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Towards right-shoring: a framework for off-and re-shoring decision making

Author

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  • Claire Joubioux

    (Maastricht University)

  • Evelyne Vanpoucke

    (Université Libre de Bruxelles)

Abstract

Location decisions are crucial for manufacturing plants. While current research mainly stresses the cost considerations of location decisions, this research focusses on a more comprehensive decision-making process. Based on analyzing the motivations for off-and re-shoring, we present a decision-making framework which will help companies to ‘right-shore’. Through a multiple case study approach in the aeronautics industry, an industry known for its technical complexity and innovative nature, we will validate and broaden our initial decision-making framework based on literature. While analyzing this framework, it became apparent that the main motivation for offshoring in the aeronautic industry is far from being restricted to cost-cutting considerations. More specific, companies in this industry are willing to develop sustainable commercial partnerships in emerging countries to benefit from new capacities and resources. In the same vein, re-shoring decisions are grounded on long-term perspectives and are carefully balanced. While providing a comprehensive framework for offshoring and re-shoring decisions, our framework enables companies to make better informed decisions for choosing the right location for their plants.

Suggested Citation

  • Claire Joubioux & Evelyne Vanpoucke, 2016. "Towards right-shoring: a framework for off-and re-shoring decision making," Operations Management Research, Springer, vol. 9(3), pages 117-132, December.
    • Handle: RePEc:spr:opmare:v:9:y:2016:i:3:d:10.1007_s12063-016-0115-y
    DOI: 10.1007/s12063-016-0115-y
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    3. Albachiara Boffelli & Luciano Fratocchi & Matteo Kalchschmidt & Susana Cristina Lima da Costa e Silva, 2021. "Doing the right thing or doing things right: what is better for a successful manufacturing reshoring?," Operations Management Research, Springer, vol. 14(1), pages 1-16, June.
    4. Fernando Merino & Cristina Di Stefano & Luciano Fratocchi, 2021. "Back-shoring vs near-shoring: a comparative exploratory study in the footwear industry," Operations Management Research, Springer, vol. 14(1), pages 17-37, June.
    5. Xiang Gao & Geoffrey J D Hewings & Cuihong Yang, 2022. "Offshore, re-shore, re-offshore: what happened to global manufacturing location between 2007 and 2014? [The gravity model]," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 15(2), pages 183-206.
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    8. Pinheiro, Alexandra & Sochirca, Elena & Afonso, Oscar & Neves, Pedro Cunha, 2023. "Automation and off(re)shoring: A meta-regression analysis," International Journal of Production Economics, Elsevier, vol. 264(C).
    9. Piatanesi, Benedetta & Arauzo Carod, Josep Maria, 2019. "An Analysis about reverse offshoring," Working Papers 2072/376030, Universitat Rovira i Virgili, Department of Economics.
    10. Paolo Barbieri & Albachiara Boffelli & Stefano Elia & Luciano Fratocchi & Matteo Kalchschmidt & Danny Samson, 2020. "What can we learn about reshoring after Covid-19?," Operations Management Research, Springer, vol. 13(3), pages 131-136, December.
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    12. Henkel, Malin & Boffelli, Albachiara & Olhager, Jan & Kalchschmidt, Matteo, 2022. "A case survey of offshoring–backshoring cases: The influence of contingency factors," International Journal of Production Economics, Elsevier, vol. 253(C).
    13. McIvor, Ronan & Bals, Lydia, 2021. "A multi-theory framework for understanding the reshoring decision," International Business Review, Elsevier, vol. 30(6).
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    16. Bart Kamp & Juan José Gibaja, 2021. "Adoption of digital technologies and backshoring decisions: is there a link?," Operations Management Research, Springer, vol. 14(3), pages 380-402, December.
    17. Amy V. Benstead & Mark Stevenson & Linda C. Hendry, 2017. "Why and how do firms reshore? A contingency-based conceptual framework," Operations Management Research, Springer, vol. 10(3), pages 85-103, December.
    18. Młody Michał & Stępień Beata, 2020. "Principles of reshoring development in luxury goods sector," International Journal of Management and Economics, Warsaw School of Economics, Collegium of World Economy, vol. 56(2), pages 140-158, June.
    19. Stentoft, Jan & Mikkelsen, Ole Stegmann & Jensen, Jesper Kronborg & Rajkumar, Christopher, 2018. "Performance outcomes of offshoring, backshoring and staying at home manufacturing," International Journal of Production Economics, Elsevier, vol. 199(C), pages 199-208.
    20. Albachiara Boffelli & Malin Johansson, 2020. "What do we want to know about reshoring? Towards a comprehensive framework based on a meta-synthesis," Operations Management Research, Springer, vol. 13(1), pages 53-69, June.

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