Self-sufficiency

Citation

Loughlin, C. (2009), "Self-sufficiency", Assembly Automation, Vol. 29 No. 2. https://doi.org/10.1108/aa.2009.03329baa.001

Self-sufficiency

Article Type: Editorial From: Assembly Automation, Volume 29, Issue 2

It is rather alarming to consider that up to about 18 months ago “Globalisation” was almost universally acknowledged to be “a good thing”. We could all enjoy the benefits of having our products manufactured in low-wage economies and it looked like a “win-win” situation.

If you are looking to buy a car the most important criteria are likely to price and reliability. If these factors are better satisfied by purchasing a car that was made abroad then most people will go for the import.

However, the impact of globalization goes far beyond the price tag. Writing this, as I am just after the New Year the last few months have seen the USA automotive industry going cap in hand to Washington.

One supposed advantage of globalisation is that it should create a competitive marketplace that helps drive up standards. Quality levels have certainly been rising steadily, but many countries have ceased manufacture in certain areas on the grounds that it is impossible for them to compete internationally, so the options are either give up or raise trade barriers.

Regular readers of my editorials in Assembly Automation will know that for a long time I have been advocating that countries should maintain their manufacturing capabilities and not simply give up like spoiled children who cannot have exactly what they want.

Although I am very strongly opposed to the delegation of manufacturing to overseas countries, I am very keen on the globalization of quality standards and manufacturing expertise.

For example, Germany has a reputation for quality engineering, but what is this based on? Is it the air they breath or something in the national diet, or perhaps low-cost energy sources, or are they more intelligent or hard working?

Of course, the answer is none of these. Quality is a state of mind and if your mind is set on only producing the best possible quality products then that is what you will do. Similarly if you start-off with the expectation that the quality of your products will not be as good as your overseas competitors, then you are most likely to prove yourself correct.

For me, the present global difficulties underline the importance of each country being able to be more or less self-sufficient. This is not to say that we should not trade with our neighbours – we should, and without artificial subsidies and import/export taxes. But it would mean that the economy of the world as a whole would be more stable and much less vulnerable to the dramatic swings that we have recently been experiencing.

Clive Loughlin