- Food Manufacturing
- Beverage and Tobacco Product Manufacturing
- Textile Mills
- Textile Product Mills
- Apparel Manufacturing
- Leather and Allied Product Manufacturing
This broad industry segment includes organizations involved with the processing and manufacturing of food and textiles. For this summary, food includes any substance intended to be consumed by an animal or human. Textiles include flexible materials comprised of natural or artificial fibers – typically either thread, yarn, or from an animal origin.
Generally, this segment of manufacturing is best described as “process manufacturing.” Once the output is produced, it cannot be distilled back to its basic components. Once made, the end product can not be “taken apart”. This summary focuses on food, beverage, and some consumer goods.
Ingredients, recipes, and formulas are frequently proprietary. Efficiency of process – including consistency of output and quality assurance during the production process itself are important considerations. Final packaging and marketing of the end products are often emphasized. Because many of these products are intended for the consumer market, brand building, knowledge of the consumer, and advertising spend may be significantly elevated for this industry segment compared to many other segments.
Distribution methods to market and sell these products can vary widely within the segment. Most manufacturers rely on a downstream distribution system – including wholesale and retail – to provide the products to an end-consumer. Demand signals from the end-consumer are sometimes unreliable and subject to influences beyond the control of the manufacturer. Strong relationships with the extended supply chain are important.
In recent years, web-based marketing has become a powerful tool. Because the manufacturing process itself uses a lot of energy, – these organizations also benefit from rethinking how when and why energy is used. Asset management systems and real estate/facilities management systems have become elevated areas of interest.