What is insourcing?

• Insourcing is a process where work that would otherwise be outsourced is carried out internally. Benefits include increased responsiveness, improved knowledge and social capital, and more control over the final product.
• Before insourcing can take place, the company must first identify a need, project, or area where it is otherwise lacking that could benefit from professional guidance.
• A cereal company can use insourcing to hire French and Native speakers as part of an international expansion effort. A manufacturer of heavy machinery can also use it to avoid having to hire external technical writers.

Component	Description
Concept Overview	Reshoring, also known as onshoring or insourcing, is a strategic business decision that involves bringing back manufacturing or business operations to a company’s home country or a nearby location after previously outsourcing them to foreign countries. The aim is to regain control over critical aspects of production, quality, and supply chain management. It’s a response to the challenges and considerations associated with offshoring.
Implications	Reshoring has profound implications for businesses, supply chains, and economies. By shifting production closer to home, companies can enhance supply chain resilience, reduce lead times, and gain greater control over quality standards. This can lead to improved customer satisfaction and brand reputation. Reshoring can also contribute to job creation in the home country, which can have positive effects on the local economy.
Benefits	Reshoring offers a range of benefits. Firstly, it allows companies to reduce transportation costs and mitigate the risks associated with long and complex global supply chains. Additionally, it provides better access to local talent and expertise, which can be especially crucial in industries requiring specialized skills. Moreover, reshoring can result in increased market responsiveness, as shorter supply chains can adapt more swiftly to changing customer demands. From an environmental perspective, it can lead to a reduced carbon footprint due to shorter transportation distances.
Drawbacks	While reshoring has numerous advantages, it also comes with challenges. One of the primary drawbacks is the initial investment required to transition production facilities and supply chains. Companies may need to upgrade technology, retrain workers, and adapt to new regulatory environments. Skill gaps can also be a concern, as the workforce may need retraining to meet the specific needs of reshored operations. Furthermore, businesses might face limitations in market access strategies, especially if they previously relied on low-cost labor from foreign markets. Additionally, reshoring can expose companies to heightened competitive pressures from global rivals who continue to operate overseas.
Applications	Reshoring is a strategy applied across various industries. In manufacturing, it is used to regain control over the production process, improve product quality, and ensure compliance with local regulations. The automotive industry, for example, has seen instances of reshoring where companies bring back production of specific components to enhance quality control. In the services sector, reshoring is used to provide customer support and IT services in-house, increasing customer satisfaction. Technology companies may reshore software development to access local expertise. The pharmaceutical industry also utilizes reshoring to ensure the safety and quality of pharmaceutical products. For instance, the reshoring of drug manufacturing can enhance regulatory compliance and quality assurance.
Examples	Several notable examples of reshoring initiatives include: 1. Apple: The tech giant Apple announced plans to invest $350 billion in the U.S. economy over five years, including the construction of a new campus and the creation of 20,000 jobs. This move aimed to bring some of its manufacturing and component production back to the United States. 2. General Electric (GE): GE reshored the production of water heaters from China to the U.S. This decision was driven by the desire to improve quality control, reduce lead times, and meet the demand for its products more efficiently. 3. Ford: Ford Motor Company has reshored production of certain vehicle components to the United States, such as engine components and transmissions. This strategic shift aimed to enhance quality and supply chain resilience. 4. Reshoring Initiative: The Reshoring Initiative, a non-profit organization, assists companies in evaluating the financial benefits of reshoring. It provides tools and resources to help businesses make informed decisions about bringing operations back to the U.S. In conclusion, reshoring is a strategic business move with implications that extend from supply chain management to local economies. While it offers numerous benefits, including supply chain resilience and improved quality control, it also presents challenges such as initial investment costs and skill gaps. The application of reshoring varies across industries and is driven by factors such as the need for quality assurance and greater control over production processes. Successful examples from companies like Apple, GE, and Ford illustrate the potential benefits of reshoring for businesses and the broader economy.

