
Motor
Vehicle and Parts Manufacturing
Related
Profiles of
Professionals
Industry
Overview
The motor vehicle is an intricate series of systems, subsystems, and
components assembled into a final product. Each manufactured part or
component is integrated into the vehicle; none is developed to exist
separately. Vehicles are constantly changing as new technology or
reengineered components are incorporated, and as new and updated models
are designed in response to changing consumer preferences. Motor vehicle
and parts manufacturers must continually evolve to maximize efficiency
and provide products that consumers want in a highly competitive market.
Motor
vehicles -- passenger cars, sport utility vehicles (SUVs), pickup trucks
and vans, heavy-duty trucks, buses, and other special-purpose motor
vehicles ranging from limousines to garbage trucks -- play a central
role in our society. Most U.S. residents rely on them daily to travel to
work or school, shop, or visit family and friends. Businesses depend on
motor vehicles to transport people and goods. The United States is the
world's largest marketplace for motor vehicles because of the size and
affluence of its population. According to the U.S. Department of
Transportation, almost 230 million motor vehicles -- nearly 136 million
automobiles, 95 million trucks, and 777,000 buses -- were registered in
the United States in 2003. The number of light trucks -- including vans,
pickup trucks, and SUVs -- has shown especially steady growth since the
mid- to late 1980s.
Making the vehicles we
drive is only a small part of the story in the motor vehicle and parts
manufacturing industry. In 2004, about 9,400 establishments manufactured
motor vehicles and parts; these ranged from small parts plants with only
a few workers to huge assembly plants that employ thousands. Table 1
shows that about 7 out of 10 establishments in the industry manufactured
motor vehicle parts -- including electrical and electronic equipment;
gasoline engines and parts; brake systems; seating and interior trim;
steering and suspension components; transmission and power train parts;
air-conditioners; and motor vehicle stampings, such as fenders, tops,
body parts, trim, and molding. Other establishments specialized in
manufacturing truck trailers; motor homes; travel trailers; campers; and
car, truck, and bus bodies placed on separately purchased chassis.
The
motor vehicle and parts manufacturing industry in the United States has
become increasingly integrated into the international economy. In fact,
"domestic" vehicles often are produced using the components,
manufacturing plants, and distribution methods of other nations around
the world, as U.S. and foreign manufacturers of motor vehicles benefit
from strategic alliances in the design, production, and distribution of
vehicles and parts. Collaboration in manufacturing practices has
dramatically increased productivity and improved efficiency. These
cooperative practices also have resulted in manufacturers from the
United States, Europe, and the Pacific Rim working closely with parts
suppliers and locating production plants in the countries in which they
plan to sell their vehicles, to reduce distribution time and costs.
Foreign motor vehicle and parts makers with production sites in the
United States are known as "domestic internationals" and account for a
growing share of U.S. production and employment.
Globalization of the
industry has boosted competition among U.S. motor vehicle manufacturers,
prompting innovations in product design and in the manufacturing
process. Manufacturers have rapidly designed and produced new models
aimed at niches in the market. Firms also must be fast and flexible in
implementing new production techniques, such as replacing traditional
assembly lines with modern systems using computers, robots, and
interchangeable platforms. Plants designed for production flexibility
put resources in the right place at the right time, allowing
manufacturers to shift to new models quickly and efficiently.
Motor
vehicle and parts manufacturers have a major influence on other
industries in the economy. As major consumers of steel, rubber,
plastics, glass, and other basic materials, they create jobs in
industries that produce those materials. The production of motor
vehicles also spurs employment growth in other industries, including
automobile and other motor vehicle dealers; automotive repair and
maintenance shops; gasoline stations; highway construction companies;
and automotive parts, accessories, and tire stores.
Working
Environment
In 2004, about 33 percent of workers in the motor vehicle and parts
manufacturing industry worked, on average, more than 40 hours per week.
Overtime is especially common during periods of peak demand. As in other
industries, professional and managerial workers normally have clean,
comfortable offices and are not subject to the hazards of assembly line
work.
Employment
Motor
vehicle and parts manufacturing was among the largest of the
manufacturing industries in 2004, providing 1.1 million jobs. The
majority of jobs, about 62 percent, were in firms that make motor
vehicle parts. About 23 percent of workers in the industry were employed
in firms assembling complete motor vehicles, while about 15 percent
worked in firms producing truck trailers; motor homes; travel trailers;
campers; and car, truck, and bus bodies placed on separately purchased
chassis.
Although motor vehicle
and parts manufacturing jobs are scattered throughout the nation,
certain states account for the greatest numbers of jobs. Michigan, for
example, accounts for 22 percent of all jobs. Combined, Michigan, Ohio,
and Indiana include 46 percent of all the jobs in this industry. Other
States that account for significant numbers of jobs include California,
Tennessee, Texas, Kentucky, and Missouri.
