Yesterday, G.E. announced it was looking to add up to 50 new parts suppliers in the Metro Detroit area. G.E. will be having a procurement fair soon and has invited 200-300 suppliers to participate. The appliance division, headquartered in Lexington, KY will be sourcing 500 components, representing approximately $25 million in spend at the fair.
G.E. plans on taking advantage of substantial capacity in the metro Detroit area, specifically in molded plastics and formed metal. G.E. has an understanding of the landscape of discrete manufacturing supply and is taking advantage of a depressed geography to find cost competitive suppliers with open capacity that are hungry for new business.
This is a great move for G.E. A great move for Michigan, and a blazing beacon for the rest of the sourcing world. Massive opportunities exist to find hungry, cost competitive, qualified suppliers in North America. Companies need to open their eyes, look around and take advantage.