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AdvancedManufacturingandSustainableInnovation:
TheThirdWaveofIndustrialandUrbanEconomicGrowth
forMinasGerais
AReporttotheFederationofIndustriesofMinasGerais(FIEMG)
byGlobalUrbanDevelopment(GUD)
October2012
ExecutiveSummary
MinasGeraishassucceededinitsfirstcentury‐longwaveofeconomicgrowth
throughindustrializationandurbanization,madegreatstridesoverthepastdecade
inthesecondwaveofeconomicgrowththroughrisingincomesandgrowing
consumerdemand,andisnowpoisedforathirdwaveofgloballycompetitive
prosperityandproductivitydrivenbySustainableInnovation.MinasGeraisalready
hasdevelopedseveralnewSustainableInnovationPipelines,frombiomedicalto
informationtechnology.ThenextgreatsurgefortheThirdWave,thenewestand
mostdynamicandproductiveSustainableInnovationPipelineforMinasGerais,will
beinAdvancedManufacturing.BrazilcancompetedirectlywithAdvanced
Manufacturingpublicpoliciesandprivatecompaniesthroughouttheworld;and
MinasGeraiscanbecomeoneofBrazil’snationalleadersinthisrapidlygrowing
industrialtechnologyfield.
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GUDrecommendsthatFIEMGcollaboratewithCETECandSENAI,focusingonthe
CETECanditssurroundingarea,includingCarlosPratesAirport,asakeyanchorfora
statewideAdvancedManufacturingSustainableInnovationStrategy,tobe
implementedthroughthesixkeyinitiatives:
1) AdvancedManufacturingSustainableInnovationCenter
2) AdvancedManufacturingBusinessAccelerator
3) AdvancedManufacturingTechnologyIndustrialPark
4) AdvancedManufacturingBusinessAdvisoryServices
5) AdvancedManufacturingSkillsTraining
6) AdvancedManufacturingSustainableInnovationZone
Inthefollowingpages,GUDprovidesadetailedexplanationofthepossibilitiesand
opportunitiesofanAdvancedManufacturingSustainableInnovationStrategy;an
overviewofthestrategicimplementationframeworkforeachofthesixkey
initiatives;andnumerousinternationalbestpracticesandothermajorexamples.In
addition,GUDbrieflyhighlightstwootherpotentialinitiativestobeconsideredinthe
nearfuture:GlobalBranding,andGiftsofNature.
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Introduction
InJune2011,membersofFIEMG’sYouthCouncil,representingFIEMGPresident
OlavoMachadoJunior,askedGlobalUrbanDevelopment(GUD)toprovidestrategic
adviceforthe“Innovation‐LedEconomicTransformationofMinasGerais”overthe
nextseveraldecades.GUDagreedtoassist,andincollaborationwithFIEMG’s
EuvaldoLodiInstitute(IEL),beganworkontheYouthCouncilinitiativeinMarch
2012.Overthenexthalfyear,GUD’steamcarefullyrevieweddozensofdocuments
andreportsfromFIEMG,ACMinas,andotherbusinessorganizations,fromtheState
Governmentandotherpublicagencies,fromconsultants,academics,international
entities,andcivicgroups.Inaddition,overafive‐weekperiodofvariousGUDexperts
visitingMinasGeraisandinthemonthsthatfollowed,wehavemetwithand
interviewedmorethan100keyleadersandstakeholdersfromthroughoutMinas
Gerais,includingmanypeopleinBeloHorizonte.
Byengaginginthesenumerousinterviews,theGUDteamlearnedmanyimportant
lessonswithrespecttothevitalindustrialleadershiproleofFIEMG,andwelearneda
greatdealofinformationaboutawiderangeofrecenteconomicdevelopment
initiatives,includingtheeffortstostrengthenindustryclusters,buildinganew
IndustrialAirportandTechnologicalIndustrialParkattheTancredoNeves
InternationalAirportinConfins,investinginmajormetropolitanandstatewide
transportationinvestments,promotingthe2014WorldCupandinternational
tourism,andmuchmore.Inaddition,weanalyzedthe20thcenturyevolutionof
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economicdevelopmentofMinasGerais,throughdetailedhistoricalstudiessuchas
TropicalCapitalism:TheIndustrializationofBeloHorizonte,Brazil.
ThisreportwaswrittenbyDr.MarcWeiss,GUDChairmanandCEO:NancySedmak‐
Weiss,GUDSecretary‐TreasurerandChiefLegalOfficer;andIanBromley,GUDSenior
Fellow.MembersoftheGUDteamdoingresearchandparticipatingininterviewsand
sitevisitsincludedPaulKrutko,GUDSeniorFellow;JamesNixon,GUDPresident;
EmiliaQueiroga,GUDSeniorFellow;ErnaniMachado,GUDDirectorofTechnology
Research;Dr.ElaineYamashitaRodriguez,GUDSeniorFellow;EllyaJeffries,GUD
Fellow;AlexandreMichalick,GUDFellow;CelesteFarias,GUDFellow;andBrittany
Jenkins,GUDFellow.
WewanttothankFIEMGPresidentOlavoMachadoJr.;IELDirectorMauricio
Tiburcio;FIEMGYouthCouncilPresidentDanielJunqueira(andtheentireYouth
Councilleadership);FabioVeras,DeputySecretaryofEconomicDevelopmentforthe
StateofMinasGerais;andMauroBorgesLemos,PresidentoftheBrazilianAgencyfor
IndustrialDevelopment(ABDI).
AdairMarques,IELExecutiveAdviser,organizedallofthemeetings,accompaniedus,
introducedus,andtranslatedforus.Hehasbecomeourspecialcolleagueand
collaborator,andweareverygratefulforhiswiseadvice,graciousassistance,and
warmandcaringfriendship.
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TheFirstWave:IndustrializationandUrbanizationThroughthisintensiveresearchprocesswehavelearnedagreatdealaboutthe
strongbusiness‐governmentcollaborationthatgeneratedsubstantialeconomic
growththroughindustrializationandurbanization,whichwecalltheFirstWave,
datingbacktotheplanningandbuildingofBeloHorizonteasanewstatecapital
beginninginthe1890s,butespeciallysincethe1940sand50s,whenJuscelino
KubitschekservedfirstasMayorofBeloHorizonte,thenasGovernorofMinasGerais,
andfinallyasPresidentofBrazil.ThisFirstWavewasdrivenbymanykeystrategic
publicandprivateinvestmentsandactions,including:
Creatingamajorenergycompany,CEMIG,togenerateanddistributehigh
volume,low‐cost,hydropower‐basedelectricity.
EstablishingtheDevelopmentBankofMinasGerais(BDMG),toprovidecapital
forattractingandexpandingmanufacturingindustries.
Designingastatewideeconomicdevelopmentsystem,includingINDIand
FundacaoJoaoPinheiro,topromotedomesticandinternationalprivate
investmentingrowingMinascompanies.
Buildingatransportationinfrastructureofmajorroadsandhighwaysforcars
andtrucks,andafreightrailsystemfortransportingironoreandother
minerals,whichinadditiontopromotingexportstotherestofBraziland
aroundtheworld,alsohelpedfosterandsupportalocalironandsteel
industry.
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DevelopingBeloHorizonteasamoderncityandmetropolitanregion,bothfor
manufacturingandforbusinessservices,includingthepioneeringCidade
Industrial,whichgavebirthtoamajorindustrialcenterspreadingwestfrom
thecitytoBetimandContagem.
Creatinganadvancedhighereducationsystem,withleadingengineeringand
industrialdevelopmentexpertsgraduatingfrommanykeyinstitutions,
includingtheSchoolofMinesattheFederalUniversityofOuroPreto(UFOP)
andtheFacultyofEconomicScienceattheFederalUniversityofMinasGerais
(UFMG).
AttractingamajorFiatassemblyplantandcreatingasubstantiallocalsupply
chainofautopartsmanufacturers.Buildingonthisstrongfoundation,
expansionofthemotorvehiclesindustryinMinasGeraiscontinuestoday,
includingtherecentrecruitmentofMercedes‐BenztoJuizdeFora.
Attractingseveralmajormultinationalsteelproducers,enablingMinasGerais
tomoveupthevaluechainbyusingironoretoexpandmetal‐basedindustries,
insteadofexportingalloftherawiron.
Expandingagricultureandminingproductivityandtechnologywiththehelp
ofadvancedresearchthroughMinasGeraisuniversities,EPAMIG,CETEC,and
otherinstitutions.
Growingbusinesses,jobs,andincomesincement,chemicals,foodand
beverageprocessing,clothingandtextiles,leathergoodsandfootwear,wood
andmetalfurniture,electricalandmechanicalequipment,andother
manufacturedproducts.
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Improvingskillstrainingandworkforcedevelopmenttohelpsupportindustry
expansionthroughSENAI,SESI,andrelatededucationalorganizations.
TheSecondWave:RisingIncomesandGrowingConsumerDemand
StrategicinvestmentsmadeduringtheFirstWaveeventuallyborefruit,suchthatby
the1990s,onceBrazil’snationalcurrencyanddebtproblemsfinallystabilized,Minas
Geraiswaspoisedforamajorgrowthspurt.ThisbroughtontheSecondWaveofthe
pastdecade,whenBrazilhasexperiencedmajoremploymentandincomegrowth.An
export‐ledboomofironore,soya,coffee,andothercommoditieshasincreased
overallincomes,plusvariousfederalgovernmentinitiativeshavehelpedto
substantiallyraisethestandardoflivingforlowerincomefamilies.Suchdramatic
changehasresultedinrisingconsumerspendingforagrowingrangeofproducts,
includinglocallyproducedgoodsandservices,furthercontributingtobusinessand
employmentexpansion.RealaverageincomeintheBeloHorizontemetropolitan
regionroseby46percentfrom2006through2010.AsasymbolofthisSecondWave
boostindisposableincomeandconsumerdemand,BeloHorizonterecentlyopened
BoulevardShopping,athrivingmulti‐levelretailmall.
