The third industrial revolution is here, and some say it is taking over the global economy. What exactly does this mean for manufacturers? To truly understand the impact of the third industrial revolution, it is important to consider the significant contributions of the prior industrial revolutions. The first Industrial Revolution focused on replacing human labor with automated processes. These concepts then progressed into the second industrial revolution, which perfected the automated assembly line process to produce mass quantities of identical products. Now, new Internet-based technologies are shifting the focus of manufacturers in a third direction that is creating new product mixes and services.

Property taxes are getting a lot of attention in this year’s Indiana legislative session. KSM’s State and Local Tax Practice is tracking a handful of bills under consideration that could affect manufacturers specifically, including SB 436, which is a proposed reduction of the so-called 30% floor for personal property tax reporting.

Earlier this year, President Obama announced his support to help grow one of the nation’s already fast-growing industries.The manufacturing industry in the United States has filled over 700,000 jobs since early 2010. To capitalize on this growth, the Advanced Manufacturing Partnership (AMP) Steering Committee, which is made up of CEOs, labor leaders, and university presidents, was created as a part of the president’s Council of Advisors in Science and Technology.

According to a recent article in The Economist, “When cheap is not so cheap,” the U.S. and Mexico are becoming more price-competitive as global manufacturing options.

The results are in from Katz, Sapper & Miller's annual Indiana Manufacturing Survey, and it appears that although Hoosier manufacturing is poised for growth, the industry is threatened by regulatory costs and workforce weaknesses.

Manufacturers are experimenting with new ways to use robots in their processes by having them work alongside humans, not just in place of them.

According to a recent Wall Street Journal MarketWatch article, the number of jobs being filled in the U.S. each month is lagging behind an increase in job openings for the first time in more than a decade. Randall Stephenson, CEO of AT&T, says, “The main issue that businesses face today is a skillset mismatch.” The jobs that seem to be most lacking in qualified workers are those requiring technical skills in the math and science fields.

The popularity of "office" jobs within the manufacturing sector is growing. A survey released by the Graduate Management Admission Council (GMAC) indicated MBA graduates who seek positions in the manufacturing and healthcare industries were more likely to receive early job offers than those applying in other industries.

The McKinsey Global Institute (MGI) recently identified 3-D printers as a future disruptive technology that will “transform life, business, and the global economy.” MGI estimates that the direct economic impact of 3-D printing per year by 2025 will range from $230 billion to $550 billion, with $100-200 billion attributed to direct product manufacturing and $30-50 billion from tool and mold manufacturing.

Manufacturers are concerned with theft of their products and small tools, but they aren’t typically concerned about theft of their intellectual property. Should they be?