What are the Biggest Obstacles Facing US Manufacturing?

Barcode label with the words Made in USAAmerican manufacturing has seen its share of bright sides recently, but still faces several obstacles that must be overcome before it gains consistent traction. Many obstacles constantly seem to get in the way of U.S. manufacturing prosperity, most notably the most recent rash of factory closings, labor disputes, and loss of American jobs stemming because of offshore labor shifts. U.S. manufacturing is also ridiculed for alarmingly low wages and menial working conditions. The following will provide further obstacles American manufacturing must quell before it can really flourish:

Skilled and competent labor force. Over the last couple of decades, there has been a sharp decrease in the number of people looking to become educated and skilled in manufacturing. This forces U.S. manufacturing companies to hire employees who might not be entirely qualified for the position in which they have been placed. Ion addition, it has become increasingly complicated to find individuals with the needed work ethic to perform the difficult labor associated with manufacturing facilities.

The rising of business overhead. The cost to operate a U.S. manufacturing facility is becoming increasingly untenable every year. This is in large part due to the extremely high cost concerning workers compensation insurance and local property taxes. As these two components continue to skyrocket in price annually, less manufacturing plants in the U.S. are able to truly thrive.

Problems related to inventory. When an American manufacturing site is holding on to inventory that does not sell, ship, or is not used, this usually forces the manufacturing company to drop prices and offer sales and steep discounts. The inability to sell inventory at a reasonable profit margin means U.S. manufacturing companies lose money.

The growing number of compliance mandates. Though following regulations and compliance mandated protocol is needed, the argument can be made by U.S. manufacturers that the regulations in place go too far and are too stringent on manufacturing businesses. Even the slightest breech in protocol could render dire consequences, such as the defamation of the reputation of the American manufacturing company, financial repercussions, and even loss of jobs and destroyed careers.

The negative current state of the U.S. manufacturing image. One would have to look way far back in time to recall a period when the field of manufacturing in the United States had a positive image that encouraged young, up and coming professionals to pursue careers in the manufacturing industry. What was once viewed as a very promising route to achieving professional success and achievement is now viewed as an underwhelming, low paying job that forces workers to place themselves in unfavorable and despicable working conditions. No longer do young men and women preparing to go to college consider strive for degrees related to the manufacturing industry. And, as these numbers continue to decrease, American manufacturing companies can expect even less of a capable pool of choices to be available with every year that passes by.

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