Jul 31 2012
HERE’S WHAT YOU SHOULD DO ABOUT IT I’m often asked by foreign factory managers in China how I would handle the various difficult situations that might arise; fake resumes (fire the perpetrator), violence among the workers (fire anyone who throws a punch), sexual harassment (fire the guy who…), etc. But the one questions I get …
May 19 2012
I hate to say “I told you so”, but… Time was, when everyone was talking a manufacturing exodus from China. I felt like the lone voice saying “not so fast!” I cited a number of strategies which offset rising labor and other manufacturing costs mainly by adding value, as opposed to chasing cheaper labor. Now …
May 17 2012
Lots of experts are still talking about how manufacturers in China, faced with rising labor and other manufacturing costs, might preserve their competitiveness and profitability. Here’s rundown on the strategies championed (mostly by those who manufacture nothing… but that’s another story). GO STATESIDE: Everyone chased cheap labor to China. Now that it’s not so cheap …
Apr 28 2012
The predictions of a re-shoring trend may be greatly overblown. I commented on this post over on Forbes: “Why Mass Employment in Manufacturing Isn’t Coming Back: It’s The Productivity“. While it’s true that increased labor rates and perceived supply chain risks in China and other “low-cost countries” may prompt some manufacturers to “re-shore” production back …
Mar 31 2012
Foxconn/Apple have responded to bad press by vowing to implement changes that benefit workers. That will necessarily mean it will reduce it’s operators’ overtime working hours and, presumable, it will have to boost regular-time salaries to offset the operators’ loss of revenue. The result, of course, higher unit labor costs for Foxconn, and maybe …
Mar 25 2012
A group of obviously committed students and alumni from Rensselaer Polytechnic Institute run Rensselaer in China | Greater China Business Club. Their interview with me can be read here.
Feb 07 2012
I like it when I read people making my point better than I can. Mr. Bolaji Ojo, writing in EBN Online does just that. His article is entitled ”Are Chinese Workers Really Defenseless?” His main point is that Chinese workers are more vocal and have more power to effect positive changes in labor rates and working conditions. …
Feb 02 2012
Here’s an example of how industrial leadership seems to be working here in China, and why some form of it should be considered in target industries in the USA. This article from Global Sources (h/t Sinoland) shows how Guangdong province targeted an industry (in this case, LEDs) and invested in manufacturing capacity and infrastructure. The result: …
Feb 01 2012
Just some random thoughts on the latest round of Apple/Foxconn bashing in the media. Earlier this week, Foxconn hired 5000 workers in it’s Shenzhen facility. This during a lobor shortage! I actually run a factory in Dongguan and I can tell you that it is 100% possible (but not easy) to run a factory here …
Jul 25 2010
Just because I in my infinite wisdom, say rising labor costs are no big deal, and that China is still competitive for lots of manufacturing, doesn’t mean everyone agrees with me. In fact, the PRC government, via it’s China Daily article “‘Made in China’ – but for how long“, ask the rhetorical question: How long …
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