The US manufacturing sector is experiencing a rebirth, with investment, jobs, and output on the rise. As a result, domestic manufacturers face stiff competition from each other, while exporters must also contend with global market forces. To come out ahead, industry leaders are under constant pressure to do more with less — to generate maximum value from lean manufacturing principles.

US nationwide average industrial power prices are near 20-year highs. Meanwhile, many manufacturers are grappling with workforce investment as they train workers to use newly automated equipment, software, and digitized production lines — not to mention regional workforce disparities. Combined with offshoring, supply chain issues, and volatile energy costs, manufacturers are continually searching for ways to defend against pricing instability.

Manufacturing relies heavily on the built environment, where operating infrastructure like the building envelope, windows, lighting, and heating/cooling systems naturally depreciate over time due to use and aging. Equipment is also highly susceptible to aging, spurring the need to continually invest in modernizing production lines, tooling, chillers, boilers, and other resources. To stay profitable, manufacturers must optimize operations to get the most out of all their owned infrastructure.

Like many heavy industries, domestic manufacturers are navigating a labyrinth of federal, state, and local regulations. In addition, some American businesses will have to compete against lesser-regulated foreign imports, while American exporters work to comply with additional foreign regulations, like EU rules.

Most manufacturers see sustainability as a ‘green edge’ that’s essential to future competitiveness. They’re seeing that improving efficiency, reducing scrap, procuring low-cost green energy, and reducing emissions can all support the bottom line — the challenge now is to learn how to best capitalize on the opportunity.