Finding manufacturing's future Sunday, July 25, 2004 This morning's Atlanta paper carries a good article on the future of manufacturing in the U.S. In the later decades of the 19th century, manufacturing in the U.S. moved from small job shops to mass production. The railroad and telegraph created opportunities to reach a mass market. Tapping new energy sources -- first coal, then electricity -- enabled manufacturers to create a factory system capable of producing to meet these markets. High volume production appeared first in process manufacturing -- petroleum (Standard Oil), steel (US Steel), soap (Proctor and Gambel), cereal (Pillsbury, Quaker Oats), and processed food (Swift in meat packing, Campbells in soups). When Henry Ford introduced the Model T, he set the stage for another transformation in U.S. manufacturing. He introduced high volume manufacturing in sophisticated fabrication and assembly. Alfred Sloan at GM then integrated mass production with sophisticated mass marketing. We are now facing a new transition for American manufacturing. The trends have been underway since the late 1970's. And the new directions are becoming clearer. Read more. (Free registration required.) As the article hints, over the longer term, U.S. manufacturing can move into high end manufacturing processes (composites, powdered metallurgy, nanotechnology), design integration (design simulations, rapid prototyping), and systems integration (systems design and support). All of these new directions will require stronger manufacturing networks among companies. Part of the short term challenge is simply to adopt sound manufacturing processes. A recent seminar in Washington State illustrates the point. A recent report from Pennsylvania suggests that companies that respond to the challenge by becoming faster, better and more cost-effective will best position themselves to compete. To succeed, the study pointed to the need for Pennsylvania manufacturers to pay special attention to increasing sales through process and product innovation. An article this morning from Mississippi shows how manufacturers are upgrading to boost productivity. We need to accelerate the change in our thinking. This challenge is the biggest one we face: breaking the brain barrier of old habits. Read a good opinion article from a manufacturer in New Hampshire. For a view of manufacturing from the UK, read the recently released report from the Department of Trade and Industry. Manufacturing is now giving the UK economy a boost. Read more. posted by Ed Morrison |		This work is licensed under a Creative Commons License. links Some Background on EDPro Weblog The purpose of this weblog is to help economic development professionals -- EDPros -- keep up with the changes sweeping our profession. Strap on your goggles. It's a whole new game. There are no experts any more. The only place to learn about economic development is from other EDPros who are doing it. One other point: the prevaling approach (paradigm, if you like) in economic development is shifting from competition to collaboration. There are a lot of reaasons underlying this shift, but here's the important insight: You, your community, and your region will do better by collaborating and sharing information. So, spread the word...Share the knowledge. Tell a friend about EDPro Weblog. If you are using a news reader, here is the link to syndicate this site: Here's the link if you are a bloglines subscriber: Speaking and workshops on Open Source Economic Development As the idea of Open Source Economic Development starts spreading, more people are asking about it. Visit the I-Open web site to learn more. My colleagues and I are happy to explain the basic concepts in a talk or a workshop. E-mail Susan Alshuler if you'd like to learn more about workshops and speaking. Background on Ed Morrison Download some background information on me here.

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