Manufacturing sales rose for the fourth consecutive month, up 0.6% to $64.8 billion in January on higher sales in 14 of 21 industries, led by the petroleum and coal (+6.8%) and wood (+6.5%) product industries. The gain was partially offset by lower sales of motor vehicles (-17.5%). On a year-over-year basis, total manufacturing sales were up 13.4% in January. Source - https://www150.statcan.gc.ca/n1/daily-quotidien/220315/dq220315a-eng.htm

1. Manufacturing –
Canada
Paul Young CPA CGA
March 16, 2022

2. Paul Young - Bio
• CPA, CGA (1996)
• Academia (PF1, FA4, FN2, MU1. and MS2)
• SME – Customer Success Management
• SME – Risk Management
• SME – Close, Consolidate and Reporting
• SME – Public Policy
• SME – Emerging Technology
• SME – Business Process Change
• SME – Financial Solutions
• SME – Macro/Micro Indicators
• SME – Supply Chain Management
• SME – Data, AI, Security, and Platform
• SME – Internal Controls and Auditing
Contact information email: Paul_Young_CGA@hotmail.com
LinkedIn: https://www.linkedin.com/in/paul-young-055632b/
SlideShare - https://www.slideshare.net/paulyoungcga
Twitter: https://twitter.com/paulyoungcpa
Youtube - https://www.youtube.com/user/youngercga1968/videos

3. 3
Agenda
• PMI Index – Canada
• Commodity
• AG Equipment
• Automotive and other KPIs
• Blog – Manufacturing Strategy
• Blog – Automation and Manufacturing
• Blog – Reshoring
• Blog – Supply Chain
• Blog – Automation / Innovation
• Summary

4. 4
PMI – Canada
Source - https://tradingeconomics.com/canada/manufacturing-pmi

5. North American Equipment Sales
Source - https://www.aem.org/Market-Data/
US-Month-Ag-Report
-2-2022.pdf
CAN-Month-Ag-Repo
rt-2-2022.pdf

6. Commodity
Prices
SOURCE -
HTTPS://WWW.WORLD
BANK.ORG/EN/RESEAR
CH/COMMODITY-
MARKETS
CMO-Pink-Sheet-Mar
ch-2022.pdf

7. Commodity Prices Commodity Price
Shock_BMO.pdf

8. 8
Oil, Automotive
and other KPIs
Source – Stats Canada, BakerHughes,
Scotiabank, IES, RBC, BMO, etc.

9. 9
Manufacturing Sales – Canada
Source - https://www150.statcan.gc.ca/n1/daily-quotidien/220315/dq220315a-eng.htm

10. 10
Manufacturing Sales – Jan/22 vs
Oct/15

11. 11
Developing a new Manufacturing
Strategy
Supporters of American manufacturing have been crying for a national manufacturing strategy for many years. They know that if the U.S.
does not have a plan with measurable objectives, nothing will change, and we will not re-industrialize America.
The first compelling reason to develop a plan is that our competitors have manufacturing plans and strategies that have allowed them to
successfully export to the U.S. In fact, China’s “Made in China 2025” plan spells out exactly which industries and technologies they want
to dominate in the future. Why can’t we develop a plan?
Second, the Bureau of Labor Statistics shows that 38 manufacturing industries are declining in terms of establishments and employment.
We need a strategy to stop the erosion of our manufacturing base and specify which industries are critical and need to be saved.
Third, we need to prevent the loss of high value-added manufacturing sectors like the advanced technology industries.
Source - https://www.industryweek.com/the-economy/public-policy/article/21159910/america-needs-a-manufacturing-
strategy?utm_source=IY+IW+Daily+Headlines+-
+Morning&utm_medium=email&utm_campaign=CPS210329052&o_eid=7930I4506489J2B&rdx.ident%5Bpull%5D=omeda%7C7930I450
6489J2B&oly_enc_id=7930I4506489J2B
It is not the just the United States that needs to revisit their manufacturing strategy. Canada and other countries need to focus on how
best to manage the supply chain as part of mitigating risks related to geopolitical events -
https://www.slideshare.net/paulyoungcga/how-to-better-manage-your-supply-chain

