As a computer based exercise it is "easy" to see how adjusting parameters of one's supply chain impacts inventory, delivery time, and costs. But in practice I wonder how easy it is to move real production, or stage a near shore for the first time if you have been reliant on off shore for all sourcing needs.
My second thought is: the owner who will tolerate lower margins has another lever to pull, which is the price shown to the consumer. I expect the economic impact of supply chain volitility to be a shared burden between firm and customer.
As a computer based exercise it is "easy" to see how adjusting parameters of one's supply chain impacts inventory, delivery time, and costs. But in practice I wonder how easy it is to move real production, or stage a near shore for the first time if you have been reliant on off shore for all sourcing needs.
My second thought is: the owner who will tolerate lower margins has another lever to pull, which is the price shown to the consumer. I expect the economic impact of supply chain volitility to be a shared burden between firm and customer.