Industry Trends & Analysis

Dorner Holding Corp., the parent company of Dorner Mfg. Corp., Hartland, Wis., on May 12 announced the acquisition of Jülich, Germany-based Geppert-Band, a leading European manufacturer of belt and modular belt conveyors.

Doug Wetzel, managing director at contract manufacturer Protomatic, Dexter, Mich., is finding business to be slower than he wishes. Like many other U.S. job shops, the 45-year-old company is experiencing a slowdown caused by tumbling oil prices and worldwide political and economic uncertainty. The difference is Wetzel isn't too worried. His advice to fellow manufacturers is to not let market uncertainty paralyze them from seeing a slowdown's silver lining— namely, time to prepare for the inevitable upturn.

An item in the April 1 issue of The Kiplinger Letter suggested that a tough business climate for makers of various products will spur mergers and acquistions among companies looking "to consolidate forces to keep going." And judging from the spate of mergers and acquisitions announced since the beginning of this year, it would appear the prediction was no April Fool's Day joke.

Though Rosie the Riveter and a multitude of her sisters proved that women were perfectly capable of working in manufacturing when the men were called to serve during World War II, many of these patriotic women graciously stepped aside to allow the returning soldiers to resume their jobs. Since then, the number of women in manufacturing jobs has yet to recover. According to a 2015 report by consultancy Deloitte LLP, in conjunction with The Manufacturing Institute and the APICS Supply Chain Council, women hold only 27 percent of U.S. manufacturing jobs, even though they make up 47 percent of the total labor force. "Women are underrepresented in every manufacturing sector in the U.S.," the report stated.

In an effort to expand its reach within the aerospace industry, OSG USA Inc. has purchased Amamco Tool & Supply Co. Inc., an ISO 9001:2008 and AS9100C registered company that makes high-quality, custom, carbide tools for manufacturers in the aerospace, automotive and medical industries, according to an OSG USA news release issued today.

One constant fear in regard to automation is that it will make human workers obsolete. Citing a 2013 University of Oxford study, University of Cincinnati Assistant Professor of Economics Michael Jones wrote that almost half of those employed in the U.S. are at risk of being replaced by automation over the next 10 to 20 years, with transportation, logistics and administration as the most vulnerable occupations.