CMTC_Image_IIOn December 11, 2014, President Barack Obama announced investment measures to stimulate cutting-edge innovation and apprenticeship programs for American employees in order to improve their expertise in advanced manufacturing and other high-growth industries. Approximately $390 million in public-private funds will be allocated toward two manufacturing hub competitions and apprenticeships.

The success of U.S.’s competitive position in global exports and investments hinges on the nation’s ability to progress with the latest, state-of-the-art technological innovation and develop the human capital needed to make this possible. In terms of international trade, the U.S. exported $2.3 trillion worth of goods in 2013. Manufacturing drives the bulk of our national exports and contributes to three-fourths of our national private-sector research and development.

The national manufacturing industry has added 764,000 jobs since February 2010 and has grown twice the speed of our general economy since the ‘07/’08 recession.  To reinforce this industry growth, the White House will conduct a strategic effort to increase its technological development by way of innovation and effective training programs for workers.   

These national incentives could have a positive impact on California manufacturing facilities by way of progress and efficiency in energy costs, better skilled employees, and other resources. To find out how these White House measures will affect your manufacturing plant, simply read on.

Two Manufacturing Hub Competitions

The Obama Administration launched two national manufacturing hub competitions for Manufacturing Innovation Institutes, which will get $290 million in public-private investment.

Manufacturing institutes combine applied research and product development through a close collaboration of companies, academic institutions (such as research-oriented universities), and government institutions that subsidize their research and development projects. Manufacturing institutes provide specialized education for students and professionals at every echelon while bringing in manufacturers and other companies to create and test the latest technological products and manufacturing processes.

The U.S. Department of Defense will oversee a competition for a new Manufacturing Innovation Institute focused on flexible hybrid electronics. Electronics (i.e. cell phones, mobile tablets, computers, sensors, etc.) have become part and parcel of our everyday existence – making our everyday activities easier and more streamlined. Most of these electronics consist of rigidly flat, square, and box-like circuit boards. Unlike our current electronic devices, a large number of entities in our environment such as our bodies, cars, aircraft, et al have curved and/or flexible properties.

Flexible hybrid electronics utilize top-tier materials that stretch and bend with ultra-thin silicon chips. Examples include wireless medical monitors, stretchable electronics for robotics and vehicles, and smart bridges designed to alert engineers of any issues. On the national defense front, flexible hybrid electronics could be integrated into intelligent bandages and clothing to alert soldiers of possible signs of exhaustion or trauma. Structural integrity sensors for helicopters and airplanes provide immediate assessment damage.

The new Manufacturing Innovation Institute will receive about $70 million in federal funds and $70 million in private investments – totaling $140 million.

The U.S. Department of Energy will oversee a competition for a new Manufacturing Innovation Institute geared toward smart manufacturing – such as advanced sensors, control, platforms and models for manufacturing. Technologies developed through expert knowledge of manufacturing, digital concepts, and energy efficiency will raise productivity while lowering energy costs. Chemical production, solar cell manufacturing and steelmaking industries will save up to 10% to 20% on production costs thanks to this institute’s innovative projects.

Federal funds in the amount of $70 million will be matched by private investments 1:1 to fund the new Manufacturing Innovation Institute for smart manufacturing. The Obama Administration considers this institute a crucial component in its measures to double U.S. energy efficiency by 2030.

American Apprenticeship Grants Competition

The President also intends to expand training opportunities for American workers by channeling $100 million into apprenticeship programs. Research shows that apprenticeships are highly valuable in improving the skills necessary for American employees to be successful within the scope of our competitive global economy; for example, 87% of apprentices retain employment after apprenticeship completion and apprentices receive an average of $50,000 as starting pay after they complete their training.

The U.S. Department of Labor will lead this competition to encourage partnerships that will create workable apprenticeship training models and provide more apprenticeship opportunities in industries such as healthcare and advanced manufacturing.

Partnerships between employers, labor organizations, training providers, community colleges, local and state governments, non-profit and religious organizations, and the workforce system have a chance to win 1 of 25 grants awarded by the U.S. Department of Labor. The net result of a grant competition like this would be truly effective apprenticeship protocols established to cultivate competence and longevity in manufacturing and other high-growth industries, which in turn contributes to a condition of prosperity within individual companies and our overall economy.

If you would like more information, this White House Press Release has a more comprehensive breakdown of these U.S. grants and competitions.

Contact CMTC

 

  

 

Leave a Comment

Leave a Comment