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Insight

Shelter Services Remain Focused at the Border

Mon, 09/01/2014 - 12:19

An increasing number of small and medium-sized Tier 1 and 2 suppliers are coming to Mexico based on the recommendations of OEMs with plants in the country. For these companies, entering a new business environment can be a risky endeavor. “These companies are going to make huge investments in an environment that they do not understand, so it is understandable that they might feel a touch of anxiety,” explains Alan Russell, CEO of Tecma. His company offers business solutions that enable manufacturers to establish their maquiladora operations in Mexico. The main objective of the company is to make its customers’ operations work more efficiently by providing shelter services, consulting, HR and accounting services, and logistics and transportation. “Our primary focus is on shelter services, and our flexibility is what sets us apart from others offering similar services,” says Russell. “Tecma offers tailored services packages to each of its customers, based on the specific needs that each company finds when entering Mexico.”

Starting as a contract manufacturer, Tecma did not develop its expertise in any one particular industry. Russell says his company’s strength lies in being able to make things happen in Mexico. “There are many companies that find themselves having to come to Mexico but feel anxious about it as the ins and outs of this market can be

difficult. Companies have to navigate through foreign and challenging cultural and business environments that exist in this country,” says Russell. Mexico Shelter Manufacturing Partnership (MSMP) is the business model Tecma has adopted for Mexico in order to cover its clients’ unique needs. “This model helps them to produce quality products at a competitive cost and to make timely deliveries, two factors that are key to the success of manufacturing companies. The shelter services that Tecma provides can be in a full-service package or contracted according to the customer’s specific needs,” explains Russell. He states that many of the companies that Tecma works with have operated at the same location for years and have never had to relocate a factory before, which is why shelter services can be a soothing balm when adapting to a new business environment. “There is a need for the services that we provide to help companies avoid complications, allowing their managers to focus on their own mission of producing parts,” says Russell. The Mexican market is increasing its attractiveness to manufacturing companies as it becomes more competitive with China, which is no longer the obvious choice, and many factories once gone from Mexican shores are slowly beginning to return. “In the past, we had to convince companies that they needed to be in central locations instead of offshore, but now companies are looking to come to Mexico,” explains Russell.