PODCAST: Insight on a Right Shoring Manufacturing Strategy to Protect your Business

Canadian Manufacturing interviews Avnan’s Chief Operations Officer, Allan Read, about manufacturing strategies in this rapidly changing world order. With over 30 years of global manufacturing experience in various industries from wearable technology to electronics engineering services, Read has served as COO of Avnan for the past 6 years. In a podcast with editor, Sadi Muktadir of Annex Business Media, he shares his insights and expertise on the key factors to consider when developing a new manufacturing strategy. 

As many are aware, for decades, manufacturing has shifted from North America to lower-cost markets providing consumers with more affordable goods and a wider selection of products. However, this transition has come at a cost to the manufacturing sector and to the broader business community whose reliance heightened their exposure and risk. 

Supply chain disruptions and price volatility driven by a global pandemic, climate change, regional wars, economic sanctions and tariffs, have highlighted the instability and uncertainties that companies face, affecting their business’ viability. In an effort to reduce their vulnerabilities, many companies are rethinking their manufacturing strategies. 

In this podcast, Allan discusses the pros and cons of the various manufacturing strategies and shares real-world examples of businesses that have recalibrated their manufacturing mix to strengthen their market position. Listen here.

Below are the topics and questions answered about the new manufacturing approaches: 

• What is the difference between reshoring and right shoring?  

• Is reshoring and nearshoring the same?  

• If a company were to consider a new manufacturing strategy, what factors should they be evaluating? 

• What are some of the advantages and disadvantages of each of these strategies (nearshoring, reshoring and offshoring)? 

• How does the labour market compare in North America versus other markets like Mexico and Asia? 

• What are the key differences between Canada and the US in terms of manufacturing?  

• Do US tariffs from the US impact Canada’s manufacturing section? 

• How common is the IP concern when it comes to manufacturing offshore?  

• Does reshoring mitigate risks from global conflict, climate change and supply chain disruptions?  

• What can companies do to mitigate these risks?  

• What other parts of the world are seeing more traffic or demand for reshoring or nearshoring?  

• Is Canada one of those countries that US companies would consider as a favourable option to reshore their manufacturing?  

• What would need to happen for Canada to attract manufacturing and become the leading right-shoring partner? 

• How can Avnan help companies decide the right mix of manufacturing solution to mitigate business risk?  

There is no one-size-fits all solution. The decision to reshore, near shore or offshore depends on where the business is at in their life stage and what factors they prioritize (for example price versus direct management).  

To learn more about offshoring, reshoring and nearshore, visit our blog to download our assessment tool.