Down but not out. That is the simplest way to describe the manufacturing industry in Southern California. The down part is the stiff competition from overseas, a tight credit market, and significant job losses, particularly during the recession. Yet, saying all that, Los Angeles County remains the country’s largest manufacturing area just as the U.S. as a whole remains the world’s largest. As the recovery takes hold, opportunity awaits those companies who survived the worst economic times faced by the U.S. since the 1930s. These firms emerge smarter about their operations and more open about trying a new approach. In this issue are stories on some of those manufacturers who are finding opportunities whether as a start up or a long-established business. There is a profile on one young business owner who took it upon himself to bring like-minded businessmen together in a way for all to achieve better results, and a look at how innovation creates new opportunities and opens new markets. With the Valley area having been a center of aviation and aerospace activity dating back to the 1920s, it is only fitting this issue include a story on one of the largest such companies – Northrop Grumman Inc. and the advancements coming out of its Woodland Hills and Palmdale facilities. In its first report in four years on manufacturing, the Los Angeles County Economic Development Corp. was upbeat about the industry’s future yet tempered that with the realities of a difficult regulatory climate, high utility costs and strict air quality standards. Still, access to international markets through ports and airports, a ground transportation infrastructure, and a large, educated workforce were seen as the positives for the industry, according to the report. “Southern California is rich in creativity. More should be done to encourage young people to use their creative talents in the manufacturing sector,” the report said. “Southern California is also a leader in advanced technology manufacturing, but to hold on to that edge, we must have enough highly skilled workers to fill those jobs.”
Making It Work
