Industrial News & Views At-A-Glance

Economics

Measuring Equipment EffectivenessIs overall equipment effectiveness (OEE) a “magic metric” or just another flavor of the month measurement?  The answer is: it can be either, but not both.  We have become quite good at producing production metrics that are boiled down to a value that is either green, yellow or red as compared to an arbitrary goal or world class standard and that is as far as we go.  The result is alternating periods of contentment, concern and panic. When it’s green we pay no attention to it, when yellow we hope that it will be green again soon, so we tweak something and watch it periodically.  When it slips to red we scramble and then write reports.  Before long the efforts to keep us out of the red compound the original problem and we struggle to get back to where we were before we had the green, yellow and red metric. At this point the program becomes relegated to “flavor of the month” and it is abandoned.  For OEE to become the “magic metric” there are some empirical truths that must be ingrained in the organization at the outset of the program definition. Read Full article

ManufacturingEmployment in manufacturing “changed very little” in August according to the U.S. Department of Labor’s Bureau of Labor Statistics (BLS) monthly release of data on domestic employment, while employment in mining continued to slip. The nation’s unemployment rate remained unchanged from July’s figure of 4.9%, or 7.8 million individuals. Read full article

15 Facts that Manufacturing is GrowingWhat do economic growth, global competitive advantage, technological innovation, and high quality of life have in common? None of these would be possible without the manufacturing sector.

As much as we like to say manufacturing is on the wane in the developed world, with the Internet of Things (IoT), there’s actually been a resurgence in this sector, albeit perhaps on a smaller scale.

Manufacturing is the driving force behind the steady economic growth, competitive advantage, innovation and high quality of life present in the United States. It has played a key role in shaping and developing the U.S. economy throughout the history of the nation, especially after the start of the Industrial Revolution in the late 1700’s. Read full article: http://www.themadeinamericamovement.com/manufacturing/15-facts-show-us-manufacturing-growing/

Markit PMIThe August Markit Flash US Manufacturing PMI came in below market expectations but still signals an improved performance of factories in the third quarter compared to the first half of the year.

Although exports grew at the fastest rate for almost two years, subdued domestic demand acted as a drag on order book growth. The hiring trend also slowed as firms grew cautious about the outlook and inflationary pressures cooled. Read full article: http://seekingalpha.com/article/4001987-u-s-flash-manufacturing-pmi-takes-step-back-julys-recent-high

The latest CBI monthly Industrial Trends Survey (a UK survey firm)CBI Survey of 505 firms found that export order books reached a two-year high. This data suggests that the depreciation of sterling since the end of last year may be feeding on stronger overseas demand. Less than one-third of the 17 manufacturing sub-sectors reported export orders at below normal levels while chemical manufacturers accounted for just over half the improvement in export orders.

Total order books were largely unchanged but remained comfortably above the long-run average. Read the full article here: http://www.cbi.org.uk/news/manufacturing-bolstered-by-exports-according-to-latest-cbi-survey/