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Manufacturing Processes Introduction Historical Overview Manufacturing Across History Enero de 2005 1/2 3 Manufacturing Across History Enero de 2005 2/2 4 Manufacturing Defined Definition of Manufacturing manufacture manus factus Latin words + = Made by hand Enero de 2005 6 Duality Technical Activity Economic Activity Added value Enero de 2005 7 Manufacturing as a Technical Activity Machinery Power Labor Tools Processed Part Starting material Manufacturing Process Enero de 2005 Scrap and waste 8 Example Enero de 2005 9 Manufacturing as an Economic Activity Manufacturing Process $ Value added $$ Starting material $$$ Processed Part Material in Processing Enero de 2005 10 Economic Role of Manufacturing Enero de 2005 11 Gross National Product (GNP) Enero de 2005 12 Manufacturing and Service Industries Share of U.S. GDP, 1977 to 1998 Percent of GDP 24% Manufacturing Services 22% 20% 18% 16% 14% Enero de 2005 Source: U.S. Department of Commerce, Bureau of Economic Analysis 98 19 97 19 96 19 95 19 94 19 93 19 92 19 91 19 90 19 89 19 88 19 87 19 86 19 85 19 84 19 83 19 82 19 81 19 80 19 79 19 78 19 19 77 12% 13 Manufacturing in the Economy Enero de 2005 14 Manufacturing in the Economy “The reason for manufacturing's stability is that there is a synergy between manufacturing and other sectors. Manufacturing generates most of the economy's productivity and technology, while other sectors such as services generate the largest share of new employment. The productivity generated by manufacturing raises the wages of workers employed in all sectors. The productivity enhancements generated in manufacturing boost activity in other sectors. As these sectors become more successful, they, in turn, create more demand for manufactured goods and its high-paying jobs.” http://www.vpmep.org/mfgstats.htm Relatively stable over time, even though the number of people involved has declined Significant manufacturing management remains in the U.S. 98% of U.S. mfg companies < 500 employees Enero de 2005 15 Contributions to Economic Growth, 1992-1997 Manufacturing also contributes to technological advances, with significant investments in R&D http://www.vpmep.org/mfgstats.htm Enero de 2005 16
