Leaders in Houston's manufacturing community say workforce development, partnerships and supply chain logistics are shaping the future of manufacturing. The discussion hosted on October 1 is part of the Partnership's Houston Industry Series. 

Panelists:

• Lauren Caldarera, Development Director, TX/RX Labs
• Shane Williams, Director, Economic Development, Port Houston
• Katy Stanton, Director of Programming & Operations, Urban Manufacturing Alliance 
• Diana Urelius, Senior Manager, Trade Compliance, Mitsubishi Logisnext Americas 

Pandemic Underscores Supply Chain Challenges

Panelists noted how quickly supply chain issues arose earlier this year. 

“In our business, we experienced some supply chain disruptions early on, especially with regards to suppliers being in areas of the world where it was difficult to get products out," said Urelius. 

During an exclusive Partnership Business Beyond Borders webinar in June, Dominic Sun, Director of Trade Development at Port Houston, told attendees the pandemic has put further strain on an already stressed system of global trade, as well as exposed many areas of concern for governments to consider. He said COVID-19  has brought tremendous challenges to trade, and will continue to disrupt companies’ operations, planning and results in the near and medium term as governments formalize and implement policy responses. For these to be effective, he said, they must be efficient, coordinated and global in nature.

The pandemic has also prompted companies to evaluate their supply chain and consider ways to make it more resilient in the long term.

"We need that local supply chain" said Caldarera during the October 1 webinar. "We need to think more locally and more regionally."

Why Urban Manufacturing is Important

"Urban manufacturing can be anything from jewelers to someone making salsa in their kitchen" said Stanton with the Urban Manufacturing Alliance, a national coalition of organizations and individuals that are building manufacturing economies fit for the 21st century. Their goal is to create pathways to middle-class jobs, spark homegrown innovation and ensure that cities and towns continue to be the places where we make things.

Stanton said part of building a stronger manufacturing ecosystem is providing Houston talent access to professional and technical skills. She said upskilling the workforce is a key part of that effort. 

Stanton also noted how manufacturing can be more equitable by reaching communities in non-traditional ways, such as through guidance counselors and churches, to engage Houstonians and inform them of the benefits of working in the industry. 

Foreign-Trade Zone Program

"One of the big tools [for Houston companies], especially when you're trying to save money, is the Foreign-Trade Zone Program" said Williams with Port Houston. 

FTZ's are designated areas in which foreign and domestic merchandise is generally considered by the U.S. government as being outside U.S. Customs territory. 

"The first thing I would start looking at is this program if I was just starting out in manufacturing," said Williams. 

Talent and Partnerships Shaping Future of Manufacturing

Urelius said while there have been challenges this year, companies like Mitsubishi Logisnext Americas still need good talent, especially when demand is at its peak. 

"We have been fortunate to be in the Houston area where we have a great talent pool," she said. 

The panelists also talked about the importance of partnerships within the manufacturing sector. TX/RX Labs was mentioned as one example. The makerspace has manufactured and distributed thousands of COVID-19 supplies, including face shields and cloth face masks.

Caldarera with TX/RX Labs said it demonstrates the need for manufacturers to come together. 

“We can’t go back to just being head down in our manufacturing world in our business," she said. "We need to really start developing these partnerships and elevating the work of these partnerships."

The Greater Houston Partnership's Houston Industry Series offers digital programming providing the latest information on industry trends and the benefits of doing business in the region.

Learn more about Houston's advanced manufacturing and transportation & logistics industries. Also learn more about the Partnership's workforce development initiative UpSkill Houston.