The Convergence of Innovation and Manufacturing: The Strength of America

Ladies and gentlemen, thank you for joining us today to delve into a topic of profound importance: the future of manufacturing in Texas and the United States. I stand before you as a fellow Texan, although I originated from New York, an as a decorated combat veteran with 30 years of experience. I have a deep passion for our future, and more importantly, YOUR future. I'm often asked, "How can we best express gratitude to a veteran?" My response is simple: "Utilize your talents virtuously to fortify our nation."

?By being here today, you already grasp the pivotal role manufacturing plays in molding our communities and fortifying our great nation. I hope you will leave this gathering with a revitalized sense of purpose regarding your role and your organizations' role in this domain.

Our mission today is to inspire both the current and future generations of manufacturers. We aim to ignite the flames of innovation and technological advancement in this sector because we staunchly believe that a robust manufacturing industry is the bedrock of our prosperity.

?Manufacturing has played an influential role in both Texas and the United States as a whole. In the early 19th century, manufacturing in the U.S. was primarily characterized by small-scale, craft-based production.

However, the Industrial Revolution transformed the manufacturing landscape, ushering in mass production and economic growth.

The significance of manufacturing for the U.S. economy is evident throughout its history. During World War II, the manufacturing sector played a pivotal role in producing weapons and equipment for the war effort. This period marked the shift towards a more diversified and advanced manufacturing base.

?In recent decades, the manufacturing sector has evolved, with technology and automation at its core. The U.S. remains a global manufacturing leader, producing a wide range of goods, from aerospace and automobiles to electronics and pharmaceuticals.

?In Texas, manufacturing became pivotal in the 20th century, driven by the discovery of oil. This demand led to machinery, refining, and chemical production. Texas's diverse resources and central location in the U.S. made it a manufacturing hub.

?Today, Texas plays a crucial role in manufacturing, encompassing diverse industries like electronics, machinery, aerospace components, semi-conductors, robotics and semi-autonomous vehicles, and petroleum refining. The state benefits from a skilled workforce, robust transportation infrastructure, and access to raw materials.

Texas is a top state for manufacturing output in the U.S. and continues to be a significant contributor to the nation's manufacturing sector.

?Here are some key indicators and statistics that demonstrate Texas's leadership in manufacturing:

?1. Manufacturing Output: Texas consistently ranks as one of the top states in manufacturing output in the United States. The state's manufacturing sector contributes significantly to the national GDP. In fact, Texas’s own GDP ranks #8 in the world!

?2. Diverse Manufacturing Industries: Texas boasts a diverse range of manufacturing industries, including electronics, machinery, aerospace and aviation components, petroleum refining, chemicals, food processing, and more. This diversity makes it resilient and adaptable.

3. Employment: Manufacturing is a major source of employment in Texas. It provides jobs to hundreds of thousands of Texans, making it a crucial contributor to the state's workforce.

?4. Manufacturing Exports: Texas is a leading state in manufacturing exports. The state's manufactured goods, from electronics to machinery, are shipped worldwide. Texas exports contribute to the U.S.'s global manufacturing leadership.

?5. Transportation and Infrastructure: Texas's extensive transportation infrastructure, including ports, highways, and railroads, facilitates the movement of raw materials and finished products, making it a hub for manufacturing and distribution.

?6. Access to Raw Materials: Texas's proximity to natural resources, including oil and gas, has historically made it a vital location for manufacturing, especially in industries like energy, chemicals, and refining.

?7. Workforce: Texas has a skilled and diverse workforce, making it an attractive location for manufacturers. The state's educational institutions, including universities and technical colleges, provide training for the manufacturing workforce.

?8. Innovation and Research: Texas hosts numerous research and development centers, which foster innovation in manufacturing technologies, including automation, robotics, and 3D printing.

?9. Business-Friendly Environment: The state's business-friendly environment, with low taxes and minimal regulations, encourages manufacturers to establish and expand their operations in Texas.

?10. Resilience and Adaptability: Texas's manufacturing sector has shown resilience in the face of economic challenges and has adapted to evolving industry trends, such as the integration of advanced technologies.

?11. Investment: Texas attracts substantial investment in manufacturing from both domestic and international companies. This investment contributes to the state's manufacturing growth.

?12. Global Influence: Texas is home to global manufacturing leaders, and the state's manufacturing products and innovations impact industries worldwide. Notable companies in various manufacturing sectors are headquartered or have a significant presence in Texas.

?These indicators and statistics collectively highlight Texas's leading role in manufacturing, reinforcing its position as a global manufacturing powerhouse. The state's diverse industries, strong workforce, and business-friendly environment contribute to its prominence in the manufacturing landscape.

