Backshoring strategy and the adoption of Industry 4.0: Evidence from Europe

Offshoring and backshoring: A multiple case study analysis

The aim of this paper is to analyze and classify research that has been conducted on manufacturing reshoring, i.e. the decision to bring back to the home country production activities earlier offshored, independently of the governance mode (insourcing vs outsourcing). Consequently, the paper also aims at providing avenues for future research and to highlight the distinct value of studying manufacturing reshoring either per se or in combination with other constructs of the international business tradition.,A set of 57 carefully selected articles on manufacturing reshoring published in international journals or books indexed on Scopus in the past 10 years was systematically analyzed based on the “5Ws and 1H” (who-what-where-when-why and how) set of questions.,The authors’ work shows a certain convergence among authors regarding what reshoring is and what its key features and motivations are. In contrast, other related aspects, such as the decision-making and implementation processes, are comparatively less understood.,As manufacturing reshoring is a “recent” topic, for some of its aspects, only exploratory research is available to date, limiting the authors’ possibility to either characterize it in a more exhaustive way or highlight well-established patterns.,The paper demonstrates that studying reshoring will indeed contribute to expanding our understanding of internationalization processes and strategies in general and of production internationalization specifically. While past studies have argued that the learning derived from international experience would permit firms to overcome their unfamiliarity with new business environments, reshoring might show that this outcome is not necessarily certain. Rather, firms might not be able to overcome obstacles because of internationalization or they might realize that attempting to do so is not desirable, e.g. because of excessive risk or changes in the firm’s strategic priorities.,From a societal point of view, the present research underlines that reshoring can be part of that re-industrialization policy that many Western countries include in their economic agenda – yet, its impact on employment should not be overestimated, as often relocation is only in regard to some product lines. At the same time, there might be an intimate relationship between reshoring and the various forms of technological innovations applied to manufacturing – which has become popularly labeled as “Industry 4.0”.,Literature reviews proposed until now usually paid almost exclusive attention to motivations driving this phenomenon. This paper offers a broader and more comprehensive examination of the extant knowledge of manufacturing reshoring and identifies the main unresolved issues and knowledge gaps, which future research should investigate.

/pdf/what-do-we-know-about-manufacturing-reshoring-cxzr4m12gl.pdf

What do we know about manufacturing reshoring

There are three contrasting approaches to understanding the geography of production. The first approach emphasizes the importance of local agglomerations, the second intrafirm mechanisms, while the third highlights global relationships or global production networks (GPN) or global value chains. These explanations are partial, but complementary. This paper explores the restructuring of global production with a focus on the reshoring or repatriation of manufacturing production to the U.S. and UK. Our intention is to identify the drivers behind reshoring as the first stage toward developing a dynamic conceptual framework for understanding the global organization of production. Reshoring needs to be conceptualized by drawing on and combining approaches developed in GPN with micro-approaches to understanding firms including the development of a geography of production tasks. The study is based on a theoretical mapping to inform an empirical analysis of reshoring in both countries to identify and conceptualize the quantitative and qualitative causal drivers behind this process. The evidence suggests that reshoring is sector-dependent and is mainly driven by manufacturers’ cost-management and quality strategies combined with the importance of manufacturing products close to market. This involves a “total manufacturing cost analysis” in which access to a set of tangible and intangible inputs are key drivers behind dynamics of GPN.

/pdf/repatriation-or-reshoring-of-manufacturing-to-the-u-s-and-uk-4pbio78ek6.pdf

Repatriation or Reshoring of Manufacturing to the U.S. and UK: Dynamics and Global Production Networks or from Here to There and Back Again

Backshoring of production activities in European manufacturing

This research examines manufacturing reshoring from institutional, strategic and operations management perspectives. The multi-disciplinary approach is motivated by the active involvement of institutions in promoting reshoring activity, suggesting institutional factors can be significant in combination with the more traditional drivers of location decision considered in strategic and operations management. The synthesis of several literature domains enables a broader conceptualisation of the dynamics of reshoring. Anecdotal evidence of reshoring activity within industry has not been well evidenced in the extant literature. In this study, we consider emerging data-sets from the UK and France as they represent major developed-world manufacturing nations that have witnessed significant offshoring in recent decades, and where reshoring is now being actively promoted.

Institutional and strategic operations perspectives on manufacturing reshoring

Handle everyday research tasks with reliable, citation-backed results

Your personal Research Agent to handle research tasks with citation-backed results

Popular Tasks used by Researchers

How can I help with your research?

Meet SciSpace

Get more enhanced response by uploading the PDFs you want me to reference.

No relevant PDFs in your library

SciSpace is the AI research assistant for academics. Run systematic literature reviews on 280M+ papers, and write papers with cited sources. Trusted by 1M+ students, PhDs & researchers.

SciSpace | AI for Research

Analyze PDFs

Code & Manuscripts

Funding & Grants

Literature & Patents

Medical & Clinical Data

Systematic Review

Visualize & Present

Web & Data

Build a Google Scholar-like website for your research.

Build a website

Create charts and images for your research

Create a Chart

Write a paper for submission to a journal

Draft a manuscript

Patent Search

Design eye-catching scientific posters in minutes.

Scientific Poster Generation

Systematic Literature Review

One task is running at the moment. Your messages will be shown right after.

Drag and drop or click here to browse

Loved by <highlight>1 million+</highlight> researchers

Extract a list of specific topics and their sources from unstructured text

Topics

Compare and analyze relevant papers that matches with your search

Papers

Get insights from PDFs and bookmarked papers from your library

My library

Recent searches

Try searching for:

Catch AI-generated content in scholarly and non-scholarly content

{ai} Detector

Ai Writer

Get PDF Summaries, highlighted text explanations 

Chat with PDF

Effortlessly create in-text citations and bibliographies in APA and 2,500 other formats

Citation generator

Get explanations, summaries, and answers on academic papers

Ease up your research workflow with {scispace}'s cohort of exciting AI tools

Elevate your academic writing skills and convey your ideas the way you want

Paraphraser

Explore our range of reading and writing tools

Your file is being prepared and should be ready in a few minutes. If it's a large file, it might take a bit longer. You can close this window, and we'll email you the file when it's done.

You have reached a maximum limit of <strong>{limit}</strong> columns in the table. Remove at least <strong>1</strong> column to add or create another one.

Camille Ané

Author Tools

Chat about Author

Papers

Institutional and strategic operations perspectives on manufacturing reshoring