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ManufacturingMarketing
ManufacturingMarketing
THE STATE OF U.S. MANUFACTURING
THE STATE OF U.S. MANUFACTURING
FAMILY-OWNED MEANS TRUST
MANUFACTURING DAY
MANUFACTURERS’ OPTIMISM UP
Oct
ober
15-2
1 201
8Emerging Technologies
GROWING YOUR BUSINESS
COVER:
Manufacturing Day 2018: The Merrimack Valley Comprehensive Economic Development Strategy Committee poses in front of a model jet engine shaft after a tour of the Magellan
Aerospace facility in Haverhill, MA. Photo © Angela J. Cleveland
FROM THE EDITOR | October 15-21 2018 | Issue 17
1 | MANUFACTURING MARKETING
I love factory tours, learning how stuff is made, and working with manufacturers so they can become more successful and hire more people.
ManufacturingMarketingIssue 17
ManufacturingMarketing
ManufacturingMarketing
THE STATE OF U.S. MANUFACTURING
THE STATE OF U.S. MANUFACTURING
FAMILY-OWNED MEANS TRUST
MANUFACTURING DAY
MANUFACTURERS’ OPTIMISM UP
Oct
ober
15-2
1 201
8
Emerging Technologies
GROWING YOUR BUSINESS
Editor Dianna [email protected] Rachel [email protected]
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IN THIS WEEK’S ISSUE, we focus on the public-private initiatives and policies currently in play regarding U.S. manufacturing – and how these initiatives benefit you as a small manufacturer.
In our lead article, you’ll learn where the U.S. stands with regard to a national manufacturing strategy. In this interview, Scott Paul, President for the Alliance for American Manufacturing, talks about current obstacles, as well as wins, and what smaller manufacturers can do to help move forward the debate for a national strategy.
I also attended the Manufacturing Symposium on Emerging Technologies hosted by the Massachusetts Manufacturing Extension Partnership (MEP). Not only did I learn a great deal about the state of manufacturing in Massachusetts, but I also heard Dean Kamen speak. The founder of the Advanced Regenerative Manufacturing Institute, he shared his inspiring vision for regenerative medicine.
You’ll learn how public-private initiatives are generating a great deal of energy and excitement – as well as how they tie back to why we need a national manufacturing strategy.
For Manufacturing Day, I attended a tour of Magellan Aerospace. Although Canadian-based, the company has a facility in Haverhill, MA where they manufacture shafts and splines to micron tolerances for Boeing, Pratt & Whitney, Rolls Royce, and GE jet engines. Amazing tour.
I love manufacturing. Have a fantastic week!– Dianna Huff, Editor
MMM INTERVIEW
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IN BRIEF
• Family means trust. According to the Edelman Trust Barometer, 66% of respondents are willing to pay more for products and services offered by family-owned businesses. Learn more
• Will you take our survey? Haha! Just kidding. Tom Fishburne talks about customer satisfaction survey fatigue. Can I get an “amen”? Read his piece
• Manufacturers’ optimism now at 91%. The latest survey from NAM shows confidence is high despite labor shortages. More
• Manufacturing Day photos. See the Twitter feed
• This isn’t a robot. Dean Kamen wanted to communicate why his FIRST organization wasn’t about robots. Watch the inspirational video
The Case for a National Manufacturing Strategy: An Interview with Scott Paul
It’s been argued that a healthy manufacturing sector plays a key role in the U.S. economy for numerous reasons, including balancing trade deficits and acting as a catalyst for employment growth and high-paying jobs.
Manufacturing is also the principal source of R&D and innovation.
One way to ensure manufacturing remains strong is through the creation of a national manufacturing strategy.
In this interview, Scott Paul, President of the non-profit Alliance for American Manufacturing, discusses the reasons why the debate for a national manufacturing policy has reignited in the United States, some of the challenges facing the implementation of such as strategy, and how you, as a small manufacturer, can get involved at the local level.
MMM: Where is the U.S. today with regard to a national manufacturing strategy?
SP: Despite renewed debate, the U.S. is woefully behind global competitors, such as Germany, China, and Japan, due to the reluctance of policymakers to use public
strategy to embrace private enterprise.