TheThirdWave:AdvancedManufacturingandSustainableInnovation
HavingsuccessfullynavigatedtheFirstandSecondWavesofindustrialandurban
economicgrowth,MinasGeraisisnowrapidlymovingforwarddownthepathofthe
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ThirdWaveofenhancedprosperityinthe21stcentury,drivenbySustainable
Innovation.SustainableInnovationisthekeytopromotingadvancedtechnologies,
laborandenergyproductivity,andglobalcompetitivenesstoexpandbusinesses,
increasejobs,raiseincomes,strengthenfamilies,andimprovecommunities.
SustainableInnovationwillenableMinasGeraisto“moveupthevaluechain”by
producingandsellinghighervalue‐addedgoodsandservicesthatwillgenerate
greateradditionalrevenues,incomes,andprofits.GUDusestheterm“Sustainable”to
reflectbothofitsmeanings:1)creatingaself‐sustaining,momentum‐building
dynamicofpositive,continuous,long‐term,andbroad‐basedeconomicgrowthand
prosperity;and2)generatingprosperityandqualityoflifebyconservingandreusing
resourcesmuchmoreefficientlyandinfargreaterharmonyandbalancewith
ecosystemcyclesandthenaturalenvironment.
MinasGeraisalreadyhasdevelopedandiscurrentlyimplementingaSustainable
Innovationeconomicgrowthstrategy,whichisthoroughlysummarizedinthe58‐
pagepublication,InnovateinMinas,publishedin2010bytheSecretaryofStatefor
Science,Technology,andHigherEducation,andtheSecretaryofStateforEconomic
Development.TheInnovationInstitute,onemanynewstart‐upcompaniesspawned
byUFMGresearchers,producedthisexcellentandcomprehensivereportasa
consultanttotheStateGovernment.InnovateinMinasprovidesdetailedinformation
aboutwhatGUDcallsthe“FundamentalAssets”–inparticularthemanyinstitutions
andinitiativesthataretheenginesofSustainableInnovationforMinasGerais,
including11federaluniversities,twostateuniversities,ninetechnologicalinstitutes,
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11advancedtechnologyindustrialparks,25businessincubators,47technological
vocationalcenters,appliedresearchandR&DfundingfromFAPEMIGandother
agencies,financialsupportfromBDMGaswellasfromtheFederalGovernment
throughFINEPandBNDES,early‐stageventurefinancingfromlocalfirmssuchasFIR
CapitalandInseedInvestments.Allofthesediverseactivitiescomewithagreatdeal
ofprivatesectorparticipationandresourcesprovidedthroughanextensivesystemof
collaborativepartnerships.
ThemainpurposeofalltheseactivitiesistocreateacomprehensiveSustainable
InnovationPipelinethatmovescontinuouslythroughallofthestagesofinnovation:
basicandappliedresearch,researchanddevelopment(R&D)andprototyping,
patentingandtechnologytransfer,commercializationofnewproductsand
productionprocesses,formationofnewbusinessstart‐ups,dynamictransformation
ofexistingcompanies,businessandemploymentexpansionandincomegrowth.
SustainableInnovationPipelinesaremosteffectivewhentheyfunctionasongoing
andlong‐termnon‐linearcircularfeedbackloops,withinnovativeideasand
informationflowingback‐and‐forthcontinuouslybetweenindustrialandcommercial
producersandacademic,business,andgovernmentresearchers.Also,whileitis
importantforSustainableInnovationtohelpcreateandgrownewbusinesses,itis
evenmorevitalforSustainableInnovationtomodernizeandstrengthenexisting
companies,especiallysmallandmedium‐sizedenterprises(SMEs).ForSustainable
InnovationPipelinestosucceed,theyrequiresubstantialpublicandprivateresources
foradvancedresearch,forbusinessfinancing,forkeyinfrastructureinvestmentsto
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facilitatemarketaccess,forqualityeducationandworkforcetraining,forsupportive
regulatoryandtaxpolicies,andformanyothervitalneeds.
Fortunately,MinasGeraisalreadyisdevelopingseveralSustainableInnovation
Pipelines.Oneofthemostdynamicisthepipelinethatstartswithfaculty,staff,and
studentresearchatUFMG,whichisoneofthetopgraduateresearchuniversitiesin
BrazilandLatinAmerica.ThetwoprincipalstreamsoftheUFMGpipelineareinthe
biomedicalandsoftwarefields,orbiotechnologyandinformationtechnology(IT).
ThisSustainableInnovationPipelineincludesUFMG’sOfficeofInnovationand
TechnologyTransfer,theInovabusinessincubator(on‐campus),theBiominas
HabitatandFUMSOFTbusinessincubators(off‐campus),andtherecentlylaunched
businessaccelerator,theBeloHorizonteTechnologyPark(BH.Tec),attheedgeof
UFMG’scampus.
UFMG’sSustainableInnovationPipelinealreadyhashelpedgeneratemanynew
companies,suchasLabtest,arapidlygrowingfirminthebiomedicaldiagnostic
testingfieldwithresearchactivitiesnewlylocatedatBH.Tec,andmuchlarger
productionfacilitiesinVespasianoneartheairport.Anothersuccessfulspinofffrom
UFMGisAkwan,aninnovativesoftwarebusinessinBeloHorizonte.Googleacquired
Akwanin2005andconvertedittoGoogle’sBrazilianResearchandDevelopment
centerandLatinAmericanNewBusinessDevelopmentheadquarters.
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NearGoogleis“SanPedroValley”withmorethan50newtechnologycompaniessuch
asSambaTech,developerofthelargestonlinevideoplatforminLatinAmerica.Belo
Horizonte’sSaoPedrodistrictisbecomingamagnetforyoungITentrepreneurslike
SambaTech’sfounderandCEO,GustavoCaetano,whoisPresidentoftheBrazilian
AssociationofStartups.
InadditiontotheUFMGpipeline,thereareotherSustainableInnovationPipelines
centeredaroundmajoruniversitiesandnearbytechnologyparksthroughoutMinas
Gerais,includingVicosa,Lavras,Uberlandia,JuizdeFora,OuroPreto,andItajuba.
ThispipelinealsoincludestheInatelandProintecbusinessincubatorsinSantaRita
doSapucai,focusingonelectronics,telecommunications,informationtechnology,and
relatedfields.Italsoincludesmanyadditionalinstitutions,suchasthe
internationallyrecognizedbusinessschool,FundacaoDomCabral(FDC)inNova
Lima,theFerrous‐InhotimEnvironmentalResearchandEducationCenterin
Brumadinho,Fiat’sGiovanniAgnelliDevelopmentCenterinBetim,Embraer’snew
CenterforAerospaceTechnology(CCTA)inLagoaSanta,FiocruzinBeloHorizonte,
theplannedTechnologyCity(CITAT)inAraxa,theproposedMedicalCityprojectin
SantaLuzia,andJMMTech’sMinasGeraisStateGovernment‐fundedprojectin
Aracuaidesigningandassemblinginnovativenewsustainabletechnologiesto
improveagriculturalproductivityintheJequitinhonhaValley,amongothers.
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AdvancedManufacturing:TheNextSustainableInnovationPipelineforMinas
Gerais
GiventhelargenumberofMineiromanufacturersandrelatedbusinessesinthe
manufacturingsupplychain,especiallyinmetal‐mechanical‐electrical‐electronic
machinesandequipmentindustries,thenextmajorSustainableInnovationPipeline
forMinasGeraisshouldbeintheleading‐edgetechnologyfieldsofAdvanced
Manufacturing.FIEMGisparticularlywellsuitedtoprovideexcellentleadershipfor
AdvancedManufacturing,givenitsextensiveengineeringandindustrialexpertise,
anditssubstantialmembershipofmanufacturingandrelatedbusinesses.Advanced
ManufacturinginMinasGeraiswillbecomeoneofthemainenginesofSustainable
Innovation,bothintermsofnewhigh‐valuetechnologiesthatcreatesuccessfulstart‐
upcompanies,andmoreimportantly,bydynamicallyimprovingtheinnovation
capacity,productivity,globalcompetitiveness,andsustainabilityofthousandsof
existingfirms.AfocusonAdvancedManufacturingwillbeavitalinvestmentin
growingbusinesses,jobs,andincomesforMinasGerais,anditwillenablethestate’s
economy,especiallyitsindustrialbase,tobecomemuchstrongerandmore
competitiveoverthelongterm.
AccordingtotheUSPresident’sCouncilofAdvisorsonScienceandTechnologyand
theExecutiveOfficeofthePresident,“Advancedmanufacturingisafamilyof
activitiesthat(a)dependontheuseandcoordinationofinformation,automation,
computation,software,sensing,andnetworking,and/or(b)makeuseofcuttingedge
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materialsandemergingcapabilitiesenabledbythephysicalandbiologicalsciences,
forexamplenanotechnology,chemistry,andbiology.Itinvolvesbothnewwaysto
manufactureexistingproducts,andthemanufactureofnewproductsemergingfrom
newadvancedtechnologies....Advancedmanufacturingencompassesallaspectsof
manufacturing,includingtheabilitytoquicklyrespondtocustomerneedsthrough
innovationsinproductionprocessesandinnovationsinthesupplychain.As
manufacturingadvances,itisincreasinglybecomingknowledge‐intensive,relyingon
informationtechnologies,modeling,andsimulation.Manufacturersarealso
increasinglyfocusingonenvironmentallysustainablepracticesthatleadtoimproved
performanceandreducedwaste….Alreadytoday,weseeexamplesofnew
manufacturingtechnologiesemergingfromresearchlaboratoriesthatwillhavea
disruptiveeffectonthewaythingsaremade.Examplesincludenovelnano‐
manufacturingtechnologiesthatreducethecostofcapitaldramatically,bio‐
manufacturingandseparationmethodsthatlowertheenergyconsumptionof
conventionalprocesses,innovativeadditiveprocessesandmaterialsthatreduce
waste,andintelligentmanufacturingtoolsandmethodsthatreducehazards,
optimizesupplychains,andmaximizeyields.”
