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Manufacturing at a Glance

Quick Overview

The Manufacturing Vertical includes all of our customers that create products as their chief goal in business.

Here is an example of Manufacturing Subsegments:

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•Chemicals

Industrial Machinery and Equipment

Electronics/Electronic Equipment

•Food

Motor Vehicles and Transportation

Oil, Rubber/Plastics and Metal

Furniture, housing, Appliances, and textiles

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Manufacturing is the engine that drives American prosperity. It is central to our economic security and national security. Additionally, Manufacturing:

Grows the economy. Every $1.00 in manufactured goods generates an additional $1.43 worth of additional economic activity - more than any other economic sector.

Invents the future. Manufacturers are responsible for almost two-thirds of all private sector R&D, which ultimately benefits other manufacturing and non-manufacturing activities.

Competes internationally. The United States is the world's largest exporter; 62 percent of all U.S. exports are manufactured goods, double the level of 10 years ago.

Generates productivity increases. Over the past two decades manufacturing productivity gains have been double that of other economic sectors. These gains enable Americans to do more with less, increase our ability to compete and facilitate higher wages for all employees.

Provides more rewarding employment. Manufacturing compensation averages more than $54,000, the highest in the private sector, and manufacturers are leaders in employee training.

Pays the taxes. Manufacturing has been an important contributor to economic growth and tax receipts at all levels of government, contributing one-third of all corporate taxes collected by state and local governments.

Manufacturing by the Numbers

  • Manufacturing is a $4 Trillion Sector (based on revenue)
  • Manufacturing makes up 5% of all businesses and 12% of the American Workforce
  • Manufacturing companies spend ~$80B annually on IT (~$21B in Telecom)
  • Manufacturers—Total Telecom Spend (Per LBS) $3.3B
  • 1273 EBS Manufacturing Customers—SBC Companies Spend $370M

Manufacturing Industry Issues

Manufacturers are working toward operational excellence—increasingly global, competitive environments are putting pressure on manufacturing companies to eliminate excess cost and build efficiency in their Enterprise. Reducing operational costs will lead to increased profitability

Manufacturers are striving toward Integrated Supply Chains—Manufacturers are looking to achieve increased internal productivity gains through advanced IT solutions like Ethernet Networks and Wireless Local Area Networks, focusing on the modern networking, automation, management and tracking systems.

Integrated Supply Chains enable Demand Driven Applications—certain Manufacturers and Retailers can, over the Integrated Supply Chain, collaborate to use real-time data to keep their business processes moving at the speed of the market and the consumer. By tracking the frequency of purchases when the threshold of product x is purchased at the Retailer, the Retailer—through the Integrated Supply Chain—sends an automatic replenish order of y number of product back to the Manufacturer that gets sent in motion and to the Warehouse or Distributor.

Manufacturing Solutions

The SBC Family of Companies has a number of solutions that fit the needs of the Manufacturer

The Intelligent Manufacturing Network

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–Integrates the Manufacturing Enterprise

–Installs Real Time Tracking across the Enterprise

–Enables the Demand-Driven Supply Chain

–Secure Infrastructure

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Other Supply Chain Solutions

–Advanced High-Bandwidth Networking Solutions

–Mobility (Wireless LAN and Cingular Data Solutions)

Applications for Advancement and Cost Savings

–VoIP Solutions—Hosted and CPE-Based Solutions

Manufacturing Success Stories

A Major Automotive Manufacturer was looking to simplify its communications network and the SBC Family of Companies’ SBC PremierSERVSM IP Telephony Advantage platform converged our customer’s disparate communications networks into a single IP-based network, carrying voice, video and data. This manufacturer benefits from substantial operational savings realized through this network convergence, as well as efficiencies gained through our management of the IP telephony application. IP telephony also provides this customer with plug-and-play functionality—employee moves, adds and changes can be managed instantly, and businesses can scale up or down without calling vendors or ordering new cards.

A major manufacturer and automation corporation wanted to refresh all of its domestic U.S. routers to a new platform in order to minimize costs on existing leases. The SBC Companies’ solution required the installation, maintenance, and support of approximately 200 Cisco Systems® routers for the entire North American network for this customer. This solution helped them reduce costs, save time, and provide flexibility for its changing business conditions. Now this customer has a platform of routers that is completely maintained and serviced by SBC companies.

A major glass and plastic manufacturerwanted a state-of-the-art voice and network services that would help them continue to provide the best possible service to their customers by facilitating better inventory management. The SBC Companies’ solution provided local and long distance voice services, DSL Internet service, SBC PremierSERVSM Data Center Hosting and SBC PremierSERVSM Network-Based VPN to this customer’s 180 locations nationwide. The solutions will give our customer a more centralized network, making it easier for the company to conduct inventory audits and do customer product searches.