Manufacturing is growing, in part fueled by reshoring, but job shops need to become savvy marketers to attract new business, says Mitch Free, CEO of MFG.com., an online marketplace that helps companies source custom parts, tooling and other products.
In a survey of 259 small manufacturing companies, MFG.com found that 78% are optimistic about their sales and profits for 2012. Just under half reported they are operating at 70% or more of capacity. The report notes that the rule of thumb in the job shop industry is that companies reach the breakeven point when they are running at 75% of capacity.
Some 40% of manufacturers surveyed said they had benefited this year from reshoring, where they had received a contract that was previously sourced to a foreign supplier.
I was impressed with that number, said Free. I didnt expect it to be that high.