Advancedmanufacturingisnowthe“nextbigthing”inhightechnology,amajorfocus
ofnationalSustainableInnovationpolicyinitiativesinmanycountriesthroughoutthe
world.InGermany,advancedmanufacturingispartoftheappliedindustrialR&D
agendaofthenumerousFraunhoferInstitutesthatarefinanciallysupportedby
privateindustryandbytheFederalandStateGovernments.Othernationalmodelsof
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thistypesofengineeringandscienceadvancedtechnologyappliedindustrial
researchandbusinessdevelopmentincludeDenmark’sGTSAdvancedTechnology
Group,Japan’sNationalInstituteofAdvancedIndustrialScienceandTechnology
(AIST),France’sCarnotInstitutes,SouthKorea’sElectronicsandCommunications
ResearchInstitute(ETRI),Finland’sVTTTechnicalResearchCentre,Sweden’s
GovernmentalAgencyforInnovationSystems(VINNOVA),China’sTorchHigh
TechnologyIndustryDevelopmentCenter,andTheNetherlandsOrganizationfor
AppliedScientificResearch(TNO).
IntheUK,thenationalgovernment’sTechnologyStrategyBoardispromotingand
investinginaHighValueManufacturingCatapult,which“providesanintegrated
capabilityandembracesallformsofmanufactureusingmetalsandcomposites,in
additiontoprocessmanufacturingtechnologiesandbio‐processing.Itdrawson
excellentuniversityresearchtoacceleratethecommercializationofnewand
emergingmanufacturingtechnologies.”
ThroughtheUK’sHighValueManufacturingCatapult,whichwaslaunchedinOctober
2011,“sevenpartnersareworkingtogethertoformthenewCatapultcentre,bringing
togethertheirexpertiseindifferentandcomplementaryareasofhighvalue
manufacturing.”TheUKGovernmentisinvesting200millionGBPintheseven
partners,includingtheAdvancedManufacturingResearchCentrewithBoeingatthe
UniversityofSheffield,focusingonhighperformancemachining,automated
assembly,advancedcompositesandautomatedprocesses,structuralintegritytesting,
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andvirtualrealitymodelingofprocessesandsystems;theNuclearAdvanced
ManufacturingResearchCentreattheUniversitiesofSheffieldandManchester,
focusingonfabricationofnuclearenergycomponents;theManufacturingTechnology
CentreinCoventry,focusingonnetshapemanufacture,intelligentautomation,
advancedtoolingandfixturing,advancedjoiningtechniques,systemmodelingand
operationalefficiency,andelectronicsassembly;theAdvancedFormingResearch
CentreattheUniversityofStrathclydeinGlasgow,focusingonbilletforging,sheet
forming,andprecisionforging;theNationalCompositesCenterattheUniversityof
Bristol,focusingondesignandmanufactureofcomposites;theCentreforProcess
InnovationinWiltonandSedgefield,focusingonchemicalprocessing,biotechnology,
andprintableelectronics;andtheWarwickManufacturingGroupattheUniversityof
WarwickinCoventry,focusingonlightweightproductsystemoptimization,energy
storageandmanagement,anddigitalverificationandvalidation.
TheAdvancedManufacturingprocessesthatarepartoftheCatapultareusedina
varietyofindustriesincludingaerospace,automotive,energy,biotechnology,and
electronics.TheUKGovernmentforecaststhattheirstrategicinvestmentwill
leverageanaddition2billionGBPinAdvancedManufacturingR&Doverthenext
decade,andthecreationof3,000newengineeringresearchpositionsattheseven
centers.Intheyearsahead,theCatapultalsowillbeconductingR&Donhigh‐
performancebatteriesforelectricvehicles,off‐shorewindturbines,anewgeneration
ofnuclearpowerplants,andanewgenerationoffuel‐efficientpassengerairplanes.
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PerhapsthemostambitiouscurrenteffortisintheUS,wherePresidentObama’s
Administrationhasengagedinanextensivetwo‐yearprocessledbytheWhiteHouse
OfficeofManufacturingPolicy,co‐chairedbytheDirectoroftheNationalEconomic
CouncilandtheSecretaryofCommerce,bytheWhiteHouseOfficeofScienceand
TechnologyPolicyandthePresident’sCouncilofAdvisorsonScienceand
Technology/President’sInnovationandTechnologyAdvisoryCommittee,and
especiallybythenewlyestablishedAdvancedManufacturingPartnership,co‐chaired
bythePresidentofMITandtheChairmanandCEOofDowChemical,withmany
distinguishedcorporateCEOsanduniversitypresidentsservingontheSteering
Committee.Inaddition,manyscientists,engineers,professors,industrial
researchers,andmanufacturingentrepreneursandsuppliersfromlarge,medium‐
sized,andsmallbusinessesareparticipatinginthisimportantandinnovative
advancedtechnologyinitiative.ItalsoinvolvestheAdvancedManufacturingNational
ProgramOfficeattheNationalInstituteofStandardsandTechnology(NIST)and
relatedprogramsattheDepartmentofEnergy,DepartmentofDefense,National
AeronauticsandSpaceAdministration(NASA),SmallBusinessAdministration,
NationalScienceFoundation,andseveralotherfederalagencies,includingthe
EconomicDevelopmentAdministration’sJobsandInnovationAcceleratorChallenge.
AccordingtoDr.PhillipSingerman,NIST’sAssociateDirectorofInnovationand
IndustryServices,NIST’sAdvancedManufacturingNationalProgramOffice“was
establishedtocoordinatefederalagencyeffortstoacceleratethepaceofinnovation,
promotetechnologytransfer,andmorerapidlyintegratetechnologybreakthroughs
intothecommercialmarket.”
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Duringthepastyeartherehavebeentwomajorreportsemergingfromthispublic‐
privatepartnershippolicyprocess:ReporttothePresidentonCapturingDomestic
CompetitiveAdvantageinAdvancedManufacturing(July2012),andANational
StrategicPlanforAdvancedManufacturing(February2012).Thesereports
emphasizethevitaleconomicroleofmanufacturinginpromotinginnovation,
productivity,andcompetitiveness,duetothemajorcontributionofmanufacturing
firmstoindustrialandcommercialR&D(70percentofallprivatesectorresearchand
developmentspendingcomesfrommanufacturers),andespeciallybecauseofthe
veryhighmultiplierimpactsofmanufacturingingeneratingmuchlargerincreasesin
overallemploymentandoutputthroughoutthenationaleconomy,including
suppliers,services,andsales.Thereportshighlight“Theimportanceof
manufacturingtoemploymentisnotmeasuredbysimplycountingthenumbersof
productionworkers.Theproductionstageaffectsemploymentthroughoutlong
productvaluechains,fromtheinnovationandinputstagesforproductdesignand
productionincludingresources,components,andsuppliers,totheoutputstages
includingdistribution,sales,andthemaintenanceandrepairlifecycleforthe
product.Totalemploymentformanufacturing,andthereforeitseconomicimpact,is
muchbiggerthansimplythoseengagedattheproductionmomentitself.”
Further,thereportsarguethatinordertoobtainthehighestpossibleeconomic
benefitsfromSustainableInnovation,itisnecessarytolocatemanufacturingresearch
anddevelopment(R&D)activitiesincloseproximitytofactoriesandindustrial
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productionfacilities,inordertomaximizethedirectinteractionandtwo‐wayflowof
informationandideasthatwillgeneratenewinnovationsbothinproduction
processesandinnewtechnology‐basedproducts:“Productinnovationismost
effectiveandefficientwhencoupleswithintimateknowledgeandcontroloverthe
manufacturingprocess.Hence,thedesignoftheproductinherentlyinvolvesthe
designofthemanufacturingprocessbywhichtheproductwillbemade.Thetwoare
inseparable:severingthem,asisbeingdoneincreasinglyoften,hasaveryadverse
effectoneachbecausetheyaresointerdependent.”AsNISTSeniorEconomist
GregoryTasseyarguesinTheTechnologyImperative:TheFutureofR&DPolicy,“The
issueofco‐locationofR&Dandmanufacturingisespeciallyimportantbecauseit
meansthevalue‐addedfrombothR&Dandmanufacturingwillaccruetothe
innovatingeconomy,atleastwhenthetechnologyisinitsformativestages.”
