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43 mins
ILP Video

Production in the Innovation Economy (PIE): A new MIT study on the current state and future of U.S. manufacturing

Olivier de Weck
Associate Professor of Aeronautics and Astronautics and Engineering Systems
Since 2011 MIT has embarked on a major new study on the current state and future of U.S. Manufacturing and its relationship to Innovation. The Production in the Innovation Economy (PIE) project brings together leading MIT faculty from a variety of disciplines ? economics, engineering, political science, management, biology, and others ? to look at U.S. industry from different perspectives: national, sectoral, and global. The study's overarching goal is to shed light on how America's great strengths in innovation can be scaled up into new productive capabilities. Among key issues the study is currently examining are the U.S. innovation capacity and production capabilities, including the experience of entrepreneurial firms and how their capacities compare to those emerging in other countries, including high-wage/high-cost economies such as Germany and Japan, as well as emerging economies such as China and India. New paradigms of production that will speed up the passage from laboratory to market, including bringing low-volume but high-value products to market, integrating early stage production with R&D, and deeply integrating services and production. This talk will present some preliminary findings from PIE and focus on examples of successful manufacturing models in the U.S. based on over 120 company interviews to date. These models include the scale-up of entrepreneurial firms, the ability of small-to-mid-size firms to customize rapidly and offer unique product-service bundles, the highly efficient automated production of bulk products close to the point of consumption and the ability of U.S. states to attract new foreign-owned manufacturing. The message is a mixed one. U.S. manufacturing is clearly in crisis, but there is hope in the form of new innovations - many emerging from research universities - and the creation of a more favorable business climate for manufacturers.
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38 mins
ILP Video

Transforming through the Challenges in Large Commercial Aerospace

Jeffrey Turner
President and Chief Executive Officer
Spirit AeroSystems, Inc.
The current environment presents substantial challenges to U.S.-based, labor-intensive manufacturing, yet Aerospace is a significant contributor to the national economy and has the highest positive trade balance of any U.S. manufacturing sector. Spirit AeroSystems, the world's largest non-OEM designer and manufacturer of aerostructures for commercial aircraft, continues to transform itself and profitably grow the business. Challenges include historic production rate increases by the OEMs, consolidation in the supply base, and tightened global competition. Mr. Turner's talk will address the transformations that Spirit is undergoing in order to meet these challenges, which include a heightened emphasis on lean efficiencies and growing a diversified customer base, to developing innovative technology, products and manufacturing processes, and signing long-term labor contracts.
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39 mins
ILP Video

Global Manufacturing: Challenges, Opportunities and Impact for the U.S.

Diana Tremblay
Global Chief Manufacturing Officer, General Motors
Within the context of an intensely competitive auto industry and General Motors? turnaround, this presentation will address what it takes to win in the global marketplace. The discussion will highlight U.S. manufacturing fundamentals for success including capacity planning, flexibility, quality, supplier relationships, and people engagement. These topics and more come to life through a case study featuring GM's Lake Orion Assembly Plant which produces two of the company's hot new small cars - the Chevrolet Sonic and Buick Verano.
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32 mins
ILP Video

Transforming Biotechnology Manufacturing: Adapting Technology to a Changing Environment

Robert Bradway
President and COO
Scientists are working to develop new medicines for some of the world?s greatest health challenges. For biotechnology medicines, innovation extends from discovery and development into manufacturing. Developing new ways to manufacture complex proteins, monoclonal antibodies and peptibodies on a commercial scale is a critical step in delivering on the promise of biotechnology for patients. This talk will explore what it takes to thrive in an increasingly complex, competitive and highly regulated industry.
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39 mins
ILP Video

Is it Time to Rethink Your Manufacturing Strategy?

David Simchi-Levi
Professor of Civil and Environmental Engineering and Engineering Systems
Co-Director, Leaders for Global Operations (LGO) Program
A growing number of US executives are repatriating their manufacturing capabilities?moving some production operations back from overseas. One such company is Ford, which, in August 2010, announced plans to bring back about 2,200 parts-production jobs. Another example is Caterpillar, which is investing $120 million in a new Victoria, TX, plant to make excavator machines?devices formerly made at a Caterpillar plant in Japan. Washington policy makers strongly support these moves: inside the Beltway there is unanimous agreement that the United States should push for growth in the manufacturing sector. But if corporate and political policy makers are increasingly focused on American manufacturing, why has this sector lost six million jobs since 1997? Are we truly entering a new era, or are the above examples rare exceptions to a largely irreversible trend? The signals are mixed at best! The objective of this presentation is to help answer these questions by identifying the most influential drivers of manufacturing growth.
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