THE FUTURE OF THE MANUFACTURING INDUSTRY Samantha Wieczorek AGENDA Methodology Background Question at Hand Employment Trends Reason for Employment Trends Manufacturing Today METHOD Scholarly articles & interviews with industry professionals Analyzed trends that have companies rethinking their supply chains Focus of employment is in the Manufacturing Sector only RESEARCH QUESTIONS? Has the Decline in Manufacturing jobs been solely due to Globalization? What is the Current Trend in the Manufacturing Sector? How will this impact the U.S. Economy? BACKGROUND U.S. has had strong industrial background since the late 1700’s. Plants were large in scale in both human capital & size Encompassed 34% of all jobs in 1930’s. Decline in blue collar jobs have caused many to think that globalization is to blame for our slowly recovering economy REASONS FOR DECLINE Globalization Industrial V Service Economy Education levels Increase Technology Advancements Increase productivity, lowers demand for human capital Political Influences War in Afghanistan War on Terrorism Learning Technology Services Inspiring Innovation. Learn more at www.uwstout.edu MANUFACTURING EMPLOYMENT 20000 18000 16000 14000 12000 10000 8000 6000 4000 2000 0 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 April 1997 # of Jobs (in Thousands) April Year Source: Bureau of Labor Statistics MULTIPLIER EFFECT 1 in 6 private Sector Jobs depends on Manufacturing Role Types Construction Mining Transportation Warehousing Manufacturing supports 18.6 million jobs in the U.S. 11.8 Million directly in Manufacturing Move Back to the U.S. TREND & IMPACT Despite competitive wage, manufacturing employment is not sought after Manufacturing to underdeveloped countries continues More companies have shifted back to the U.S., but jobs are not coming with QUESTIONS?