TheAdvancedManufacturingPartnership(AMP)intheUSengagedwithmanykey
groups,includingtheCouncilonCompetitiveness,InformationTechnologyand
InnovationFoundation,NationalAssociationofManufacturers,andInternational
EconomicDevelopmentCouncil,tonamejustafew.Moreimportantly,theAMP
conductedextensiveoutreach,boththroughamajornationalsurveyofexperts,and
throughhighlyparticipatoryregionalexpertmeetings,toidentifythemost
technologicallysignificantandeconomicallyrobustfieldsofadvancedmanufacturing
topromoteandsupportwithgreaterpublicandprivatefinancialresources.In
particular,threemajornationalorganizationsencouragedtheirmemberstoprovide
answerstothesurveyquestions:theManufacturersAllianceforProductivityand
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Innovation,representinglargeprivatemanufacturers;theNationalCenterfor
ManufacturingSciencesrepresentingsmallandmedium‐sizedmanufacturing
enterprises(SMEs);andtheAssociationofPublicandLand‐GrantUniversities,
representingprofessorsandacademicresearchers.Theresultsofthesurveys,
interviews,andregionalmeetingswasclearagreementaboutthe11mostpromising
andimportantareasofAdvancedManufacturingtobeemphasized,andsomeofthese
thataremostrelevanttothecurrentcapabilitiesofMinasGeraisshouldbethe
startingpointforFIEMG’sAdvancedManufacturinginitiatives.Whatfollowsisavery
longanddetailedquotefromtheJuly2012report:
“AdvancedSensing,Measurement,andProcessControl(includingCyber‐Physical
Systems):Thissetoftechnologieshasapplicabilityacrossalmostallindustry
domains.Thesetechnologiesarecriticalforenhancingtradabilitybywayofend‐to‐
endsupplychainefficiency(e.g.,lowcostandpervasivesensorsinplantsand
logisticssystems,automaticcontrolandcoordinationofsystems‐of‐systems).In
addition,megatrendsofenergyandresourceefficiency,bettersafety,andhigher
qualityalsodependhighlyonadvancesinsensingandautomaticprocesscontrol.
Finally,emergingtechnologiessuchasnanomanufacturingandbiomanufacturing
needspecializedsensorsandcontrolmodels.”
“AdvancedMaterialsDesign,Synthesis,andProcessing:Thesetechnologiesincludethe
designandsynthesisofsmallmolecules,nanomaterials,formulatedsolutions,
coatings,composites,andintegratedcomponents(e.g.,photovoltaicdevices).They
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entailintegrationofcomputationalmodeling,state‐of‐the‐artsynthesistools(e.g.,
highthroughput),andadvancedresearchanalytics(e.g.,materialsgenome).Almost
allthemegatrendsforthefuture—energyefficiencyoralternateenergydevices,new
materialstocounterresourceshortages,next‐generationconsumerdevices,andnew
paradigmsinchemicalsafetyandsecurity—dependheavilyonadvancedmaterials.
Advancedmaterialswillfuelemergingmulti‐billiondollarindustries.”
“Visualization,Informatics,andDigitalManufacturingTechnologies:Thisareaentails
researchfocusedonembeddedsensing,measurementandcontrolsystemsforhighly
corrosive,hightemperatureprocessesimpactingeverythingfromchemicalsynthesis
tolightweightmaterialstoaircraftengines.Italsoincludescontrolsystemsenabling
manufacturingofhighperformance,highlycontrolledstructuresanddevices.Finally,
itentailsmodeling,simulationandvisualizationtechnologiesthatcanoptimizea
productanditsmanufacturinginvirtualspacebeforeactualphysicalproductionis
started(thereforebypassingtime‐consumingandexpensivephysicaltestingand
experimentation).Thedatageneratedcanalsopotentiallysupportconclusions
regardingproductwarrantiesandproductreliability.Examplesofthesetechnologies
includeintegratedenterprise‐levelsmartmanufacturingmethodologies,e.g.,moving
directlyfromcomputational/digitaldesigntochemicalandmaterialsplanning,
purchasing,anddeliverytomanufacturingofcustomizedproductsandcomponents.
Oneaspectdealslargelywithmanufacturingcompetitivenessthroughend‐to‐end
supplychainefficiency—reducedmanufacturingcycletime,lowerworkerinjuryand
illnessrates,higherprocessyields,higherenergyefficiency,etc.—broughtaboutby
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morenetworkedinformation,andthecontrolandmanagementofinformationacross
variousentitiesinthevaluechainspanningmultipleenterprises.Theotheraspect
dealswiththespeedwithwhichproductsaredesigned,manufactured,andbrought
tomarket,whichwillbeakeydifferentiator.”
“SustainableManufacturing:Thisapproachaimstomaximizeeveryatomofmatter
andjouleofenergy.Asakeynationalneed,sustainablemanufacturinginvolves
technologiesandsystemsthatenableoptimalrawmaterial,energy,andresource
utilization,includingareasasdiverseashighperformancecatalysis,novel
separations,andnewreactorandwastemanagementsystems.Amajorareaoffocus
willbeenergyefficientmanufacturing—wherehighenergy‐consuming
manufacturingprocessesneedtobesubstitutedbylowerenergy‐consuming
alternatives.Areassuchasre‐manufacturing(i.e.,usingrecycledcomponents)also
needtoberesearched.Inadditiontosavingsinenergyconsumptionandhigher
profitability,manyaccompanyingbenefitscanaidthecompetitivenessofindustry.”
“Nanomanufacturing:Nanomanufacturingareforecastedtoplayagame‐changing
roleinapplicationsrangingfromhigh‐efficiencysolarcellsandbatteries,
environmentalcontrolthroughnanotech‐basedfilters,andnano‐biosystem‐based
medicalapplicationstonextgenerationelectronicsandcomputingdevices.Similarly,
microstructuresondeviceswillplayakeyroleindeliveringnewfeaturesor
enhancingcurrentfunctionality.Thepossibilitiesarelimitless,butprocessesand
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qualitycontrolsystemsmuchbedevelopedtoreachthefullpotentialof
nanomanufacturing.Thechallengewillbetoscaleupandreducecosts.”
“FlexibleElectronicsManufacturing:Technologiesforflexibleelectronics
manufacturingwillbemajordifferentiatorsinthenextgenerationofconsumerand
computingdevices.Someofthesedevicesareexpectedtobeamongthefastest
growingproductcategoriesoverthenextdecade.”
“BiomanufacturingandBioinformatics:Technologiestoimprovehealthcarewill
requirenewer,moreeffective,andcheapermolecules.Foodsecurityisakeyconcern
ofthefuture,wherebiomanufacturing,proteomics,andgenomicswillplayacritical
role.Inaddition,thistechnologyhastheinherentpotentialtoenableenergy
efficiencyinmanufacturing.Forinstance,itoffersroom‐temperaturesynthesisroutes
thatcanpossiblyreplacecurrenthigh‐temperatureprocesses.Innovationsinthebio‐
nanointerfacesuchasbio‐inspiredmanufacturingusingself‐assemblyhavethe
potentialtosimplifyandscaleupmanycomplexandexpensivenano‐manufacturing
technologiesandmakethemeconomicallyviable.”
“AdditiveManufacturing(including3‐DPrinting):Agrowingapplicationof
manufacturingistheproductionofhighlycustomizedandpersonalizedproducts.
Additivemanufacturing(e.g.,three‐dimensionalprinting)isakeytechnologythat
holdsthispromise.Inaddition,thetechnologyhasseveralcharacteristicsthatenable
uniquecapabilitiesandfeatures.Forexample,multiplematerialscanbeprocessed,
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enablingsmartcomponentstobefabricatedwithembeddedsensorsandcircuitry.
Internalfeaturescanbeproducedthatsignificantlyenhanceperformanceand
thereforedifferentiateproducts(e.g.,internalcoolingchannelsthatareoptimizedfor
thermalperformancethatarenotpossiblewithcurrentmanufacturingtechniques.)
Also,materialscanbeprocessedefficientlywithlittlewaste,enhancingthe
sustainabilityoforganizationsthatadoptadditivemanufacturingtechnologies.”
“AdvancedManufacturingandTestingEquipment:Advancedmanufacturingtakes
placeworldwide.Inthosecaseswhereitoccurs…localfirmscanmaintainsignificant
globalcompetitiveadvantagethroughtheproductionandsupplyofhigh‐value
manufacturingequipment,suchasbioreactors,CNCmachinetools,orotherhigh‐
technologyproductiontools.Beingthesupplierofchoiceforadvancedcapital
equipmentwillcontinuetoyieldadvantagesintermsofinnovationandadvanced
engineering,aswellaseconomicbenefits.”
“IndustrialRobotics:Automationanduseofindustrialrobotsinlabor‐intensive
manufacturingoperations,suchasassembly,productinspection,andtestingcan
enablehighendurance,speed,andprecision.Equallyimportantistheirusein
processinghightemperature,corrosiveandtoxicsubstances,andmaterials.This
technologyhasgreatpotentialtoenhancesafetyandproductivityofthe
workforce…tocompetewithlow‐costeconomies,bothfordomesticandexport
markets.Futureneedsinthisareaarebeingdrivenbytheintersectionofbio‐
nanotechnologiesandtheirassociatedmanufacturingneeds.”
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“AdvancedFormingandJoiningTechnologies:Mostcurrentmechanical
manufacturingprocessescontinuetodependlargelyontraditionaltechnologies,
mainlyformetals,suchcasting,forging,machining,andwelding.Thesetechnologies
willcontinuetobemainstaysoffutureproductionprocesses.However,therearenew
andexpandingneedsforjoiningawidervarietyofmaterialswithgreaterenergy
conservationandresourceefficiency.Inaddition,improvedperformancerequires
continuedinnovationandthesearchfortransformativetechnologiesthatwillhelp
maintaincompetitivenessinindustriesrangingfromtransportationto
infrastructure.”
CETEC‐SENAI‐FIEMGAdvancedManufacturingSustainableInnovationStrategy
FIEMG,incollaborationwithCETEC(TechnologicalCenterofMinasGerais),SENAI
(NationalIndustrialTrainingService),andCNI(NationalConfederationofIndustry),
shouldprovideleadershipforanAdvancedManufacturingSustainableInnovation
StrategyforMinas,basedattheCETECsiteinBeloHorizonte.Thisnewinitiativewill
bedesignedtosafelyandeffectivelyguideappliedresearchpasttheso‐called“valley
ofdeath”tosuccessfultechnologycommercializationandlarge‐scalemanufacturing.
