Manufacturing Jobs Go To Were They Are Welcomed
I worked in the electronics industry in various management positions expanding over 35 years.
In the early seventies, design and manufacturing of anything electronics was done in the
In mid-seventies, while working for another company, we set up a manufacturing plant in
By mid-nineties, the Mexican government started imposing all sorts of restrictions and regulations. A large number of companies shut down and left. The same happened in
Note: I had a customer in
In the mid-eighties I was working for an electronics company in
By the time everything was installed and functioning, the manufacturing facility was not compliant anymore under the fast changing air quality regulations in the state of
Recently I was doing some consulting work for an industrial representative, representing a circuit board manufacturer in
Made In
The term “Made” implies creation, design and manufacturing of a certain item. That is not what is happening with products labeled “Made in
I worked for a very large electronics Taiwanese company. The company had engineering and manufacturing facilities in
In the mid-nineties, the Communist China opened for business big time. It was a strategic move on
Here is the story:
The Chinese government, in the nineties, started building manufacturing facilities (concrete walls, no equipment) along the southern border, close to
Foreign manufacturing companies were provided, by the Chinese Government, manufacturing space and labor. Every factory had a built-in dormitory for workers.
Business tax liabilities to the Chinese government were forfeited for the first three years.
Business operators would bring in and install the equipment necessary, bring in part kits, and within days the Chinese government would deliver anywhere from 200 to 300 laborers to the designated facilities at pennies per hour per laborer.
If the business was slow, or it had to deal with cancellations, the operators would close down the facility for a period of time, and the Chinese government handled the labor force, transparent to the business. The government would just find new jobs for the workers and moved them practically over night. There was no obligation on operator’s side and no liability.
My employer had a pilot plant and used three independent contractors which maintained mirror manufacturing facilities as a back-up, or assigned to a specific account. This was a very large manufacturing operation. Shipping hundreds of thousands of assembled computer subsystems to the
Nothing was designed in
While working for this company, we had an office in Huston
Special Remarks
From an engineering aspect, this product was very simple to design. However, manufacturing it, was a different story. It could not be automated. The product contained more than 300 components, and most of them had to be assembled by hand. The quality expected by their customers was very high. This $20 dollar product required 350 manual workers. The material accounted for 75% of the cost. Labor accounted for 10%. Overhead and profit shared the remaining 10%.
Competitive Issues
When every business has equal access to this kind of environment, there is no choice, but to join in. If they don’t, they will be out of business in no time.
I am sure, by now, the labor cost is probably higher. It is all relative.
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Computer Security
As a computer/internet user you already know how important the security of your computer is. I am a retired computer designer, had computers in my house for more than 25 years. For most part, I didn’t have to worry much about the safety of my computer, except in the last few years. Presently, I am evaluating and changing my computer security program every six months.
Here is the latest: Netcom3 Internet Security.
Better feel safe than sorry.