Why Not MFG?

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MFG Week 2019 Student Tours. Photo courtesy David Bohrer, National Association Of Manufacturers

By: Sally Michaels, Business Retention Manager, Frederick County EDA Make, produce, fabricate, create, assemble, construct, build, turn out, form, model, forge, shape, mold....manufacture! According to the Virginia Manufacturer’s Association, the United States is the largest manufacturing economy, producing 21% of global manufactured goods; next is Japan at 13% and China at 12%. The U.S. is twice as productive as the next 10 leading manufacturing economies! In Virginia, 5,000+ manufacturers employ over 200,000 individuals, contribute $34 billion to the gross state product, and account for over 80% of the state’s exports to the global economy. Think about it; All of this product has to be tested, approved, copyrighted, boxed, shipped, hauled, stored, marketed, sold. When a single job is created for manufacturing, another three or four jobs are then created to support that job; legal, HR, accounting, transportation and logistics, etc. One hundred thousand jobs in Virginia are related to manufacturing exports! 1 The manufacturing world today is extremely innovative, high tech and demand oriented. This is what is now termed, ‘advanced manufacturing’. Remember Econ 101 and supply and demand? When demand and production increase, efficiency then increases, which is profitable for the company and lucrative for the employees. Companies are looking for skilled employees and in most scenarios, they are willing to pay for training and certifications. Manufacturing is the third largest sector of private employment in Virginia. So why aren’t more people moving in this direction? They don’t know what they don’t know; neither the companies that are local nor the types of careers available!

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Student toured Green Bay Packaging during the 2019 Manufacturing Week. Photo courtesy Frederick County EDA.

MFG Week 2019 Student Tours. Photo courtesy David Bohrer, National Association Of Manufacturers

Locally, The Workforce Initiative (WI) strives to bring awareness to the careers of this sector. Each October, we host a week-long celebration during MFG WEEK. In the past we have held tours of local businesses open to the public, guided events for students and educators, and created videos showcasing area operations. Our efforts this year will be virtual and include: New videos to our library, TheWorkforceInitiative.com, featuring Continental, MTV Solar, and Southeastern Container; Social media ads featuring MFG facts, area businesses, products made locally, shout-outs to classes viewing videos; #WeMakeVA; WI’s mission and the events and projects we organize, tying the effort together; Weekly features in the newspaper with a spotlight on careers and employee testimonials and a Google-esque map pinpointing MFG operations within the region. You will be amazed to find which companies call our region home! Our celebration is based around the Manufacturing Institute’s National MFG DAY, always held the first Friday in October. MFG DAY is a movement dedicated to showing the future workforce the modern world of manufacturing and the innovative and high tech careers available within the industry. One project you will learn more about during MFG WEEK is our most extensive to date, The Workforce Model. With the help of our area businesses, the WI Taskforce will build avenues to employment. The models created will include industry pathways for IT, Manufacturing and Construction with “on ramps” and “off ramps” for specialization. Todd Lynn, CTE Coordinator, Shenandoah County Public Schools, is the newly appointed Chairman of The Workforce Initiative. He stated, “The WI wants to be responsive to the needs of the businesses so we can create a pipeline of talent entering the workforce. The Workforce Model can be a key factor in aligning education with the needs of the workforce. The Workforce Model can be a key factor in aligning education with the needs of the workforce. We know that this model works, having researched and been a part of it through what Valley Health has done in the region to support the growing needs in healthcare. The goal is to have students understand the different pathways that manufacturers have available to them through proper training of students and teachers, the use of tours, and growing the number of work-based learning opportunities.” According to Scott Krueger, a Workforce

In Virginia, 5,000+ manufacturers employ over 200,000 individuals, contribute $34 billion to the gross state product, and account for over 80% of the state’s exports to the global economy.