Thegapfromideastoactionandfromresearchtoproductionisthemainchallenge
facedbymanyresearchersandentrepreneurs,especiallyforsmallerbusinessesthat
oftendonothavesufficienttechnicalandfinancialresourcestomovenew
innovationsandtechnologiesallthewaythroughthepipelinetosuccessfullarge‐
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scaleandlong‐termgrowth.CETEC‐SENAI‐FIEMGwillenableallcurrentandfuture
manufacturers,bothlargeandsmall,tobenefitfromtheresearch,learning,testing,
commercializationandscaling‐upprocessesthatwillhelpcreateanddevelopnew
SustainableInnovationtechnologiesbothfornewstart‐upsandforexisting
businesses.
TheAdvancedManufacturingSustainableInnovationStrategyincludessixkey
initiatives:
1) AdvancedManufacturingSustainableInnovationCenter
2) AdvancedManufacturingBusinessAccelerator
3) AdvancedManufacturingTechnologyIndustrialPark
4) AdvancedManufacturingBusinessAdvisoryServices
5) AdvancedManufacturingSkillsTraining
6) AdvancedManufacturingSustainableInnovationZone
TheStateGovernmentofMinasGerais,aswellastheBrazil’sFederalGovernment,
canworkcloselytogetherwithCETEC,SENAI,andFIEMGtomaketheAdvanced
ManufacturingSustainableInnovationStrategyamajorsuccess,byproviding
directfundingandin‐kindresources,aswellasvarioustaxandregulatoryincentives
andtargetedprocurement,toenablenewtechnologiesandstrongerbusinessesto
growandthrivefromthisnewSustainableInnovationPipeline.
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AdvancedManufacturingSustainableInnovationCenter
SimilartothesevencentersintheUK’sHighValueManufacturingCatapult,orthe15
proposedUSnationalnetworkofManufacturingInnovationInstitutes,thepurposeof
theCETEC‐SENAI‐FIEMGinitiativewillbetocreateadynamicSustainableInnovation
PipelineforAdvancedManufacturing.ThismeansthatinadditiontoSENAI’smajor
infusionofbudgetresourcescurrentlyplannedforCETECtohostnewTechnology
andInnovationInstitutes,includingthenewBIOERGInstituteforenergyefficiency,
renewableenergy,sustainablebuildings,andelectricmobility,andtheSENAI
InstituteofInnovationandSurfaceEngineeringinpartnershipwithGermany’s
FraunhoferInstitute,CETECshouldestablishanAdvancedManufacturing
SustainableInnovationCenter.ThisCenterwillconductandpromoteapplied
researchandtechnologydevelopment,softwaredevelopment,andprototype
developmentandtestingofmachinesandequipmentandnewofproduction
processesandproducts.FacilitiesattheAdvancedManufacturingSustainable
InnovationCenterwillincludelaboratories,industrialworkshopareas,andother
newlybuiltornewlyrenovatedresearchandtestingfacilities.
AccordingtotheInternationalEconomicDevelopmentCouncil’srecentreport,Jobsin
theMaking:EconomicDevelopmentStrategiestoGrowManufacturing,“Intoday’s
complexinnovationworld,itisoftencriticaltocreateresearchorganizationsthatare
specificallydesignedtofacilitatecooperativeinnovation.Advancedmanufacturing
parkshaveemergedasoneoftheleadingmodelsfordrivingcooperativeresearch
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anddevelopment.Drawingontheknowledgeandresourcesoffirmsthatshare
interestinspecificlinesofresearchandusuallyengagingtheexpertiseofpublic
researchinstitutions(e.g.,universities),advancedmanufacturingparksaddressa
varietyofthecoordinationandfundingissuesthatstandinthewayofeffective
collaborativeresearchanddevelopment.”
ActivitiesoftheAdvancedManufacturingSustainableInnovationCentercan
include:
Manufacturingengineers,operationsmanagers,andscientistswillcollaborate
toundertakeappliedprimaryandsecondaryresearchprojectsdesignedto
developanddisseminatenewproductionprocessesinhighvalue‐added
manufacturing.
Manufacturingengineersandoperationsmanagerswillreceivehigherand
continuingeducationandtraininginnewapproachesincomputer‐aided
design,logisticsmanagement,manufacturingprocessesandglobalbest
practicesinAdvancedManufacturing.
Engineersandproductionworkerswillgettrainingandhands‐onexperience
withthelatestequipmentandmachineryusedinAdvancedManufacturing
globally.
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Companieswillexperimentwithnewtechniquesandtechnologiespriorto
introducingthemintotheirproductionprocesses,andworkwithengineers
andscientiststomaximizetheireffectiveness.
Companieswillworkwithscientistsandengineerstodevelopandtestnew
productprototypes,andnewmaterialsandtechniquesforupgradingof
existingproducts.
SuppliersofAdvancedManufacturingequipmentandmachinerywill
demonstratetheirlatestproductofferingstopotentialbuyers.
TheAdvancedManufacturingSustainableInnovationCenterwillinvolveCETEC’s
currentresearchstaff,anditmayalsobenecessarytorecruitadditionalfull‐timeand
part‐timeresearchersfromuniversitiesandindustry.Also,itwillincludeaffiliated
researchersandexpertsonmanyaspectsofAdvancedManufacturingfrommany
otherpublicandprivateinstitutions,suchasengineers,scientists,professors,
businessexecutives,universitystudentresearchers,consultants,andadvisers.Much
oftheR&Dwillbeopentoallbusinesses,especiallytosmallercompaniesthatcan
benefitthemostfromthesharedresources,facilities,andideas.Thisinformationwill
bewidelysharedwithentrepreneursinMinasGeraisthroughtheAdvanced
ManufacturingBusinessAdvisoryServices.
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SomeoftheR&DconductedthroughtheAdvancedManufacturingSustainable
InnovationCenterwillbecontractresearch,proprietaryandconfidentialfor
individualcompanies.Inadditiontoappliedresearchanddevelopmenton
SustainableInnovationinAdvancedManufacturing,therewillbeaveryactivefocus
technologytransferandcommercialization.Someofthisworkcandirectlysupport
thegrowthofinnovativestartupsandnewfirmsparticipatingintheAdvanced
ManufacturingBusinessAccelerator.
ThisnewCETEC‐SENAI‐FIEMGAdvancedManufacturingSustainableInnovation
Centercanengageinpublic‐privatepartnershipswithUFMG,thePontificalCatholic
UniversityofMinasGerais(PUC‐MG),andotheruniversities,withmajorcompanies
suchasEmbraer,Fiat,Vale,andCEMIG,andwiththenewlyadjacentFAPEMIG
headquartersoffices,tohelpcoordinatemajorfundingbyFAPEMIGforapplied
researchonAdvancedManufacturing.SimilarcooperationwithEPAMIGto
encourageresearchonAdvancedManufacturingopportunitiesandapplications
relatedtoagriculturalproductioninMinasGeraisshouldbepursued.Statistical
analystsatthenearbySERPROofficesmightalsobeabletoprovidesomeresearch
supportwithrespecttotheFederalGovernment’sdatasources.
Asanexampleofthistypeofapproach,PresidentObamaannouncedinAugustthe
creationoftheNationalAdditiveManufacturingInnovationInstitute(NAMII)in
Youngstown,Ohio.NAMIIwasthewinnerofanationalcompetitiontocreatea“pilot
institute”demonstratingwhatwilleventuallybecomeanationalnetworkof15
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ManufacturingInnovationInstitutesthatwillbeorganizedandoperatedas
partnershipsbetweenindustry,government,academia,andothers,partlysupported
byonebilliondollarsincompetitivegrantfundsfromtheUSGovernment.
TheUSGovernmentcommitted$45millionforNAMIIfromtheDepartmentsof
Defense,Energy,Commerce,NASA,andtheNationalScienceFoundation,andthis
commitmentwasmatchedbyanadditional$40millionfromaconsortiumof40
companies,includingBoeing,GeneralDynamics,GE,Honeywell,IBM,Johnson
Controls,LockheedMartin,NorthropGrumman,andWestinghouse,plusseveral
innovativesmallcompaniessuchasM‐7Technologies,AppliedSystemsand
TechnologyTransfer(AST2),andExOne.NAMIIwillbemanagedbytheNational
CenterforDefenseManufacturingandMachining,andtheNCDMMwillrelocatesome
ofitsstafffromitsheadquartersinLatrobe,PennsylvaniatothenewNAMIIfacilities
inYoungstown.
TheNAMIIconsortiuminvolvesninemajorresearchuniversitieslocatedinthe“Tech
Belt”ofnortheasternOhioandwesternPennsylvania:CarnegieMellonUniversity,
CaseWesternReserveUniversity,KentStateUniversity,LehighUniversity,PennState
University,RobertMorrisUniversity,UniversityofAkron,UniversityofPittsburgh,
andYoungstownStateUniversity.Inaddition,theNAMIIconsortiumincludesfive
communitycollegesand11non‐profittechnologyresearch,engineeringprofession,
andeconomicdevelopmentorganizations,includingtheYoungstownBusiness
Incubator,wheretheNAMIIfacilitieswillbelocated.TheYoungstownBusiness
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Incubatorwasrenovatedwitha$450,000grantfromtheUSDepartmentofHousing
andUrbanDevelopment,withnewadvancedmanufacturingmachinesand
equipment,asoftwarecenter,andresearchlaboratoriesforaninitialstaffofupto20
people.
AccordingtotheWhiteHouse,“TheNAMIIwillprovidetheinnovationinfrastructure
neededtosupportnewadditivemanufacturingtechnologyandproductsinorderto
becomeaglobalcenterofexcellenceforadditivemanufacturing.Thepilotinstitute
willbridgethegapbetweenbasicresearchandproductdevelopmentforadditive
manufacturing,providesharedassetstohelpcompanies,particularlysmall
manufacturers,accesscutting‐edgecapabilitiesandequipment,andcreatean
environmenttoeducateandtrainworkersinadvancedadditivemanufacturing
skills.”
