SPRING 2021
EVEN DURING COVID, MANUFACTURING EXPANDS
the top five states in manufacturing
production and workers
by 2030. Can it get there?
CARR: In productivity in 2019,
Florida was 30th, one of only
four states to increase in average
productivity. Florida’s average
productivity level, which
again is the GDP per manufacturing
employee, was about
$153,000 in 2019, and the U.S.
average was about $183,000,
so if Florida simply reached
the national average, that’s a
gain of $11.6 billion added to
the economy, without adding
another job. Just by improving
your technology.
And if you look at the growth
in productivity, we top everybody,
12 www.TCMAmfg.com
again. Florida up 20%
since 2014, several percentages
points ahead of California,
second in that growth.
So, if we keep that pace of
growth up, we can get to
where we want to be by 2030.
We can be in the top five.
TCMA VOICE recently caught
up with Kevin Carr, CEO of
FloridaMakes, a statewide,
industry-led partnership
that strengthens and advances
Florida’s manufacturing
economy. Its mission is to
improve the productivity and
technological performance
of the state’s manufacturing
sector, focusing on small- and
medium-sized companies.
TCMA VOICE: How is Florida
manufacturing doing,
considering the impact of
the COVID?
CARR: It is expanding. Many
companies had half a bad
March, a bad April, a bad May
and then started to come back.
But a lot of companies grew.
They found some markets that
expanded, or they found supply
shortages that they could fulfill.
We have recovered pretty well.
In December 2020, we had
384,000 manufacturing workers,
and that’s about the same
as we had the year before.
When a lot of people lost work,
manufacturing kept chugging
along. Manufacturing was
a stabilizing influence. The
December manufacturing jobs
figure is an 8% improvement
over the low point of 2020 in
April, state figures show.
TCMA VOICE: So, manufacturing
did well to be steady as
the pandemic hit Florida. Do
you expect it to grow now?
CARR: Yes. Florida in 2019 was
12th in number of manufacturing
workers, but its growth
in jobs was higher than everybody
else. So, you don’t get
too freaked out about being in
12th place. You look at growth.
Since 2014, among the top 12
states, Florida’s growth was
by far the most. Now, among
those top 12 states in manufacturing
employment, Florida’s
GDP is pretty low actually,
the lowest, but when you
look at GDP growth, Florida
is No. 1. Florida’s growth in
manufacturing GDP was nearly
40%, far ahead of its nearest
competitor in job growth since
2014 among the top 12 states,
California, at about 23%.
When I look at the state of
manufacturing, I focus on
productivity which is the gross
output per worker. In 2015,
Florida was ranked 38th in the
country and that productivity
has grown to 30th. It has
grown at a rate about two
times everybody else’s. That
has to do with the growth of
what I call higher-value industries.
Medical devices, aviation,
defense, and others.
TCMA VOICE: How is Florida
going to keep up that growth?
CARR: Manufacturers are moving
to Florida and the ones that
are here are improving their
workforce.
Those companies that employ
people and in turn create
demand from suppliers look
mainly at two things. The talent,
and the talent pipeline.
Talent is the biggest differentiator,
when a company decides
where to locate, and secondly,
do you have the suppliers?
Before I bring my company to
Florida, I have to know who is
going to build all those component
parts. Most of those bigger
companies are assemblers.
Florida has 2,700 or so manufacturing
companies, and 80%
of those are under 20 employees.
That bodes very well for us
because a lot of those bigger
companies are looking for a
local system of supply.
A factor that increases productivity
is technology. The more
skilled your worker is, the more
advanced the technology that
they are applying, the more
output per person. You are seeing
that happening in Florida
at a level that is not happening
anywhere else in the United
States.
TCMA VOICE: You’ve said that
Florida wants to be among
Kevin Carr, CEO of FloridaMakes
PRESIDENT’S LETTER
For planning purposes, people
who manage manufacturing
companies are often asked to
predict the future. Answering
this question requires
determining needs within the
company, what outsourced
resources will be needed, what
technical training will be required
or something as simple
as what the workload will be in
three months.
As technology advances, the
manufacturing industry sees
the benefits right away. Today’s
plant floor looks much different
than it did even 20 years
ago. Machine automation is
the normal and our equipment
is now communicating
with our databases resulting
in increased proficiency. The
industry has seen substantial
growth in productivity and efficiency
as technology redefines
what can be accomplished.
A recent example of new technology
that has captured everyone’s
attention is 3D printing.
Because of its ability to quickly
take design concepts and rapidly
produce goods that can be
used immediately, 3D printing
has become a viable option
for manufacturers instead of a
novelty. So what’s next?
Jerry Jacques, general manager
at Advanced Machine & Tool, is
president of the Treasure Coast
Manufacturers Association.
Technology advances continue
to change the manufacturing
industry for the better. These
advances have created new
types of manufacturing jobs
that require more technical
ability and critical thinking
from employees who operate
technology driven equipment,
processes and environments.
There are interesting, well-paid
positions that need to be filled
across the industry. Our innovative
workplace welcomes
new employees and the existing
skilled workforce as manufacturers
fill jobs the industry
has created. What a wonderful
time to work in technology.
The ball is in your court now.
How are you helping change
the perception of the manufacturing
industry? Let’s make
a difference.
/www.TCMAmfg.com