As a nation, we’ve been reluctant to state we need a manufacturing strategy, even though we have such strategies for healthcare, education, and even oil and gas. We also have a coordinated R&D strategy for defense.
Not having a manufacturing strategy hampers the U.S. in a big way. Many countries have one (including Brazil, India, the UK, and Canada), which puts the U.S. at a disadvantage.
The lack of a national strategy creates huge inefficiencies. For example, most federal education
Scott Paul, President of the non-profit Alliance for American Manufacturing
MMM INTERVIEW
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resources go to 4-year colleges versus vocational / tech schools and community colleges – the very places training the highly skilled workers desperately needed right now.
Without a national plan for how to use these resources, building a highly skilled workforce is left up to various state and regional groups who cobble together strategies in partnership with private companies. You end up seeing a patchwork effort.
MMM: How has support for a national strategy grown in the last few years?
SP: Great question! Former President Barack Obama helped start the conversation in 2012 when he created what is now the
Manufacturing USA initiative to encourage growth in emerging technologies [see page 7 for additional info]. He was also responsible for revitalizing the industrial apprenticeship program, which had been dormant.
Since taking office, President Trump has expanded upon these two programs. He also talks about manufacturing just about every single day, which has increased awareness in the general public.
In a recent poll by our organization, for example, the vast majority of respondents stated manufacturing is important and that lawmakers should pursue public policies that help it.
Although the President himself has talked about
resurrecting industries, such as steel or coal, it’s important to ask, “How do we compete in the years ahead with regard to emerging technologies? U.S. manufacturing needs to play a role in these areas.”
MMM: What are some bright spots you’re seeing with the U.S. moving toward a national strategy?
SP: We have seen some progress. On the trade front, the government is pushing back on unfair trade practices much more than it has in the past.
It will take a while for this strategy to play out, but it does send a signal to businesses to stay in the U.S. – and also to those who have moved overseas.
On the domestic front,
MMM INTERVIEW
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Many people pushed back on this idea, but Hamilton envisioned an America with lots of mills. After a huge national debate, his ideas won out.
Today, we need a Hamilton 2.0. We do have many challenges, but America also has vast natural resources and an ingrained entrepreneurial culture.
We’ve unleashed this entrepreneurial spirit to create apps or services (e.g. Uber), but not with regard to making products. For example, to create the parts that will go into the autonomous vehicles of the future, we have to dream them, invent them, and then make them here in the U.S.
This is the challenge for the next generation of policymakers.
What can smaller manufacturers do? They can continue to make their companies
you have much more focus on apprenticeships, although we’re decades behind Germany, Switzerland and some other high-tech countries that do a good job of embedding work-based learning into high schools and beyond. This type of initiative takes focus and resources as well as businesses willing to adapt to the apprenticeship model.
Due to connections being made through the Manufacturing USA Innovation Institutes, we’re seeing lots of innovation [see AMRI story, page 6]. These connections are helping to bridge the gap between R&D, manufacturing, and commercial readiness.
Where the U.S. is falling short, however, is infrastructure – our roads, bridges, and waterways. We’re years behind in maintenance and upgrades. We need to make the investments in order to continue to be a superpower.
MMM: Creating a national manufacturing strategy is complex and requires long-term thinking and vision on the part of the Federal and state governments. What can smaller manufacturers do to help move the U.S. toward a more strategic manufacturing outlook?
SP: To answer this question, I’d like to give a brief history lesson. When the U.S. achieved independence in 1776, we were an agrarian society. Alexander Hamilton said, “We’ll never compete with Europe unless we manufacture goods in the U.S.”
more efficient – as well as hone new skills that will keep them competitive. They can share their innovations or collaborate with others through initiatives such Manufacturing USA.
Small manufacturers can also become involved in local or regional initiatives that involve long-term planning around business and job growth, and they can hold elected officials accountable for keeping jobs – and factories – local.
They can continue to provide good, well-paying jobs to young people and adults in transition and most important, they can Buy American whenever possible.
