Proximate manufacturing

Global business is increasingly about design and innovation and less about low cost. When speed-to-market and reacting to customer needs are valued, finding design and production facilities close to markets make sense.

In the past the digital technology revolution was about geographically dispersed production networks. In the future, digital technologies bring biggest value close to customers due to supply certainty, better interaction, higher customization and resource saving.

New technologies, such as #3dprinting and #robotics, facilitate the rise of proximate design and manufacturing. Global supply chains will have a role, but phenomena such as neo-nationalism, protectionism and global logistical disturbances trigger the rise of local supply chains and production close to prime urban locations.

Examples: Amazon & Whole Foods, Under Armour, Adidas, Nike & Flextronics.

Thanks @MariSako for great thinking! More ideas in: Technology Strategy and Management – Free Trade in a Digital World by Mari Sako, CACM 62,4 2019

11.3.2020

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