Why many small manufacturers are better than a few big ones

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We all know how important manufacturing is to the Capital Region (Carson, Douglas, Lyon and Storey counties). Manufacturing is primary job creation, community investment, advancement of technology, and the overall "multiplier effect."


Manufacturing jobs create service (financial, education, insurance, health care, real estate) and retail jobs. This is the main reason Nevada Business Connections (NBC) recruits and helps existing manufacturers to expand. "We are not the experts, but we know who they are," is the NBC slogan.


Over 350 manufacturing firms make their products in the Capital Region. This designates us as the manufacturing center of the state. Per capita, Carson, Douglas, Lyon and Storey counties have a manufacturing employment base of 14 percent. And, manufacturers love to be around other manufacturers. Their key reasons are simple: employee development, common allegiance, suppliers, support services and technological advancement.


The 20 core manufacturing sectors or clusters in the Capital Region include: auto parts, aerospace, composites/plastics, construction materials, computers, electronics, foundries, food/supplements processing, chemicals, mechanical/medical instrumentation, transportation equipment, machine shops, metal fabrication, sporting goods and warehouse/distribution.


Surprisingly, we have 80 companies who are metal/machining operations, 30 firms in construction materials and 25 businesses in electronics. Overall, manufacturers employ 4,000 people in the Capital Region. We want these businesses to interact with each other " do business locally.


NBC wants to "Diversify our Diversification." We would much rather have ten 10-employee operations in our economy than one 100-employee company. Because our philosophy is, if one out of ten 10-employee companies fail, it is not a major economic impact to the community. Chances are, one out of the ten 10-employee businesses will expand. One 100-employee operation is a greater risk.


One of the most important and effective tools we use to persuade new businesses to relocate and assist existing companies to grow and prosper is the NBC Manufacturers Directory. This Manufacturers Directory is currently supported by the Nevada Small Business development Center (NSBDC), the Nevada Appeal, Gold Hill Publishing and Sierra Pacific Power Company. The publication is intended to showcase our manufacturing companies, their products, size (employees/square feet), and the opportunities that they provide to our economy and community.

A hearty thank you to this vital and important industry sector in our economy.


Kris Holt is executive director of Nevada Business Connections, which is working to attract businesses to the capital region.