RESHORING CASE

Bosch Packaging Technology

Company details
Code: 
BoschPT
Company name: 
Bosch Packaging Technology
Group name: 
Bosch
Company country: 
Germany
Group home country: 
Germany
Number of employees: 
6100
Sector: 
C - Manufacturing
Sector detail: 
C22 - Manufacture of rubber and plastic products
Reshoring details
Reshoring announcement date: 
04/02/2016
Starting implementation date: 
April, 2016
Reshored to: 
Germany
Location of affected unit(s): 
Waiblingen, Hüttlin
Location code: 
DE116
Reshored business function: 
Production
Partial or Total reshoring: 
Partial
Reshoring governance mode: 
In house (in own facilities)
Estimated job gains: 
100
Reasons for reshoring: 
Economic crisis
Implementation of strategies based on product/process innovation
Know-how in the home country
Logistics costs
Untapped production capacity
Case narrative: 

Bosch Packaging Technology plans to scale back operations at its Manesty site in Knowsley. Due to greater competition in the market and the economic crisis, the company announced plans to end the production of tablet presses and coaters at Manesty. Production will move to two  sites in Germany, and will result in around 100 job losses, although the company says it aims to keep the redundancies to a minimum. The reduction in workforce will not begin until 19 March 2016 at the earliest.

A representative of Bosch stated that “competition has increased and it has become difficult for the Knowsley location to compete on a global scale. Furthermore, new technology demands for solid dose manufacturing were introduced to the market and because of the increased demand for line solutions, Bosch Packaging Technology sees the need to adapt its business model to these changed market conditions ... ...as a consequence, tablet presses and coaters will be produced on behalf of the business at two specialist pharmaceutical sites in Germany according to the strategic fit: Waiblingen for tablet presses and Hüttlin in Schopfheim for coaters. Manesty in the UK will continue to supply a full schedule of services for all its machines delivered to our customers throughout the world.”

 

Sources: 

Insider Media, 05/02/2016

Liverpool Echo, 04/02/2016

Offshoring details
Offshoring date: 
2011
Offshoring location: 
United Kingdom
Offshored business function: 
Production
Offshoring entry mode: 
Wholly owned
Reason for offshoring: 
Merger and Acquisition
Host country geographical area: 
Western Europe