Manufacturing is the process of transforming materials or components into finished products that can be sold in the marketplace. Every physical product that you buy in a store or online is manufactured somewhere. The manufacturing industry is one of the largest sectors of the U.S. economy, employing more than 12 million workers. Today, technology is causing the country’s economy to move towards offering services as opposed to producing goods. However, it is becoming clear to economists that a healthy manufacturing industry is one of the hallmark indicators of a healthy, thriving economy. And manufacturing intermingles with nearly every area of the economy.
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How Manufacturing businesses trade hands
Prior to the Industrial Revolution, the majority of goods were made by hand. Since the Industrial Revolution, manufacturing has grown increasingly important, with many goods being massed produced. Mass production means that goods can be produced much more quickly and with more precision. This drives down prices and makes many consumer goods cheaper, their cost within reach of the general public. When the assembly line was introduced into manufacturing, production further skyrocketed. Then, in the early 20th century, Henry Ford introduced a conveyor belt that physically moved products through the factory, from one station to the next. Each station also had a worker responsible for fulfilling a specific stage in the production process. This simple conveyor belt tripled production, and changed manufacturing forever.
Today’s advancement of computer technology allows manufacturers to do more with less time. Now, thousands of items can be manufactured within the space of minutes. Computer technology can be used to assemble, test and track production. Each year, technology continues to make manufacturing increasingly efficient, faster and more cost-effective. However, automation also eliminates many manufacturing jobs, leaving skilled employees without work.
1.1.2.3.4.1 Apparel Industry : All establishments producing clothing and fabricating products by cutting and sewing purchased woven or knit textile fabrics and related materials, such as leather, rubberized fabrics, plastics, and furs. This does not include knitting mills (see Textile Mill Products) or custom tailors and dressmakers (see Retail Trade: Apparel and Accessory Stores). (Definition Source: Standard Industrial Classification)
1.1.2.3.4.2 Chemical and Allied Industry: All establishments producing basic chemicals, and establishments manufacturing products by predominantly chemical processes. This does not include the mining of natural chemicals and fertilizers (see Mining and Quarrying of Nonmetallic Minerals), nor does it include establishments primarily engaged in packaging, repackaging and bottling purchased chemical products (see Wholesale or Retail Trade). (Definition Source: Standard Industrial Classification)
1.1.2.3.4.3 Electronic and Electrical Equipment Industry: All establishments engaged in manufacturing machinery, apparatus, and supplies for the generation, storage, transmission, transformation, and utilization of electrical energy. This does not include industrial machinery and equipment powered by built-in or detachable electric motors (see Industrial and Commercial Machinery and Computer Equipment). (Definition Source: Standard Industrial Classification)
1.1.2.3.4.4 Fabricated Metal Industry: All establishments engaged in fabricating ferrous and nonferrous metal products, such as metal cans, tinware, handtools, cutlery, general hardware, nonelectric heating apparatus, fabricated structural metal products, metal forgings, metal stampings, and a variety of metal and wire products not elsewhere classified. (Definition Source: Standard Industrial Classification)
1.1.2.3.4.5 Food and Kindred Industry: All establishments manufacturing or processing foods and beverages for human consumption, and certain related products, such as manufactured ice, chewing gum, vegetable and animal fats and oils, and prepared feeds for animals and fowls. This does not include chemical sweeteners (see Chemicals and Allied Products). (Definition Source: Standard Industrial Classification)
1.1.2.3.4.6 Furniture and Fixtures Industry: All establishments engaged in manufacturing household, office, public building, and restaurant furniture; and office and store fixtures. This does not include establishments engaged in the production of millwork or wood kitchen cabinets (see Lumber and Wood Products); those manufacturing cut stone and concrete furniture (see Stone, Clay, Glass and Concrete Products); those manufacturing hospital furniture other than beds (see Measuring, Controlling and Analyzing Instruments); nor, those manufacturing beauty and barber shop furniture (see Miscellaneous Manufacturing Industries). (Definition Source: Standard Industrial Classification)
1.1.2.3.4.7 Industrial and Commercial Machinery Industry: All establishments engaged in manufacturing industrial and commercial machinery and equipment and computers. This includes machines powered by built-in or detachable motors, with the exception of electrical household appliances. This includes power-driven handtools, but does not include other electrical equipment (see Electronic and Other Electrical Equipment and Components). (Definition Source: Standard Industrial Classification)
1.1.2.3.4.8 Leather Industry: All establishments engaged in tanning, currying, and finishing hides and skins, leather converters, and establishments manufacturing finished leather and artificial leather products and some similar products made of other materials. (Definition Source: Standard Industrial Classification)
1.1.2.3.4.9 Lumber and Wood Industry: All establishments engaged in cutting timber and pulpwood; mills engaged in producing lumber and wood basic materials; and establishments engaged in manufacturing finished articles made entirely or mainly of wood or related materials. This does not include furniture and office and store fixtures (see Furniture and Fixtures), musical instruments, toys and playground equipment, and caskets (see Miscellaneous Manufacturing Industries). This also does not include wood reconditioning and repair (see Nonmanufacturing Industries). (Definition Source: Standard Industrial Classification)
1.1.2.3.4.10 Measuring, Analyzing and Controlling Instrument Industry: All establishments engaged in manufacturing instruments for measuring, testing, analyzing, and controlling, and their associated sensors and accessories; optical instruments and lenses; surveying and drafting instruments; hydrological, hydrographic, meteorological, and geophysical equipment; search, detection, navigation, and guidance systems and equipment; surgical, medical, and dental instruments, equipment and supplies; ophthalmic goods; photographic equipment and supplies; and, watches and clocks. (Definition Source: Standard Industrial Classification)
1.1.2.3.4.11 Miscellaneous Manufacturing Industries: All establishments primarily engaged in manufacturing products not classified in any other manufacturing category. This includes establishments engaged in the production of goods such as jewelry, musical instruments, toys, sporting goods, etc. (Definition Source: Standard Industrial Classification)
Other manufacturing company models
Manufacturing is the process of converting raw materials and/or parts into finished goods that can be sold in wholesale or retail markets or exported for sale in other countries. It covers a wide range of industries, from food and beverages to pharmaceuticals, iron and steel to textiles, as well as lumber, tobacco, automobiles, aerospace, and petrochemicals.
Manufacturing consists of two categories: durable and nondurable goods. Durable goods, such as cars, airplanes, and large household appliances, may be used for a long time. Nondurable goods, such as food, cosmetics, and clothing, are consumed more rapidly.
Manufacturing employs workers from all skill and education levels and interests. From the top down, employees include company presidents and CEOs, accountants, sales and marketing workers, order processors, customer service workers, secretaries, and others who plan, organize, and manage operations.
Engineers, whose work typically focuses on research and development, analysis, planning, surveying, application, facility evaluation, and more, play a key role in manufacturing. Computer science also is becoming increasingly important because of increasing use of robotics and automated processes. Managers, supervisors, and forepersons oversee manufacturing plants and production worker, who comprise the largest group of manufacturing employment.
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