What Is Manufacturing?
Manufacturing is the use of labor, machinery, tools, and biological or chemical processing to produce goods. This can be the large-scale creation of products from raw materials or the sale of basic goods to manufacturers for the creation of complex items such as automobiles, aircraft, or appliances. During the manufacturing process, raw materials or component parts are purchased and transformed into finished products. The aim of the manufacturer is to create products that are desirable and relevant to the market, to produce enough to meet demand, and to net a profit from the sale of those goods.
Manufacturing has existed for centuries, dating back at least 2.3 million years with the creation of stone tools. Carpenters, blacksmiths, tailors – these are all examples of manufacturers throughout the centuries. After the first Industrial Revolution, manufacturing evolved from a single artisan creating the whole product alone to factories creating products through assembly line processes. The introduction of factories into the process allowed for large-scale production via water, steam, and electricity-powered machines. Manufacturing became more efficient and cost-effective.
In 2020, the world manufacturing output was valued at $13.6 billion. China, the world leader in manufacturing, accounted for 28.4% of the total output with a $3.8 billion value. Next in line, the United States accounted for 17.2% with a $2.3 billion value. In the United States alone, manufacturing is responsible for 15% of the economic output.
Types of Manufacturing
There are three types of manufacturing: make-to-stock, make-to-order, and make-to-assemble.
- Make-To-Stock: This type of manufacturing involves creating products that will be kept in stock in stores or showrooms. It is highly reliant on accurate market predictions to ensure that product output (supply) meets the current and projected market demand.
- Make-To-Order: With this type of manufacturing, production doesn’t begin until an order is received, and the customer waits while their products are being made. The manufacturer relies on new and recurring customers to stay profitable, and they react to demand rather than predicting and anticipating what the market demand will be.
- Make-To-Assemble: Similar to make-to-stock, this type of manufacturing creates the component parts to be ordered for assembly by another company. The manufacturer fulfills orders as they arrive using the parts they have in stock. If there is no demand for produced parts, they are stuck with unwanted parts.
Regardless of the type, manufacturing is reliant on economic supply and demand. If too much of a product is made, prices and profit decrease, and any surplus is sold at a loss. Conversely, if too little is produced, potential profit is lost as customers will purchase their products elsewhere.
Custom Rubber Seal and Extrusion Manufacturer
Since our beginning, we have developed and maintained a solid presence in the custom-manufacturing arena. For over a quarter of a century, we have specialized in quality custom extrusion and molded products in rubber, silicone, flexible plastic, and other elastomeric materials. We have worked hard to become leaders in our industry.
As a leading, full-service rubber extrusion manufacturer, plastic extrusion manufacturer, and silicone extrusion manufacturer, we supply custom-extruded elastomeric products for a variety of applications. We have the capabilities to provide complete, start-to-finish custom molding and extrusion services. We can assist our customers with drawing manipulation and concept design. Our sales team and machinists are well-versed in all aspects of computer-aided design (CAD). The combined efforts, technical knowledge, and support services of our company allow us to create, modify, and manufacture products to suit our customers’ ever-changing needs.