Component	Description
Concept Overview	Insourcing is a strategic business decision where an organization opts to perform specific functions or tasks in-house rather than outsourcing them to external third-party providers or contractors. This approach is chosen to gain better control over processes, quality, intellectual property, and costs. Insourcing can encompass various business activities, from manufacturing and IT services to customer support and research and development. It is often seen as the opposite of outsourcing.
Implications	Insourcing has significant implications for businesses. It allows organizations to have direct oversight and control over their operations, reducing dependence on external entities. This can lead to improved data security, intellectual property protection, and adherence to regulatory standards. Insourcing can also enhance the organization’s ability to respond to changing market conditions and customer demands more swiftly. However, it may require substantial investments in infrastructure, technology, and talent.
Benefits	Insourcing offers various advantages. It provides organizations with greater control and flexibility in managing their operations, enabling them to align processes with their specific needs and objectives. It enhances data security and confidentiality, reducing the risk of data breaches associated with third-party outsourcing. Insourcing can also lead to cost savings in the long run by eliminating outsourcing fees and reducing overhead costs. Furthermore, it allows for the development and retention of in-house expertise and talent.
Drawbacks	While insourcing has numerous benefits, it also has drawbacks. One primary drawback is the initial cost of setting up and maintaining in-house capabilities. Organizations may need to invest heavily in infrastructure, technology, training, and talent acquisition. Additionally, insourcing can create increased workload and resource demands on internal teams, potentially leading to burnout and decreased employee morale. Insourcing may also limit access to specialized skills or resources available from external vendors.
Applications	Insourcing is applied across various industries and functions. In the manufacturing sector, companies may choose to insource the production of critical components or products to maintain quality control and reduce supply chain vulnerabilities. In the IT sector, organizations may insource software development or data management to protect sensitive information. Customer support functions are also commonly insourced to ensure better service quality and customer satisfaction. Research and development activities may be insourced to protect proprietary knowledge and innovations.
Examples	Several notable examples of insourcing initiatives include: 1. IBM: IBM made a strategic decision to insource some of its IT services that were previously outsourced. This allowed the company to maintain tighter control over its technological infrastructure and improve data security. 2. Walmart: Walmart, one of the world’s largest retailers, insourced its e-commerce operations to better compete with online retail giants like Amazon. This move enabled Walmart to develop in-house e-commerce capabilities and offer competitive online shopping experiences. 3. NASA: The National Aeronautics and Space Administration (NASA) has historically insourced critical elements of its space exploration programs, such as designing and building spacecraft and launch vehicles. This approach ensures high-quality standards and safety in space missions.

Insourcing refers to the practice of assigning work to an individual or department within an organization instead of contracting it out to a third party. That is, the company uses its own resources to perform the work rather than those provided by another entity.

Understanding insourcing

Insourcing is a process where work that would otherwise be outsourced is carried out internally.

Insourcing may be the preferred option for several reasons:

Increased responsiveness

In today’s dynamic global market, businesses must be more agile than ever.

Outsourcing work is normally a slower process which can hinder a company’s responsiveness.

In fact, insourcing is more expensive in the short-term, yet might turn into a much more viable strategy in the long run.

However, it’s always critical to ask whether you’re trying to insource a critical function of the organization or not.

In many cases, if you need to test something quickly, which is outside of the core of the organization and yet worth undertaking, outsourcing might be a great way to start testing that out.

Take the case of how companies like Amazon “outsources” product discovery to third-party stores on top of Amazon.

As finding out new products might be quite expensive, Amazon hosts third-party stores on top of it, and for the third-party stores that turned out to be more successful, Amazon might buy them out or launch their own version.

While, of course, this might turn into a predatory tactic on the part of Amazon, when done in a more strategic way, it might be actually a win-win.

There are also other companies like Thras.io, which have built a whole business on top of Amazon’s third-party sellers.

In other words, it’s important to balance out outsourcing and insourcing to build competitive moats.

In some cases, it makes sense to insource right on (especially when the function is very close to the core of the business).

In some other cases, it makes sense to outsource (especially when the function is far from the core), to kick off fast experimentation, and plan the insource if the experiment works out.

Knowledge and social capital

In the most successful organizations, social capital fosters collaboration between ambitious employees who are motivated to reach their objectives.

Insourcing keeps this knowledge in-house, where it can be utilized with the greatest impact.

For some companies, insourcing is part of the culture. Whereas those organizations try to develop most of the processes in-house.

For other organizations, it’s the opposite, where they use primarily outsourcing as a way to develop the business.

It’s worth highlighting that most companies, as they scale, they use outsourcing to quickly expand (as insourcing all the business processes right on might be too expansive and slow).

As we’ll see, a hybrid way is to use an outsourcing process where you rely on strategic partners.

