"This isn't your grandfather's manufacturing world."

So says Phyllis Eisen, vice president of the National Association of Manufacturers' Manufacturing Institute and executive director of the Center for Work Force Success. The National Association of Manufacturers (NAM) is getting the word out that manufacturing has changed and is no longer the blue-collar, low-pay industry it once was.

Get up to speed or get lost

Today, if a high school or college graduate wants a job in manufacturing, he or she is going to have to learn to embrace technology.

Technology is changing every aspect of manufacturing, from business offices to the factory floors. It's increasing efficiency, decreasing down time, and, ultimately, increasing productivity.

"The factory floor's requiring a higher level of education and skill," said Tom Orlowski, vice president of Information Systems for the NAM. "Manufacturing is becoming a very technologically advanced set of practices. All of those are being driven by a need for higher productivity."

Computer Aided Design/Computer Assisted Manufacturing (CAD/CAM) is a good example of manufacturing technology. Eighty-four percent of U.S. manufacturers use it; the Boeing Co. is one of them. The maker of commercial and military aircraft, helicopters, and missile systems uses 3-D CAD/CAM to design aircraft. Recently, Boeing applied a new technology to the design of its new 777 airplane, the first jetliner to be completely digitally designed with a 3-D solids technology.

The program, CATIA, was developed by IBM. Instead of using traditional paper and pens, Boeing engineers simulate airplane designs on computers. Twenty-five hundred employees in 238 design-and-build teams throughout the world worked "together" on the design project by sharing specifications, drawings, and information via computer networks.

The teams were even able to virtually assemble airplane parts in order to iron out wrinkles before actually assembling them on the factory floor, resulting in a 90 percent reduction in errors in the manufacturing process.

Sikorsky Aircraft also uses a sophisticated computer network to design and build equipment. The Florida-based manufacturer's S-92A Helibus consists of custom parts made in Japan, Taiwan, Spain, China, and Brazil. Each individual parts manufacturer was able to design the details of its components. Three-dimensional electronic mock-ups allowed the teams to simulate the process of assembling the parts.

The international wide area network (WAN) that the Sikorsky teams used to build the S-92A helped engineers develop the Helibus faster and with fewer assembly errors. As with Boeing's 777, Sikorsky's S-92A required fewer fittings and saved significant amounts of time and money.

Less down time means more profit

Technology is making it easier for manufacturers to keep their machinery up and running. The latest high-tech machinery is able to diagnose its own problems - sometimes even before the problems manifest themselves.

Some equipment can even transmit its self-diagnoses to off-site technicians. New machinery comes equipped with Internet video cameras that allow manufacturing workers on the factory floor to videotape the equipment while it's malfunctioning. A remote technician can view the tape over the Internet, diagnose the problem, and recommend solutions. This cancels the need for expensive service calls.

This type of high-tech machinery has been around for only about five years, but will rise in popularity because of its tremendous cost savings.

"They're beginning to become pervasive," said Orlowski. "You'll see a large movement to integrate this technology into manufacturing companies."

Wireless opens new doors

Coming soon to manufacturers everywhere is wireless technology. With wireless equipment, manufacturers save time, money, and installation costs because it isn't necessary to connect cables and secure them safely on the factory floor.

Wireless also allows mobile salespeople to conduct better customer relations on the road. Laptops that don't need to be hooked into a telephone line, for example, will become a necessity.

Other new technologies manufacturers are incorporating into their daily operations include just-in-time (JIT) inventory controls to decrease warehousing costs and local area networks (LAN) that make it possible - even easy - for companies with multiple facilities in different parts of the world to share data via computer.

At least 63 percent of U.S. manufacturers use LAN in some part of their operations. Sharing data among different facilities will become more common and easier as technology improves services.

"There are a lot more vendors creating software to help people collaborate," said Orlowski.

Engineers and factory floor workers aren't the only ones who benefit from new technology. Business office personnel are finding new solutions to old problems. Some manufacturers are beginning to use customer relationship management (CRM) programs, which allow them to provide computerized customer service.

"Manufacturing is certainly looking to use that tool to enhance customer service," said Orlowski.

Boeing introduced MyBoeingFleet.com last year to serve as "one-stop shopping" for its customers to get information on maintenance, engineering, and flight operations. MyBoeingFleet.com allows customers to download maintenance manuals and engineering drawings, order spare parts, and discuss maintenance issues - all online.

The program also saves Boeing millions of dollars a year. The company no longer has to print and mail technical manuals and other documents.

Boeing also saves money and lessens its environmental impact because it uses a lot less paper: In 1998, Boeing went through about 30 million pieces of paper a month; in 2000, the company used 21 million pieces per month.

"Our goal with MyBoeingFleet.com is to create a seamless, end-to-end experience for customers who use these online support services," said Tom Schick, executive vice president of Boeing Commercial Aviation Services (CAS). "We want them to be able to go to one place and get exactly the information they need, when they need it."

Trees everywhere must be smiling. The Eastman Chemical Co. has embraced a variety of e-business programs, including virtual storefronts and online ordering. The company is encouraging clients to order online, and for a good reason.

Old-fashioned paper orders cost up to 75 percent more to process than online orders. And offering online product data sites, as opposed to printing and distributing traditional product materials, saves the company about $500,000 a year - and a lot of trees.

"We have the opportunity to expand our horizons more in the next three years than we have had in all of the years of our combined history," said Roger Mowen, Jr., chief information officer of Eastman Chemical.

Technology allows businesses to lower their own costs

Another kind of technology that's lowering costs for manufacturers is Internet electronic data interchange (EDI). This allows office personnel to pay bills, process orders, submit specifications, and conduct other business matters via the Internet. The end result is that manufacturers can do business in a faster, cheaper, and easier way. Companies with a multitude of facilities spread throughout the nation or world can benefit from streamlining purchasing and managing supplies.

"e-Procurement helps keep buying on-contract, and Internet tools help us keep close to suppliers and manage the data we need for strategic sourcing," said Dave Nelson, vice president of worldwide supply management for Deere and Co., an agricultural, construction, and turf care equipment manufacturer.

So Deere created a John Deere Special Technologies Group in 1999 to research new technologies on the market and introduce applicable ones to the company.

Keep pace or get left behind

To paraphrase the NAM's Eisen, if you want to pursue a career in manufacturing, you'll have to know more than your grandfather did. Technology has changed the world of manufacturing, and in turn, the world of manufacturing will change technology.

Additional Charts

Internet Access in Manufacturing Plants, 2000 pdf