U.S. CUTTING TOOL CONSUMPTION DOWN 6.9 PERCENT IN OCTOBER MCLEAN, VA — October U.S. cutting tool consumption totaled $168.99 million according to the U.S. Cutting Tool Institute and AMT – The Association For Manufacturing Technology. This total, as reported by companies participating in the Cutting Tool Market Report (CTMR) collaboration, was down 1.6 percent from September’s $171.67 million and 4.7 percent when compared with the total of $177.35 million reported for October 2015. With a year-to-date total of $1.698 billion, 2016 is down 6.9 percent when compared with 2015. These numbers and all data in this report are based on the totals reported by the companies participating in the CTMR program. The totals here represent the majority of the U.S. market for cutting tools. “With the uncertainty of the election behind us, businesses should be in a better position to confidently implement their plans. This should have a positive impact on the marketplace as we move into 2017,” says Steve Stokey, president of USCTI. Greg Daco, head of U.S. economics at Oxford Economics adds that “after experiencing extreme volatility this summer, cutting tool shipments have stabilized. Overall, while the trend in durable goods orders and shipments remains soft, back-to-back monthly gains in orders are a signal activity may soon turn around. Looking forward, leading manufacturing indicators point to moderate growth supported by firming global activity and stabilizing domestic activity. The uncertainty surrounding a Trump presidency remains elevated, but there are indications that he will prioritize his pro-growth fiscal agenda over his protectionist agenda.” The Cutting Tool Market Report is jointly compiled by AMT and USCTI, two trade associations representing the development, production and distribution of cutting tool technology and products. It provides a monthly statement on U.S. manufacturers’ consumption of the primary consumable in the manufacturing process – the cutting tool. Analysis of cutting tool consumption is a leading indicator of both upturns and downturns in U.S. manufacturing activity, as it is a true measure of actual production levels. Historical data for the Cutting Tool Market Report is available dating back to January 2012. This collaboration of AMT and USCTI is the first step in the two associations working together to promote and support U.S.-based manufacturers of cutting tool technology. MANUFACTURING DAY EVENTS BOOST PUBLIC PERCEPTION OF MANUFACTURING INDUSTRY WASHINGTON — The National Association of Manufacturers’ Manufacturing Institute and Deloitte released the results of a survey on the effect Manufacturing Day 2016 had on the public’s views of the industry. Responses from the students, educators and employees surveyed demonstrated that Manufacturing Day 2016 resulted in an improved public perception of manufacturing. Specifically, survey results showed 89 percent of students and 88 percent of educators were more aware of manufacturing jobs in their communities. Additional survey highlights include the following: • Eighty-four percent of students and 90 percent of educators were more convinced that manufacturing provides careers that are both interesting and rewarding. • Sixty-four percent of students were more motivated to pursue a manufacturing career. • Eighty-eight percent of students and 90 percent of teachers viewed Manufacturing Day events as interesting and engaging. • Eighty-nine percent of manufacturers that hosted Manufacturing Day events saw value in participating, and 86 percent are likely to host an event again in the future. “Manufacturing Day is all about showing the community that this industry provides sustainable, wellpaid jobs, with limitless opportunities for advancement,” said Manufacturing Institute Executive Director Jennifer McNelly. “The overwhelmingly positive results of this survey tell us that the American public is seeing the possibilities in manufacturing careers.” The survey was disseminated to more than 2,700 participating Manufacturing Day hosts across the United States to gather national data from teachers, students and parents on how Manufacturing Day events truly make a difference in local communities. “Manufacturing Day is a unique opportunity for manufacturers to show their community and future employee opportunities for innovative and high-paying careers within the industry,” said NAM President and CEO Jay Timmons. “It’s exciting to see what a powerful impact these events had on the public’s perception of the manufacturing economy and the meaningful careers that exist in our industry. The NAM looks forward to continuing to grow and expand Manufacturing Day to educate and inspire the next generation.” “As manufacturers opened their doors to the public on Manufacturing Day, they shared firsthand the opportunities available in today’s advanced manufacturing environment,” said Deloitte Vice Chairman Craig Giffi. “By gathering research through the survey, the Manufacturing Day producers can measure the impact Manufacturing Day is having on perception, provide insight into building upon that momentum and further efforts to improve public perception of manufacturing.” Manufacturing Day addresses common misperceptions about manufacturing