady job loss to offshoring, several companies, such as  Airbus which is building a plant in Alabama, are deciding to produce here in the U.S. 
But there's another trend taking place that's equally encouraging: reshoring. If you're not familiar with the term, reshoring refers to the trend of manufacturers bringing production back to North America after offshoring to a low-cost labor country such as China. For proponents of domestic manufacturing, this is great news. But the question remains, how can we propel this trend forward?
What's Driving the Reshoring Trend?
Before we can understand how to encourage more companies to come back to the U.S., we have to understand the factors that are driving this trend. While the exact reasons that companies decide to come back are varied, there are a few popularly cited reasons. Most of these reasons corrode the value of low-cost labor:
  • Chinese labor costs are expected to rise at a rate of 13 percent per year through 2015;
  • The cost of shipping products around the world is dramatically increasing;
  • Distance is making it difficult to design and collaborate on products; and, 
  • It’s increasingly difficult (and expensive) to protect intellectual property in China. 
Beyond these reasons, bringing manufacturing back to the U.S. is also great for company image and generating good will in the community as companies can tout the fact that their product is "Made in America." So how can we keep the trend moving forward?
Three Ways to Continue the Reshoring Trend
At the moment, reshoring is by no means the dominant trend in the industry, but it could be--at least for  some industries. The key issue for American manufacturing will be to not only understand what's causing companies to come back, but to understand how to continue the trend. According to Harry Moser of the  Reshoring Initiative and Mitch Free, CEO of  MFG.com, there are three main ways to propel this trend forward:
  • Create a more educated workforce that can fill skilled labor gaps and get Americans interested in manufacturing careers at all levels (e.g., assembly, engineering, management, etc.).
  • Use automated assembly processes to limit the labor input of production more extensively.
  • Help companies evaluate their true total cost of ownership (TCO) to help model the risks and costs of offshoring production. 
Once we can tackle these issues, we'll have a shot at changing reshoring from a trickle to a trend. What do you think it will take to keep domestic manufacturing moving forward?
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Topics: electronics manufacturing, contract electronics manufacturing, total cost of ownership, smt manufacturing, Zentech technologies, contract manufacturing, manufacturing services, Reshoring, offshoring, made in america

Re-shoring of Manufacturing to the US

Posted by Matthew Turpin on Sun, Jun 10, 2012 @ 09:16 AM

Have you ever noticed how people will ignore information that doesn't support a decision they have made?  It happens every day with offshore electronics manufacturing when buyers and executives look at just the unit cost of a pcb assembly or circuit card and ignore other costs to the organiziation that aren't factored into purchased price variance (PPV).  Direct costs associated with shipping, import fees, supplier visits warranty costs are often ignored or not understood by the people making a supply chain decision.  And the soft costs associated with missed revenue recognitiion, late customer deliveries and quality issues can slowly eat away at an organizations goodwill.

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Topics: Reshoring, Re-Shoring, PCB Assembly Maryland, Electronics Assembly Maryland