For the past several years, the Reshoring Initiative has been helping manufacturers reshore production or keep existing work here through total cost of ownership (TCO) analysis. However, calculating TCO is only part of the overall competitiveness equation.
Manufacturers should also take a hard look at the cost of their products. By applying the principles of design for manufacture and assembly (DFMA)—especially early in the design stage—companies can significantly reduce the cost of their products to make them more competitive with cheaper imports. By designing parts so they are easier to make and assemble, manufacturers can increase throughput, reduce inventories, improve quality, and lower warranty costs.