
Kentucky's Advanced Manufacturing Industries
Advanced manufacturing is almost a catchall phrase that can have as many definitions as experts asked to define it. It can include labor intensive processes provided they use modern design and development techniques and it can exclude businesses that many people would consider on the cutting edge of technology. We call an industry is considered high tech if employment in technology-oriented occupations accounted for a proportion of that industry’s total employment that was at least twice the 4.9 percent average for all industries.” (Source: www.bls.gov/oes)
Many people think of outdated manual labor intensive procedures when they think of manufacturing, but that is not the case. According to a report released by the Manufacturing Institute in October, 2006, manufacturing is one of the leading industries in technological development. Manufacturing companies have made significant developments in technological advances. Among them are robotics, computer-assisted designs, radio frequency identification (RFID) and just-in-time inventory.
(Source: “The Facts About Modern Manufacturing:” The Manufacturing Institute; National Association of Manufacturers)
Manufacturing has been and continues to be good for the Commonwealth, and Kentucky’s manufacturing base is very competitive in meeting the challenges of a global economy. But global conditions are changing. The competition is getting better at creating and deploying new knowledge. As the global economy is more and more competitive, advanced manufacturing techniques and skills are essential. With its manufacturing base, low cost energy, commitment to educational excellence, competitive incentive program, an excellent workforce, a state government commitment to innovation and to economic growth, Kentucky looks to remain competitive not only in the short term but also for decades to come.
In 2005, manufacturing in general represented over 20% of the state’s gross domestic product and contributed $26 billion dollars to the state’s economy.
In 2005, Advanced Manufacturing Industries in Kentucky had 800 total business establishments with 63,000 employees paying an average annual wage of $43,446.
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