Re:Is It Time to Rethink Globalized Supply Chains?
by cryptonector on Thursday March 19, 2020 @06:17PM
(#22632339)
Redundancy requires spare capacity. Economic efficiency requires running at close to full capacity.
What we're seeing is conflicting priorities.
After things normalize, we'll probably go back to just-in-time, full capacity production.
But there is a real and separate issue to debate w.r.t. globalization, and it has to do with international politics, and how safe it is to put one's well-being in the hands of a rival. Redundancy and efficiency have nothing to do with this argument.
What we're seeing is conflicting priorities.
After things normalize, we'll probably go back to just-in-time, full capacity production.
But there is a real and separate issue to debate w.r.t. globalization, and it has to do with international politics, and how safe it is to put one's well-being in the hands of a rival. Redundancy and efficiency have nothing to do with this argument.