Which work almost as if they were internal to the organizations, this enables the company to move faster and yet make sure that the outsourcing partner understands the specifics of the core of the business.

Lack of control

In some cases, poor-quality work is produced by the outsourcing company, which results in significant financial losses.

Insourcing can be more desirable since the company has more control over decision-making and the final product.

Also, here, it’s worth highlighting that while in-sourcing brings control, it also increases costs, for the organization.

Thus, it’s always critical to ask, whether insourcing makes sense and if it’s close enough to a strategic side of the business.

Wanting to insource, as a rule of thumb, makes sense as long as it does not increase the cost of doing business, to the point of making the organization too expensive and inefficient to run.

How does insourcing work?

Before insourcing can take place, the company must first identify a need, project, or area where it is otherwise lacking that could benefit from professional guidance.

The company may then transfer one or more specialists to an existing team or create a new team subject to resource constraints.

Insourced staff may work for a predetermined period or until certain KPIs or objectives have been met.

Some may establish new company-wide processes and procedures and/or remain in their new roles indefinitely.

Advantages of Insourcing:

Insourcing can provide various benefits to organizations:

1. Cost Control:

• Cost Savings: Insourcing can reduce costs associated with outsourcing, such as service fees, contract management, and overhead expenses.

2. Quality Control:

• Enhanced Quality: Organizations can maintain greater control over the quality of work and ensure that it aligns with their standards and expectations.

3. Improved Communication:

• Streamlined Communication: Insourcing promotes direct communication among teams, leading to better collaboration and problem-solving.

4. Intellectual Property Protection:

• Enhanced IP Protection: Sensitive information and intellectual property are better safeguarded when handled internally.

5. Strategic Alignment:

• Alignment with Organizational Goals: Insourcing allows organizations to align specific functions closely with their strategic objectives.

6. Flexibility and Agility:

• Adaptability: Organizations can quickly respond to changing needs and market conditions by having in-house expertise.

When to Consider Insourcing:

Organizations should consider insourcing under various circumstances:

1. Cost Analysis:

• Conduct a thorough cost-benefit analysis to determine if insourcing would result in cost savings or better value.

2. Quality Control Issues:

• If outsourcing has led to consistent quality control problems, insourcing may provide a solution.

3. Strategic Alignment:

• Evaluate whether specific functions or tasks are critical to your organization’s strategic goals.

4. Intellectual Property Protection:

• If intellectual property protection is a major concern, bringing operations in-house may be advisable.

5. Core Competencies:

• Consider insourcing functions that are closely related to your organization’s core competencies.

6. Control and Flexibility:

• Insourcing can provide greater control and flexibility in managing business processes.

How to Implement Insourcing:

Implementing insourcing effectively involves a structured approach:

1. Strategic Planning:

• Develop a comprehensive insourcing strategy, including cost estimates, quality assurance measures, and resource allocation.

2. Talent Acquisition:

• Recruit and hire or retrain employees with the necessary skills to handle the insourced functions.

3. Infrastructure and Resources:

• Ensure that the organization has the required infrastructure, technology, and resources to support insourced operations.

4. Transition Management:

• Plan and manage the smooth transition of functions or tasks from external providers to internal teams.

5. Vendor Relationship Management:

• If applicable, carefully manage the transition away from external vendors or contractors.

6. Performance Measurement:

• Establish key performance indicators (KPIs) to monitor the success and efficiency of the insourced functions.

What to Expect from Insourcing:

Organizations can expect various benefits from insourcing, including:

1. Cost Savings:

• Potential cost savings compared to outsourcing or contracting.

2. Quality Control:

• Enhanced control over quality standards and assurance.

3. Intellectual Property Protection:

• Better protection of intellectual property and sensitive information.

4. Strategic Alignment:

• Closer alignment of specific functions with organizational goals.

5. Flexibility and Adaptability:

• Increased flexibility and agility in responding to changing business needs.

6. Streamlined Communication:

• Improved communication and collaboration among internal teams.

However, insourcing also presents challenges such as the need for initial investment, talent acquisition or retraining, and resource management. Careful planning and execution are essential for a successful insourcing strategy.

In conclusion, insourcing is a strategic decision to bring specific functions or tasks in-house, rather than relying on external vendors or contractors. Organizations should consider insourcing when it aligns with their cost, quality, strategic, intellectual property, and control requirements. Effective implementation of insourcing involves thorough planning, talent acquisition or development, and the establishment of performance measurement mechanisms. When executed correctly, insourcing can lead to various advantages, including cost savings, improved quality control, and better alignment with organizational goals.