“Additivemanufacturing,oftenreferredtoas3Dprinting,isanewwayofmaking
productsandcomponentsfromadigitalmodel,andwillhaveimplicationsinawide
rangeofindustriesincludingdefense,aerospace,automotive,andmetals
manufacturing.Likeanofficeprinterthatputs2Ddigitalfilesonapieceofpaper,a
3Dprintercreatescomponentsbydepositingthinlayersofmaterialoneafteranother
usingadigitalblueprintuntiltheexactcomponentrequiredhasbeencreated.The
DepartmentofDefenseenvisionscustomizingpartsonsiteforoperationalsystems
thatwouldotherwisebeexpensivetomakeorship.TheDepartmentofEnergy
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anticipatesthatadditiveprocesseswouldbeabletosavemorethan50percent
energyusecomparedtotoday’s“subtractive”manufacturingprocesses.”
TheUSSecretaryofCommerce,whoparticipatedintheannouncementin
Youngstown,explainedthat“Additivemanufacturingallowscompaniesto
manufactureacomponentwithintricateshapesandtighttolerancesbyusingasingle
sourcematerialandbuildthecomponentuplayerbylayer.Ifmoretraditional
manufacturingtechniqueswereused,thesamecomponentwouldrequiremethods
commonlyusedinsubtractivemanufacturing.Thatis,essentiallycarvingpartsoutof
thematerialandoftenhavingtomanufacturesmallerpiecesseparatelyandthen
assemblethemintoalargercomponent.Additivemanufacturingprocessesare
becomingincreasinglyimportantfordefense,aerospace,andbiomedicalapplications.
Thetechnologyhasthepotentialtoeliminatetoolingcosts,reducematerialwaste,
andcreatecomplexcomponents.Companiescanthereforesubstantiallyreduce
productioncostsandbecomemorecompetitiveintheglobalmarket.”
AnotherexcellentmodelfortheCETEC‐SENAI‐FIEMGAdvancedManufacturing
SustainableInnovationCenteristheAdvancedManufacturingResearchCentreat
theUniversityofSheffield,describedbelow.Germany’sFraunhoferInstitutealsois
goodexampleofindustry‐orientedappliedresearchonSustainableInnovation.
RecentlyFraunhoferhasstartedcreatingcentersinseveralothercountries,including
atotalofsixintheUS,suchastheFraunhoferCenterforMolecularBiologyatthe
UniversityofDelaware’sTechnologyPark.,which,accordingtoFraunhofer‐
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Gesellschaft’s2011AnnualReport,“wasthebestperformingFraunhofercenterinthe
USA”withannualrevenuesofmorethan$20million.“Thesuccessfultrackrecordof
theFraunhoferCenterforMolecularBiologyinrecentyearspromptedtheUSStateof
Delawaretorenewitsfinancingcommitmenttothecenterforafurthersixyears.The
center’stiestotheUniversityofDelawarehavebeenformalizedsince2011,enabling
jointappointmentsofstaffandtheutilizationoftheuniversity’scomprehensive
resources.”LastyearFraunhoferopeneditsfirstcenterinLatinAmerica,the
FraunhoferCenterforSystemsBiotechnologyinSantiagodeChile,andnextyear,in
partnershipwithSENAI‐MG,FraunhoferwillhelpopentheSENAIInstituteof
InnovationandSurfaceEngineeringatCETEC.
AdvancedManufacturingBusinessAccelerator
Inordertomaximizebusiness,employment,andincomegrowth,anAdvanced
ManufacturingBusinessAcceleratorshouldbebuiltandestablishedattheCETEC
site.Itspurposewillbetoenablenewstart‐upandearlystageAdvanced
Manufacturing‐relatedcompaniestoobtainaccesstolow‐costsharedfacilitiessuch
asreceptionarea,officespace,laboratories,workshops,meetingandconference
rooms,computerandsecurityservices.Thiswillenablenewcompanieswith
innovativetechnologiesandviablebusinessstrategiestobenefitnotonlyfromthe
sharedfacilities,butfromtheintellectualandtechnicalresources,andfromsynergy
offrequentlyinteractingwithrelevantexpertsandentrepreneurs,toobtainventure
capitalandearlystagefinancing,togainaccesstopotentialmarketsfromother
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businessesandgovernmentagenciesparticipatingintheAdvancedManufacturing
SustainableInnovationStrategy.ForAdvancedManufacturingbusiness
opportunitiesthataredirectlyrelatedtomedicalequipmentandhealthcaredevices,
theAdvancedManufacturingSustainableInnovationCenterandtheAdvanced
ManufacturingBusinessAcceleratorcancollaborateandcoordinateitsactivities
withthenearbyBiominasHabitatbusinessincubator.
TheAdvancedManufacturingBusinessAcceleratorcanprovidethecompaniesit
housesandtheentrepreneursitworkswithavarietyofimportantservices,including
advancedtechnologyscienceandengineeringadviceandfeedback,strategicbusiness
marketresearchandadvice,professionalandtechnicalassistance,legalandfinancial
services,andmanyothervitalneeds.Theseservicescanincludecoursesandtraining
programsforthebusinessowners,accesstomentors,helpindevelopingbusiness
plans,accesstospecializedprofessionalservicessuchasintellectualproperty
lawyers,andaccesstoangelandventurecapitalinvestors.Whileregularaccessand
useofthefacilitiesprimarilywillbeforthefirmsrentingandoccupyingitsspace,
someoftheservicescanbeprovidedtootherearlystageentrepreneursand
companiesinMinasGeraiswhoarenotphysicallylocatedattheAdvanced
ManufacturingBusinessAccelerator.
TheAdvancedManufacturingBusinessAcceleratorcanhelpaccomplishtwo
importantobjectives:
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DevelopentirelynewAdvancedManufacturingcompaniestosupplykey
productstofillgapsinsupplychains,possiblywithequityinvestmentsfrom
thecustomersthemselves.
Incubateandacceleratethegrowthofnewbusinessesspunofffromexisting
largeindustrieswherethosecompanieshaveanewproductortechnology
theywouldliketodevelopseparatelyfromtheircoreoperations.
AsthecompaniesintheAdvancedManufacturingBusinessAccelerator“graduate”
andseekmorelandandbuildingspacetobeginengaginginlargerscaleproductionof
components,equipment,machines,andotheraspectsoftheAdvancedManufacturing
valuechain,someofthesecompanieswillbeabletolocatetheirfactories,workshops,
labs,andofficesintheAdvancedManufacturingTechnologyIndustrialPark.
AnexcellentexampleofadynamicandthrivingbusinessacceleratoristheMaRS
(MedicalandRelatedSciences)DiscoveryDistrictinToronto,Canada.MaRSbegan
whenakeyhistoricpropertyatthecornerofCollegeStreetandUniversityAvenuein
downtownTorontowastobesoldoffbyitsownertheUniversityHealthNetwork
(hospital).Thesitewasbothhistoricandstrategicallylocated.Itwasthehistoric
researchwingoftheTorontoGeneralHospital–aplacewheremedical
breakthroughssuchasinsulin,theartificialkidney,andthepacemaker,were
developed.Itwasalsolocatedattheepicenterofsixteachinghospitalsandthe
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UniversityofToronto–whichtogetherundertakeoverabilliondollarsofmedical
researcheachyear.
JohnEvans,acorporatechairmanandPresidentEmeritusoftheUniversityof
Torontoconvincedanumberofprivateindividualstoeachcontributeonemillion
dollarstoseedanotforprofit,charitableorganizationtosecurethebuildingsiteand
developaconceptandbusinessplanforamajorurbaninnovationcenter.Withthis
privatesectorleadershipinplace,provincialandfederalgovernmentscontributed
over$100milliontobuythepropertyandredevelopit.
MaRSopenedinSeptember2005with750,000squarefeetofspace–labs,office
space,andmeetingrooms.Theinitialplanwastoco‐locatetechnologyrelatedstart‐
upandearlystagebusinessesalongwiththesupportservicesbusinesses(legal,
financial,consulting)thatthosecompaniesneeded.Thecenterwassoonfilledwith
tenantspayingonaverage$45persquarefoot–thehighestrentsinToronto–and
planningbeganforPhaseTwo,whichinlate2013willprovideanadditional1.5
millionsquarefeetofspace.
MaRSprovideseducation,information,advice,andaccesstoearlystagecapitalboth
directlyandthroughserviceprovidersandpartners.Itprovidesbroadeducationon
startingabusinessthroughitsEntrepreneurship101classes.Promisingstart‐upsor
justpeoplewithgoodideascanapplytobecomeMaRSclients(whetherornotthey
arelocatedintheMaRScenter).BecomingaclientprovidesaccesstoaMaRSadviser
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aswellasmarketresearchmaterialsandprofessionalandtechnicalassistance
providedprobonobycompaniessuchasForrester,comScore,MedTrack,and
Gartner.
Today,MaRSDiscoveryDistricthasanannualoperatingbudgetofapproximately$40
million,ofwhichabout$5millionisprovidedbygovernmentgrants.Thevast
majorityofthebudgetisderivedfromrent,feesforeventsandeducationprograms,
corporatesponsorship,andclientfees.Evenifthegovernmentgrantsweretoend,
MaRSisnowafinanciallysustainablecharitableinstitutionthatwillcarryonwithits
missiontosupportthecreationandgrowthoftechnologybusinessesinTorontoand
Ontario.
