Showing posts with the label manufacturing

San Diego's Technology Workers Build Innovative Development

Technology workers are an important part of the American economy and represent one of the fastest growing occupations in the country. Technology workers feed the business and economic engines within San Diego but  face some wider challenges. Three technology executives with a a combined 4 billion dollars in revenue and 9,000 employees  highlighted the state of local talent in San Diego on Connect ( 1 ). There are a few additional ideas that can further the conversation. A great portion of society relies on technology and the easy transference of information and resources.  Knowledge intensive industries need this easy flow of information that moves within and between companies. Technology workers help to foster that transference and use information to its maximum extent ensuring information develops other sectors. Technology workers are important for modern companies and help push industries to develop at a faster rate. For example, investment in IT contributes to worker manufact

Manufacturing Rises to Highest Point in 3.5 Years

Manufacturing is heating up and cranking out new products at a rapid pace. According to the Institute of Supply Chain Management, the August PMI rose to 59% (1.9% increase) when compared to the previous month’s numbers of 57.1%. The improvement is the highest experienced in 3 ½ years helping support the smooth running of America’s economic engine. Basic materials have a fundamental impact on the growth of manufacturing within their associated sectors as the products make their way throughout the national supply chain. As the country seeks to capitalize on its new found growth it is important to ensure that a positive business environment employs and develops matching competencies in the manufacturing labor pool.   Economic expansion will have a difficult time continuing unless highly skilled and motivated employees are available to fill future employment opportunities.   Companies should bolster education and training to secure a ready labor supply and raise income based on pe

Does the Improving Economy Offer Opportunities to Raise Social Mobility?

The word “economy” is on everyone’s lips.   Things are looking bright for those who have a stake in the economic system. Markers in the service and manufacturing sectors are progressive and provide opportunities to put people to work while lowering the nation’s growing income disparity. The new economy offers the possibility to resize an unbalanced ship so that it finds benefits in hydroplaning to new levels.  The Institute for Supply Management’s non-manufacturing index increased to 58.7% while sixteen U.S. non-manufacturing industries led by construction and education also experienced growth ( 1 ).   To complement this growth the service sector also realized expansion adding further strength to the recovery and providing higher levels of employment. According to the Commerce Department manufacturing also received positive growth numbers ( 2 ).   The U.S. is moving into a stronger competitive position that furthers its ability to maintain momentum. Manufacturing increases

Are Positive Indicators Tipping In Favor of the U.S. Economy?

The economy appears to be moving forward into a post-Recession period. Multiple markers are turning positive as jobless claims decline, confidence rises, manufacturing expands, employment numbers improve and inflation increases. The general predictors are positive and optimism is returning to the market showing higher levels of economic activity. Of particular interest is manufacturing which has a significant impact as a root source of income and job growth. As manufacturing moves upward future investment is likely to spur further economic growth in supporting industries. This is supported by positive improvements in small business optimism and hiring.   Jobless Claims: According to the Department of Labor’s June 14th figures unemployment figures are at 312,000 (of 2,561,000) which is a 6,000 decrease from the previous week and near pre-recession levels in 2007 (of  2,541,000) ( DOL, June 19 th , 2014 ).   Consumer Confidence: Bloomberg expectations gauge rose to 48.5% w

Changes and Opportunities in the Post-Recession Economy

The economy is adding jobs and that is great news. Unfortunately, the types of jobs have moved more into service sector and administrative positions that do not carry the same high wages as pre-recession employment. According to a report by the National Employment Project (NELP) low-wage industries have grown significantly since the end of the recession but this is leaving many Americans without significant savings. A mixed economic blessing that teeters between recovery and replacement. Lower-wage industries have accounted for 22% of the recession loss but 44% of the employment growth over the past 4 years. It now employs 1.85 million more workers than it did in the past. Mid-range employment jobs lost were around 37% while recent increases are around 26% for a total of 958,000 lost. High wage losses include 41% and a 30% increase leaving us with a 976,000 fewer jobs. The recession was longer than anticipated and even though the jobs have returned they have returned at a lowe

Will The U.S. Soon Be a Hot Manufacturing Nation?

Will American make its way back into leading manufacturing status? A report by the Boston Consulting Group indicates that the U.S. will see increases in manufacturing over the next couple of years as parity is achieved due to lower natural gas prices, stagnated wages in the U.S. and higher costs overseas. With a decline of energy costs from oil shale dropping to 50% and increases in the cost of manufacturing in countries like China there is much to cheer in the U.S. The good times can roar again. American workers are becoming more productive, Chinese workers are more expensive, and the associated costs of manufacturing overseas have risen. A report by the Congressional Research Service found that the U.S. share of global manufacturing declined 30% in 2002 and that number dwindled  to 17.4% in 2012 ( 1 ). The new report by the Boston Consulting Group indicates that the costs of manufacturing in the U.S. versus many other places like China will be about the same giving the U.S.