12. 12
Blog – Transitioning to Automation –
Manufacturing
The manufacturing industry is getting the automated treatment. New advances in robotics and artificial intelligence are
changing the business for good as managers and CEOs look for ways to reduce their costs without sacrificing speed or
accuracy.
From faster shipping to near-perfect order accuracy and less downtime, automation can help you reach so many of your
goals. According to a recent survey of automated warehouses, 76 percent of respondents said they were more likely to boost
inventory accuracy to 99 percent or higher, 36 percent more likely to have reduced labor costs of an average of three
percent per year and 40 percent more likely to consistently ship within one day of an order’s placement.
Automation will change the face of the warehousing and manufacturing business in more ways than one. Here are four
companies changing the way we work:
• ABB
• Siemens AG
• Emerson Electric
• Schneider Electric
I have written many blogs on data, AI, security, and Platform as it relates to manufacturing and supply chain:-
Manufacturing - https://www.linkedin.com/pulse/blog-5-manufacturing-industry-trends-2021-paul-young/?published=t

13. 13
Blog - Manufacturing excellence through data
and analytics with these four initiatives
https://www.linkedin.com/pulse/blog-manufacturing-excellence-through-data-analytics-paul-
young/?published=t
The world of manufacturing has undergone massive changes since the start of the industrial revolution.
Technological improvements have been the catalyst that has transformed simple mechanization into cyber
physical machines. This expanse, known as the fourth industrial revolution (or Industry 4.0), has given rise to
the Industrial Internet of Things (IIoT) – increasing connectivity and improving efficiency, all through data.

14. 14
Blog – Reshoring
Blog - 83% of North American Manufacturers Are Likely to Re-shore Their Supply Chains in 2021
According to the latest 2021 Thomas State of North American Manufacturing Report, 83% of manufacturers are planning to add
North American suppliers to their supply chains within a year, a significant increase from 54% in March 2020.
Source - https://www.thomasnet.com/insights/83-of-north-american-manufacturers-are-likely-to-reshore-their-supply-chains-in-
2021-report/?ecms_id=eb8ad19e-e115-43c6-bcd1-
d154ecbbc5df&ecms_short=ART5121&doc_type=ted_article&sponsored=&acct=&parent_id=fc88208e-3b14-4c57-b051-
8c38b5d8281c&utm_content=featuredstory&position=1&linktype=title&channel=email&campaign_type=thomas_industry_updat
e&campaign_name=tiu210602&utm_campaign=tiu210602&utm_medium=email&utm_source=thomas_industry_update&tinid=2
21763045
Here is my link - https://www.linkedin.com/pulse/blog-83-north-american-manufacturers-likely-re-shore-paul-young/?published=t

15. 15
Blog - Manufacturing Automation: Technology,
automation key to Canadian supply chain survival
Trade wars and nationalism, artificial intelligence and automation all have put pressure on global supply chains.
Continuing to add uncertainty to the mix: the proliferation of misinformation, increasing populism, and a
resulting volatile market.
https://www.canadianmanufacturing.com/features/manufacturing-automation-technology-automation-key-to-
canadian-supply-chain-survival/
My work: https://www.slideshare.net/paulyoungcga/manufacturing-canada-june-2021
•