Insourcing Strategies

Let’s look at three models for insourcing.

Insourcing only the strategic units

In this case, the organization only brings in projects that are very close to the core.

Take the case of a fashion e-commerce company, which over time, decides to bring in-house clothes manufacturing, to improve quality and control over the creative process drastically.

Insourcing it all

Some organizations have in their DNA the willingness to insource most parts. of the process.

An example is how Tesla started early on to go direct while trying to, over time, bring all production processes in-house.

Today, Tesla is a vertically integrated organization.

To be sure, it took fifteen years for Tesla to achieve that, yet its “insourcing mindset” led the company to look for all possible ways to bring in-house most of the business processes.

This was an extremely expensive strategy, yet it might turn successful in the long-

Hybrid

An interesting example is Apple.

The company managed to successfully build iPhone’s manufacturing processes outside the US and mostly in China, and yet keep the iPhone as one. of the most expensive tech devices on the market.

How did Apple do that?

It balanced outsourcing with insourcing.

Indeed, while Apple outsourced the manufacturing side, it kept tight control over the design part, which is one of the core tenets of Apple’s business model.

And it kept tight control over the demand side with its branding and expensive store strategy, which is the core of Apple’s distribution strategy.

This hybrid model, enabled Apple to completely unleash its manufacturing capabilities outside the US, thus making the iPhone extremely cheap to make.

While the company kept tight control of strategic assets, such as design (UX) and demand (owned stores strategy).

Insourcing examples

Let’s conclude by describing two insourcing examples that will provide clarity on the practice.

Breakfast cereal company

Consider a British breakfast cereal company that wants to expand its marketing and promotional activities to France and Spain.

Since its ads have only been run in English, the cereal maker requires French and Spanish speakers.

Many companies who have found themselves in a similar position have contracted the creation of the ads to a third party in the relevant country.

The cereal company, however, uses insourcing to recruit native French and Spanish speakers who then build their own internal teams.

In addition to translating existing promotional materials, the new staff play a pivotal role in the creation of culturally-sensitive and relevant ads for French and Spanish audiences.

Agricultural machinery company

In the next example, we have a company that designs and manufactures heavy machinery for agricultural purposes such as combine harvesters, tractors, and balers. 

In preparation for the release of a new harvester, the company recruits its in-house engineers to write the owner’s manual instead of looking for assistance externally.

Sensing that it would be more cost-effective than outsourcing, the company pays for its engineers to enroll in a technical writing course.

With more internal control over the process, the manuals are more likely to be of a sufficient standard.

