Re-shoring: Bringing Contract Electronics Manufacturing Back to the UK!
Re-shoring, also known as on-shoring or back-shoring, refers to the practice of bringing back previously offshored manufacturing operations to the country of origin. In the UK, re-shoring electronics manufacturing has gained increasing interest due to global supply chain disruptions, increasing labour costs in traditionally low-cost countries, and concerns about intellectual property theft. This blog post explores the advantages of re-shoring contract electronics manufacturing to the UK.
Benefits for Re-shoring
- Improved Supply Chain Resilience: The COVID-19 pandemic exposed the fragility of long, complex supply chains. By re-shoring contract electronics manufacturing, UK companies can minimise disruptions, reduce lead times, and ensure a steady supply of critical components.
- Better Communication: Proximity to production facilities improves communication and collaboration between OEMs and CEM’s. Re-shoring closes the gap between time differences and enables a better bond between manufacturers and suppliers This can lead to faster prototyping, testing, and product launch.
- Quality Assurance and Intellectual Property Protection: Re-shoring enables companies to maintain tighter control over quality standards, ensuring that products meet stringent requirements. Additionally, safeguarding intellectual property becomes more practical when manufacturing operations remain within the UK’s regulatory environment.
- Skilled Workforce: By re-investing in contract electronics manufacturing, the UK can address the skills gap and create a highly skilled workforce capable of supporting all technology sectors.
- Green Manufacturing: A shorter supply chain reduces the carbon footprint associated with shipping boards and components internationally. Re-shoring electronics manufacturing demonstrates a commitment to ethical and sustainable production practices.
- Resilience and Risk Improvement: Local manufacturing provides a degree of resilience against unforeseen events, such as geopolitical conflicts, natural disasters, or global health crises.
Re-shoring contract electronics manufacturing in the UK presents an exciting opportunity for the country’s economic and technological development. Through the benefits listed above we can stimulate economic growth, create skilled jobs, and strengthen communities whilst reducing our carbon footprint.