• Advertise
  • Contact Us
  • About Us
  • Supplier Directory
  • SCB YouTube
  • Login
  • Subscribe
  • Logout
  • My Profile
  • LOGISTICS
    • Air Cargo
    • All Logistics
    • Express/Small Shipments
    • Facility Location Planning
    • Freight Forwarding/Customs Brokerage
    • Global Gateways
    • Global Logistics
    • Last Mile Delivery
    • Logistics Outsourcing
    • LTL/Truckload Services
    • Ocean Transportation
    • Rail & Intermodal
    • Reverse Logistics
    • Service Parts Management
    • Transportation & Distribution
  • TECHNOLOGY
    • All Technology
    • Artificial Intelligence
    • Cloud & On-Demand Systems
    • Data Management (Big Data/IoT/Blockchain)
    • ERP & Enterprise Systems
    • Forecasting & Demand Planning
    • Global Trade Management
    • Inventory Planning/ Optimization
    • Product Lifecycle Management
    • Sales & Operations Planning
    • SC Finance & Revenue Management
    • SC Planning & Optimization
    • Sourcing/Procurement/SRM
    • Supply Chain Visibility
    • Transportation Management
  • GENERAL SCM
    • Business Strategy Alignment
    • Education & Professional Development
    • Global Supply Chain Management
    • Global Trade & Economics
    • HR & Labor Management
    • Quality & Metrics
    • Regulation & Compliance
    • SC Security & Risk Mgmt
    • Supply Chains in Crisis
    • Sustainability & Corporate Social Responsibility
  • WAREHOUSING
    • All Warehouse Services
    • Conveyors & Sortation
    • Lift Trucks & AGVs
    • Order Fulfillment
    • Packaging
    • RFID, Barcode, Mobility & Voice
    • Robotics
    • Warehouse Management Systems
  • INDUSTRIES
    • Aerospace & Defense
    • Apparel
    • Automotive
    • Chemicals & Energy
    • Consumer Packaged Goods
    • E-Commerce/Omni-Channel
    • Food & Beverage
    • Healthcare
    • High-Tech/Electronics
    • Industrial Manufacturing
    • Pharmaceutical/Biotech
    • Retail
  • THINK TANK
  • WEBINARS
    • On-Demand Webinars
    • Upcoming Webinars
    • Webinar Library
  • PODCASTS
  • VIDEOS
  • WHITEPAPERS
Home » Watch: How Can Manufacturers Boost Labor Productivity?
VIDEO

Watch: How Can Manufacturers Boost Labor Productivity?

August 25, 2021
Robert J. Bowman, SupplyChainBrain

Cliff Waldman, chief executive officer of New World Economics, explains how manufacturing labor productivity is measured, and why it’s such an important metric for assessing economic health.

Productivity is defined as “how much output you get for a unit of input,” Waldman says. And the most important input is labor. The growth of labor productivity and the growth of labor hours are the two components of the equation for long-term sustainable economic growth.

Strong productivity growth in manufacturing was a key factor in the dramatic growth of the U.S. economy for decades, but in the more recent past, productivity in manufacturing has stalled. Performance of that metric has been weak ever since the financial crisis that began in 2007 — in fact, says Waldman, U.S. manufacturing productivity has been falling. “That’s very concerning for manufacturing prospects into the long term,” he says. “It should gain the attention of policymakers more than it does.”

One might assume that technology, specifically manufacturing automation, would result in productivity growth, but that’s too simple an equation, Waldman says. Without a doubt, technology has been key in driving productivity, but it needs to be accompanied by a skilled labor force in order to have a long-term positive impact on economic performance. “We’re not going to automate our way out of our productivity malaise,” he says. “Too much goes into productivity beyond technology.”

There are three keys to driving productivity performance in manufacturing: investment in innovation, investment of capital, and a supply of skilled labor. “Capital investment spreads innovation throughout the supply chain,” Waldman says, while noting that the metric has been weak in the U.S. for some time. Also critical, he says, is public investment in innovation, with basic R&D as a percentage of GDP at its lowest level since the Apollo era.

