Increased restructuring and manufacturing’s future

An article in the Wall Street journal ( Oct 24, 2011) states that while close to 70% of S&P companies beat earnings,  significant number are focused on restructuring operations. The size of this spend varies from $100 million at Danaher, to $300 million at United Technologies and Honeywell. Restructuring reasons range from capacity reduction to match demand, consolidation of service centers to increased use of technology. Does this structuring suggest an anticipated slower demand or a shift in demand sources ? Is this a case of technology being more effectively deployed to manage global supply chains ? Should one expect a shift in the reliance of technology to deliver services and thus lower overall employment levels globally as productivity increases ?

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About aviyer2010

Professor
This entry was posted in Global Contexts, Operations Management, Service Operations, Supply Chain Issues and tagged , , , , , , , , . Bookmark the permalink.

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