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Market Research Q118
Industrial Manufacturing
Internal
Date: April 2018
Insights on the current conditions of the Manufacturing industry
Manufacturing
Definition
2
U.S. manufacturing is defined as the transformation of
r a w materials into n e w products [6]
This transformation typically occurs in a
mechanical, chemical, or physical fashion.
Manufacturing businesses include
plants, factories, and mills.
Manufacturers typically utilize
power-driven machines and equipment
throughout the p r o d u c t i o n of their product. [6]
Manufacturing
Statistics
3
Currently, the manufacturing industry provides over
12 million full-time positions and represents more than
$6 trillion in nominal gross domestic output [3]
½ of U.S. e x p o r t s are manufactured goods [6]
A dollar spent in manufacturing translates to
$1.48 in the business growth of other sectors that support manufacturing,
including but certainly not limited to
retail, business, and transportation services[6]
America produces 18.2% of the world's goods,
leading the g l o b a l m a r k e t [6]
Manufacturing
Statistics
4
According to Forrester Research estimates,
over the next 10 years, j o b s for humans created by the
incorporation of robots in the manufacturing industry
are expected to grow to 15 million[3]
Artificial Intelligence has the potential to
boost the manufacturing sector’s
gross value added (GVA) by $4 t r i l l i o n [4]
Manufacturing
Trends - Omnichains
5
Omnichains
While optimizing the supply chain is an age-old effort of all manufacturers, the shift to the utilization of
the omnichain - a cloud model designed to streamline and unify internal and external processes across
networks - is the direction the industry is headed towards today. [2]
The result from the addition of this computing infrastructure into a manufacturers production
optimization process can lead to:
- On-demand visibility across multiple moving parts
- More flexibility/increased ability to adapt to disruptions
- Tighter control
- Improved speed of execution [2]
Manufacturing
Trends - Reshoring
6
Reshoring
Today the US is seeing a “resurgence” [4] in the number of US based manufacturing operations. This
can be attributed to:
- Domestic soil assurance
- Better production quality
- Higher safety standards
- Ease of communication
- Proximity to worksite
- Better oversight
- Potentially lower costs
Manufacturing
Trends - Green Manufacturing
7
Green Manufacturing
In the manufacturing industry, the need for sustainable, renewable materials and methodologies is on
the rise. A major contributing factor to this is today’s reality that resources and raw materials are
dwindling away. [4] Incorporating eco-friendly initiatives into manufacturing processes can lead to:
- Reduced costs
- Higher efficiency
- Improved reputation
- Boosted morale
- Tax incentives
This sustainability trend highlights how companies are working to become a part of the “circular
economy” — a “take, make, and dispose” alternative to the traditional economy we’ve been used to in
the past.[4]
Manufacturing
Trends - Industry 4.0
8
Industry 4.0 - Smart Manufacturing
Is the next Industrial Revolution upon us? With technology playing such a new and significant role in
the current climate of the manufacturing industry, experts believe so. With manufacturing specific
Information Technology available for use in a variety of forms today, business owners have the
opportunity to:
- Improve resource efficiency
- Improve resource productivity
- Increase value of product
- Shorten the time it takes for the product to get to the market
- Increased flexibility to handle the ever-changing needs of the customer
With Industry 4.0 steadily growing its role in the world today, manufacturers need to identify the critical
needs of their systems and processes, then explore and adapt the technology and culture of this new
age of IoT. [5]
Manufacturing
Strengths – potential strengths a manufacturing organization could possess
9
S t r e n g t h s
Commitment to the Optimization of the Manufacturing Supply Chain
Companies who are taking an all-encompassing look into their product, from inception to production to
consumer, are at an advantage to experience growth and profitability. Analyzing & optimizing the
production & supply chain from beginning to end leads to s a v i n g s. [1]
The Utilization of Cloud Technology
According to this article from Manufacturing Business Technology, “a unified cloud platform that
integrates easily with third-party apps is a big advantage in capturing new opportunities with minimal
overhead.” [2] A business that understands and appreciates the efficiency of adapting to the new culture
of the manufacturing industry is better positioning themselves for success in the future. Benefits of
using Cloud Technology come in the form of improvement of efficiency in overhead and
production, s a v i n g s , and the capability to be flexible & in front of the changes in the industry.
Manufacturing
Weaknesses – potential weaknesses that could be affecting a manufacturing organization internally
10
W e a k n e s s e s
Workforce
Some of the biggest challenges manufacturers face today are:
- Filling positions with skilled employees
- Employee retention
Today, there are over half a million manufacturing jobs that are open and waiting for an employee with
the right skill set to fill it. [6 ] To work towards reconciling these current issues, more than two-thirds of
manufacturers have plans in the works to increase their training and workforce development
investments.[1]
Resistant to IoT/Smart Manufacturing Practices
A company culture that lacks the flexibility to face change at the pace it’s happening for this particular
industry is at rick to fall behind and lose valuable market share to competitors.