Scott Paul is the President of the Alliance for American Manufacturing (AAM). He also serves as the Board Chair of the National Skills Coalition and sits on the Leadership Council for the Alliance for Manufacturing Foresight.
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EMERGING TECHNOLOGIES
Advanced Regenerative Manufacturing Institute® (ARMI)
Taking care of people without a kidney costs over $100 billion a year, and the 400,000 people waiting for a kidney live horrible lives, said Dean Kamen, keynote speaker at the Future of Manufacturing Symposium sponsored by the Massachusetts MEP in October.
Approached by the U.S. Department of Defense, which provided core funding, Kamen was charged with creating a new industry for the large-scale manufacture of engineered tissues and organs – as well as developing the trained workforce needed for this new industry.
The result is ARMI, a membership of companies and nonprofits within industry, government, and academia.
Researchers have already proven they can create organs and tissues in the lab. Significant breakthroughs in cell biology, biofabrication and materials science in the last decade have laid the foundation for large-scale manufacturing and commercialization of engineered tissues and tissue-related technologies (source: ARMI).
Dean Kamen, Executive Director, ARMI | BioFabUSA; and Founder, FIRST
“The manufacture of human organs will make the manufacture of semiconductors a blip in our history.” —Dean Kamen
The challenge, said Kamen, is pulling these innovations out of the lab and getting them into the hands of manufacturers in order to make practical their large-scale manufacture.
In addition to large scale manufacturing, ARMI’s goal is to benefit existing industries and create new ones.
The organization is a Manufacturing Innovation Institute (BioFabUSA) within the Manufacturing USA initiative, and as such, plans include integration of robotics, automation, biofabrication, and analytical technologies.
To house this new initiative, Kamen purchased buildings within New Hampshire’s historic (and under-utilized) Amoskeag Mills complex.
Kamen stated in his keynote, “I want these buildings to become the Silicon Valley of regenerative medicine. When people first heard me say this, they laughed. They’re not laughing anymore.”
Companies and organizations now occupying the Millyard space include ARMI/BioFabUSA, United Therapies, Autodesk, the
University of New Hampshire, and the R&D team of Advanced Solutions. The Kentucky-based company manufactures a sophisticated robot that prints biotissue materials.
Learn more at ARMIusa.org.
EMERGING TECHNOLOGIES
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In June 2011, the President’s Council of Advisors on Science and Technology recommended that the government launch an advanced manufacturing initiative of public-private partnerships to support academia and industry for applied research on new technologies and design methodologies (Source: Wikipedia).
Unveiled by the Obama Administration in 2012, the proposed initiative began with an additive manufacturing (3D printing) prototype, which was referred to as an “Institute.”
Today, Manufacturing USA is a network of 14 regional Manufacturing Innovation Institutes (MII), each with a specialized focus. The self-sustaining Institutes share one goal: to secure the future of manufacturing in the U.S. through
Manufacturing USA®: Securing the Future of Advanced Manufacturing
innovation, collaboration and education.
Organizations such as the Manufacturing Extension Partnership (MEP) and regional and statewide planning commissions work closely with Manufacturing USA to advance the mission of the respective MIIs.
The Massachusetts MEP, for example, featured the work of six of the 14 Institutes at its Manufacturing Symposium, including Dean Kamen’s BioFabUSA, Advanced Functional Fabrics and Textiles, Integrated Photonics, Robotics, and Biopharmaceutical Manufacturing.
Companies and people involved with the various MIIs have generated a great deal of excitement and press. To learn more, and to become involved, visit manufacturingusa.com.
DID YOU KNOW?
Overseen by the National Institute of Standards and Technology (NIST), the Manufacturing Extension Partnership is a public-private initiative serving small and medium-sized manufacturers. Each state in the U.S., including Puerto Rico, has its own MEP (pronounced M-E-P).
MEPs hold events, where manufacturers can meet to network and form partnerships, as well as workshops and seminars that help manufacturers remain competitive through lean manufacturing (and other initiatives) and growing a skilled workforce.
Introducing yourself to your state’s MEP Executive Director, and attending events, is a great way to learn about technology advancements, what your state is doing to further manufacturing, and to meet other manufacturers.
To find your state’s MEP, check out the MEP website.