AnothergoodexampleisSPARKinAnnArbor,Michigan,whichoperatesthree
regionalbusinessincubatorstogetherwitharangeofadvancedinnovation‐oriented
businessaccelerationservices.Theseincludea“BootCamp”forentrepreneurial
training,andaccesstobusinessfinancing.AccordingtoPaulKrutko,SPARK
PresidentandCEO,InternationalEconomicDevelopmentCouncilChair,andGUD
SeniorFellow,“TheAnnArborregionisripewithexamplesofcompaniesthatare
innovatinginthemanufacturingspace,andusingthatsuccesstocreatejobs.Hyundai,
andtherecentexpansionofitsfacilityinSuperiorTownship,isagreatexampleof
howmanufacturingresearchandeconomicdevelopmentgohandinhand.”
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AdvancedManufacturingTechnologyIndustrialPark
EversincetheStanfordIndustrialParknearStanfordUniversityinPaloAlto,
CaliforniaplayedsuchamajorroleinthegrowthofSiliconValleyduringthe1960s
and70s,andRoute128nearBoston,Massachusetts,andResearchTriangleParknear
Raleigh‐Durham‐ChapelHill,NorthCarolina,andsimilarplacesservedassuccessful
economicdevelopmentcatalystsduringthatsametimeperiod,high‐technology
industrialparkshavebecomeamajorfocusofeffortsbygovernments,businesses,
anduniversitiestopromotecommercialinnovationandmanufacturing
competitiveness.SirPeterHall,aGUDViceChair,andManuelCastells,describedand
analyzedthisglobalprocessnearlytwodecadesagointheirinsightfulbook,
TechnopolesoftheWorld:TheMakingof21stCenturyIndustrialComplexes.
CETEC‐SENAI‐FIEMGshoulddevelopanAdvancedManufacturingTechnology
IndustrialParktoeffectivelycreatearobustanddynamicAdvancedManufacturing
IndustryNetworkinMinasGerais.Themainpurposewillbetoacceleratethegrowth
ofaregionalclusterofinterrelatedgrowingproductioncompaniesbuildingand
marketingtechnologicallyinnovativeAdvancedManufacturingproducts,including
forinternationalexports.Thiswillprovidetheopportunitytoinvolvemanylocal
firmsinthesupplychainofequipmentandcomponentsthatcanaccelerateoverall
industrialgrowthinMinasGerais.Byconcentratingmultiplemanufacturersand
suppliersnearcutting‐edgeresearchandR&Dactivities,theeconomicbenefitsof
synergyandagglomeration,ofspecializationanddiversity,andofexperimentation
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andinteractionwillmultiplyexponentiallyfortheBeloHorizonteMetropolitan
Regionandforthroughoutthestateintermsofbusiness,employment,andincome
growth.
ThefirststageofthisprocesswillbetodevelopaportionofthecurrentCETECsite
forarelativelymodest‐sizedAdvancedManufacturingTechnologyIndustrialPark,
bothforgraduatesoftheAdvancedManufacturingBusinessAcceleratortolocate
theirindustrialproductionoperationsastheybeginscalinguptheAdvanced
Manufacturingofnewcommercialproducts,andtoattractAdvancedManufacturing
companiesfromelsewhereinthestate,nation,andworld.Asthedemandforspace
quicklyoutgrowstheavailablelandattheCETECsite,FIEMGshouldworkwithCNI,
SENAI,andCETECtobuildanewerandmuchlargerAdvancedManufacturing
TechnologyIndustrialParkatthenearbyCarlosPratesAirportinBeloHorizonte,to
bemanagedbyCETEC‐SENAI‐FIEMGaspartoftheiroverallAdvanced
ManufacturingSustainableInnovationStrategy.
Brazil’sFederalGovernmentshouldbestronglyencouragedtopermanentlyclose
CarlosPratesasanairfieldandtransferallofitsscheduledflightsandtraining
activitiestootherMinasGeraisregionalairports.Thenthismajorpieceofland,oneof
thebestsitescurrentlyavailableinBeloHorizontethatiswelllocatedinrelationto
CETEC,PUC‐MG,andUFMG,canbecomeaworld‐classproductioncenterandan
internationalmagnetforAdvancedManufacturers.
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ThecloseinterrelationshipbetweentheAdvancedManufacturingSustainable
InnovationCenterandtheAdvancedManufacturingTechnologyIndustrialParkis
similartotherelationshipbetweentheUniversityofSheffield’sAdvanced
ManufacturingResearchCentre(AMRC)andthenearbyAdvancedManufacturing
Park(AMP)inSheffield.IanBromley,GUDSeniorFellowandformerInternational
EconomicDevelopmentCouncilChair,servedasCEOoftheSheffieldCity
DevelopmentCompanyandCreativeSheffieldfrom2006‐2009,andheisquite
familiarwithSheffield’sAMRCandAMP.
ThenewCommonwealthCenterforAdvancedManufacturing(CCAM)inPetersburg,
Virginia,isfollowingtheSheffieldmodel.CCAMisapartnershipbetweentheRolls‐
RoyceCorporation,theVirginiaPolytechnicInstituteandStateUniversity(Virginia
Tech),andtheUniversityofVirginia,conductingR&Dandtestingonadvanced
surfaceengineeringfortheaerospace,energy,semiconductor,chemical,and
shipbuildingindustries.AkeyfeatureofCCAMwillbetheconstructionofatest
factoryfloorwithinthecenter.Thiswillallowtestingofmoreadvancedandefficient
productiontechniques,reducetestingcosts,andenablepractical,hands‐ontraining
totakeplaceseparatelyfromtheactualfactoryproductionfacilities.
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CaseStudy:UniversityofSheffieldAdvancedManufacturingResearchCentre
withBoeingandAdvancedManufacturingPark
TheUniversityofSheffieldAdvancedManufacturingResearchCentre(AMRC)with
Boeingisaninternationallyrecognizedcenterforadvancedmachiningandmaterials
researchforaerospaceandotherhighvaluemanufacturingindustries.
AMRCisbecominganinnovativemodelforAdvancedManufacturingresearchcenters
worldwide.In2011,AMRCwithBoeing,andtheUniversityofSheffield’sNuclear
AMRC,becamepartnersintheHighValueManufacturingCatapult,withfundingfrom
theUKGovernment’sTechnologyStrategyBoardintendedtocreateanewnational
networkofadvancedtechnologicalinnovation.
AMRCidentifies,researches,andresolvesadvancedmanufacturingproblemson
behalfofitsindustrialbusinessmembers.Over65companieshavejoinedas
members,fromglobalaerospacecorporationstolocalsmallandmedium‐sized
enterprises.Morethan200researchersworkwithindividualcompaniesonspecific
projects,andcollaborateongenericprojectsforthebenefitofallmembers.The
industrialmembersselectAMRC’sR&Dprojects.Thisensuresthatworkisfocusedon
highpriorityindustrialandcommercialrequirements.
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AMRChasfourareasofcoreresearch:
MachiningResearch–TheAMRCProcessTechnologyGroup(PTG)develops
innovativetechniquesandoptimizedprocessesforthemachiningofhigh
performancematerials.Withinthatscope,PTGfocusesonprocessmonitoring,
machinabilityofmaterials,machiningdynamics,processautomation,process
modeling,chipmachiningfundamentals,non‐conventionalmachining,andintegrated
manufacturing.
AdvancedManufacturingAssembly–TheAMRCIntegratedManufacturingGroup
(IMG)specializesinsolvingproblemsinlowvolume,highvalueassemblyand
difficult‐to‐handlecomponents.IMGfocusesonmeasurement‐assistedassembly,to
developnewwaysofautomaticallyassemblingcomplexsystemsforaerospaceand
otherlowvolumemanufacturingindustries.TheGroupbringstogethercore
expertiseinrobotics,metrology,anddesignofautomationsystems.
CompositeMaterials–AMRC’sCompositeCentreisastate‐ofthe‐artfacilityfor
advancedcompositemanufacturingresearchanddevelopment,extendingAMRC’s
traditionalexpertiseinmetalsproductionintothenewgenerationofcarbonfiber
compositematerialsincreasinglyusedinaerospace,marine,automotive,andother
industries.Withthenewcompositematerials,theCompositeCentrefocuseson
automatedproduction,machining,andadvancedcuringtechnologies.
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StructuralTesting–TheAdvancedStructuralTestingCentre(ASTC)isAMRC’stesting
andcertificationcenter.Productcertificationiscriticaltoenteringthesupplychain
withnewmethodologiesandmanufacturingmaterialsinsafety‐criticalcomponents.
Researchprojectsfallintothreecategories:
GenericresearchisconductedonbehalfofAMRC’sindustrialmembers,withresults
distributedtoeverycompany.
Specificresearchisconductedforindividualmembers.Themembersinvestdirectlyin
theresearchandhaveexclusiveaccesstoanyresultingintellectualproperty.
Innovationresearchisconductedonbehalfoftheentireindustrialmembership,with
resultspresentedtoallmembers.Theseprojectsareusuallyfundedbythe
EngineeringandPhysicalSciencesResearchCouncil(EPSRC),themainUK
governmentagencyforfundingresearchandtraininginengineeringandthephysical
sciences,bytheEuropeanCommission’sFrameworkProgram,orthroughother
externalgrants,andtheseprojectssometimesincludecollaboratingwithother
researchcentersandcorporations.
InadditiontoitsEuropeanpartnerships,AMRCispartoftheBoeingCorporation’s
GlobalNetgroupofindustry‐orientedresearchcenters,andtheRolls‐Royce
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Corporation’sAxRC,aninternationalnetworkofAdvancedManufacturingresearch
centers.
TheAMRCalsoprovidestechnical,analytic,andmanagementservicestosupportthe
activitiesofitscoreresearchgroups.Researchsupportteamsincludemicroscopy,
metrology,qualitycontrol,andvirtualreality.
