Article | June 23, 2011

Article: East West Manufacturing Helps Leading HVACR Industry Supplier Diversify Its Supply Chain And Lower Manufacturing Costs

By Scott Ellyson, co-founder and CEO, East West Manufacturing

Recent natural disasters and political upheavals across the globe serve as reminders of how quickly supply chains and distribution routes can be disrupted or even destroyed. In today's global manufacturing industry, diversifying manufacturing facilities, sourcing raw materials and researching shipping options are crucial, and flexibility is the key to staying competitive and growing market share.

For manufacturing companies, it makes sense to research the options available for overseas production. Some companies realize significant cost savings by building a product from start to finish offshore. Other firms manufacture parts offshore for domestic assembly, or vice versa. To maximize benefits, many factors must be constantly monitored. Raw material costs and availability fluctuate and labor costs rise and fall. Shipping channels can be disrupted by political events or natural disasters. These are just some of the factors that directly impact profit margins and that East West Manufacturing manages for our customers."

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