by giving manufacturers an opportunity to open their doors and show, in a coordinated effort, what manufacturing is—and what it isn’t. By working together during and after Manufacturing Day, manufacturers address the skills gap they face, connect with future generations, take charge of the public image of manufacturing and ensure the ongoing prosperity of the industry as a whole. “It is heartening to see local manufacturing communities come together to coordinate activities for local schools,” said Fabricators & Manufacturers Association, International President and CEO Ed Youdell. “The greatest permanent impact will accrue as a result of this kind of collaboration, especially where companies use the insights gained from these surveys to guide them in planning future Manufacturing Day programs.” U.S. QUALITY PROFESSIONALS SEE MODEST INCREASE; CANADIANS EXPERIENCE DECREASE MILWAUKEE, WI — After last year’s significant increase, the average salary for quality professionals in 2016 remained nearly flat; the increase is described as “barely visible” in the ASQ Quality Progress magazine’s 30th annual salary survey. In 2016, average salaries increased a modest 0.86 percent to $91,659 for fulltime professionals in the United States. In 2015, average salaries increased 2.78 percent — the largest increase since 2007 — to $90,878. The story is different in Canada however, where average salaries for quality professionals decreased to $86,923 from $89,291 a year ago. (All Canadian figures are noted in Canadian dollars.) The 2.6 percent decrease is attributed to the smaller number of respondents, according to the salary survey report. In 2016, the highest-paid quality professionals in the U.S., by job title, include vice president/executive, who make an average of $169,350, statisticians, who average $132,468, and directors, who make $130,902. In Canada, the top salary belongs to Master Black Belts and educators/ instructors, who average $177,230. While salaries in the United States remain flat, the percentage of respondents dissatisfied with their salaries decreased from 35 percent in 2015 to 27 percent this year — the lowest level since QP began monitoring employee satisfaction in 2014. Furthermore, respondents are most satisfied with their pay when their employers pay for quality-related training and ASQ certifications, demonstrating that they value employees who hold ASQ certifications, and have top management who actively support quality. “While salaries for quality professionals remain mostly unchanged from last year, support from senior leaders and their willingness to pay for quality training and ASQ certifications play a major role in the satisfaction of their employees,” said ASQ Chair Pat La Londe. “It’s that training and those certifications that can help employees add value to the organization and increase its quality.” While the average salary for fulltime quality professionals ticked upward only slightly upward, there are steps workers can take to boost their pay, like earning ASQ certifications. As in years past — and as expected — those who hold ASQ certifications earn more than their non-credentialed colleagues. According to the salary survey results, U.S. respondents with one ASQ certification earn more than $3,800 than those without any certifications. Those with two certifications earn nearly $6,200 more than those with only one certification. Specifically, quality engineers who have an ASQ manager of quality/ organizational excellence certification, or CMQ/OE, earn nearly 21 percent more than noncertified quality engineers. Specialists armed with an ASQ quality auditor certification, or CQA, earn 17 percent more than noncertified specialists. Another way to boost pay is by participating in Six Sigma training. The average salary increased to $100,361 from $83,004 for U.S.-based quality professionals who completed one or more Six Sigma training programs. In Canada, average salary increased to $94,234 from $81,759 for those who completed Six Sigma training. And while any level of training offers a boost in pay, completing higher levels of Six Sigma training offers an opportunity for larger salary increases. In the U.S., the greatest disparity is between Master Black Belts, who earn an average of $130,878, and Black Belts, who earn an average of $104,974, a difference of nearly $26,000. In Canada, the greatest premium comes with Black Belts, who earn nearly $18,000 more than Green Belts. ASQ SURVEY: DESPITE ADVERSITY IN THE PAST, MANUFACTURERS CONFIDENT IN SUPPLY CHAIN MILWAUKEE, WI — While 83 percent of manufacturers have been adversely affected in the past by suppliers’ inability to meet their needs, only one-third anticipate a shortage of parts or services in 2017, according to the ASQ 2017 Manufacturing Outlook Survey. Survey results show 66 percent of manufacturers expecting a problem with suppliers are working closely with providers to resolve issues, while 35 percent are working with their suppliers’ competitor. Some manufacturers are stockpiling parts, while others are expanding operations to create the necessary parts themselves. “Supply chain plays a critical role in manufacturing, and companies simply can’t risk being without the necessary material they need to be