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The Insourcing Boom - Charles Fishman - The Atlantic - 0 views

shared by Gene Ellis on 19 Feb 15 - No Cached
  • The magic is in that head: GE has put a small heat pump up there, and the GeoSpring pulls ambient heat from the air to help heat water. As a result, the GeoSpring uses some 60 percent less electricity than a typical water heater. (You can also control it using your iPhone.)
  • The GeoSpring is an innovative product in a mature category
  • We really had zero communications into the assembly line there.”
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  • The team eliminated 1 out of every 5 parts. It cut the cost of the materials by 25 percent.
  • the team cut the work hours necessary to assemble the water heater from 10 hours in China to two hours in Louisville.
  • Time-to-market has also improved, greatly.
  • four weeks on the boat from China and one week dockside to clear customs.
  • Total time from factory to warehouse: 30 minutes.
  • there is an inherent understanding that moves out when you move the manufacturing out. And you never get it back.”
  • At the end of the day, they say, ‘If we were doing this for the U.S. market, we should never have gone to China in the first place.’ ”
  • But the logic of onshoring today goes even further—and is driven, in part, by the newfound impatience of the product cycle itself.
  • Just a few years ago, the design of a new range or refrigerator was assumed to last seven years. Now, says Lou Lenzi, GE’s managers figure no model will be good for more than two or three years.
  • Products that once seemed mature—from stoves to greeting cards—are being reinvigorated with cheap computing technology.
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Citi Cuts Costa Rica Growth Forecast After Firings - Bloomberg - 0 views

  • Citi Cuts Costa Rica Growth Forecast After Firings
  • Hours later, BofA said it would be exiting operations in Costa Rica, Guadalajara, Mexico and Taguig, Philippines, without saying how many jobs would be lost. Costa Rica’s foreign investment agency said the BofA move would result in 1,500 layoffs.
  • “This is a strong call to the country to keeps tabs on things like the rising cost of electricity, telecommunications, wages and social guarantees.”
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  • The country of 4.7 million people climbed seven spots to 102nd in the World Bank’s annual “Doing Business” report this year, lagging behind China, Vietnam and Namibia. Moody’s Investors Service lowered its outlook on Costa Rica to negative from neutral in September, citing a rising debt burden and widening budget deficit. Moody’s rates the country Baa3, putting it in the same category as Turkey and Iceland.
  • In a Bloomberg survey published last month, Costa Rica was ranked fourth behind Russia, Argentina and Ukraine on a list of countries confronting the biggest loss of investor confidence. The survey cited data including the rising cost of credit default swaps and the currency’s performance against the dollar.
  • California-based Intel, whose processors run more than 80 percent of personal computers shipped worldwide every year, originally chose to establish operations in Costa Rica after studying sites in Indonesia, Thailand, Brazil, Argentina, Chile and Mexico, according to a 2000 case study by Harvard University’s Center for International Development. The company’s $600 million investment at the time represented about 4.2 percent of GDP, prompting the company’s then-Vice President Bob Perlman to say Intel’s arrival was like “putting a whale in a swimming pool,” according to the study.
  • n 2013, about 21 percent of Costa Rica’s exports of goods came from Intel, according to investment promotion agency CINDE
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Aluminum and Icelandic GDP | Askja Energy - The Independent Icelandic Energy Portal - 1 views

  • Aluminum and Icelandic GDP
  • The aluminum sector now consumes almost 75 per cent of electricity generated in Iceland. When taking this part of the Icelandic energy industry into account, the total contribution of the aluminum industry to the Icelandic GDP is somewhat larger than the direct contribution, and the total contribution can be said to be 5.4-6.3 per cent annually (on average in the period 2007-2010). In 2010 this number was approximately 7.7-8.6 per cent.
  • n her thesis, Ms. Ragnarsdóttir explains how aluminum production first began in Iceland in the year 1969, with an output of barely 11 thousand tons annually. In the early 1990s the rate of production grew rapidly and today it is around 820 thousand tons annually. Two of the largest hydroelectric power stations in Iceland were constructed mainly to serve the aluminium industry.
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  • 4,000 jobs
  • Today, the aluminum products have approximately a 40 percent  share in the total export of goods from Iceland (which is more or less the same proportion as that of fish products).
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The Poor Need Cheap Fossil Fuels - NYTimes.com - 0 views

  • In sub-Saharan Africa, for instance, excluding South Africa, the entire electricity-generating capacity available is only 28 gigawatts — equivalent to Arizona’s — for 860 million people. About 6.5 million people live in Arizona.
  • Over the last 30 years, China moved an estimated 680 million people out of poverty by giving them access to modern energy, mostly powered by coal. Yes, this has resulted in terrible air pollution and a huge increase in greenhouse gas emissions. But it is a trade-off many developing countries would gratefully choose.
  • Today, 81 percent of the planet’s energy needs are met by fossil fuels, and according to the International Energy Agency, that percentage will be almost as high in 2035 under current policies, when consumption will be much greater. The unfortunate fact is that many people feel uncomfortable facing up to the undeniable need for more cheap and reliable power in the developing world.
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  • Because burning natural gas emits half the carbon dioxide of coal, this technology has helped the United States reduce carbon dioxide emissions to the lowest level since the mid-1990s
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