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Panel II: Stimulating Manufacturing in Ohio
Pages 45-58

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From page 45...
... As illustrations of this falling behind, Dr. Kota pointed to many valuable high-technology products already lost to foreign competitors, including "fabless" chips, LCDs, electrophoresis displays for e-readers, lithium-ion and other batteries for cell phones and portable electronics, advanced rechargeable batteries for hybrid vehicles, personal computers, and advanced composites used in sporting goods and other consumer gear.
From page 46...
... 7 The U.S. industrial commons has become weak in high-technology sectors, including biotechnology, life science, optoelectronics, information and communications electronics, flexible manufacturing, advanced materials, aerospace, weapons, nuclear technology, and computer software.8 As evidence, he referred to the nation's expanding trade deficits in advanced technology products.
From page 47...
... Successful models for doing this exist in the German Fraunhofer Institutes and Taiwan's Industrial Technology Research Institutes. "To transition home-grown discoveries into home-grown products," he said, "we need ‘Edison Institutes' modeled after Fraunhofer Institutes for maturing technology and manufacturing readiness."9 In order to improve this transitional process, Dr.
From page 48...
... We should be investing in that innovation gap, he said, and using other tools we already have, such as early procurement, Federal loan guarantees, and scaling through industry cost sharing. "The government can accelerate innovation with a better strategy.
From page 49...
... 10 For example, Ohio ranks #1 in wood products, adhesives, plastic bottles, refractory goods, rolling and drawing steel, nonaluminum foundries, paint and coatings, resins, rubber products, pressed and blown glass, ferrous metal foundries, custom roll forming, hand tools and saw blades, bearings, plastic and rubber machinery, rolling mill machinery, wood kitchen cabinets, heat treating, ordinance, machine tools, heavy duty trucks, and brooms, brushes and mops.
From page 50...
... It is an on-line technology platform to support open innovation, and to connect Ohio manufacturers with researchers in universities, Federal labs, and economic organizations. "The supply chains here have been pretty rigid for many years," he said, "and all this pain has caused us to reach outside of ourselves.
From page 51...
... SOURCE: James W Griffith, Presentation at the April 25-26, 2011, National Academies Symposium on "Building the Ohio Innovation Economy." Ohio with a mission "to support, educate, and champion manufacturing with the goal of transforming the region's economy into a powerful, global player." He said that he became involved in economic development in northeast Ohio "because we were going through a transformation at Timken" which applied directly to issues experienced by other manufacturers.
From page 52...
... The region has a strong heritage of manufacturing. It was a pioneer in the aerospace industry; it built up the auto industry, which brought Timken to the region originally; it was a leader in the national steel industry.
From page 53...
... The 16 counties of northeast Ohio have some 8,000 SMEs, which provide a broad foundation on which to build. "Unfortunately," he said, "many of them were founded as outsource suppliers to big companies like Timken, and they have to acquire the skills to innovate and better access to high technology." A second pillar, Mr.
From page 54...
... With the decline of the corporate laboratories created over a century ago," he said, "NIST now performs many of those functions." Last year NIST reorganized, combining 12 academically oriented laboratories into six mission-driven operating units: national user facilities, the center for nanoscale science, the center for neutron research, technology laboratories in engineering and information, and measurement sciences. NIST also combined the external partnership programs into one directorate which Dr.
From page 55...
... From fiscal years 2006 to 2012, NIST funding of $27 million has been matched by over $70 million in cost sharing from the state and partner organizations, and has led to significant increases in sales, new investments, and jobs. While the MEP is best known for promoting lean manufacturing and cost savings, it is now developing national network programs to promote new products and innovation services, in partnership with regional organizations.
From page 56...
... Based partially on the Sematech model, its goal is to support creation of industry-led research and development consortia. He closed by inviting ideas from the audience: "We will be reaching out to the community for your ideas on how to structure this." DISCUSSION A questioner noted that he had not heard any comment about the new manufacturing technology known by a variety of names, such as rapid prototyping, custom production of parts, or additive manufacturing, and asked if it was more than a curiosity.
From page 57...
... What could we do from the Federal or state levels to provide greater support for public-private partnerships, which are "the type of thing that our German colleagues excel at;" and (2) how significant is the 13.6 percent rate of unionization in Ohio, which only modestly exceeds the 11.6 percent national average for states?
From page 58...
... We venture capitalists have to do better than the stock market over a period of time if we are to sustain funding and not be shut off from the pension funds. We find that in most cases, small firms looking for support are not really interested in high growth, in diluting ownership, or becoming public companies.


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