RESHORING CASE

Kapsys

Company details
Code: 
Kapsys
Company name: 
Kapsys
Company country: 
France
Number of employees: 
11
Sector: 
C - Manufacturing
Sector detail: 
C26 - Manufacture of computer, electronic and optical products
Sub-sectors: 
C26.3 - Manufacture of communication equipment
Reshoring details
Reshoring announcement date: 
29/05/2017
Starting implementation date: 
November, 2016
End of Implementation : 
May, 2017
Reshored to: 
France
Location of affected unit(s): 
Mouguerre (Bayonne)
Location code: 
FRI15
Reshored business function: 
Production
Partial or Total reshoring: 
Total
Reshoring governance mode: 
Third party (external suppliers)
Reasons for reshoring: 
Delivery time
Logistics costs
Poor quality of offshored production
Proximity to customers
Proximity to suppliers
Case narrative: 

Kapsys is a French company founded in 2007 in Mougins, France. This company has became an expert in the fields of embedded intelligence and voice technologies, designing and selling digital mobility and communication devices for seniors and visually-impaired people. Kapsys has decided to relocate the production of its second generation SmartVision mobile phone from China to France due to the problems of distance, transport and especially quality. After production line is moved, production activities are conducted by BMS Circuit - electronics subcontractor which based in Mouguerre (Bayonne), France. Circuit hopes that they can repeat the experience and produce new smartphones for older people in France and plans to do so in the summer of 2017. In addition, Kapsys attempts to protect the SmartVision 2 software and avoid risk of being copied or corrupted, as installation activities would have been carried out by Kapsys itself rather than its service providers in China. This reshoring decision offers Kapsys more control over the design, development and manufacturing. Meanwhile, relocating production activities back to France will facilitate communications between Kapsys and production unit, and offer its customers more flexibility and responsiveness.

Sources: 

L'Usine Nouvelle, 29/05/2017

IConnect007, 25/11/2016

Offshoring details
Offshoring date: 
2010
Offshoring location: 
China
Offshored business function: 
Production
Offshoring governance mode: 
Third party (external suppliers)
Offshoring entry mode: 
Non equity
Host country geographical area: 
China