successful,” said ASQ Chair Pat La Londe. “Companies need to carefully consider multiple options when faced with a shortage of materials or suppliers that can’t meet their needs.” More than 1,125 manufacturing professionals from around the world responded to ASQ’s 2017 Manufacturing Outlook Survey, which was conducted online in November and December. Respondents to the survey represent a multitude of industries, including aerospace, automotive, food, medical device and more. In addition to questions about their organization’s supply chain, the annual Manufacturing Outlook Survey also questioned respondents about their financial outlook for 2017. Nearly 72 percent of the respondents said they expect an increase in their company’s revenue in 2017. And while 69 percent of respondents said their company’s revenue increased in 2016, only 65 percent anticipated growth in last year’s Manufacturing Outlook Survey. Furthermore, 74 percent of respondents said they expect salary increases in 2017, up from 61 percent in the 2016 survey, and 46 percent said they expect their company to increase staff, compared to 37 percent last year. But while respondents are confident their companies will increase revenue, the economy as a whole continues to be the top hurdle facing organizations. According to the survey, more than 36 percent of respondents cite the economy as their greatest hurdle in 2017, down from 40 percent of respondents in last year’s survey. Others — just more than 30 percent — said the shortage of skilled workers will be their greatest challenge, followed by regulatory issues at 15 percent. Respondents identified uncertainly about the government direction with a new president, global trade issues and decreased demand for their products as other areas of concern. Only 7 percent said a shortage of necessary parts is their greatest obstacle. In fact, respondents are satisfied with the quality and availability of materials, according to the results, which show 68 percent of respondents said quality is the most important factor when considering suppliers. And when suppliers can’t provide the necessary materials, respondents said “don’t put all your eggs in one basket.” Openly communicate with suppliers to determine any potential risks, and have back-up plans — and back-up suppliers — to alleviate supply chain disruptions. According to the survey, 59 percent of respondents said their organization has a formal process to address supply chain risk, whereas 28 percent don’t and 13 percent aren’t sure. BUSINESS NEWS ZEISS INDUSTRIAL METROLOGY opened a new facility in Wixom, MI, dedicated to the latest developments for the process chain in car body metrology and automated inspection. “This center helps us illustrate how to make production more efficient in line, in the measuring room, and in-between. This means production and quality can find solutions to problems anytime, from anywhere in the manufacturing facility. Zeiss also showcases solutions for robotic inspection, quality and process data mining, plus measurement planning and offline programming,” states Bob Wasilesky, key account manager for automated inspection at Carl Zeiss Industrial Metrology. “This facility provides a one-stop shop for customers to come in and see the full range of Zeiss automated inspection solutions first hand,” said Wasilesky. “The design focuses on learning, with dedicated stations highlighting the interaction of Zeiss technologies in the process chain.” The Zeiss AIBox features a fully enclosed measuring cell, bringing traceable coordinate measuring technology close to production. The Zeiss AIMax digital-optical 3D sensor and AIMax Cloud optical 3D sensor are the new benchmark in robot-based 3D inline metrology for composite and sheet metal processing, welding, and car body construction. For portable 3D metrology, the Zeiss Comet L3D 2 and T-scan offer great flexibility, a high measuring speed and impressive performance. Customers can see in action and learn about networking inline, at-line and offline. Zeiss PiWeb software connects each station, combining measurement data from multiple systems into graphical part stories, SPC charts, quality documents and dashboards. Zeiss engineers at the new facility are available to show the benefits of these technologies, provide consulting, custom programming and specialized training. NIKON METROLOGY announced a new partnership with metrology and manufacturing technology distributor BRADFORD INSTRUMENT & GAGE. With this new partnership, Nikon Metrology will provide the company’s products and innovative metrology applications to customers in Bradford Instrument & Gage’s Mid-Atlantic U.S. region. This new partnership agreement will support customers in Delaware, Maryland, New Jersey and Pennsylvania. “We are proud to be aligned with such an impressive and first-class distributor as Bradford Instrument & Gage. Their strong relationships, experience and expertise in metrology sales and service will continue to provide our customers with the highest level of expectations that Nikon Metrology promotes,” said Tony Scirpo, business solutions manager for Eastern U.S. Region, Nikon Metrology. “Bradford Instrument and Gage will be provided with quality state-of-the-art multi-sensor