“We make stuff here,” Northern Kentucky Chamber of Commerce CEO Brent Cooper said this week when discussing the region’s manufacturing prowess.
Northern Kentucky comprises 20% of Greater Cincinnati’s population, but is approximately 35% of its manufacturing base, Cooper said at January’s Eggs ‘N Issues, a monthly business series looking at the state of economics in the region.
Companies such as Flottweg, 80 Acres Farms and Bonfiglioli all have significant operations within the region, and representatives from each were on hand Tuesday to discuss Northern Kentucky’s manufacturing sector, touching on everything from what the region does well to what it needs to improve.
Each company represented manufactures different products that play crucial roles in the American economy: Flottweg produces centrifuges, 80 Acres grows vegetables and microgreens, and Bonfiglioli produces gearboxes for machines such as wind turbines.
For manufacturers, Northern Kentucky possesses a host of desirable traits such as a centralized location in relation to many major population centers within the country, established rail, air and road logistics infrastructure and a good prospective workforce pool.
“If you look at our customer base in North America and in this region, I would say 80% of our customer base is located between a one to two day shipping point from here,” said Bonfiglioli president Greg Schulte.
Kathy Quarles, director of talent acquisition & development at 80 Acres Farms, said the local leadership and state of Kentucky “welcomed them with open arms” and supported the company’s expansion into the state.
“There’s a need and a desire and that comes from not only the businesses, the community, it comes from the workforce,” Quarles said.
In terms of improvements for the manufacturing environment, Quarles brought up education, specifically relating tackling to the preconceived notions of the modern manufacturing processes. Manufacturing generally has a negative connotation attached to it, Quarles said, often conjuring mental images of pollution and dangerous factory floors. This can scare off potential workers.
Instead, Quarles said manufacturers should partner with local communities to change these perceptions and focus more on providing training for skilled manufacturing and trades.
“We’ve got to give opportunities for development, for employment, enhancement and further opportunities,” Quarles said. “I think if we’re up here committing to that, then we’ve got to make sure that people know that. Here’s the opportunities. It’s actually really cool. You can do things with automation, robotics and data science. This didn’t used to be a part of manufacturing in the past, but it is now and we’re going to keep it that way.”
Not every manufacturing company is a vertical farm that grows hydroponic herbs. What about companies that produce complex machinery such as Flottweg or Bonfiglioli?
Factories built within the past decade have a greater technological outlook, Flottweg President Dan Ellis said, focusing more on efficiency and less on brute production.
“What we have to do as manufacturers is just change from old, boring and dirty to creative, innovative and green,” Ellis said. “If anyone looked at a manufacturing facility that was built in the last five or 10 years, they would think they were in a pharmaceutical plant.”
When global supply chains were disrupted due to the COVID-19 pandemic, some manufacturers chose to look inward, shifting their focus to returning their manufacturing operations to U.S. shores. Schulte said since the pandemic, more of their customers have asked Bonfiglioli to produce more locally so they could purchase local products.
Even though their raw materials may be sourced from around the globe, Bonfiglioli can supply their customers with product in a shorter timeframe if they produce and assemble their locally.
“Is it difficult? Yes. Have you had challenges over the three years? Yes,” Schulte said. “But you do look for ways to be more innovative in terms of your supply chain, your suppliers, and how do you really reduce that supply chain window in terms of being able to get those products to the customers faster? If you don’t, somebody else will.”
Regardless, Northern Kentucky must continue to differentiate itself in order to grow its manufacturing sector and create high paying jobs. Part of their growth strategy will be for companies to continue integrating modern technology into their manufacturing process, utilizing data analytics and educating their workforce.
“I want to give our employees exactly the nutrients and what they need to thrive in their jobs,” Quarles said. “I think data analytics applies across the board. It is a part of today’s world and we hope people are passionate about it and want to keep learning.”
