Companies are moving manufacturing back to the U.S.

Posted: October 13, 2011 by Eric Pinson in: Blog Posts

Outsource Manufaturing, Inc. has successfully transitioned a couple customers back from the China outsourcing partners. You have all been hearing that is happening, and it’s great to see companies able to bring their manufacturing back.

Here is an article from Boston Business Journal by Kyle Alspach on a Boston company that recently moved the manufacturing back to the U.S.

Boston’s Temperature@lert, a maker of temperature monitors that send alerts to e-mail and cell phones, has shifted manufacturing for all of its products from China to the U.S., including some to Massachusetts, CEO Harry Schechter said.

Since its founding in 2005, the company had contracted the production for two of its three main products to Chinese manufacturers, Schechter said. But the company does frequent shipments of small amounts of product, and so it began looking for a way to save on fuel costs by manufacturing in the U.S.

But Schechter said the company ultimately found larger logistics-related savings, including reducing product defects to near-zero. Temperature@lert updates its monitors — for cellular, USB and wifi — every quarter, and so locating the manufacturing in the U.S. allows the company to move faster, he said.

The cellular product has always been made in the U.S., at contract manufacturer New England CM of Franklin, Mass., but the company moved the other two products to the U.S. in September, Schechter said. The USB product is being made New England CM, he said.

Temperature@lert, which employs five, has shipped 15,000 products to date and has ramped its sales substantially since re-launching the product lines in April, Schechter said.

The monitors are used to identify potentially problematic changes in temperature in IT server rooms, biopharmaceutical storage facilities and commercial refrigeration.

Boston’s Temperature@lert, a maker of temperature monitors that send alerts to e-mail and cell phones, has shifted manufacturing for all of its products from China to the U.S., including some to Massachusetts, CEO Harry Schechter said.

Since its founding in 2005, the company had contracted the production for two of its three main products to Chinese manufacturers, Schechter said. But the company does frequent shipments of small amounts of product, and so it began looking for a way to save on fuel costs by manufacturing in the U.S.

But Schechter said the company ultimately found larger logistics-related savings, including reducing product defects to near-zero. Temperature@lert updates its monitors — for cellular, USB and wifi — every quarter, and so locating the manufacturing in the U.S. allows the company to move faster, he said.

The cellular product has always been made in the U.S., at contract manufacturer New England CM of Franklin, Mass., but the company moved the other two products to the U.S. in September, Schechter said. The USB product is being made New England CM, he said.

Temperature@lert, which employs five, has shipped 15,000 products to date and has ramped its sales substantially since re-launching the product lines in April, Schechter said.

The monitors are used to identify potentially problematic changes in temperature in IT server rooms, biopharmaceutical storage facilities and commercial refrigeration.

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