Manufacturers are returning to Mexico after “experimenting” in the Asia Pacific region. Some of the big reasons for this return are ; to reduce time to market, eliminate the financial costs of inventories in transit, lower the logistics costs, and to strengthen the supply chain by moving closer to just-in-time deliveries.
But moving to Mexico isn’t going to solve all the problems.
A September 2006 article in CFO magazine points out how US businesses are increasing safety stocks “just in case”. Delayed in the USA The article points out how supply chain disruptions are being provoked by an increasingly saturated US highway system and bottlenecks in deepwater ports and railyards.
The good news is that Mexico is close to the USA, a truckload of goods can leave any point in Mexico and arrive at the US destination in as little as 4-5 days. The railyards and new multimodal Interior Port in Guanajuato, Mexico allow manufacturers to establish production facilities in the interior of the country. Exporters can now clear customs and load the sealed container onto the rail-car at the new (2006) high capacity Customs port located in the geographic center of Mexico.
The bad news is that unless the US begins to upgrade their highway, port and rail facilities, supply chain managers in the US will be buying and storing higher levels of inventory to assure continuity of operations, “just in case”.
Related Links
Delayed in the USA - Supply Chain
Industrial and Business Parks in Mexico
AMPIP Mexican Association of Industrial and Business Parks
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October 21, 2006 at 8:33 am and is filed under AMPIP, Bits and Pieces of Accumulated Experience, Business, Business Strategy, Business and Entrepreneurship, CORPORATE STRATEGY, Competitiveness, El Bajio, Export / Import, Global Business, Global competitiveness, Guanajuato, Guanajuato Interior Port, Interior Port Guanajuato, International Business, Lee Iwan, Lee Iwan Accumulated Experience, Lee Iwan Bits and PIeces of Accumulated Experience, Leon, Leon Guanajuato, Logistics & Supply Chain Management 物流管理�, Mexican, Mexican Business, Mexican industrial parks, Mexican manufacturing, Mexican states, Mexico, Mexico business, Mexico export, Mexico import, Mexico industrial parks, Mexico opportunities, Multimodal, NAFTA, Offshore Outsourcing, Strategic Planning, Suppliers, Supply Chain, Supply Chain & Logistics, business analysis, business in Mexico, business park, business parks, cities in mexico, doing business in mexico, export assembly plants, foreign trade, global businesses, global outsourcing, hacer negocio en Mexico, hacer negocios en Mexico, how to do business in mexico, industrial park, industrial parks, international business development, international competition, inventories, logistics, maquiladora, maquiladoras, mexican cities, offshoring, opportunities in Mexico, outsource, outsourcing, safety stock, sourcing, strategy, twin plants. You can follow any responses to this entry through the RSS 2.0 feed.
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