Manufacturing
Opportunities – external factors that could positively impact a manufacturing organization
11
O p p o r t u n i t i e s
Industrial Internet of Things (IIoT) Functionality
Today there are 8.4 billion “things” on this network. This is a 30% increase from the previous year. [4]
Intelligent Decision Making Using Analytical Tools
Making decisions based off of data driven intelligence puts today’s consumer at an advantage; having
the right systems in place gives manufacturers the ability to access insights that could directly impact
productivity and efficiency. [2]
Inbound Marketing
Through original content, social media, and search engine optimization, inbound marketing draws
prospective customers to manufacturers products or services in a way that’s more impactful in
generating and retaining new businesses than what we see with traditional media of the trade in the
current climate. [3]
Manufacturing
Opportunities – external factors that could positively impact a manufacturing organization
12
O p p o r t u n i t i e s : T e c h n o l o g y
Cloud Technology
By utilizing the cloud technology that is available today, manufacturers have the opportunity to
“eliminate old barriers and seize new and emerging opportunities.”[2] Cloud technology is also playing a
role in the manufacturers relationship with the customer. A year from now, it’s predicted that over half of
the manufacturing sector will rely on cloud based crowdsourcing technology to have a more
streamlined collaborative relationship with the consumer as well as with partners in the supply chain. [2]
Robotics/Automation
With Automation being a current trend across most industries, the industrial manufacturing industry is
no exception. Companies should explore opportunities to automate processes where possible. [1] Some
manufacturers that could benefit from exploring their options in automation are those who handle
hazardous materials, work in conditions where safety is a concern, or who operate facilities or plants
that require clean rooms. [3]
Manufacturing
Opportunities – external factors that could positively impact a manufacturing organization
13
O p p o r t u n i t i e s : T e c h n o l o g y
Augmented Reality (AR)
Many manufacturing facilities across the United States are experiencing a number of benefits from the
use of AR, including cost reduction, speed increases, fewer errors, and overall improved safety. Even
though we’re just scratching the surface of what we can do with this technology, so far we’ve seen it
being used to help aid complex assembly, maintenance, expert support, and for quality assurance
purposes.[5]
3D Printing/Additive Manufacturing
Over the last few decades, the plastic prototyping process has steadily grown and developed. Today,
manufacturers have the ability to use 3D printing to efficiently produce replacement parts and increase
operational efficiency.[5]
Manufacturing
Threats - external factors that could negatively impact a manufacturing organization
14
T h r e a t s
A Modernization of NAFTA
In the current climate of political transition, the world is keeping a close eye on the possibilities of a
change in the US’s relationship with NAFTA. Small & medium sized enterprises are particularly
interested in “whether rules of origin arise as a potential impediment to an agreement,” and will in turn
negatively impact them by causing potential loss in market share to foreign competitors. [1]
Role of the Customer
Today we are seeing a more involved relationship between the manufacturer and the customer than
ever. Potential challenges we are seeing from a shift in the customer role are:
-Customer pushing back unsold products onto manufacturer
-Shorter demand time
-Heavier pushback on prices [1]
Manufacturing
Translation - what kind of opportunity this creates for Greenstone Media
15
What does this mean for us?
With the robust skillset Greenstone Media possesses, we have the opportunity to help
m a n u f a c t u r e r s by offering:
Inbound marketing in the form of
Content Marketing
SEO, SEM, SMM
Website Development
Cloud Technology and m a n u f a c t u r i n g specific applications (?)

