Obsolescence and Off-shoring are Complex Manufacturing Problems.
Analogue Tool & Die Equipment no Match for CNC Tooling
Visit any industrial manufacturing shop, and you will likely find large linear lathes grouped in a dark corner of the plant floor. These are the first generation machines that were part of the business started by the founders.
Technological advances in computer-driven machinery has proliferated on the plant floor introducing new challenges to labour force strategies and highly specialized capabilities in machine output has increased the cost of digitization in the first place.
Off-shoring Trumps Domestic Loyalty
Just when you think you are getting ahead in productivity and digitization, your top client announces they are moving their machining work off-shore where prices are ridiculously lower than what your margin can allow.
Competing in a global arena introduces complex problems that are impossible to out maneuver. Developing a point of differentiation with so many moving parts can be a cause for a new course of action. Most organizations aren’t ready for this, because their founders didn’t design them to be.
Getting better doesn’t get you ahead. Getting faster isn’t fast enough.
To solve complex problems, you need a customized team of all the right players capable of acting incredibly fast.