    RELATED CONTENT

    RELATED VIDEOS

    Global Trade & Economics HR & Labor Management Quality & Metrics Regulation & Compliance
    • Related Articles

      Most Supply Chains Are Not Ready for Due Diligence Compliance

    Robert J. Bowman, SupplyChainBrain

    Welcome to the World of ‘Ambient’ IoT

    More from this author

    Subscribe to our Daily Newsletter!

    Timely, incisive articles delivered directly to your inbox.

    Popular Stories

    • A RED AND WHITE FRITOS DELIVERY TRUCK IS PARKED IN THE LOADING ZONE OF A PARKING LOT NEXT TO AN ORANGE TRAFFIC CONE.

      Climate Change Threatens a World Without Doritos

      Global Supply Chain Management
    • A CITY SCENE AT NIGHT, WITH MANY LINES OF LIGHT RISING FROM THE GROUND

      Welcome to the World of ‘Ambient’ IoT

      Data Management (Big Data/IoT/Blockchain)
    • A CONTAINER SHIP PLIES THE OCEAN, SILHOUETTED BY DRAMATIC CLOUDS

      Flurry of FMC Complaints Reveals Widespread Accusations of Ocean Carrier Profiteering

      Ocean Transportation
    • Managing-Supply-Chains-in-the-Face-of-Climate-Disaster.jpg

      Watch: Managing Supply Chains in the Face of Climate Disaster

      Regulation & Compliance
    • A WOMAN STANDS WITH A TABLET COMPUTER IN A WAREHOUSE, SURROUNDED BY SYMBOLS FOR SHIPPING METHODS

      Podcast | Getting the Most Value From Your Supply Chain Planning System

      Technology

    Digital Edition

    Scb may 2023 lg

    2023 Supply Chain ESG Guide

    VIEW THE LATEST ISSUE

    Case Studies

    • JLL Finds Perfect Warehouse Location, Leading to $15M Grant for Startup

    • Robots Speed Fulfillment to Help Apparel Company Scale for Growth

    • New Revenue for Cloud-Based TMS that Embeds Orderful’s Modern EDI Platform

    • Convenience Store Client Maximizes Profit and Improves Customer Service

    • A Digitally Native Footwear Brand Finds Rapid Fulfillment

    Visit Our Sponsors

    Antuit Zebra Anvyl Brother
    Cleo Data Capture E2open
    Eva Air Enveyo GAINSystems
    Generix Geodis GEP
    GreyOrange Here Holman Logistics
    Infor Inmar Kinaxis
    Locus Robotics Logility LogistiVIEW
    Lucas Systems MCA Connect MPO
    Old Dominion OneRail Overhaul
    PartnerLinQ (Visionet) Port of Virginia Ryder E-commerce by Whiplash
    Saddle Creek Logistics SAP Shyft
    Sourcemap Tecsys TGW Systems
    Verusen Workshop
    • More From SCB
      • Featured Content
      • Video Library
      • Think Tank Blog
      • SupplyChainBrain Podcast
      • Whitepapers
      • On-Demand Webinars
      • Upcoming Webinars
    • Digital Offerings
      • Digital Issue
      • Subscribe
      • Manage Your Subscription
      • Newsletters
    • Resources
      • Events Calendar
      • SCB's Great Supply Chain Partners
      • Supplier Directory
      • Case Study Showcase
      • Supply Chain Innovation Awards
      • 100 Great Partners Form
    • SCB Corporate
      • Advertise on SCB.COM
      • About Us
      • Privacy Policy
      • Contact Us
      • Data Sharing Opt-Out

    All content copyright ©2023 Keller International Publishing Corp All rights reserved. No reproduction, transmission or display is permitted without the written permissions of Keller International Publishing Corp

    Design, CMS, Hosting & Web Development :: ePublishing