Abstract
Increasingly, turbulent global market factors and the mature domestic market conditions dictate firms from the advanced nations (e.g., United States, Western Europe, Japan) to pursue reshoring strategy. Literature review includes articles that provide understanding on the relationship between offshoring and reshoring. Through case studies, we further examine reshoring strategy of Japanese firms in China. We discuss first the historical background of outsourcing strategy of Japanese firms from 1960s to 2010. The multiple case studies of Japanese firms suggest that successful reshoring strategy requires advanced planning for preparing right contexts and careful coordination of goals implementations in terms of strategic cost reduction, productivity enhancements and strategic alliances with suppliers in China. In this sense, the learning outcomes through offshoring in China are reapplied in achieving successful reshoring strategy. Another important finding is that reshoring strategy is to strengthen the mother factories at home base for their long term global competitiveness.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Abe’s master plan (2013) The economist. 18 May 2013
Ancarani A, Di Mauro C, Fratocchi L, Orzes G, Sartor M (2015) Prior to reshoring: a duration analysis of foreign manufacturing ventures. Int J Prod Econ 169:141–155
Bailey D, De Propris L (2014) Manufacturing reshoring and its limits: the UK automotive case. Camb J Reg, Econ Soc 7(3):379–395
Blinder AE (2006) Offshoring: the next industrial revolution? Foreign Aff 85(2):113–128
Clampit J, Kedia B, Fabian F, Gaffney N (2015) Offshoring satisfaction: the role of partnership credibility and cultural complementarity. J World Bus 50(1):79–93
Eisenhardt KM (1989) Building theories from case study research”. Acad Manag Rev 14(4):532–550
Ellram LM (2013) Offshoring, reshoring and the manufacturing location decision. J Supply Chain Manag 49(2):3–5
Ellram LM, Tate WL, Petersen KJ (2013) Offshoring and reshoring: an update on the manufacturing location decision. J Supply Chain Manag 49:14–22
Ferdows K, Vereecke A, De Meyer A (2016) Delayering the global production network into congruent subnetworks. J Oper Manag 41:63–74
Foerstl K, Kirchoff JF, Bals L (2016) Reshoring and insourcing: drivers and future research directions. Int J Phys Distrib Logistics Manag 46(5):492–515
Fratocchi L, Ancarani A, Barbieri P, Di Mauro C, Nassimbeni G, Sartor M, Vignoli M, Zanoni A (2016) Motivations of manufacturing reshoring: an interpretative framework. Int J Phys Distrib Logistics Manag 46(2):98–127
Fratocchi L, Di Mauro C, Barbieri P, Nassimbeni G, Zanoni A (2014) When manufacturing moves back: concepts and questions. J Purchasing Supply Manag 20(1):54–59
Friedman TL (2005) The world is flat: a brief history of the twenty-first century. Farrar, Straus and Giroux, New York, USA
Gray JV, Skowronski K, Esenduran G, Rungtusanatham MJ (2013) The reshoring phenomenon: what supply chain academics ought to know and should Do. J Supply Chain Manag, 49(2), 27–33
Gu FF, Hung K, Tse DK (2008) When does guanxi matter? Issues of capitalisation and its dark sides. J Mark 72:12–28
Herath T, Kishore R (2009) Offshore outsourcing: risks, challenges, and potential solutions. Inf Syst Manag 26(4):312–326
Hong P, Park Y (2014) Building network capabilities in turbulent competitive environments: practices of global firms from korea and japan. CRC Press (Taylor & Francis Company). ISBN-13: 978-1466515758
Jensen PDO (2012) A passage to India: a dual case study of activities, processes and resources in offshore outsourcing of advanced services. J World Bus 47(2):311–326
Kang M, Wu X, Hong P (2009) Strategic outsourcing for sustainable competitive advantages: case studies of Multi-National Corporations (MNCs) in China. Strateg Outsourcing: An Int J 2(3):240–256
Kang M, Wu X, Hong P, Park Y (2012) Aligning organizational control practices with competitive outsourcing performance. J Bus Res 65(8):1195–1201
Kang M, Wu X, Hong P, Park K, Park Y (2014) The role of organizational control in outsourcing practices: an empirical study. J Purchasing Supply Manag 20(3):177–185.
Ketokivi M, Choi T (2014) Renaissance of case research as a scientific method. J Oper Manag 32(5):232–240
Lampel J, Bhalla A (2011) Living with offshoring: the impact of offshoring on the evolution of organizational configurations. J World Bus 46(3):346–358
Larsen MM (2016) Failing to estimate the costs of offshoring: a study on process performance. Int Bus Rev 25(1 Part B):307–318
Li X, Barnes I (2008) Proactive supply risk management methods for building a robust supply selection process when sourcing from emerging markets. Strateg Outsourcing: An Int J 1(3):252–267
Macchion L, Danese P, Vinelli A (2015) Redefining supply network strategies to face changing environments. A study from the fashion and luxury industry. Oper Manag Res 8(1–2):15–31
Manning S, Massini S, Lewin AY (2008) A dynamic perspective on next-generation offshoring: the global sourcing of science and engineering talent. Acad Manag Perspect 22(3):35–54
Oki K (2009) Building capabilities of overseas subsidiaries in the context of international functional specialization: a case study of Japanese HDD makers. J Int Bus 1(1):19–34 (in Japanese)
Park Y, Hong P (2012) Building network capabilities in turbulent competitive environments: practices of global firms from korea and Japan. CRC Press (Taylor & Francis Company). ISBN: 978-1-4398-5068-8
Rubin H (2009) Outsourcing to China: risk management and strategies. The Licensing J 29(10):7–19
Schmeisser B (2013) A systematic review of literature on offshoring of value chain activities. J Int Manag 19:390–406
Sirkin HL, Zinser M, Hohner D (2011) Made in America why manufacturing will return to the US. Boston Consulting Group, Again, pp 1–15
Stentoft J, Olhager J, Heikkilä J, Thoms L (2016) Manufacturing backshoring: a systematic literature. Oper Manag Res 9(3–4):53–61
Su C, Yang Z, Zhuang G, Zhou N, Dou W (2009) Interpersonal influence as an alternative channel communication behaviour in emerging markets: the case of China. J Int Bus Stud 40:668–689.
Tate WL, Ellram LM, Billington C (2008) Offshore outsourcing of professional services: a transaction cost economics perspective. J Oper Manag 26:148–163
Tate WL, Ellram LM, Bals L, Hartmann E (2009) Offshoring outsourcing of services: an evolutionary perspective. Int J Prod Econ 120:512–524
Toloken S (2016) Trump on manufacturing, reshoring and trade, Plastics news (23 Nov 2016). (http://www.plasticsnews.com/article/20161123/BLOG03/161129926/trump-on-manufacturing-reshoring-and-trade)
Vivek SD, Richey RG, Dalela V (2009) A longitudinal examination of partnership governance in offshoring: a moving target”. J World Bus 44(1): 16–30
Author information
Authors and Affiliations
Corresponding authors
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2017 Springer International Publishing AG
About this chapter
Cite this chapter
Park, Y., Hong, P. (2017). Reshoring Strategy: Case Illustrations of Japanese Manufacturing Firms. In: Vecchi, A. (eds) Reshoring of Manufacturing. Measuring Operations Performance. Springer, Cham. https://doi.org/10.1007/978-3-319-58883-4_7
Download citation
DOI: https://doi.org/10.1007/978-3-319-58883-4_7
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-319-58882-7
Online ISBN: 978-3-319-58883-4
eBook Packages: Business and ManagementBusiness and Management (R0)