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Manufacturing industry

  • 1. Market Research Q118 Industrial Manufacturing Internal Date: April 2018 Insights on the current conditions of the Manufacturing industry
  • 2. Manufacturing Definition 2 U.S. manufacturing is defined as the transformation of r a w materials into n e w products [6] This transformation typically occurs in a mechanical, chemical, or physical fashion. Manufacturing businesses include plants, factories, and mills. Manufacturers typically utilize power-driven machines and equipment throughout the p r o d u c t i o n of their product. [6]
  • 3. Manufacturing Statistics 3 Currently, the manufacturing industry provides over 12 million full-time positions and represents more than $6 trillion in nominal gross domestic output [3] ½ of U.S. e x p o r t s are manufactured goods [6] A dollar spent in manufacturing translates to $1.48 in the business growth of other sectors that support manufacturing, including but certainly not limited to retail, business, and transportation services[6] America produces 18.2% of the world's goods, leading the g l o b a l m a r k e t [6]
  • 4. Manufacturing Statistics 4 According to Forrester Research estimates, over the next 10 years, j o b s for humans created by the incorporation of robots in the manufacturing industry are expected to grow to 15 million[3] Artificial Intelligence has the potential to boost the manufacturing sector’s gross value added (GVA) by $4 t r i l l i o n [4]
  • 5. Manufacturing Trends - Omnichains 5 Omnichains While optimizing the supply chain is an age-old effort of all manufacturers, the shift to the utilization of the omnichain - a cloud model designed to streamline and unify internal and external processes across networks - is the direction the industry is headed towards today. [2] The result from the addition of this computing infrastructure into a manufacturers production optimization process can lead to: - On-demand visibility across multiple moving parts - More flexibility/increased ability to adapt to disruptions - Tighter control - Improved speed of execution [2]
  • 6. Manufacturing Trends - Reshoring 6 Reshoring Today the US is seeing a “resurgence” [4] in the number of US based manufacturing operations. This can be attributed to: - Domestic soil assurance - Better production quality - Higher safety standards - Ease of communication - Proximity to worksite - Better oversight - Potentially lower costs
  • 7. Manufacturing Trends - Green Manufacturing 7 Green Manufacturing In the manufacturing industry, the need for sustainable, renewable materials and methodologies is on the rise. A major contributing factor to this is today’s reality that resources and raw materials are dwindling away. [4] Incorporating eco-friendly initiatives into manufacturing processes can lead to: - Reduced costs - Higher efficiency - Improved reputation - Boosted morale - Tax incentives This sustainability trend highlights how companies are working to become a part of the “circular economy” — a “take, make, and dispose” alternative to the traditional economy we’ve been used to in the past.[4]
  • 8. Manufacturing Trends - Industry 4.0 8 Industry 4.0 - Smart Manufacturing Is the next Industrial Revolution upon us? With technology playing such a new and significant role in the current climate of the manufacturing industry, experts believe so. With manufacturing specific Information Technology available for use in a variety of forms today, business owners have the opportunity to: - Improve resource efficiency - Improve resource productivity - Increase value of product - Shorten the time it takes for the product to get to the market - Increased flexibility to handle the ever-changing needs of the customer With Industry 4.0 steadily growing its role in the world today, manufacturers need to identify the critical needs of their systems and processes, then explore and adapt the technology and culture of this new age of IoT. [5]
  • 9. Manufacturing Strengths – potential strengths a manufacturing organization could possess 9 S t r e n g t h s Commitment to the Optimization of the Manufacturing Supply Chain Companies who are taking an all-encompassing look into their product, from inception to production to consumer, are at an advantage to experience growth and profitability. Analyzing & optimizing the production & supply chain from beginning to end leads to s a v i n g s. [1] The Utilization of Cloud Technology According to this article from Manufacturing Business Technology, “a unified cloud platform that integrates easily with third-party apps is a big advantage in capturing new opportunities with minimal overhead.” [2] A business that understands and appreciates the efficiency of adapting to the new culture of the manufacturing industry is better positioning themselves for success in the future. Benefits of using Cloud Technology come in the form of improvement of efficiency in overhead and production, s a v i n g s , and the capability to be flexible & in front of the changes in the industry.
  • 10. Manufacturing Weaknesses – potential weaknesses that could be affecting a manufacturing organization internally 10 W e a k n e s s e s Workforce Some of the biggest challenges manufacturers face today are: - Filling positions with skilled employees - Employee retention Today, there are over half a million manufacturing jobs that are open and waiting for an employee with the right skill set to fill it. [6 ] To work towards reconciling these current issues, more than two-thirds of manufacturers have plans in the works to increase their training and workforce development investments.[1] Resistant to IoT/Smart Manufacturing Practices A company culture that lacks the flexibility to face change at the pace it’s happening for this particular industry is at rick to fall behind and lose valuable market share to competitors.