CMMs, optical vision systems, and laser scanners that can be retrofitted to new and existing CMMs and articulating arms. This will benefit Bradford Instrument & Gage’s metrology portfolio while allowing their customers to have quality Nikon Metrology inspection equipment for use.” In addition to offering the full line of metrology products, Nikon will also be providing their customers with access to X-Ray and CT equipment. “We like the technology that Nikon Metrology offers, especially in regards to laser scanners. Non-contact laser scanning is the next evolution in probing methods, and Nikon is ahead of the curve,” said Stuart Collins, president of Bradford Instrument & Gage. “The brand recognition and superior technology at a competitive rate that Nikon provides will enhance the exceptional service that we strive to offer our customers,” said Chris Collins, metrology specialist at Bradford Instrument & Gage. MFG.COM has a survey underway gauging the expected impact of Presidentelect Donald Trump’s proposed policies on manufacturing and foreign trade. MFG.com plans to issue a report summarizing the findings and analyzing the results in early 2017. President-elect Trump campaigned on the promise to bring manufacturing back to the United States and to create new jobs. He also articulated plans to renegotiate the North American Free Trade Agreement (NAFTA), withdraw from the Trans-Pacific Partnership (TPP) and implement major tariff and tax law changes. All of these actions hold major consequences for U.S. firms. Bo Hagler, chief executive officer of MFG.com, said, “The United States is likely to experience major changes in its manufacturing, tax and foreign trade policies under the Trump administration. However, the exact form and impact of these changes are yet to be known. By tapping into expert opinion, we hope to gain insights on current practices, perceived effects and receptivity to the changes put forth by candidate Trump. We expect the data will be both interesting and revealing, as will the report to come.” PEOPLE NEWS Drake Manufacturing Services Co. appointed BRUCE L. DIBBLE as director of sales in North America. Dibble is responsible for managing Drake’s North American sales efforts and serving as advocate for its customers and prospective customers. With many years of experience in the machine tool industry as former director of North American sales at Schmitt Industries, Dibble understands the importance of solid customer relationships and collaboration for successful project execution. “We are pleased to have Bruce on the Drake team to expand and support our precision thread grinding solutions in the steering systems, aerospace, cutting tool, speed reducer, ball screw, and linear motion industries,” said Timothy Young, Drake CMO. EDUCATION NEWS For the first time, GOM has organized an international student competition on 3D scanning. The participants’ task is to prepare a lab experiment using GOM’s ATOS 3D scanner. The lab experiments have to be elaborated and submitted in English by June 30. An international expert jury will evaluate all experiments. The winner or winning team receives the GOM Education Award endowed with EUR 3,000. Furthermore, the winner gets the unique opportunity to present the lab experiment at the GOM 3D Metrology Conference 2017 to industry representatives of renowned companies. By offering the GOM Education Award, GOM supports practice-oriented education in the field of 3D metrology. Full-field 3D scanning has become established as an industrial standard in reverse engineering and quality assurance. Furthermore, it forms the basis for Industry 4.0, as the complete 3D digitization of parts is a prerequisite for autonomous quality assurance. In order to support teaching at vocational schools, universities and universities of applied sciences, GOM also developed the educational package “ATOS for Education.” Besides the industrial hardware and powerful software for 3D scanning and inspection, the package also includes elaborated lab experiments as well as lecture material. In addition, GOM offers “ARAMIS for Education” – an educational package for applications in the field of materials and components testing. MILES FOR MANUFACTURING (M4M), a series of 5K races aimed at raising funds and awareness for STEM education and manufacturing careers, donated four MakerGear 3D printers and $8,000 to Chicago-area STEM schools and programs with the proceeds from its 5K held during IMTS 2016. IMTS is owned and managed by The Association For Manufacturing Technology. IMTS and GIE Media sponsor the M4M 5K race series where 100 percent of the runner registration fees go towards school programs that prepare students for careers in manufacturing. More than 300 IMTS registrants participated to raise funds for the Chicago STEM programs. The four MakerGear 3D printers went to the following STEM-focused Chicago public schools: George Leland Elementary School, Genevieve Melody Elementary STEM School, Langston Hughes Elementary School, and Daniel S. Wentworth Elementary School—all of which attended the Smartforce Student Summit at IMTS 2016. “3D printing in our classroom has elevated the significance of using the engineering design process and applying the five STEM habits at Melody Elementary,” said Chicago Public School teacher James Harris. “The fascination of bringing an idea into existence makes learning more fun and meaningful for students. It also gives teachers and students the opportunity to strengthen critical thinking skills and learn about physical computing and fabrication as well as STEM-related careers. 