Global and Local Operations of Finnish Metal Industry Companies during COVID-19 and Trade Disruptions: A Case Study
Global and Local Operations of Finnish Metal Industry Companies during COVID-19 and Trade Disruptions: A Case Study
Author(s): Pasi Rönkkö, Jere Lehtinen, Jukka Majava, Pekka TervonenSubject(s): National Economy, International relations/trade, Health and medicine and law, Economic development, Transport / Logistics
Published by: Mednarodna fakulteta za družbene in poslovne študije
Keywords: globalisation; supply chain; Industry; COVID-19; Brexit; trade wars; outsourcing; offshoring; reshoring;
Summary/Abstract: Purpose: Globally operating companies have been disrupted by many simultaneous crises in recent years, specifically the COVID-19 pandemic, Brexit, and trade wars. This study identifies the key factors in companies’ decisions to expand their global supply chains or to operate more locally in today’s world. Study design/methodology/approach: This article contains a literature review and empirical study. Representatives from three Finnish B2B manufacturing companies in the metal industry were interviewed about their international and local operations. Findings: The key reasons for global operations included a large supplier base, component availability, lower costs, and specialised products. Typical problems included quality issues, long lead times, and communication challenges. Specific risks and mitigations around COVID-19, Brexit, and trade wars are also presented. Originality/value: The study provides updated global and local operations information. Unique reasons for global operations included manufacturing Engineerto-Order (ETO) products close to the customer and product changes.
Journal: International Journal of Management, Knowledge and Learning
- Issue Year: 10/2021
- Issue No: 1
- Page Range: 293-304
- Page Count: 12
- Language: English