October was another good month for manufacturing. Despite a slowdown in September, the industry recovered to post a gain in October according to The Institute for Supply Management. And according to Manufacturing.net, the U.S economy increased by 3.5% during the third quarter of 2014.
This is welcome news, considering that just a few short years ago the country was experiencing a recession, and manufacturers were hit hard. However, if you keep up with manufacturing news, there has been more news about manufacturers that are expanding operations, thus indicating that the industry is continuing to grow.
With the holiday season upon us, is it time to ask what manufacturers want from Santa this year? First, let’s talk turkey.
Many manufacturers will be faced with the need to update Microsoft SQL 2003, as the wildly popular system component will be losing its Microsoft support in 2015. Another challenge that the industry has faced recently is the need for skilled labor and professionals that have exposure to manufacturing concepts. Next, with increased production comes the need to take a nice long look at current ERP and if there additional components or updates that will benefit them in the future.
So, it may be time to write that “Dear Santa” letter for some extra budget for these necessary upgrades, reminding that finance committee that while things like upgrading SQL are necessary expenditures, some of the needs can carry a healthy ROI, like modern ERP software. Also, don’t forget about your potential $25,000 “Section 179” tax deduction for that last one. You may want to send cookies and milk with the letter.