Domestic Sourcing Could Be The Answer To Supply Chain Issues

designers working in a workshop

For most manufacturers it’s a question as old as time itself: sourcing materials and keeping those supply chains from falling apart. In the past, global sourcing has been a popular option due to its low costs, but in the midst of global disruptions, many companies are having to adjust.

Enter domestic sourcing—procurement from within your own borders. While it may come with some risks, like uncertain availability of resources and potential fluctuations in efficiency, the benefits are too great to ignore in the current climate. Read on, and we’ll explore what you stand to gain by making the transition to domestic sourcing for your manufacturing needs. 

You Can Turn On A Dime

In the manufacturing world, things can change at a moment’s notice. For on-demand manufacturers—like Fictiv— it’s not uncommon to need to ramp up production to meet a specific goal. Domestic sourcing is one method for meeting such sudden scaling needs, and can even be useful if you have to change focus quickly.

The nature of domestic sourcing (within the country, accessible by roads, etc.) makes it so that you’ll have shorter lead times on shipping at (oftentimes) reduced costs. This, in turn, means you can also get shipments faster—perfect for adapting to short-term changes.

You Can Build Stronger Relationships

When you’re sourcing domestically, you’ll also be interacting heavily with local and regional businesses. While the immediate benefit of this may be improved oversight of your goods and deliveries, you’ll also be forging bonds that will improve your operations down the road.

Consumers typically feel more confident with what you have to offer when they know you’re supplied domestically, since US goods often follow stricter regulations and come with improved quality. It’s not just the consumer who will be grateful for the change, though, as your employees will also stand to benefit with a switch to domestic sourcing.

That’s because domestic sourcing will usually improve your business’ bottom line, and you can use those extra resources to better pay staff, invest into the community, contribute to smaller businesses, etc. Everyone benefits and you’ll earn yourself a substantial amount of goodwill.

You Can Reduce Your Impact On The Environment

With a switch to domestic sourcing, you’ll be reducing your business’ drain on the environment. Shipping distances are reduced, and you’ll have less need for storage—as a result, you’ll use less energy, use less material for shipping, and emit less pollution overall. 

This, in and of itself, is a boon, but there are benefits beyond as well. Because many modern consumers are more cognizant of the environmental toll that producing and shipping products may take. They’re more selective, and inclined to give an advantage to companies that they know place a priority on environmental friendliness.

Wrapping Up

Though it might take a bit of effort to transition from international to domestic sourcing, the trade-offs usually make the endeavor well worth it. Domestic sourcing will improve your manufacturing business’ flexibility, allowing you to better adapt to changing conditions. 

What’s more, it will often improve your reputation with regional suppliers, customers, and your own employees. Across the board, this is a measure with the potential to improve quality, so be sure to look for opportunities to make the switch and keep yourself competitive.