Mike Galiazzo
Clearly, there is an upswing in business for many of Maryland’s small- to medium-sized manufacturing companies. This is evidenced by the fact that, seemingly every day, there’s a news story about how manufacturing is leading America on the road to economic recovery.
Many of these leading companies are in the BWI Business District, and they have worked hard and smart to be globally competitive. They are part of Maryland’s next-generation (NextGen) globally competitive manufacturing.
NextGen companies focus on customer needs, new technology and, in ever increasing numbers, exporting. Customer-focused innovation is the key driver of next generation manufacturing. NextGen companies have agile systems designed to connect with the ever-changing needs of customers.
These companies create new products quickly and in a cost-effective way, and deliver them on time. Innovation leads to new products that lead to business growth and job growth. Other NextGen characteristics include a focus on energy conservation and continuous improvement.
In the District
Often people are not familiar with manufacturing companies in the BWI Business District and nearby areas. Part of the reason is that companies are often referred to as being something other than a manufacturing concern; terms like high tech, biotech, nanotech, defense and green tech are used more and more today when referring to companies that manufacture products.
The bottom line is, however, that manufacturing is technology and manufacturing is closely tied to research and development that leads to new technologies and processes.
In the BWI Business District, NextGen manufacturing companies include names like Holmato, Pharad, Berry Plastics, Broadcast Sports Inc., Tektron Micro Electronics, Ciena, Zeus Technology Systems and Northrop Grumman Corp. They make a variety of products, from rescue equipment to plastic bottles and from complex defense systems to state-of-the-art sports cameras.
Small, medium and large in size, these companies (and others like them) are proof that American manufacturing can compete. They all share a common denominator for success. In a word, it’s “innovation.”
Our nation’s economic future depends on our ability to build a new kind of manufacturing industry based on next-generation manufacturing practices and principles. We also need to be more imaginative in our thinking if we are going to “Make It in Maryland.”
Government and business must learn to work together in more substantive and successful ways to create growth in Maryland manufacturing. We cannot afford anything less if we want to maintain a high standard of living.
Manufacturing is the most productive industry sector in Maryland. It supports our research efforts because so much of what is developed in the labs becomes a manufactured product. Exporting of American-made products is a surefire way to help reduce the national debt.
Economic Generator
Even better, exporting Maryland-made products reduces the debt and creates jobs. And, as many observers know, manufacturing has the highest multiplier effect of any industry. For every $1 made creating a manufactured product, $1.40 is made by companies that are part of the manufacturing supply chain, according to the National Association of Manufacturers’ Manufacturing Institute.
For more than 200 years, America has been a world economic power because of manufacturing. During the last few decades, we clearly allowed this economic engine to deteriorate. Without a strong manufacturing base, we must accept for Maryland a future with a shrinking middle class and lower standard of living for many more people.
Next generation manufacturing, along with creative and bold leadership, is a way to renew our promise to those citizens that middle class living is within their reach through good-paying manufacturing jobs.
Mike Galiazzo is president of the Regional Manufacturing Institute of Maryland. He can be contacted at 410-771-8111 and drmikeg@comcast.net.
