• SME ER96-165
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SME ER96-165

  • The Changing Nature Of Manufacturing Costs
  • standard by Society of Manufacturing Engineers, 06/01/1996
  • Publisher: SME

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US manufacturing costs are changing--away from direct labor to overhead and infra structure costs. Some of these are internal to the firm in the form of high staff expenses and other costs of doing business. But, the most rapidly escalating costs are external for the firm in the form of higher legal costs, governmental costs, financing costs and costs for required services. As the nation's cost structure has shifted, these extraordinarily high costs, which are much higher than those of our competitors, have compromised the ease with which US producers can compete effectively in international trade.

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