The Facts We Face

The simple statistics about buying an American product are astounding.

We need our young adults to see manufacturing as a great career!

I think we can do it here and make more money.

The Time is Right! Pride in American Manufacturing is back!

Confused Perceptions? If I own a Toyota am I non American?

Is manufacturing in the midst of great change and evolution?

 

The simple statistics about buying an American product are astounding.

The simple statistics about buying an American product are astounding. For instance, if you spend $3.33 for American made products it will result in 10,000 new jobs created!

Over the past couple of decades, a number of brands have outsourced the production of some of America’s most iconic products to cut down on manufacturing costs.

MAPI’s study shows that while the rate of plant closings has a declining trend over the last 13 years, the rate of plant openings has consistently fallen even more, resulting in a net loss of manufacturing plants. According to the most recent data in MAPI’s study, approximately 10,000 plants closed during the first quarter of 2012 (3.3% of plants) and 8,000 plants opened (2.6% of plants). This opening and closing of plants has also negatively impacted manufacturing jobs.

Additionally, the MAPI study also shows that the nearly $4 trillion in sourcing decisions made by domestic manufacturers dwarf the runaway plant and export platform issues in determining the location of manufacturing production.

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We need our young adults to see manufacturing as a great career!

According to a survey conducted by the National Tooling and Machining Association and the Precision Metalforming Association of 199 metalworking manufacturers who averaged 77 employees in 2012 (and averaged 69 employees in 2011):

A study by Deloitte and the National Association of Manufacturers’ Manufacturing Institute published a survey in 2011 that estimated a shortage of 600,000 skilled manufacturing workers.

Both studies agree that the situation is going to get worse because are an estimated 2.7 million manufacturing employees who are expected to retire in the next ten years.

Some academics claim that this is a wage issue. Not true. Middle market manufacturers compete with overseas manufacturers. They cannot simply charge more for their products because their customers won’t pay it and can source the same product from overseas where labor markets are much cheaper.

However, that it’s not to say that manufacturing is not paying competitive wages. According to the U.S. Bureau of Labor Statistics, skilled manufacturing jobs can pay an average of $30,000 and rise to more than $60,000 per year after four years, depending on the employee’s skill level and employer’s sector.

This is an average of almost $12,000 per year more than a student who holds a BA degree after four years in the workforce. Occupation, not degree level, can determine income!

Manufacturing companies are using a broad range of sources for recruiting skilled employees. According to the NTMA/PMA survey, to address the challenge of recruiting qualified employees, NTMA and PMA member respondents report using several different techniques.

A good example the initiatives that the private sector is launching is the National Tooling and Machining Association’s initiative NTMA-U,  an innovative new program of online education that bridges the gap between traditional degree programs and skills-based certification curricula. Through agreements with participating colleges, students can take courses online and earn credits toward an associate degree, as well as gain the knowledge to complete their NIMS written exam while building valuable industry-specific knowledge.

There are scores of training and apprenticeship programs now underway across the country. Manufacturers understand that they must train workers, but are still having difficulty finding those workers who can/want to be training. This problem stems from several issues: The educational system pushes all students toward a four year college degree and away from vocational schools.

Math and science skills need to be better emphasized throughout the educational system. There is also a perception issue – manufacturing jobs are viewed as low paying “dirty” jobs. The sector needs to market manufacturing to young workers and students – the industry offers good jobs in modern, clean facilities at good wages. The sector is growing and can offer great careers. The industry knows this and is working to change perceptions to potential workers.

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I think we can do it here and make more money.

There are several reasons why the jobs are coming home.

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The Time is Right! Pride in American Manufacturing is back!

What’s really at work here is a need to take back control. In the 1980s, when outsourcing took hold as a cost-saving business strategy, many manufacturers jumped on the bandwagon and looked overseas for suppliers. Some of these same companies are now realizing that low-cost labor is not enough to offset the consequences of poor quality components, high transportation costs, inflexible supply chains, and the risk of compromising intellectual property.

Today’s market is tough, but the U.S. is still the most entrepreneurial country in the world. The bad news: Offshore manufacturing isn’t going away any time soon. The good news: It presents an opportunity for small manufacturing businesses such as ours.

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Confused Perceptions? If I own a Toyota am I non American?

Does buying an American Brand car like Ford create more American jobs than a Foreign Brand car made in this country like Toyota?

The Ford Escape parts

The Toyota Camry parts

Are the cars assembled here in America? Yes. It takes more than 6,000 American workers to build that Camry.

The Ford plant says yes. It took 2,250 workers to build that Ford Escape.

How much of the car contains American parts?

How many cars were sold in a given year?

So using that formula, the car that created the most American jobs would be the Toyota Camry.

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Is manufacturing in the midst of great change and evolution?

It’s making more business sense to manufacture in the U.S

Globalization is not a bad thing – different things will be made in different places, but we can be smarter about what we are doing and where. Do we really get a shot??

As mold makers and processors, we sit at mid to bottom of the food chain – we need to be part of the drivers and solutions in Made In America.

It needs a marketing push!

Brand Owners are looking for suppliers so they can stay Certified as American Made.

Our converters Love to keep manufacturing in the USA.

Very little promotion.

Would our customers –and their customers – like to see their names in the press about supporting what they do to keep manufacturing in the US?

If we help that cause – maybe we open more business opportunities for ourselves, and for our customers.

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