Exploring the Benefits of Onshoring for Manufacturers

As the industry learned, global supply chains are common with weak links. Relying on offshore production could mean manufacturers can be blindsided by disruptions in their supply chain. Extreme weather threatening shipping lanes, geopolitical instability, labor disputes at ports and other risks can throw everything spiraling into chaos in short order.  

But with onshoring, the benefits include a certain degree of protection from these threats. Keeping operations close to home means manufacturers can avoid many of the risks associated with longer supply chains. They gain more flexibility when it comes to logistics and greater predictability overall.

One of the biggest disadvantages when it comes to offshoring is the amount of control manufacturers surrender. With their operations spread out across the globe, it becomes much more challenging to keep a close eye on quality. Because customer satisfaction is so closely entwined with product quality, manufacturers who rely too much on offshore production risk harming their reputation.

It should come as no surprise, then, that onshoring can have a tremendous impact on quality as well as customer satisfaction. Being closer to production means manufacturers can spot defects or problems immediately and rectify them before they have a chance to reach customers’ hands.  The ability to pick up the phone and speak to the manufacturer directly provides significant value.

As helpful as onshoring can be for a manufacturer, it’s also important to note how the effects of onshoring can benefit communities and the environment. Bringing operations back home provides much-needed manufacturing jobs to local economies, providing opportunities for workers and improving the standard of living.

Onshoring also can help reduce a manufacturer’s impact on the environment. It means fewer resources are consumed by shipping from overseas, as well as fewer emissions.