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Smaller manufacturers make up the lifeblood of the U.S. economy. They make up over 98% of all U.S. manufacturers and employ about 12.2 million Americans.
Small manufacturers--those with fewer than 500 employees--contribute a significant share of the value of output in all manufacturing industries, and the majority of value in most of them. Small manufacturers account for 55 percent of the value of all manufactured goods.
What's more, as large manufacturers increase their dependence on suppliers for parts and services, smaller manufacturers' performance and capabilities become even more important to the entire manufacturing sector's competitiveness and economic health.
Obviously, "There is nothing small about small manufacturing," U.S. Department of Commerce Secretary William Daley stated in his letter declaring 1999 as the "Year of the Small Manufacturer."
The purpose of the Year of the Small Manufacturer is to highlight our nation's small manufacturing enterprises (SMEs) by:
- Recognizing their importance to the U.S. economy and the modernization issues they face
- Motivating SMEs to modernize their operations
- Strengthening partnerships with organizations whose constituencies are SMEs, including the business community, economic development organizations, universities, community and technical colleges, and trade associations
While the modernization and agility of the country's SMEs are a primary concern, organizations as diverse as government, academic, chambers of commerce, foundations, trade/industry associations, trade and civic groups, and the financial services industry have a vested interested in ensuring a strong base of SMEs. Given this, it is in the best interest of SMEs for all organizations with a concern in small manufacturing to collaborate efforts in celebrating their importance to the nation's economy.
The Department of Commerce's Manufacturing Extension Partnership is committed to serving America's small manufacturers. With the vital involvement of all the states, the MEP system, managed by the Department's National Institute of Standards and Technology, delivers services to small and medium sized manufacturers in all 50 states, the District of Columbia, and Puerto Rico. Manufacturing and business specialists guide firms toward greater productivity, increased profits and enhanced global competitiveness.
Small manufacturers Workplace Factors
Small manufacturers account for 54.9 percent of the value of instruments and related products, including surgical and medical equipment, dental equipment, and laboratory equipment.
Small manufacturers account for 43.9 percent of the value of electronic and electrical equipment, including computers, telecommunications equipment, and electrical appliances.
Small manufacturers pioneered the production and marketing of microcomputers and a wide variety of peripherals, lasers, and biotechnology.
Small manufacturers account for 56.2 percent of the value of paper and allied products, such as boxes and cardboard containers.
Small manufacturers account for 68 percent of the value of printed and published products, including newspapers, magazines, and books.
Small manufacturers account for 48.5 percent of the value of primary metal products, including iron, steel, and aluminum.
Small manufacturers account for 17.3 percent of the value of transportation equipment, including aircraft, automobiles, railroad cars and engines, and ships.
Sources: Bureau of the Census, U.S. Department of Commerce, Census of Manufactures, 1992, Industry Statistics, table 1-4 & National Association of Manufacturers.
Small manufacturers account for a significant share of employment and economic activity.
Small manufacturers--those with less than 500 employees--employ 1 in 10 American workers, or over 12 million workers (Employment and Earnings, BLS, 1-99). The nation's more than 385,000 small manufacturing enterprises produce 55 percent of all value added in manufacturing, and account for 98 percent of all manufacturing establishments. (1996 County Business Patterns and 1992 Census of Manufactures)
Small manufacturers play an important role in U.S. exports and international competitiveness.
Small businesses exported nearly one-third of the value of all exports in 1992, and over 70 percent of all U.S. exports are manufactured goods. Small manufacturers are the vast majority--over 90 percent--of all exporting manufacturers. (Small Business Administration, Survey of Current Business)
The future of U.S. manufacturing rests on small manufacturers.
The future of manufacturing rests on the ability of small manufacturers to sustain their critical role in the U.S. economy. In addition to making products and providing components to other manufacturers, small manufacturers provide jobs, community goodwill, and live out the entrepreneurial spirit that defines American ingenuity. To be sure, U.S. small manufacturers will continue to develop new technologies, ideas and products and will blaze the path into the next millennium.
Year of the Small Manufacturer in Southern Oregon
To support the Year of the Small Manufacturers in Southern Oregon, Oregon Manufacturing Extension Partnership is offering the "Small Manufacturers: Manufacturing Management Series" seminars in October. The seminars are affordable, short and to the point for the busy owners, managers and employees, and offered at the Educational Resource Center in the Rogue Valley Mall for easy access. Seminars are being offered in collaboration with Rogue Community College / Workforce Training Center and the Small Business Development Centers of Jackson and Josephine Counties.
For more information , contact David Hall, Manufacturing Specialist at Oregon MEP, White City Office, call (541) 245-7919 or 1-800-MEP-4MFG. Oregon Manufacturing Extension Partnership (OMEP) is a not-for-profit organization that assists small and medium-sized manu-facturers. It is affiliated with the national NIST Manufacturing Extension Partnership and Oregon Advanced Technology Consortium (OATC). Oregon Manufacturing Extension Partnership Manufacturing Management Series
Using Personality Type For Effective Team Building, Fri., 10/1, 8 a.m.-12 noon., $49
Lean Manufacturing: To Improve Productivity & Your Bottom Line, Fri., 10/8, 8 .-12 noon. $110
Introduction To Conflict Management For Leaders And Supervisors, Fri., 10/15, 8 -12 noon. $49
Project Management For Manufacturers, Fri., 10/22 8 a.m.-5 p.m., $95
For more information, call Dave Hall at (541) 245-7919.
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