  • 11. Manufacturing Opportunities – external factors that could positively impact a manufacturing organization 11 O p p o r t u n i t i e s Industrial Internet of Things (IIoT) Functionality Today there are 8.4 billion “things” on this network. This is a 30% increase from the previous year. [4] Intelligent Decision Making Using Analytical Tools Making decisions based off of data driven intelligence puts today’s consumer at an advantage; having the right systems in place gives manufacturers the ability to access insights that could directly impact productivity and efficiency. [2] Inbound Marketing Through original content, social media, and search engine optimization, inbound marketing draws prospective customers to manufacturers products or services in a way that’s more impactful in generating and retaining new businesses than what we see with traditional media of the trade in the current climate. [3]
  • 12. Manufacturing Opportunities – external factors that could positively impact a manufacturing organization 12 O p p o r t u n i t i e s : T e c h n o l o g y Cloud Technology By utilizing the cloud technology that is available today, manufacturers have the opportunity to “eliminate old barriers and seize new and emerging opportunities.”[2] Cloud technology is also playing a role in the manufacturers relationship with the customer. A year from now, it’s predicted that over half of the manufacturing sector will rely on cloud based crowdsourcing technology to have a more streamlined collaborative relationship with the consumer as well as with partners in the supply chain. [2] Robotics/Automation With Automation being a current trend across most industries, the industrial manufacturing industry is no exception. Companies should explore opportunities to automate processes where possible. [1] Some manufacturers that could benefit from exploring their options in automation are those who handle hazardous materials, work in conditions where safety is a concern, or who operate facilities or plants that require clean rooms. [3]
  • 13. Manufacturing Opportunities – external factors that could positively impact a manufacturing organization 13 O p p o r t u n i t i e s : T e c h n o l o g y Augmented Reality (AR) Many manufacturing facilities across the United States are experiencing a number of benefits from the use of AR, including cost reduction, speed increases, fewer errors, and overall improved safety. Even though we’re just scratching the surface of what we can do with this technology, so far we’ve seen it being used to help aid complex assembly, maintenance, expert support, and for quality assurance purposes.[5] 3D Printing/Additive Manufacturing Over the last few decades, the plastic prototyping process has steadily grown and developed. Today, manufacturers have the ability to use 3D printing to efficiently produce replacement parts and increase operational efficiency.[5]
  • 14. Manufacturing Threats - external factors that could negatively impact a manufacturing organization 14 T h r e a t s A Modernization of NAFTA In the current climate of political transition, the world is keeping a close eye on the possibilities of a change in the US’s relationship with NAFTA. Small & medium sized enterprises are particularly interested in “whether rules of origin arise as a potential impediment to an agreement,” and will in turn negatively impact them by causing potential loss in market share to foreign competitors. [1] Role of the Customer Today we are seeing a more involved relationship between the manufacturer and the customer than ever. Potential challenges we are seeing from a shift in the customer role are: -Customer pushing back unsold products onto manufacturer -Shorter demand time -Heavier pushback on prices [1]
  • 15. Manufacturing Translation - what kind of opportunity this creates for Greenstone Media 15 What does this mean for us? With the robust skillset Greenstone Media possesses, we have the opportunity to help m a n u f a c t u r e r s by offering: Inbound marketing in the form of Content Marketing SEO, SEM, SMM Website Development Cloud Technology and m a n u f a c t u r i n g specific applications (?)

Notas do Editor

  1. [6] https://www.thebalance.com/u-s-manufacturing-what-it-is-statistics-and-outlook-3305575
  2. [3] https://www.weidert.com/whole_brain_marketing_blog/manufacturing-trends-2018-watchlist [6] https://www.thebalance.com/u-s-manufacturing-what-it-is-statistics-and-outlook-3305575
  3. [3] https://www.weidert.com/whole_brain_marketing_blog/manufacturing-trends-2018-watchlist [4] https://blog.thomasnet.com/manufacturing-trends-2018
  4. [2] https://www.mbtmag.com/blog/2018/01/top-5-manufacturing-trends-and-predictions-2018
  5. [4] https://blog.thomasnet.com/manufacturing-trends-2018
  6. [4] https://blog.thomasnet.com/manufacturing-trends-2018
  7. [5] https://www.aem.org/news/january-2018/5-manufacturing-trends-to-watch-in-2018/
  8. [1] http://rsmus.com/what-we-do/industries/industrial-products/manufacturing-trends-to-watch-in-2018.html [2] https://www.mbtmag.com/blog/2018/01/top-5-manufacturing-trends-and-predictions-2018
  9. [1] http://rsmus.com/what-we-do/industries/industrial-products/manufacturing-trends-to-watch-in-2018.html [6] https://www.thebalance.com/u-s-manufacturing-what-it-is-statistics-and-outlook-3305575
  10. [2] https://www.mbtmag.com/blog/2018/01/top-5-manufacturing-trends-and-predictions-2018 [3] https://www.weidert.com/whole_brain_marketing_blog/manufacturing-trends-2018-watchlist [4] https://blog.thomasnet.com/manufacturing-trends-2018
  11. [1] http://rsmus.com/what-we-do/industries/industrial-products/manufacturing-trends-to-watch-in-2018.html [2] https://www.mbtmag.com/blog/2018/01/top-5-manufacturing-trends-and-predictions-2018 [3] https://www.weidert.com/whole_brain_marketing_blog/manufacturing-trends-2018-watchlist
  12. [5] https://www.aem.org/news/january-2018/5-manufacturing-trends-to-watch-in-2018/
  13. [1] http://rsmus.com/what-we-do/industries/industrial-products/manufacturing-trends-to-watch-in-2018.html
  14. Very much looking forward to learning about ALL of our capabilities here at Greenstone. I’m sure there’s so much more we can do for this industry that I’m not even aware of at this point. Very exciting realization, can’t wait to expand on this slide after I’ve learned more about all our angles of expertise!