Sens. Deb Fischer (R-NE), Cory Gardner (R-CO), Cory Booker (D-NJ) and Brian Schatz (D-HI) introduced the NAM-supported Developing Innovation and Growing the Internet of Things (DIGIT) Act today. This legislation creates a strategic partnership between manufacturers and the public sector focused on fostering the growth of the Internet of Things (IoT). The National Association of Manufacturers looks forward to working with both the House and Senate to move this bipartisan bill. Read More
In the final hours before Congress went home for the holidays, it passed a bill that places a priority on innovation and the important role basic research plays in today’s manufacturing economy. The House and Senate both unanimously passed S. 3084, the American Innovation and Competitiveness Act.
Autonomous vehicles. Smart phones. Lifesaving medicines. All are made possible by the innovation of manufacturers. Technology is transforming the manufacturing industry, and the manufacturing industry is transforming our world.
Manufacturers in the United States perform more than three-quarters of all private-sector research and development (R&D) in the nation, driving more innovation than any other sector, changing our society and helping Americans live better lives. But our continued progress is not guaranteed. We need our leaders to embrace policies that encourage innovation—not stand in its way—because a country that can’t invent can’t lead.
- Enable a regulatory and legislative climate that creates the conditions for discovering the next great life-changing inventions.
- Secure those inventions by protecting the intellectual property rights of manufacturers.
- Partner with the industry in the area of cybersecurity but not through the creation of a new and unnecessary regulatory regime.
- Encourage the growth of connected technology when they consider updating our telecommunications laws.
The technologies embraced by manufacturers in the 21st century are improving business models, transforming customer relationships and re-inventing the world. Policymakers in Washington now must decide whether they will accelerate, or stand in the way, of a new economy that innovates and works better for everyone.
This blog is part of the NAM’s “12 Days of Transition” series, an effort to provide the presidential transition team and other Washington policymakers with a roadmap to bolster manufacturing in the United States. Read the other blogs in the series here.
The National Association of Manufacturers (NAM) recently released “Building to Win,” a blueprint for the next Congress and president on how to repair and revolutionize the infrastructure that makes the American Dream possible. There are many pieces of infrastructure mentioned in the report—traditional transportation infrastructure as well as energy, water and communications systems. Broadband is one segment of infrastructure that is often overlooked but cannot be forgotten as the next president and Congress look ahead to a renewed focus on infrastructure.
There is little or no argument about the benefits of widespread adoption of broadband. It creates economic opportunity and equality. In the manufacturing sector, it is helping to power the disruptive technology—the Internet of Things, the cloud, Big Data, 3D printing, drones, etc.—that is transforming traditional businesses.
NAM members told us in a recent survey that these new technologies are increasing shop floor efficiencies, enabling new revenue streams and allowing manufacturers to move into completely different product lines. And a common link throughout all these technologies? They all run on top of our nation’s telecommunications infrastructure.
Our products and processes have become increasingly dependent on the latest telecommunications tools and networks. Many manufacturers leverage commercially available networks, and many others manage their own networks for their facilities. No matter what type of network, they are all almost entirely funded with private investment.
Unfortunately, if private investment in this piece of the infrastructure lags, our manufacturing innovation leadership will be further challenged.
The Progressive Policy Institute recently published its “Investment Heroes” report in which it ranks corporations by levels of capital spending. PPI’s primary conclusion was that these private investments raise productivity and wages across the country. It also cited a “vitally important” policy challenge to maintain investment and that was to get regulation “out of the way.”
Those of us in the manufacturing sector agree: a regulatory environment that fosters investment rather than restricts it is needed, especially when it comes to broadband. When companies are faced with a complex, mandatory regulatory regime, it severely reduces investment in infrastructure. This lack of investment will significantly lower the multiplier effect technology has on our industry, the people we employ and the products we create.
Manufacturers are disruptors. We disrupt products and processes. We disrupt markets. We disrupt our own enterprises based on the needs of our customers. We disrupt because that’s what it takes to compete. We disrupt because it drives growth in our businesses and our ability to create jobs.
Disruption is not a new concept for manufacturers or any other industry that strives to outperform its competition. Disruption is a concept we embrace. We don’t do it to have onlookers say you’re crazy. We do it because our industry knows that if we are not driving the disruption, it will drive us out of business.
Technology is the latest disruptor inside the manufacturing sector. This is no secret. Technology has been driving change in our industry for decades. However, the National Association of Manufacturers (NAM) wanted to better understand just how much technology was disrupting our members. We wanted to know what it means for their business and, if it changes, how they think about you, their customers. So, we asked them and wanted to share with you what we found.
