Fri, Aug 28, 2020
COVID-19 has prompted companies to rethink their global supply chains, including the reshoring of manufacturing back from China.
The U.S. manufacturing industry is at a unique and unprecedented crossroads to reevaluate operations due to COVID-19, including costs, supply chain reliability and risk of significant near-term business interruption. Historically, manufacturing footprint decisions were driven by cost, including labor and logistics, which have continued to rise in developing countries in recent years. Footprint location decision criteria need to be expanded beyond the historic focus on production costs to include broader supply chain factors and post-COVID-19 risk mitigation considerations. Today, additional strategic criteria are being weighed as heavily as cost, such as critical manufacturing designation, product quality, intellectual property protection and environmental impact.
Kroll has developed an index with six cost, risk and strategic criteria to evaluate 28 U.S. manufacturing industry sectors, identified by North American Industry Classification (NAICS) codes, to score and rank the sectors most likely to reshore.
Our analysis suggests many products historically made in China and destined for U.S. consumers or other markets worldwide show high potential for being reshored. Additionally, navigational and control instruments, transportation equipment, medical equipment and communications systems have emerged as the most likely to lead reshoring to the U.S.
Hover over each industry sector to learn more.
Kroll can assist companies with reviewing their supply chain strategy, identifying and mitigating risks, selecting new sites and implementing their new strategies.
We advise clients pursuing reshoring, realignment and transformation of their supply chain operations globally. We bring to bear the capabilities outlined below to help executives evaluate their business performance, baseline the cost structure, assess end-to-end supply chain risk and develop the supply chain network solution to support their manufacturing and business strategies.
Kroll has a proven track record of assisting companies with location strategies in the U.S. and around the globe.
Kroll’s Transaction Advisory Services platform offers corporate and financial investors with deep accounting and technical expertise, commercial knowledge, industry insight and seamless analytical services throughout the deal continuum.
Kroll's team of internationally recognized transfer pricing advisors provide the technical expertise and industry experience necessary to ensure understandable, implementable and supportable results.
Identifying, assessing, mitigating and monitoring third-party risk in modern supply chains
The Kroll Investigations, Diligence and Compliance team partners with clients to anticipate, detect and manage regulatory and reputational risks associated with global ethics and compliance obligations.
Kroll’s Enterprise Security Risk Management practice provides expert guidance and advisory services to our global clientele as they navigate the most challenging and emerging security and threat-related issues.
Incident response, digital forensics, breach notification, managed detection services, penetration testing, cyber assessments and advisory.
Join Kroll experts at the RSA Conference in San Francisco May 6-9, 2024. Stop by booth 2239 in the South Expo Hall to meet our team.
A deep dive into the latest threats and vulnerabilities facing the health care sector along with gaps in detection and response impacting improvement efforts.