Initiative Board Member and and the CEO & President/Plant Manager of Continental Surface Solutions, “It is vital for business/ industry to be an advocate and partner, as we seek to develop the manufacturing workforce into the future.” He added, “As a manufacturing business, the Workforce Model presents an opportunity for us to get directly involved in the Career and Technical Education efforts in both K-12 and the Post education/Adult job seeker. The career paths available in today’s manufacturing environment, often require specific skills, training and even certifica

cations. Production technicians, Testing/Lab technicians and highly skilled and certified trades positions, require the next level of preparation and certification. Supporting roles in Design, Quality, Engineering, Development, Marketing, Accounting, Science and Sales also present opportunities for potentially anyone.” There is an old adage, life is too short to work at a job you hate. The WI believes every individual should choose a career that they are both interested in and for which they have the aptitude. Sharing every possible career journey is critical and acceptance within our community is crucial. Krueger pared down the undertaking of the WI, “The Workforce Initiatives’ goal (2023) is to provide, Real Jobs, Real Wages and a Real Workforce. Creating value for all the stakeholders in the community. Business must be willing to be part of the solution. Working not only with the K-12 education system, but also civic, social and community organizations, to provide the resources where and as needed. Defining the skills gaps and assisting in the creation of the resources aimed at closing these gaps. Helping both students and adults and providing them the opportunities to function independently in society. “ Will your business be part of this movement? Find out more at TheWorkforceInitiative.com.

U.S. Manufacturing Activity Highest since November 2018

By: Ashley Miller, Top of Virginia Regional Chamber

Manufacturing in the United States expanded at a fast pace since 2018 according to the Institute for Supply Management’s (ISM), powered by growth in new orders across various manufacturing industries. Manufacturing activity index rose to 56 in August, the highest level since November 2018, and up from 54.2 in July. This gain in what’s also known as the purchasing managers index points (PMI) to a rebound in the manufacturing sector from the downturn sparked by the coronavirus pandemic. A reading above 50 indicates expansion in manufacturing, which accounts for 11% of the U.S. economy. Economists polled by Reuters had forecast the index would rise 54.5 in August. Improved factory activity, along with strong

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Plasma cutter at Winchester Metals. house and auto sales, suggests that the COVID recovery is beginning to broaden, espically in areas where inventories were depleted back in March and April. Though factory employment continued to improve last month, it remained in contraction territory. The ISM’s manufacturing employmentmeasure rose to a reading of 46.4 from 44.3 in July. The ISM’s forward-looking new orders sub-index increased to a reading of 67.6 in August, the strongest since December 2017, from 61.5 in July. The surveys measure of order backlogs at factories accelerated as did orders for exports. Fifteen of the 18 manufacturing industries tracked by the ISM, reported growth in August, led by wood products, plastics and rubber, food and textiles.

Importance of Manufacturing in the TOV

By: Ashley Miller, Top of Virginia Regional Chamber Winchester Metals has thrived in the Northern Shenandoah Valley for 45 years as a supplier and manufacturer of metal products. Whether they’re making something for one of their hundreds of customers or making their Watchman Stove, their significant investment in equipment, training, and people always drives us forward. “The manufacturing sector in this region and in VA is crucial to the area’s economic stability and growth,” said Josh Phelps, president, Winchester Metals. “We employ skilled workers, generally pay well above minimum wage, and can boast many years of service by dedicated employees who have found their jobs challenging and rewarding while being compensated well enough to raise a family, buy a home and live comfortably.” Carmeuse Americas, known locally as Carmeuse Lime & Stone, has owned and operated the limestone quarry in Clearbrook and Middletown, VA since 2008. Their Clearbrook facility has been continuously operated since the 1950’s, when it was first established as W.S. Frey and Company. “Today, Carmeuse maintains more than 200 local jobs in the community, contributes more than $1M annually in local tax revenues, and has already donated more than $50,000 worth of product, volunteer hours, and direct financial support to both Winchester City and Frederick County public, private, and non-profit organizations in 2020,” said Christoper West, PR, Carmeuse Lime & Stone. “Manufacturers not only tend to produce products, but support the region by also being significant consumers of services, other products, and subcontractors,” said Phelps. “We at Winchester Metals are glad this region made a good place to start a business in 1975 and look forward to reporting similar results for many years to come.” “For us, it’s an honor to be part of this regions impressive manufacturing sector with other global brands like The Kraft-Heinz Company, ThermoFisher, and Amazon,” West added. “The Top of Virginia region offers excellent public-schools, a pro-business tax climate, and a strategic geographic location for manufacturers. When you combine these elements with the largest deposits of limestone and dolomite in the Commonwealth of Virginia, it’s easy to see why we at Carmeuse find the Top of Virginia a great place to both work and live for our employees and customers. We’re excited to see what the future holds for our business.”