3D printing in our school has captivated the attention of all learners and transformed the way that most students think when it comes to expanding on ideas.” M4M gave $3,000 to the Chicago Public Library Foundation for YouMedia, a 21st century teen learning space filled with digital media technology, and $5,000 to Project SYNCERE, a Chicago-based community organization that uses project-based learning to prepare underserved and underrepresented students for STEM careers. “Along with our partner GIE Media, we are very proud to support institutions such as Chicago Public Schools. It is especially rewarding to hear about how the students are using the 3D printers and see how the teachers are preparing the next generation of manufacturing technology workers,” said Peter Eelman, vice president of exhibitions and business development at The Association For Manufacturing Technology. “When we tossed around the idea of starting a 5K, we thought that we’d have a few dozen people run. I never imagined we would have more than 300 people register. We are thrilled to not only bring together the industry, but also to be able to make a contribution to the programs that are the future of the manufacturing industry,” said Mike DiFranco, GIE Media Group publisher. Why are manufacturers supporting STEM programs? Manufacturers understand the value of their industry to a healthy economy. “The U.S. manufacturing’s value chain accounts for about 1/3 of GDP and employment in the U.S. For each full-time manufacturing job created, 3/4 full-time jobs are created in nonmanufacturing industries. For every $1 of domestic manufacturing valueadded, another $3.60 of value-added is generated elsewhere,” says Douglas K. Woods, president of the Association For Manufacturing Technology, which owns and operates IMTS, North America’s largest advanced technology trade show. It is estimated that two million manufacturing jobs will go unfilled if more young people don’t seek an education in STEM and a career in manufacturing, according to the Boston Consulting Group and Deloitte for The Manufacturing Institute. PEOPLE NEWS ORBIS Corp. hired TODD MATHES as vice president of manufacturing for its plastics operations. With more than 25 years of manufacturing, marketing, sales and new business experience, Mathes was hired to manage a range of manufacturing and supply chain operations activities at ORBIS. Prior to joining ORBIS, Mathes worked at Berry Plastics Corp., where he most recently served as the executive vice president for manufacturing operations. In his role at ORBIS, Mathes will lead the manufacturing operations at ORBIS with a strong emphasis on operational efficiency, continuous improvement, employee engagement and customer focus. “With his plastics industry experience, leadership skills and technical knowledge, Todd is a valuable addition to our organization,” said Bill Ash, president of ORBIS Corp. “As a member of our executive leadership team, Todd will complement our efforts to navigate continuous growth and help us better serve our customers with world-class capabilities.” As a multi-process manufacturer, with injection-molding, structural foam molding, thermoforming and dunnage fabrication capabilities, ORBIS manufactures a variety of standard and custom reusable totes, bulk containers, pallets and dunnage in operations throughout the United States, Canada, Mexico, Europe and China. Mathes will be based out of the ORBIS headquarters in Oconomowoc, WI. Ametek Compliance Test Solutions, a provider of test and measurement instrumentation for electromagnetic compatibility testing, named ACHIM GERSTNER as vice president, business manager. In his new position, Gerstner has responsibility for the strategic direction and profit and loss for the business. He reports directly to Shawn Smith, vice president, business unit manager for Ametek Programmable Power and CTS. Gerstner joins Ametek CTS from Rohde & Schwarz, where he held a variety of senior management positions for over 25 years in Germany and in the United States. A native from Baden-Württemberg, in the south of Germany, Gerstner has an electrical engineering degree from Fachhochschule Karlsruhe, Germany. He and his spouse will relocate from Texas to Switzerland within the next several months. “We are very happy to have Achim Gerstner join CTS and greatly look forward to his collaboration with CTS team. He brings more than 25 years of experience in electromagnetic compatibility, especially in RF systems and projects,” said Shawn Smith. “His background provides him with a valuable, multi-faceted insight into the industry. He combines technical excellence with years of sales management and leadership experience. We are certain that under his direction CTS will continue its successful record of developing innovative products and achieving growth,” said Smith.
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