High volume low margin production goes to low cost countries. Equipment and skills available in US transition to higher margin value-added production. Even if manufacturers want to move production back to the US, investment in automation and appropriate talent is needed – and that’s not necessarily quick to pull off.
Dr. Susan Helper, an econ prof at Case Western, says that Apple can make more products in the US by relying more on robotics and specialized engineers instead of many low-wage line workers. Also needed are improvements in job training and supply-chain infrastructure.
Read more about the prospects of Apple manufacturing in the US in an article from the NY Times.
Image credit: https://static01.nyt.com/images/2019/02/02/business/02apple05/29apple05-articleLarge.jpg
-Danny Schaeffler, www.EQSgroup.com and www.Learning4M.com
Danny received his Bachelor of Science degree in Materials Science and Engineering from the Johns Hopkins University in Baltimore, MD, and a Master of Science and Doctor of Philosophy degrees in Materials Engineering from Drexel University in Philadelphia, PA. While at Drexel, Danny held engineering and research positions with the David Taylor Research Center (Annapolis, MD) and Hoeganaes Corporation (Riverton, NJ).
After receiving his Doctorate, Danny started at the LTV Steel Technology Center (Independence, OH), where he was a member of the Customer Technical Center, focused on customer-based problem solving in the areas of corrosion, formability, and surface contaminants. He then transferred into the Automotive Development Group, focused on formability analysis and training; materials selection and optimization; tooling development and production launches for new vehicle programs; customer materials & manufacturing cost reduction efforts; forming/denting/structural computer simulation; and technical awareness and communications with the automotive manufacturers and their Tier One / Tier Two companies. Danny's first position in the ADG was as the engineer responsible for all transplant accounts, and then moved to having responsibility for the Ford Motor account, before being promoted to the Group Manager. During his time with LTV Steel, Danny was active in AISI and Auto/Steel Partnership activities, serving as Chairman of the Standardized Dent Resistance Test Project as well as participating in other committees. Danny is the founding member of Engineering Quality Solutions, Inc.
Danny has over a dozen publications and is a member of ASM International, SAE International, and is a former President of the North American Deep Drawing Research Group (www.NADDRG.org).