The results from our recent survey of NAM members says that manufacturers are investing in disruptive technologies for many reasons. It is improving shop floor efficiency, speeding up time to market, creating new revenue streams and driving future business.
We also found out a few barriers to investing in disruptive technologies—two of which include a mismatch of skills and the overreach of government regulation.
Additive manufacturing, artificial intelligence, the cloud, big data, drones, robotics and the Internet of Things are just some of the disruptive technologies being leveraged by the manufacturing sector. The NAM is focused on educating lawmakers in Washington so they understand how it’s so easy to create an environment that fosters the growth of disruptive technologies in manufacturing rather than creating an “anything goes” policy environment.
October is recognized as National Cybersecurity Awareness Month. The Department of Homeland Security describes it as “an annual campaign to raise awareness about cybersecurity.” The National Association of Manufacturers and manufacturers across the country are pleased to participate in this campaign.
The manufacturing sector is extremely diverse in its size, scope and outputs. The one common thread is that all traditional manufacturing companies are pushing the limits of innovation. Technology is infused throughout everything our industry does, therefore making all manufacturers high-tech enterprises.
One of the biggest trends happening in our sector is the proliferation of connected devices, or the Internet of Things (IoT). What was unimaginable just a decade ago is now a reality. Manufacturers are the creators, users, servicers and installers of the IoT.
Manufacturers have become the first line of defense in securing our nation’s most critical online assets. As a result, our industry places the cybersecurity of its products and processes at the highest priority level.
As we kick off this month that recognizes the importance of cybersecurity to everyone—both personally and professionally—the NAM will continue its focus on building a stronger public–private partnership. We will keep calling for economic tools to encourage investment beyond ordinary levels of commercial cybersecurity spending. We will encourage NIST to complete its cyber-framework efforts to determine the most cost-effective elements of cyber-defense. We will continue to call for a coordinated strategy across the government that helps secure and foster the growth of the IoT. We will work with our government partners and provide guidance on how to improve their resources available to manufacturers. Most importantly, we will continue to be America’s leading innovators.
Cybersecurity is a national priority. Manufacturers, with their leadership in technology and connected devices, are on the front lines of protecting our nation’s most critical assets. Our industry needs the U.S. government and all of its resources to be an effective partner in combating cyber threats now and in the future. Read More
All five commissioners of the Federal Communications Commission (FCC) are testifying today in front of the House Energy and Commerce Committee’s Communications and Technology Subcommittee. The FCC has been exercising its regulatory authority quite liberally lately, and the National Association of Manufacturers (NAM) joined other associations to send a message this morning: Undue regulatory burdens are putting our nation’s future innovation at risk.
The NAM signed a joint-industry letter to the leaders of the subcommittee calling attention to one of the most recent regulatory overreaches by the FCC: an attempt to create a new set of privacy requirements that would apply to only one industry. This is an unnecessary attempt by the FCC to extend its authority when another agency, the Federal Trade Commission, already has a robust privacy protection regime, which currently applies to all industries. The NAM also officially filed comments with the FCC on this issue in May of this year.
We applaud congressional leaders holding these agency leaders responsible. At a time when manufacturers are leveraging the internet across their shop floors and in the products made there, we cannot afford regulations that only accomplish one goal: thwarting investment in our nation’s telecommunications infrastructure.
The House is scheduled to consider the bipartisan Networking and Information Technology Research and Development (NITRD) Modernization Act of 2016 (H.R. 5312) today. This legislation calls for better coordination across the federal government on its investment in research and development (R&D) on information technologies, such as networking, computing, software and cybersecurity. Read More
Tonight the U.S. Senate took a huge step toward protecting manufacturing products and processes from the current onslaught of intellectual property (IP) theft by passing the Defend Trade Secrets Act. NAM President and CEO Jay Timmons released the following statement after the bill’s passage, citing the important role IP has for manufacturers of all sizes:
“Manufacturers in America are the world leaders in innovation. The know-how to perfect their products can take years, even decades. These days, a competitor can steal that knowledge with the click of a mouse, costing a company good-paying jobs or even its entire business. This is a critical issue facing manufacturers, one that will define competition and success in the 21st century. That’s why we need all the tools possible to protect the superior knowledge and products that set our industry apart.
“IP can comprise up to 80 percent of the value of a company’s knowledge portfolio, and theft of these resources costs U.S. businesses roughly $250 billion a year. Manufacturers need a strong, unified federal policy that will enforce strict laws to protect what many businesses consider their most valued corporate assets. Today’s vote is a step toward updating our laws and helping manufacturers prevent IP theft aggressively and efficiently.
“We support Senate passage of the Defend Trade Secrets Act and urge the House to take swift action to get this legislation to the president’s desk for his signature.”