Friday, December 10, 2010

Is Manufacturing Making a Comeback in the US?

The National Journal just wrote an article titled, “Act II for American Manufacturing?”  and it brings a new perspective on the future of manufacturing in the US.
Here is an excerpt from the article:
The departures from the first act in American manufacturing may be more than technological. The geography will change, as will its configuration. Huge facilities with tens of thousands of workers are out. Factories won’t look like the gigantic River Rouge auto-making complex that Henry Ford built in Dearborn, Mich., in the 1920s. Compact plants surrounded by clusters of small firms that service them will likely populate tomorrow’s manufacturing landscape. Many of the factories will be in the South, where lower wages may help establish a new industrial heartland.
But something more is needed to assure a vibrant future for American manufacturing: a skilled workforce. That’s a scarce commodity these days, even in Butler County. “Every kid who grows up here wants to go to college and work on Wall Street,” said Wise Machine’s Garrard, “not follow their fathers into AK Steel.”
In any event, there is reason to hope. “The future is still in our hands,” said Kent Hughes, director of the program on America and the global economy at the Woodrow Wilson International Center for Scholars in Washington, “if we don’t sit on them.”
What are your thoughts about the future of manufacturing in America?  Is it doomed or as the article suggests, has a bright future as long as we continue to move forward and increase interest in the skilled trades to younger generations?




2 comments:

  1. The size of factories being created follows the Lean implementation that has been working itself into our manufacturing fabric for the last 20+ years. These monoliths of manufacturing are simply not nimble enough to compete. I view this as a good thing. As far as geography is concerned the lower costs states have that as an edge but the actual geography of "rust belt" states needs to be considered. Water, water ways, shipping and logistics in general are why these states had an edge in the past and that is not going away. The key to all this however is the workforce. As parents it is our fault that manufacturing is not viewed as a viable career choice. We don't want our children working in dingy, dark and dangerous factories. Today, nothing could be further from the truth. Today's factory is more of a laboratory environment then the old dirt floor days of our countries manufacturing history.
    "I want to do something in computers" is a refrain I often hear from younger people - other than video games and movie generation I would suggest to you that the highest technology content in an industry is in manufacturing. It is also an excellent introductory career. Of the most successful engineers I know many started on the shop floor getting the hands on knowledge and understanding necessary for lucrative careers. Regardless, a machinist, a set-up person, a toolmaker, an inspector, a lead person etc. etc., are all solid, family supporting careers.
    Finally, we have no choice but to continue with and enhance our manufacturing base. Adding value is the only true way to build wealth in an economy. Manufacturing is the primary wealth building industry. Beyond that, statistics show that for every manufacturing job there are three to four support jobs that are created. If we want to rebuild our economy and compete in the global market then manufacturing is the best way to do so.

    Michael Gugger
    Manager of Consulting Services
    CONNSTEP Inc.
    The Connecticut MEP Center

    ReplyDelete
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