Episode 392: Manufacturing Matters: Production Offshoring Is Hurting U.S. Innovation Capacity

Today’s Episode

In the show’s 25th episode, Sridhar Kota and Tom Mahoney, both of MForesight: Alliance for Manufacturing Foresight, join host Cliff Waldman to discuss their recent Wall Street Journal Op-ed, in which they argue that production offshoring by US manufacturers is depleting the US of critical innovation capacity. Sridhar and Tom respond to questions about the global context for their arguments, specifically relating to the need for US manufacturers to establish a foreign presence to sell into new and emerging markets, the value of a foreign multinational presence in the US, and complex multi-country supply chains. The interview concludes with a discussion of the authors’ policy recommendations for slowing the outflow of innovation from US shores.

MEET YOUR HOST

Lewis Weiss

Mr. Lewis Weiss is Host of Manufacturing Talk Radio and President of All Metals & Forge Group, the principal sponsor of the show. He has 60 years in the metals industry as a manufacturer of open die forgings and seamless rolled rings, running a business that sells forged products globally to OEMs, major manufacturers, mid-size first- and second-tier suppliers, and small metalworking companies. Lewis Weiss puts his experience in manufacturing to good use as an expert consultant on various TV and radio programs nationwide.

Tim Grady

Mr. Tim Grady is an Executive Producer and Co-host of Manufacturing Talk Radio. He brings more than 25 years of knowledge as a senior strategist and business advisor to companies of all sizes in more than thirty industries, advising them on revving up revenues, macro and micro marketing, strategic selling, organization optimization, website ergonomics, data mining, and other external or internal factors that can accelerate or impede business operations and net profit.

SPECIAL GUEST

Sridhar Kota and Tom Mahoney

Tom Mahoney has over 30 years of experience in the fields of industrial management, international competition, technology development and adoption, economic analysis, and entrepreneurship. His combination of economic expertise and hands-on business management skills have proven effective in providing strategic and technical advice to manufacturers and governments worldwide.

Currently, Mr. Mahoney is Associate Director of MForesight: Alliance for Manufacturing Foresight at the University of Michigan. MForesight is a manufacturing think tank, tackling technology, business, and policy issues critical to the long-term success of U.S. manufacturing. Mr. Mahoney designs and manages major studies, tapping broad national expertise. He co-authored Ensuring American Manufacturing Leadership Through Next-Generation Supply Chains, Cybersecurity for Manufacturers: Securing the Digitized and Connected Factory, Manufacturing Prosperity: A Bold Strategy for National Wealth and Security, and Reclaiming America’s Leadership in Advanced Manufacturing.

Mr. Mahoney began his career with the U.S. National Academy of Sciences’ consulting arm, the National Research Council. As Executive Director of the Manufacturing Studies Board, Mr. Mahoney led teams of senior executives and academics to strengthen public policy and private management decisions in areas affecting U.S. competitiveness. The work of the MSB led directly to multiple, well-known policy initiatives including the NSF’s Engineering Research Centers, the National Center for Manufacturing Sciences, Sematech, and the Manufacturing Extension Partnership in the U.S. Department of Commerce.

Mr. Mahoney’s expertise in U.S. technological competitiveness issues led to his appointment as Chief Economist and Senior Policy Advisor in New Zealand’s Ministry of Research, Science and Technology. He worked directly with New Zealand industry, universities, national laboratories, and Cabinet ministers to lead the development and implementation of a national strategy to profit from new technology development. The resulting strategy improved value capture from New Zealand’s extensive research investments and spurred the growth of technology-intensive economic sectors.

Returning from New Zealand, Mr. Mahoney became President of the WVMEP, the leading industrial consulting firm in West Virginia. WVMEP provided management and technical consulting services to over 200 manufacturers, helping them gain market share, increase sales, and raise profitability.

As an entrepreneur, Mr. Mahoney successfully co-founded and funded a technology-based startup, raising over $2 million in seed capital. He established the business infrastructure, contracted with suppliers, and created a critical path for the ultimate success of the technology.

Mr. Mahoney has done consulting work in multiple countries and has addressed audiences worldwide on science, technology, and economic development and competitiveness. His work at the MSB produced more than 15 books on manufacturing, technology, management, and policy.