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(ASQ)   Companies who send their manufacturing jobs overseas come to a major discovery: "The problem is that you can see now in looking back, once you move your manufacturing offshore, you're training your supplier to become your competitor"   (asq.org) divider line 7
    More: Obvious, killer  
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3530 clicks; posted to Business » on 22 Sep 2012 at 7:40 PM (2 years ago)   |  Favorite    |   share:  Share on Twitter share via Email Share on Facebook   more»



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2012-09-22 06:16:14 PM  
4 votes:
automaker Toyota Motor Corp.'s Toyota Production System (TPS)

I hope they remembered the new cover sheet.
2012-09-22 06:42:27 PM  
2 votes:
No no, like Baskin Robbins, these companies are selling you the "experience" not the actual product you are paying for... The outsource producers can't duplicate that.
2012-09-23 12:56:05 AM  
1 votes:

Fark Me To Tears: CSB:

One of my off-shored jobs was in the corporate IT shop of a Fortune 50 retailer. They began swelling their software development ranks with contractors (including Yours Truly) until the IT department had a ratio of about 2 to 1, contractors to employees. The contractors were highly skilled and actually did the work. The employees supervised the contractors and filled the copious paper pushing jobs that their little corporate IT empire scheme had proliferated over the years. Unbeknownst (at least for a while) to the contractors, the employees started having employee-only meetings with IT management to plan the off-shoring of all of the contractor jobs. This process took about 18 months, and the contractors were kept in the dark until the last possible moment -- and coincidentally right about the same time that the economy was tanking and jobs were becoming scarce.

Long story short, the company laid off hundreds of US domestic IT workers, replacing them with some H-1Bs on-shore and sending the bulk of the work off-shore.

A couple of years later, the same company fired its CIO, the one who had championed this whole scheme. He didn't "resign to pursue other opportunities." They FIRED him. Then they turned around and fired the VP who had been put in charge of the off-shoring.

A former manager friend of mine told me that after they had swept all of their US contractors out the door, it soon became obvious that they had also swept all of their institutional technical knowledge out the door with them. To this day, they're still trying to salvage the situation. The damage that this caused in wasted time and money, not to mention the hundreds of lives it disrupted and the damage it caused to this company's reputation in the IT ranks, is hard to pin down. So far, I haven't heard of anyone they screwed over going back to work for them. Nobody -- including me -- trusts them. What's to stop them from doing it again?

</CSB>


I'm sorry you went through what you did but thanks for telling the story. It gives me hope that someday lots of corporate officers will be fired. Amen.
2012-09-22 09:22:44 PM  
1 votes:

rewind2846: Short sighted asswipes. Didn't these morans realize that as the third and second world countries rose to first world status (like South Korea) they would want to make the sh*t they needed not only for themselves but for the rest of the world... and that by outsourcing american manufacturing you were giving them the keys to the truck that was about to run over your ass?
More manufacturers, call centers, and other businesses are finding this out as well... the MBA morans who pushed these ideas so hard in the 80s and 90s should be lined up against the wall and shot. They have done more to destroy the middle class and long term economic health of this nation for short term profit than any recession of the past 50 years.


Not just MBAs...Michael Dell moved from using Asus as a parts supplier to a system integrator. Now Asus under cuts Dell on computers and laptops.
2012-09-22 09:05:58 PM  
1 votes:

kertus: It took them how long to figure this out?

Corporations are idiots


They have absolutely no foresight beyond the current quarter, if it is even that long. It's all about "fiduciary duty to the shareholders" who a lot of corporate apologists will tell you could be SUED by the shareholders if they don't maximize profits by offshoring production (which, BTW, I have never heard of one of these suits being brought, but you'd swear reading Fark that they happen every single day).

The MBAs that do this and the programs that teach it deserve what is coming to them in the not so distant future.
2012-09-22 08:30:43 PM  
1 votes:
Short sighted asswipes. Didn't these morans realize that as the third and second world countries rose to first world status (like South Korea) they would want to make the sh*t they needed not only for themselves but for the rest of the world... and that by outsourcing american manufacturing you were giving them the keys to the truck that was about to run over your ass?
More manufacturers, call centers, and other businesses are finding this out as well... the MBA morans who pushed these ideas so hard in the 80s and 90s should be lined up against the wall and shot. They have done more to destroy the middle class and long term economic health of this nation for short term profit than any recession of the past 50 years.
2012-09-22 08:13:52 PM  
1 votes:
i640.photobucket.com
 
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