Case Studies

• Apple: Apple is known for its hybrid insourcing strategy. While it outsources the manufacturing of its products to suppliers like Foxconn, it keeps tight control over design, software development, and retail distribution. This allows Apple to focus on innovation, user experience, and branding while benefiting from cost-effective manufacturing.
• Tesla: Tesla, led by Elon Musk, has pursued full insourcing in the electric vehicle industry. The company operates its manufacturing plants, including the Gigafactory for battery production. Tesla’s insourcing approach gives it greater control over technology, quality, and supply chain, aligning with its vision for sustainable transportation.
• Amazon: Amazon is known for its extensive insourcing of logistics and delivery services. The company established Amazon Logistics to handle last-mile deliveries, reducing reliance on external carriers like UPS and FedEx. This move enables Amazon to have more control over its delivery network and improve customer service.
• IBM: IBM is an example of a company that has employed insourcing for IT services. Instead of outsourcing IT support and infrastructure management, IBM often maintains these functions in-house. This approach allows IBM to provide tailored solutions and maintain data security for its clients.
• Netflix: Netflix started as a DVD rental service but shifted its focus to streaming. One of its key insourcing moves was to develop its content production capabilities. Netflix began creating original series and movies in-house, reducing its dependence on third-party studios and giving it more control over content quality and release schedules.
• Google: Google, a subsidiary of Alphabet Inc., has strategically insourced its hardware development for products like Pixel smartphones and Chromebooks. By designing its hardware and collaborating with manufacturing partners, Google can deliver a seamless integration of hardware and software, enhancing user experience.
• Walmart: Walmart has insourced its private label brands, such as Great Value. By manufacturing these products in-house, Walmart can maintain control over quality, pricing, and supply chain, offering competitive pricing to its customers.
• Ford: In the automotive industry, Ford is an example of a company that insources certain critical processes. While it may collaborate with suppliers for components, Ford often manufactures its engines, transmissions, and vehicle chassis, allowing it to maintain quality standards and technological innovation.
• Coca-Cola: Coca-Cola operates a vast network of bottling plants worldwide. While it outsources some bottling operations to independent franchisees, it owns and operates many bottling facilities. This approach ensures product consistency and quality control for its beverages.
• Boeing: Boeing, the aerospace giant, insources the production of critical aircraft components, such as wings and fuselages. This level of control over manufacturing is essential for ensuring aircraft safety and quality.
• Intel: Intel is a semiconductor manufacturer that insources the design and production of its microprocessors. The company keeps tight control over its manufacturing facilities to ensure the highest quality and performance for its CPUs.
• General Motors (GM): While GM works with numerous suppliers for automotive components, it often insources the production of critical parts like engines and transmissions. This allows GM to have greater control over technology development and quality assurance.
• Microsoft: Microsoft insources the development of its operating systems and software applications. By maintaining an in-house development team, the company can continuously innovate and respond to market demands promptly.
• Costco: Costco is known for its insourcing strategy when it comes to store brand products (e.g., Kirkland Signature). Rather than relying solely on external suppliers, Costco controls the production and quality of these products, often resulting in cost savings for customers.
• General Electric (GE): GE insources the manufacturing of various industrial equipment and machinery. This approach helps GE maintain quality standards and develop custom solutions for industrial customers.
• Procter & Gamble (P&G): P&G, a consumer goods giant, insources the production of many of its products. This includes manufacturing items such as laundry detergents, personal care products, and cleaning supplies in its own facilities to maintain quality and consistency.
• NASA: The National Aeronautics and Space Administration (NASA) insources critical aspects of its space missions, including the development of spacecraft and mission control. This level of insourcing ensures precision and reliability in space exploration endeavors.
• Boeing Space and Launch: Boeing, in addition to its aviation operations, insources the design and manufacturing of spacecraft and launch systems. This allows Boeing to be a key player in the space industry.
• Disney: Disney’s insourcing strategy involves creating its animated and live-action content. The company’s acquisition of Pixar and other studios has reinforced its in-house content creation capabilities.
• IBM Watson: IBM insources the development and maintenance of its artificial intelligence platform, Watson. This enables IBM to provide AI solutions tailored to various industries and clients.
• SpaceX: SpaceX, founded by Elon Musk, is known for its full insourcing strategy in the aerospace industry. The company designs and manufactures its rockets, spacecraft, and propulsion systems in-house, enabling it to drive innovation and reduce costs.

Key takeaways:

• Definition of Insourcing: Insourcing refers to the practice of assigning work to individuals or departments within an organization rather than outsourcing it to third parties. It involves using internal resources to perform tasks instead of relying on external entities.
• Benefits of Insourcing:
  • Increased Responsiveness: Insourcing allows companies to be more agile and responsive in a dynamic global market.
  • Knowledge and Social Capital: Keeping work in-house preserves internal knowledge and fosters collaboration among motivated employees.
  • Lack of Control: Insourcing offers more control over decision-making and the quality of work compared to outsourcing.
  • Balancing Costs: While insourcing can be more expensive in the short term, it might become a viable strategy in the long run.
• Insourcing Strategies:
  • Insourcing Only Strategic Units: Organizations bring projects that are closely aligned with their core functions in-house.
  • Insourcing Everything: Some companies prioritize insourcing for most parts of their processes to maintain control and quality.
  • Hybrid Model: Companies like Apple combine outsourcing with insourcing to maintain control over strategic assets while benefiting from cost-effective manufacturing.
• Insourcing Examples:
  • Breakfast Cereal Company: Instead of outsourcing the creation of ads for international markets, the company hires native speakers to build internal teams for culturally-relevant ads.
  • Agricultural Machinery Company: To create owner’s manuals for new products, the company insources technical writing by providing internal engineers with training.
• Insourcing Process:
  • Identify Need: Companies identify areas where they lack expertise or resources that could benefit from professional guidance.
  • Internal Resources: Internal specialists or teams are assigned to the identified projects, creating new teams if necessary.
  • Duration and Objectives: Insourced staff may work for a specific period or until key performance indicators (KPIs) are met.
  • Process Improvement: Insourced teams might establish new processes and procedures to improve operations.
• Balancing Outsourcing and Insourcing:
  • Outsourcing can be used strategically for experimentation and rapid expansion.
  • A hybrid approach can involve outsourcing to strategic partners who understand the core business.
  • Insourcing makes sense when it doesn’t excessively increase costs and aligns with the strategic side of the business.

