 |
 |
| |||||||
 |
 |
 |
 |
 |
 |
 |
 |
| |||||||
|
The Local Connection
Will there be a trend back to U.S. manufacturing?
By Dan Marcec
American furniture manufacturers might seem to be few and far between, given the growing trend of outsourcing overseas for less expensive labor and operations. Yet, with the current concerns within the United States economy and a growing consciousness for sustainable business practices, it seems that an increasing focus on buying locally might be on the horizon. AAHOA Lodging -Business spoke with Reau Berry, president of Johnston Tombigbee Furniture Manufacturing (JTB Furniture), discussing current trends in furniture manufacturing both in the U.S. and abroad, why his company hasn’t shipped their product off, and what he sees for the future of the industry and the economy.
Berry explains that by manufacturing his company’s products locally, there’s a greater ability to know exactly what’s happening as far as production is concerned. This certainly is a positive from his perspective, as JTB Furniture has made strides to be more “green” in their operations in recent years. He notes that there is a considerable carbon footprint imprinted by overseas manufacturing and shipping. “As far as the service itself, being able to turn around orders more quickly by train is where we can lessen the carbon footprint — you get more green when you stay more local,” Berry says.
But more importantly, keeping operations local is a benefit to the customer. “By shortening lead time, which enables us to charge a lesser price,” Berry continues. “But the other advantage we have by operating locally is our service after the sale; FF&E is an investment someone is making in their hotel, and they certainly want to know that if there is a problem with their purchase, the manufacturer will be able to rectify that issue as soon as possible.”
 |
The Bal Harbour package from JTB Furniture. |
The current economic climate also has led to concerns with the increase in outsourcing. Manufacturing jobs are a major factor in supporting the economy. According to Berry, each manufacturing job has approximately seven other jobs connected to it. Losing more of these jobs not only hurts the individuals who are out of work, contributing to negative effects on individual consumer and housing markets, but also it creates a ripple effect that increases the cost of materials and the cost of manufacturing for those who don’t outsource, and ultimately, for the consumer.
“Luckily for us, we’ve seen an increase in business over the last year, despite the general trend of manufacturing in the U.S. shifting overseas for low cost of labor and operations — anymore, the phrase ‘Made in America’ is about as scarce as the bald eagle,” says Berry. “But, as far as the life and breath of our economy, when we have manufacturing in the United States it not only helps the manufacturers, but also it creates cash flow for our customers and the hoteliers that are buying the product — so what’s good for us hopefully will be good for them also.”
To contribute an article to Lodging Operator:
email lodging@francepublications.com.
© 2009 France Publications, Inc. Duplication or reproduction of this article not permitted without authorization from France Publications, Inc. For more information on reprints of this article contact Barbara Sherer at (630)554-6054.
 |
 |
 |
 |
 |
 |
 |
 |
 |
 |
© 2008, France Publications, Inc. All Rights Reserved. Photos in header (from left to right) are courtesy of InterContinental Hotels Group; AmericInn International LLC; and The Courtyard by Marriott-Los Angeles/San Fernando Valley. |
 | ||||||