16. 16
Blog – Top 10 AI Innovations for Manufacturing – Canada and the
World
The manufacturing industry is the largest sector using artificial intelligence for efficient production workflow and real-time
market insights. According to projections, the size of the manufacturing market using AI will be $4,798 million by 2026.
The current stage of manufacturing industry evolution, Industry 4.0, is based on Fourth Industrial Revolution (4IR)
technologies, including machine learning, Internet of Things (IoT), automation, and augmented reality.
1. AI-enabled quality assurance
2. Predictive equipment maintenance
3. Automated inventory management
4. Collaborative robots
5. AI-enabled supply chain management
6. Generative design
7. Digital twin
8. AI-powered customer service
9. Big data management
10. AI cybersecurity
Source - https://www.canadianmanufacturing.com/features/10-ai-innovations-impacting-the-manufacturing-industry/
Manufacturing is about to head into a new era that will see more innovation including more agility of companies to build resilient supply
chains to support the current and future customer’s demands.
My work - https://www.slideshare.net/paulyoungcga/canada-what-is-next-for-manufacturing

17. 17
Summary
• All levels of government need to refocus policies to better
support domestic supply chains
• Automation in manufacturing will continue to evolve - Blog –
Micro factories, not Giga factories, Will Build It Back Better -
https://www.linkedin.com/pulse/blog-micro-factories-giga-build-back-better-paul-
young/?published=t
• Improving sourcing of products through use of data and AI
Blog - Q1 Sourcing Trends Reveal Cautiously Optimistic Shift in Industrial Priorities; Steel, PCB
Searches Increasing - https://www.linkedin.com/pulse/blog-q1-sourcing-trends-reveal-
cautiously-optimistic-paul-young/?published=t - This is another great article by Thomas.net on
the supply chain. I would encourage many of you to read as it will help you target solutions
that can better support supply chain management.
Blog – Canada – What is next for Manufacturing
Smart Manufacturing
Experts Weigh in on Talent Shortage and Solutions SEMI.pdf
TSX Ends Sharply
Lower On Weak Commodity Prices, Tech Sell-off Nasdaq.pdf
Artificial Intelligence
Stocks To Buy And Watch Amid Rising AI Competition Investor's Business Daily.pdf
Harnessing the Right
Fulfillment and Supply Chain Technology Progressive Grocer.pdf
ROI expected to
boost enterprise spending on RPA CIO.pdf
IT robotic automation
to grow 58% annually Fierce Electronics.pdf
iveypmi-whitepaper.p
df
NAHB Calls for
Ending Lumber Tariffs Boosting Production at White House Event - NAHB.pdf
Operating conditions
strengthen amid solid output growth report - Plant.caPlant.ca.pdf
Canada should make
next-generation manufacturing a national priority, like U.S. and Germany - Goods.pdf
UBC Millwrights
Supports 1.8 Billion Green Steel Transformation in Hamilton.pdf
Electric-car makers
should rethink raw material supply chains -RBC Nasdaq.pdf
South Korea and
Australia Bonding on Critical Minerals.pdf
Lithium and
Argentia.pdf
Cobalt prices rise; US
looks to strengthen critical minerals supply chains.pdf
Manufacturing -
Canada - January 2022.pdf
Summary:
M an u f act u r in g sales r ose f or t h e f ou r t h con secu t ive m on t h ,
u p 0.6% t o $64.8 b illion in J
an u ar y on h ig h er sales
in 14 of 21 in d u st r ies, led b y t h e pet r oleu m an d coal (+6.8%) an d
w ood (+6.5%) p r od u ct in d u st r ies. Th e g ain w as p ar t ially of f set by
low er sales of m ot or veh icles (-17.5%). On a year -over -year b asis,
t ot al m an u f act u r in g sales w er e u p 13.4% in J
an u ar y.
Source - https://www150.statcan.gc.ca/n1/daily-quotidien/220315/dq220315a-eng.htm
1. Skills gap - https://www.semi.org/en/blogs/technology-trends/smart-manufacturing-experts-
weigh-in-on-talent-shortage-and-solutions
2. Commodity Prices - https://www.nasdaq.com/articles/tsx-ends-sharply-lower-on-weak-
commodity-prices-tech-sell-off
3. AI - https://www.investors.com/news/technology/artificial-intelligence-stocks/
4. Supply Chain - https://progressivegrocer.com/harnessing-right-fulfillment-and-supply-chain-
technology