?Several significant disruptions have affected the field of manufacturing in recent years. These disruptions are also incredible opportunities for further growth and improvement, but not without effort. Some of the greatest disruptions include:

?1. Industry 4.0 and Smart Manufacturing: The integration of IoT (Internet of Things), data analytics, and automation has transformed traditional factories into smart, interconnected systems. This has improved efficiency, reduced downtime, and enhanced predictive maintenance.

?2. 3D Printing/Additive Manufacturing: This technology has revolutionized prototyping and small-scale production, enabling rapid design iterations and customization.

3. Supply Chain Disruptions: Events like the COVID-19 pandemic highlighted vulnerabilities in global supply chains, leading to a reevaluation of sourcing and logistics strategies.

?4. Advanced Robotics and Automation: The use of robots and automation in manufacturing has increased, not only in traditional assembly lines but also in collaborative settings, enhancing productivity and worker safety.

?5. Sustainability and Green Manufacturing: There is a growing focus on reducing environmental impact in manufacturing, with an emphasis on eco-friendly materials, processes, and recycling.

6. Customization and Mass Personalization: Consumer demand for customized products has led to flexible manufacturing processes that can cater to individual preferences.

?7. Blockchain in Supply Chain: Blockchain technology is being adopted to improve transparency and traceability in supply chains, especially in industries with complex or global networks.

?8. Reshoring and Nearshoring: Companies are reconsidering offshore manufacturing and bringing production closer to home to mitigate supply chain risks and reduce lead times.

?These disruptions are reshaping the manufacturing landscape and encouraging companies to adapt, innovate, and embrace new technologies to stay competitive.

?Now, let's acknowledge the profound importance of innovation and technology in manufacturing. Innovation is the driving force behind any successful enterprise, and manufacturing is no exception. In an era of rapid change, embracing new technologies isn't optional; it's a necessity.

?Innovation in manufacturing has revolutionized the way we produce goods. The implementation of automation, artificial intelligence, and 3D printing has boosted efficiency, reduced waste, and unlocked new possibilities for customization. These technologies are not only changing how things are made but also what can be made. They have propelled us into the fourth industrial revolution, known as Industry 4.0.

?This means that to remain competitive, manufacturers must invest in research and development, embrace cutting-edge technologies, and continually adapt to the ever-evolving landscape. Innovation isn't just about staying relevant; it's about shaping the future, driving economic growth, and creating high-quality, well-paying jobs.

?So, why is this crucial for our communities and the United States as a whole? The answer lies in the interconnection between manufacturing and our nation's strength.

?Manufacturing has always been the backbone of our communities. A thriving factory doesn't merely create jobs; it instills a sense of purpose, pride, and identity in the people residing in that community. It supports small businesses, local suppliers, and educational institutions, bolstering infrastructure and raising living standards.

?Furthermore, manufacturing is closely tied to our national security. A nation capable of producing its essential goods is less reliant on external sources. Manufacturing at home safeguards our supply chains, reduces vulnerabilities, and ensures we stand strong in times of crisis, as the COVID-19 pandemic demonstrated.

?Manufacturing is the beating heart of American innovation. It's where ideas materialize, raw materials transform into world-changing products, and entrepreneurial dreams flourish. Titans like Thomas Edison, Henry Ford, Nikola Tesla, Elon Musk, and Steve Jobs all started in manufacturing. Their vision and innovation reshaped our world, inspiring us to this day.

?In this rapidly evolving landscape, investing in manufacturing is not just an economic necessity; it's a moral obligation. We must ensure that the manufacturing sector continues to grow and adapt. This entails investing in education and training programs to equip the next generation with the skills needed for tomorrow's jobs, fostering collaboration between academia and industry to drive innovation, and creating a supportive environment for entrepreneurs to launch their own manufacturing ventures.

?In conclusion, as we look ahead, let's understand that manufacturing isn't merely about producing goods; it's about crafting a brighter future for our descendants. It's about preserving the American dream as a promise, not a memory. It's about creating a sustainable, innovative, and robust future for Texas and the entire United States. Our position as an economic leader on the global stage isn't preordained; it requires our collective effort and commitment.

?In closing, remember this: Texas holds a prominent position in the manufacturing sector, both nationally and globally. Thee future of manufacturing isn't some distant vision; it's a path we must tread today. We are not bystanders in the story of American manufacturing; we are the authors. Together, we will script the next chapter, ensuring that manufacturing remains the cornerstone of our communities, our strength, and our enduring American spirit.

Thank you and may the spirit of innovation and the pride of manufacturing continue to flourish in the great state of Texas and throughout the United States. Your dedication to this industry will be a shining example of the power of Texas in shaping the future of our great nation. YTexas Art Trevethan Lynn T. Ross Guieb Pete ONeill Ed Curtis Rachel Bagley Round Rock Chamber Brad Napp, IOM, EDI Capital Factory Valerie Vergnetti Raytheon Stephen Lanza Robert Kelley #innovation #manufacturing #futureisnow

?