The tour through each department has been the most fascinating. First, the guide showed us the various metal cutouts and sizes used to start the process. Then, we walked through an area where a handful of high tech machines created the particular design for the circuit board. From there on out our group shuffled through the different departments that added components to each circuit board---compressing->plating->sealant step->cutting->examining for defaults->shipping to Austria. (Ironically, while I was listening to the explanation of each step in the process, I kept thinking about how every circuit board looked like an architectural layouts! I sware...mini city and garden plans were everywhere.)
The AT&S in Mysore, India is a perfect example of offshoring. Friedman begins his explanation of this flattener with the following African Proverb:
"Every morning in Africa a gazelle wakes up.
It knows it must run faster than the fastest lion or it will be killed.
Every morning a lion wakes up.
It knows it must outrun the slowest gazelle or it will starve to death.
It doesn't matter whether you are a lion or a gazelle.
When the sun comes up, you better start running." (Pg. 137)
I like this explanation of competition and survival; and during this trip I have definitely recognized it in the lectures and company tours. I also liked Friedman's clever example of offshoring: "It is when a company takes one of its factories that is operating in Canton, Ohio and moves the while factory offshore to Canton, China." (Pg. 137)
Under AT&S' company profile I discovered that they maintain production facilities in India, China, and Korea; and then have sales, service, and logistics divisions in Germany, India, Japan, and the United States (AT&S Company Profile). I am sure that these activities are all examples of offshoring and not outsourcing because the functions of AT&S are not being done by another (foreign) company and simply then reintegrated back into AT&S' overall operations. After looking at the company's history I discovered that AT&S bought India's largest print circuit board company, Indal, in 1999 and then renamed it to AT&S India. (AT&S History) Consequently, I assume that AT&S originally outsourced and then changed in 99 to offshoring.
Every morning a lion wakes up.
It knows it must outrun the slowest gazelle or it will starve to death.
It doesn't matter whether you are a lion or a gazelle.
When the sun comes up, you better start running." (Pg. 137)
I like this explanation of competition and survival; and during this trip I have definitely recognized it in the lectures and company tours. I also liked Friedman's clever example of offshoring: "It is when a company takes one of its factories that is operating in Canton, Ohio and moves the while factory offshore to Canton, China." (Pg. 137)
Under AT&S' company profile I discovered that they maintain production facilities in India, China, and Korea; and then have sales, service, and logistics divisions in Germany, India, Japan, and the United States (AT&S Company Profile). I am sure that these activities are all examples of offshoring and not outsourcing because the functions of AT&S are not being done by another (foreign) company and simply then reintegrated back into AT&S' overall operations. After looking at the company's history I discovered that AT&S bought India's largest print circuit board company, Indal, in 1999 and then renamed it to AT&S India. (AT&S History) Consequently, I assume that AT&S originally outsourced and then changed in 99 to offshoring.
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