When Mexico set up the first maquiladoras half a century ago, they were sweatshops that simply bolted or stitched together imported parts, then exported the assembled product north across the border to the United States. America got cheap goods; Mexico got jobs and export revenues. Now, with competition growing from other low-cost locations, and with the government cutting some of their tax breaks, the maquiladoras are having to step up their efforts to become innovative.

A conversation with Richard Jennings, vice president and general manager of Ryder Supply Chain Solutions.

Over the past decade, the Grand Challenge has become the golden-haired child of innovation.

According to one report, the manufacturing sector expanded in September at its fastest pace since early 2011, an indication that economic growth is picking up in the second half of the year. The Institute for Supply Management's closely watched purchasing managers index increased to 56.2 last month, from 55.7 in August, the group said.

At a time when technological innovations offer new growth opportunities for the manufacturing sector, a lack of talent from "rising generations" threatens its future vitality, according to ThomasNet.com's Industry Market Barometer research.