Align MFG Manufacturing Article

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DIVERSIFY YOUR SUPPLY CHAIN

  1. Mitigating Risk: Relying on a single supplier, particularly one located in a different country, exposes companies to a range of risks such as geopolitical tensions, trade disputes, natural disasters, and pandemics. Diversifying the supply chain reduces these risks by spreading them across multiple suppliers in different locations.
  2. Cost Savings: Competition between suppliers can help drive down costs and improve quality. By having multiple suppliers, companies can negotiate better pricing and terms.
  3. Improving Quality: Diversifying the supply chain can help companies to access new technologies and innovations, leading to improved quality and increased competitiveness.
  4. Increased Flexibility: Having multiple suppliers can provide companies with greater flexibility and responsiveness to changes in demand. This is particularly important in industries where demand can be volatile and subject to sudden changes.

Strategies for Diversifying Supply Chains for Industrial Goods

  1. Research and Network Building: Identify potential suppliers in other countries, and establish relationships with them. This could involve attending trade shows, visiting potential suppliers, and conducting due diligence to assess their capabilities and reliability.
  2. Partnerships and Joint Ventures: Collaborating with local companies can provide access to local networks and resources, as well as knowledge of local market conditions.
  3. Government Support: Governments can provide support through trade promotion activities, export financing, and investment incentives.
  4. Incorporating Local Content: Companies can incorporate local content into their products, such as using locally sourced raw materials, to tap into local supply chains.
Ben Unruh

Ben Unruh

Ben Unruh is a Partner at Align Manufacturing, a precision manufacturing company specializing in processes like sand casting, investment casting, machining, stamping, forging and fabrication. With over 10 years of on-the-ground experience in industrial manufacturing across Southeast Asia and South Asia, Ben brings vital regional expertise to Align.

Operating out of the company's Bangkok headquarters, Ben leverages his deep knowledge of Thailand, Vietnam and India to help customers navigate the complex manufacturing dynamics in these alternative manufacturing powerhouses. His cross-cultural background and industry acumen allow him to seamlessly transform concepts into reality through Align's cutting-edge technologies and network of trusted vendors.

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