Manufacturers’ Optimism Drops
Manufacturers’ Optimism Drops Due to Supply Chain Challenges and Inflation
Aug. 25, 2022
When asked why they are less optimistic, almost all said the increase in material costs over the past year has caused them to raise prices and worry this will affect their business.
Mfg looking cool again?
Are all those Manufacturing Day tours finally paying off? Enrollment in manufacturing education programs almost doubled from 2015 and 2021 in the Chicago Public Schools, according to data from Chalkbeat Chicago, an education-reporting website.
The chart comes from an article on the re-emergence of career and technical programs in Chicago and other urban school districts. With this growth, more Chicago students are enrolled in manufacturing training than any other vocational area besides information technology.
Hackers are starting to discover Manufacturing Companies!
In support of the increasing concerns facing the industrial sector’s cybersecurity needs, IBM recently reported that manufacturing overtook financial institutions and insurance providers in becoming the most targeted industry by cyber criminals in 2021.
ISM Report: Manufacturing Growth Remains Tepid Despite Gains in Employment
The primary index for manufacturing growth remained at 52.8% in August, its lowest point since June 2020.
“Orders are still strong through the end of the year, but there is a feeling that customers may start pulling back on orders, either cancelling them or pushing them into 2023,” said an unnamed executive in the plastics & rubber products sector.
Also: “Demand from customers is still strong, but much of that is because there is still fear of not getting product due to constraints. They are stocking up. There will be a reckoning in the market when the music stops, and everyone’s inventories are bloated,” they said.
Foxconn: Nothing to see (or do) here?
Manufacutring.net reported a story originally from the Milwaukee Journal Sentinel, that the Wisconsin Foxconn plant reportedly doesn’t have much to do! An employee said that one of the 5 lines in the plant is down, and workers assigned to the line can go home! Guess they needed to keep their employment numbers up to earn their $30M in tax credits (from 2021).
3000+ UK Employees are testing a 4-day work week
How fun! Gizmodo reports that – 3 months into it – UK companies who are participating in this massive experiment are positive about the results. 88% of surveyed participants said that the four-day work week was working well for their business. This was organized by the nonprofit 4 Day Global. I know lots of manufacturing companies that run M-Th. Are you running with a shorter work week?
Ford is leaving it all on the lot
Ford said Monday that it expects to have 40,000+ unfinished vehicles on its hands when the quarter ends Sept. 30. Most of those are SUVs and truck models – Ford’s biggest money makers. These are due to parts shortages. They also report that they will pay suppliers $1 billion more than previously expected during the third quarter! Ouch.
BestBrokers reports that the Ford F-150 has experienced one of the highest price increases since the start of the pandemic, from $28K – $31.5K.
BestBrokers reports that the Ford F-150 has experienced one of the highest price increases since the start of the pandemic, from $28K – $31.5K.