EDITORIAL A Boom of Hope? A recent cover story in the December 2012
issue of The Atlantic, “The Insourcing Boom,” provides North American metalcasters some unexpected positive news. The article details General Electric’s return to U.S. manufacturing for a large amount of its ap- pliance business through the redevelopment of its Appli- ance Park in Louisville, Ky. The article states the actions of GE are “not alone” in the “startling, sustainable, just-getting-started return of industry to the United States.” For many metalcasters, GE is a customer. In many markets, GE is the poster child for sourcing compo- nents to low-cost nations. So, for metalcasters, this article perks up your ears. While many of you have had customers returning their manufacturing to you from low-cost sources, the evi- dence of one this significant makes everyone a little bit more excited at the hope that buyers are realizing the importance of local sources during both product development and supply. But the article isn’t without debate. Te question is whether GE’s actions are part of an overall move- ment, or just the steps of one major OEM. Te U.S. trade deficit data doesn’t support the hypothesis that there is a trend. Leading economists say that a movement will not occur until Washington D.C. becomes more “manufacturing-friendly.” Time will tell if this is the beginning of a sustain-
Lou Lenzi (who heads design for all GE appliances), GE’s managers figure no model will be good for more than two to three years. …Products that once seemed mature—from stoves to greeting cards—are being reinvigorated with cheap computing technology.”
“Time will tell if this is the beginning of a sustainable shift in U.S.
manufacturing. But all manufacturers watch the actions of a firm like GE, and people
follow a leader.” Tis reiterates the
need for metal- casters to deliver cast compo- nent solutions faster than ever before. Rapid manufacturing solutions must be part of the daily routine to ensure the ability to meet customer needs (see “Quick-Turn Castings” on p. 37 for more infor- mation) in form, function, quality and delivery.
“Te addition of high-tech compo-
nents to everyday items makes produc- tion more complicated, and that means U.S. production is more attractive…
And the short leap from one product generation to the next makes the alchemy among engineers, marketers, and factory workers all the more important.”
Tis is an opportunity for metalcasters who have
able shift in U.S. manufacturing. But all manu- facturers watch the actions of a firm like GE, and people follow a leader. In fact, Whirlpool, Otis and Wham-O are listed in the article as other prominent members of the reshoring movement. Beyond the overall positive vibe of this article, other insights from GE provide food for thought as you continue to evolve your business to meet new customer demands. In particular, when discussing product life cycle, two key points surfaced that could influence metalcasting:
“Just a few years ago, the design of a new range or refrigerator was assumed to last seven years. Now, says
the ability to simplify design, manufacturing and sourcing, as well as fill the knowledge gap that exists in product design on what solutions metalcasting can provide. Is the experience of GE a roadmap for other global OEMs or just an isolated case of hope? We should know soon.
Alfred T. Spada, Publisher/Editor-in-Chief
If you have any comments about this editorial or any other item that appears in MODERN CASTING, email me at
aspada@afsinc.org.
January 2013 MODERN CASTING | 9
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68