How to assess the feasibility of a reshoring? - YouTube

innotelos has developed a methodology to help reshoring of productions.

The reshoring canvas synthesizes our methodology. We invite you to discover it by browsing its

different boxes which we will illustrate with examples.

2 phases in our methodology : a diagnosis the upper part of the canvas,

taking action, the lower part of the canvas.

2 phases, 2 videos. Let’s start with the first step, which introduces

to the fundamentals for assessing the value and feasibility of reshoring.

It is sometimes difficult to imagine the extent of the complexity of the physical flows in

place to make a product. Here is the simplified example of a real mass

production product, technically Made in France, more precisely near Lyon in France and sold

in Sweden. We will take you on a journey, fasten your

belts! So the most complex and critical component

of this product is manufactured in Korea. Shipped to South Germany for a first operation,

it travels to China and is incorporated into a sub-assembly.

From China it is transferred to Lombardy in Northern Italy to be assembled in a molded

plastic part. Then return to China where the electrical

wiring is done. Before coming near Lyon in France where the product

is finalized before being shipped to Stockholm. The customer does not imagine that the central

component of the product has traveled more than 50,000 km to come to his home.

If deep knowledge of the flows is mandatory, it is also key to know the details of the

productions: what are the necessary machines, what specific processes we must master, what

human skills we need, ... Often this knowledge is spread among many

different people ... going into detail will make you discover several surprises…..

Knowing what we buy and what we supply is also crucial.

Let us cite the example of a manufacturer of plastic products, of course meeting standards

to ensure the safety, who decided to produce in Lombardy, Northern Italy.

It uses the recognized skills of Italian molders and mold makers in the region of Bergamo.

Its raw material can be “sourced” in Saudi Arabia or Germany… but the fire retardant,

is essential and very technical but manufactured by a unique single supplier located in Northwest

France. This little detail was unknown to the company

until the French supplier suffered… it wasn’t the fire but a flood….

Let’s go to the costs box: the accountants of our companies often know very precisely

the cost breakdown of our products, but do you know that a tramway is 3.5 times less

expensive than a high speed train? when we express the cost in EURO / KG

Place your products on our cost by weight curve it will give you a useful information.

Finally, let's finish this overview of what we need to analyze by focusing on the capital

employed, and more precisely the stocks and investments.

This capital employed is often very large. For example, when you are a manufacturer of

industrial gases you have to immobilize 19 months of turnover,

when you are a manufacturer of shampoo and mascara 13 months of turnover are immobilized

We have browsed the upper part of our reshoring canvas, which allows us to assess the feasibility.

We invite you to watch at the following video where we will examine the lower part of the

canvas which describes the operational implementation of the reshoring