Is U.S. Manufacturing Coming Back? - Inbound Logistics
sounds positive....
Global technology and energy company GE has put reshoring to work. In early 2011, GE moved production of its energy-efficient water heater from Chinese contractors to its own factory in Louisville, Ky., in order to accelerate cycle time and speed new product launches.
The company took advantage of a 2005 labor contract under which Louisville plant employees are paid an average of $13 an hour, down from $22 prior to the agreement. GE also earned state and local tax credits of $25 million over 10 years, and federal incentives that encourage the manufacture of energy-saving products.
Making the device in Louisville already has allowed engineers to work closely with production managers and assembly-line workers to perfect the product's design via rapid prototyping. By improving the efficiency of the design process, GE has cut per-unit costs by $20.
sounds positive....
Global technology and energy company GE has put reshoring to work. In early 2011, GE moved production of its energy-efficient water heater from Chinese contractors to its own factory in Louisville, Ky., in order to accelerate cycle time and speed new product launches.
The company took advantage of a 2005 labor contract under which Louisville plant employees are paid an average of $13 an hour, down from $22 prior to the agreement. GE also earned state and local tax credits of $25 million over 10 years, and federal incentives that encourage the manufacture of energy-saving products.
Making the device in Louisville already has allowed engineers to work closely with production managers and assembly-line workers to perfect the product's design via rapid prototyping. By improving the efficiency of the design process, GE has cut per-unit costs by $20.
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