In 2000 there were 12,800 manufacturing companies between Erie-Cleveland-Canton-Pittsburgh and 13,900 Wholesale companies. The landscape is quite different in that region today. Just in time theory did not work as well as intended as wholesale companies were traded for computerized in-flight, over the road, just in time, on the way transportation and distribution alignment. But as OH started attacking trucking with over regulation and places like Akron went from 42 flights a day to 30, the just in time caught wholesalers out of inventory and out of luck along with manufacturers out of parts and finite capacity theory out the window. But it is just as well as all the partnerships with Japanese firms had changed the game anyway and parts were to be genuine Japanese built based on stolen technology from all those picture-taking trade tours. Dah? Today we see pirated parts from China, India, Pakistan, Malaysia, South Korea, which is crushing OH auto after market manufacturers.
Universally built cars, avoided luxury tax laws, 51% built in a NAFTA country did not help the UAW at all, but then again they also did not help themselves either. Eastern and Western culture clash ensued and all the Collision Course warnings by the heads of all the Unions, and Divisions of GM, couldn’t put Humpty Back together again since now the game got changed once more. And without upgrades, R and D and retooling to meet and exceed customers desires for new and exciting automobiles they attempted to convince the American consumer that they wanted to drive their grandfathers car, telling them, But this is the new version it is different? Really what is different? Well now on the rebound with competition from Germans, Japanese and Koreans it really is different, but the foothold is here and these partnerships are hard to tell who is running the companies, but one thing is for sure, that is the money is not staying here is it? It’s all about flow, whether you are winning a contest for building a cars or SUVs in 20.7 hours in Dayton GM Plant (one of Five) by multiplying the number of cars and dividing by the total number of hours the plant operated under the finite capacity scheduling model or if you are watching the monetary system which is now world wide repeat itself like the closed loop system of ocean-evaporation-clouds-rain, erosion-river flow-back to the ocean again.
Ohio and especially this region of the state has many outside factors effecting its manufacturing abilities and strength to fight it out in the competitive world arena for price. Manufacturing continues to be a huge issue from the region and the economic vitality depends on a smooth transition of the job flows.
By Lance Winslow