Related Frameworks & Supply Chain Concepts	Description	When to Apply
Insourcing	Insourcing is the practice of bringing internal resources, processes, or services back in-house that were previously outsourced to external providers. It allows organizations to retain control, increase flexibility, and leverage internal expertise.	When evaluating outsourcing contracts, addressing quality concerns, or seeking to enhance control and ownership over critical business functions.
Strategic Sourcing	Strategic Sourcing is a procurement strategy that focuses on identifying, evaluating, and selecting suppliers based on factors such as quality, cost, reliability, and alignment with organizational objectives. It aims to optimize value across the supply chain.	When assessing supplier capabilities, developing in-house capabilities, or reevaluating sourcing strategies to align with changing business needs.
Total Cost of Ownership (TCO)	TCO is a financial framework that calculates the total cost associated with owning and operating a product or service over its entire lifecycle, including acquisition, operation, maintenance, and disposal costs.	When conducting cost-benefit analyses, evaluating outsourcing vs. insourcing decisions, or optimizing resource allocation to maximize return on investment.
In-House Expertise	In-House Expertise refers to the knowledge, skills, and capabilities possessed by internal employees or departments within an organization. Leveraging in-house expertise through insourcing can enhance innovation, efficiency, and competitive advantage.	When tapping into internal talent, fostering knowledge sharing, or addressing skill gaps by utilizing the expertise available within the organization.
Control and Security	Insourcing provides organizations with greater control and security over sensitive data, intellectual property, and critical business processes. It reduces dependency on external providers and mitigates risks associated with outsourcing.	When safeguarding confidential information, ensuring compliance with regulations, or protecting intellectual property by keeping essential functions in-house.
Operational Flexibility	Insourcing offers greater flexibility and responsiveness to changing business needs, market conditions, and customer requirements. Organizations can adapt quickly and tailor solutions to meet evolving demands without relying on external vendors.	When addressing dynamic market demands, launching new products or services, or responding rapidly to emerging opportunities or challenges.
Quality Control	Insourcing enables organizations to maintain stringent quality standards and ensure consistency across products, services, and processes. It allows for direct oversight and immediate intervention in the event of quality deviations or issues.	When prioritizing product quality, enhancing customer satisfaction, or mitigating quality risks associated with third-party providers.
Regulatory Compliance	Insourcing can simplify compliance with industry regulations, standards, and legal requirements by allowing organizations to oversee and manage operations internally. It reduces the complexity and uncertainty associated with outsourcing to external partners.	When ensuring regulatory compliance, managing risk exposure, or navigating complex legal landscapes in highly regulated industries or markets.
Knowledge Retention	Insourcing facilitates knowledge retention within the organization, preserving institutional knowledge, best practices, and lessons learned over time. It ensures continuity and prevents the loss of critical expertise due to turnover or external transitions.	When preserving organizational knowledge, fostering a learning culture, or preventing knowledge gaps that may arise from external knowledge transfers or workforce changes.
Cost Optimization	Insourcing can lead to cost savings and optimization by reducing overhead costs associated with outsourcing, such as vendor management, contract negotiation, and communication expenses. It allows organizations to allocate resources more efficiently.	When seeking to reduce operational expenses, improve cost predictability, or achieve greater financial control by bringing essential functions back in-house.

Connected Business Concepts And Frameworks

Supply Chain

Data Supply Chains

Distribution

Distribution Channels

Vertical Integration

Horizontal vs. Vertical Integration

Horizontal Market

Vertical Market

Entry Strategies

Backward Chaining

Market Types

Market Analysis

Decoupling

Disintermediation

Reintermediation

Coupling

Bullwhip Effect

Dropshipping

Consumer-To-Manufacturer

Transloading

Break-Bulk

Cross-Docking

Toyota Production System

Six Sigma

Scientific Management

Poka-Yoke

Gemba Walk

Jidoka

Andon System

Read Also: Vertical Integration, Horizontal Integration, Supply Chain.

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