IN-HOUSE MANUFACTURING / SELF-MANUFACTURE OR OUTSOURCING ? STEP-BY-STEP GUIDELINES

• Supply Chain Management


With the exception of Italian and Danish furniture manufacturers, the European furniture manufacturers are not used to cooperate between themselves. In Italy and in Denmark have recorded some success because they cooperate, subcontracting being widely used.

To think “Supply Chain” is a must. In addition to Italy and Denmark, the office and contract furniture sectors have also developed some “sub-contracting” activities efficiently interpreting the furniture supply chain. There is an efficient process when analysing the furniture supply chain.



• Outsourcing as a strategy


The advantages for outsourcing are well known. The furniture manufactures are already outsourcing cleaning activities, printing ones, stands building in fairs without any problems. These types of activities have never been a part of the key activities of the firm, and the manufacturers know that they can be done cheaper and more efficiently by external suppliers. This can be also be done for parts of the internal production process. Here also third parties can play an important role. Outsourcing is always based on the decisive choice, based on a clear analysis of our own company and its environment. Outsourcing is therefore always a strategic decision.

These guidelines provide the interested persons with a step-wise approach on how to chose between an in-house production and sub-contracting activities.