Employment is
concentrated in a relatively small number of very large establishments.
About 73 percent of motor vehicle and parts manufacturing jobs were in
establishments employing 250 or more workers. Motor vehicle
manufacturing employment, in particular, is concentrated in large
establishments, whereas many motor vehicle parts manufacturing jobs are
found in small and medium-sized establishments.
Degree
Paths into this Industry
Prior
to assembling components in the manufacturing plant, extensive design,
engineering, testing, and production planning go into the manufacture of
motor vehicles. These tasks often require years to complete and cost
millions of dollars.
Using artistic talent,
computers, and information on product use, marketing, materials, and
production methods, commercial and industrial designers create designs
they hope will make the vehicle competitive in the marketplace.
Designers use sketches and computer-aided design techniques to create
computer models of proposed vehicles. These computer models eliminate
the need for physical body mockups in the design process because they
give designers complete information on how each piece of the vehicle
will work with others. Workers may repeatedly modify and redesign models
until the models meet engineering, production, and marketing
specifications. Designers working in parts production increasingly
collaborate with manufacturers in the initial design stages to integrate
motor vehicle parts into the design specifications for each vehicle.
Engineers
-- who form the largest professional contingent in the industry -- play
an integral role in all stages of motor vehicle manufacturing. They
oversee the building and testing of the engine, transmission, brakes,
suspension, and other mechanical and electrical components. Using
computers and assorted models, instruments, and tools, engineers
simulate various parts of the vehicle to determine whether each part
meets cost, safety, performance, and quality specifications. Mechanical
engineers design improvements for engines, transmissions, and other
working parts. Electrical and electronics engineers design the vehicle's
electrical and electronic systems, as well as industrial robot control
systems used to assemble the vehicle. Industrial engineers concentrate
on plant layout, including the arrangement of assembly line stations,
material-moving equipment, work standards, and other production matters.
Under the direction of
engineers, engineering technicians prepare specifications for materials,
devise and run tests to ensure product quality, and study ways to
improve manufacturing efficiency. For example, testing may reveal how
metal parts perform under conditions of heat, cold, and stress, and
whether emissions-control equipment meets environmental standards.
Finally, prototype vehicles incorporating all the components are built
and tested on test tracks, on road simulators, and in test chambers that
can duplicate almost every driving condition, including crashes.
Computer systems
analysts work with computer systems to improve manufacturing efficiency.
After working out the many details involved, computer specialists help
put in place the machinery and tools required for assembly line
production of the vehicle.
Industry
Forecast
Overall
wage and salary employment in the motor vehicle and parts manufacturing
industry is expected to increase by 6 percent over the 2004-14 period,
compared with 14 percent for all industries combined. While employment
in motor vehicle manufacturing is expected to grow very slowly, firms
manufacturing motor vehicle parts, bodies, and trailers are expected to
add more jobs. Employment is expected to increase by only 2 percent in
motor vehicle manufacturing, with increases of 6 percent in motor
vehicle parts manufacturing and 8 percent in motor vehicle body and
trailer manufacturing.
Growth in firms that
manufacture motor vehicle parts, bodies, and trailers will generate many
job openings, as will the departure of workers who retire or transfer to
jobs in other industries. Not all of the motor vehicle manufacturing
workers who leave the industry will be replaced, however, and many of
the new workers will be hired for occupations different from those
vacated by departing employees.
Employment in the
motor vehicle and parts manufacturing industry is expected to grow with
demand for motor vehicles and parts, but jobs will be lost due to
productivity increases. The growing intensity of international and
domestic competition has increased cost pressures on manufacturers. In
response, they have sought to improve productivity and quality with
high-technology production techniques including computer-assisted
design, production, and testing. Increasing productivity should meet
much of the demand created by the increasing output of the motor vehicle
and parts manufacturing industry, resulting in slow job growth.
Moreover, the industry is increasingly turning to contract employees in
an effort to reduce costs.
Expanding
factory automation, robotics, efficiency gains, and the need to cut
costs are expected to keep employment from growing as fast as output.
Increases in efficiency and automation will cause employment declines in
some occupations, particularly in production occupations. Employment of
office and administrative support workers will decline due to expanding
office and warehouse automation. Automation and continued global
competition, however, are expected to produce job growth for industrial
engineers, industrial production managers, business operations
specialists, and computer specialists. Manufacturers will increasingly
turn to these workers for further innovation in reducing costs and
enhancing competitive advantage.
Related
Degree Fields
Professional
Associations
Note: Some resources in this section are provided by the US Department
of Labor, Bureau of Labor Statistics.
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