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Friday, April 28, 2006

Manufacturing is extremely important! The supply chain is of utmost importance, especially
in the domestic auto industry. An automobile is comprised of a simple nut (hopefully made
well) to well engineered frames and other such parts, all the way to complicated computers.
This auto "supply chain" is the most complicated and elaborate of any manufacturing system.

This country is 70% service oriented and only about 30% manufacturing. The manufacturing
base has collapsed considerably in the last 30 years. Without a manufacturing base, a
country loses its ability to create and make products. This is dangerous for the stability of a country; not to mention poor economics! When you consider that manufacturing also includes transplant facilities from other countries, there is another huge loss.

These foreign based facilities do not have the complicated supplier chain as the domestics do. They are basically build only facilities. The important pieces and parts are made overseas and
imported to the American factories.

Is there anyone or anything to blame? No I think it is a chain of events that occurred in
America because that is the way this great nation has always worked. But can it be changed?
It absolutely can be changed! With the right decisions by government, by top management, and
by all the workers this great nation will recover to the way it once was. I never read in any text
books that America must go down in a blaze of flames only to have its economy crushed.

Two more items: The service sector is now being challenged by overseas firms; the outcome is not good.

AND I'VE SAID IT BEFORE, AND I'LL SAY IT AGAIN - COMMUNICATION IS KEY WITHIN ALL DEPARTMENTS IN THE MANUFACTURING OF VEHICLES. AND THAT INCLUDES OUTSIDE SUPPLIERS, CONTRACTORS, ETC.!

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