BackgroundHistory
Sheffield’sAdvancedManufacturingPark(AMP)islocatedintheSouthYorkshire
regionthatoncewasamajorareaforsteelmanufacturing.Withthedeclineofsteel
productionduringthe1980s,SheffieldandSouthYorkshirewentintoadecade‐long
slumpassteelfactoriesandcoalminesinadjacentcommunitieswereclosed.Asa
resultofitseconomicchallenges,SouthYorkshirebecameaEuropeanUnion
“ObjectiveOne”region,becomingeligibleforonebillionGBPinEUfundingtoenable
theregiontoregenerateitseconomy.Oneoftheprojectslocalgovernmentsinvested
inwasajointventureofUKCoal(whichownedmuchofthecontaminatedformer
coalminesacrosstheUK)andYorkshireForward,theRegionalDevelopmentAgency,
todevelopthe100‐acreAdvancedManufacturingParknearSheffield.
TheAMRCwasestablishedin2001asapartnershipbetweentheUniversityof
SheffieldandBoeing,withadditionalfundingfromYorkshireForwardandthe
EuropeanRegionalDevelopmentFund.Thetotalinitialpublic‐privateinvestment
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was15millionGBP.TheUniversityofSheffieldhasastrongfocusonmetallurgyand
engineeringresearch,andatraditionofworkingcloselywithlocalindustryto
developnewmanufacturingtechnologiesandprocesses.Universityexecutivesand
professorscollaboratedwithBoeingtodevelopaconceptfortheAdvanced
ManufacturingResearchCentredesignedtopartnerwithbusinessesinfindingnew
solutionsforaddressingtheultra‐hightoleranceprecisionrequiredinadvanced
technologyaerospacemanufacturing.
In2004,AMRCmovedintoacustom‐designedfacilityastheanchortenantforthe
AdvancedManufacturingPark.AMRCgrewrapidlyand,aftersecuringadditional
funding,in2008officiallyopenedthe4,500square‐meterAMRCRolls‐RoyceFactory
oftheFuture.In2012,AMRC’sCompositeCentremovedtoanexpanded1,800
square‐meterfacilityintheFactoryoftheFuture.TheRolls‐RoyceFactoryofthe
FutureisbuiltaccordingtohighlysustainableBuildingResearchEstablishment
EnvironmentalAssessmentMethod(BREEAM)standards.Thebuildingisdesignedto
makemaximumuseofnaturallighting,heating,andventilation,andfeatures
significantrenewableenergycapabilitiesincludinggroundsourceheatpumpsand
windturbines.
Theoriginal2004AMRCbuildingcurrentlyfeaturestheAdvancedStructuralTesting
Centre,andwillsoonundergoamajorupgradeandexpansiontocreateanewDesign
PrototypingandTestingCentre.
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Governance
AMRCisamembership‐basedorganizationwithtwotiersofmembership:
Tier1membershipcosts200,000GBPperyear.Tier1membersgetanindividual
voteontheboardofmembersthatmakeskeydecisionsaboutresearchpriorities.
Tier1membersparticipateinandobtaintheresultsofallgenericprojects(distinct
fromseparatelyfundedproprietaryresearchprojects).Tier1membersalsohavethe
opportunitytorecommendspecificprojectsthatarepresentedtotheboardofTier1
membersforrankingandapprovalasfundsbecomeavailable.Therearecurrently20
Tier1membersincludingBoeing,Rolls‐Royce,BAESystems,Alcoa,andNikon.
Tier2membershipcosts30,000GBPperyear.Tier2membersparticipateinand
obtaintheresultsofallgenericresearchprojects,andhaveprivilegedaccessto
AMRC’sresourcesandcapabilities.Tier2partnerscollectivelygetonevoteonthe
boardofmembers.Therearecurrently47Tier2members,includingABB,Volvo
Aero,MitsubishiElectric,andAeroEngineControls(ajointventurebetweenRolls‐
RoyceandGoodrich).
OtherAMRCandAMPFacilities
TheAMRCnowformsthecoreoftheUniversityofSheffieldAMRCgroup,together
withtheNuclearAMRC,whichisapplyingthesamecollaborativeindustrialmember
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R&DmodeltomodernizingandimprovingthenuclearenergyAdvanced
Manufacturingsupplychain.
TheUniversityofSheffieldisbuildingonthesuccessofitsAMRCwithBoeingby
developingalargergroupofindustry‐focusedmanufacturingR&Dcentersand
supportingfacilities.TheUniversityofSheffieldAMRCincludes:
NuclearAMRC
Establishedin2009incollaborationwiththeUniversityofManchester,theNuclear
AMRCisapplyingtheUniversityofSheffield’sAMRCmodelofcollaborativeresearch
tothenuclearenergyAdvancedManufacturingsupplychain.TheNuclearAMRC
combinesuniversityinnovationandindustryexpertisetohelpUKmanufacturers
competegloballytomanufacturenewnuclearstate‐of‐the‐artnuclearpowerplanes,
aswellasotherinnovativeenergytechnologies
TheNuclearAMRChasover35membercompanies,includingreactorproviders
ArevaandWestinghouseandleadingsupplierssuchasRolls‐RoyceandSheffield
Forgemasters.ItisbasedatanewR&DfacilityinSheffield’sAdvancedManufacturing
Park,withanadditionallaboratoryattheUniversityofManchester’sDaltonNuclear
Institute.
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Namtec
Establishedin2002,theNationalMetalsTechnologyCentre(Namtec)provides
trainingandengineeringadvicetotheUKmetalsmanufacturingsupplychain.
NamtecjoinedAMRCin2012tohelppromoteAdvancedManufacturinginnovation
andimprovecompetitivenessfortheUKmetalsindustry.
KnowledgeTransferCentre(KTC)
OpenedinMay2012,theAMRCKnowledgeTransferCentre(KTC)providesdedicated
conference,meeting,andtrainingspacetohelpengagebusinessesinvolvedinthe
AdvancedManufacturingsupplychain.Thebuildingisbasedaroundalargetraining
workshopwherevisitorscanexperiencenewAdvancedManufacturing,machining,
andassemblytechniquesdevelopedatAMRC.TheKTCalsooffershighlyflexible
meetingandteachingrooms,equippedwiththelatestpresentationandnetworking
technology,anditsfacilitiescanhostlargeconferencesofupto300participants.
AMRCTrainingCentre
Openinginlate2013,theAMRCTrainingCentrewillfocusonhigh‐levelapprentice
traininginAdvancedManufacturing,includingmechanicalengineering,electricaland
electronicengineering,fabricationandwelding,engineeringmaintenance,and
engineeringtechnicalsupport,forindustriessuchasaerospace,automotive,and
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energy.Itwilltrainupto250apprenticesperyearfrommembercompaniesand
otherlocalbusinesses,incooperativepart‐timeprograms.TheAMRCTrainingCentre
willbehousedinanew5,000square‐meterbuildingattheAdvancedManufacturing
Park.
IndustrialDoctorateCentre
TheIndustrialDoctorateCentre(IDC)inMachiningScienceoffersgraduatestudents
theopportunitytolearnaboutcutting‐edgeAdvancedManufacturingengineering.
TheIDCisoperatedjointlybyAMRCtogetherwiththeUniversityofSheffield’s
FacultyofEngineering.Itprovidesafour‐yearEngineeringDoctorateprogramthat
includesappliedR&Daddressingreal‐worldAdvancedManufacturingbusiness
challenges.
AdvancedManufacturingBusinessAdvisoryServices
FortheAdvancedManufacturingSustainableInnovationStrategytosucceed,it
willbeimportanttoactivelyinvolvethethousandsofmanufacturersandtheirsupply
chaininMinasGerais,butprovidingentrepreneurialtraining,strategicadvice,and
technicalassistancetosmallandmedium‐sizedengineeringandindustrial
companies.ThiscanbeaccomplishedthroughtheAdvancedManufacturing
BusinessAdvisoryServices.
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TheAdvancedManufacturingBusinessAdvisoryServiceswilloffercourses,
seminars,andtrainingprogramsforbusinessesatCETEC,atthenearbySENAIfacility
intheHortoareaofBeloHorizonte,andatmanyotherFIEMGandSENAIlocationsin
MinasGerais.Inaddition,theAdvancedManufacturingBusinessAdvisoryServices
willmanageanextensionservicewherebymentors,consultants,andtechnical
specialistswillvisitacompany’sproductionfacilitiesandprovideon‐sitestrategic
adviceabouthowtoreduceexpensesbyeliminatingandrecyclingwaste,enhancing
speedandtimeliness,expandingmarkets,andincreasingsalesrevenuesandprofit
marginsthroughspecificimprovementsininnovation,productivity,resource
efficiency,andsustainability.ThroughtheAdvancedManufacturingBusiness
AdvisoryServices,manyenterpriseswillbeabletomodernizetheirfacilities,
machinesandequipment,andoperationsandprocessesbylearninghowtoutilize
newAdvancedManufacturingtoolsandtechniques.Thiswillhelpopenupnew
marketsforinnovativefirmsintheAdvancedManufacturingBusinessAccelerator
andtheAdvancedManufacturingTechnologyIndustrialPark,generatinga
virtuouscycleofwidespreadinnovation,productivity,andgrowthamongawide
rangeofindustriesinMinasGerais.
OneveryusefulandhighlyrelevantmodelistheManufacturingExtension
Partnershipprogram,operatedbyNISTandtheUSDepartmentofCommerce,and
involvingstateandlocalgovernments,privatecompanies,universitiesand
communitycolleges,andotherkeyinstitutions.AccordingtoDr.PhillipSingerman,
NIST’sAssociateDirectorforInnovationandIndustryServices,“TheMEPisa
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longstandingpublic/privatepartnershipwhoseworkleadsmanufacturerstonew
sales,newproductdevelopmentandmarketexpansion,thatinturnleadsdirectlyto
theretentionandcreationofmanufacturingjobsintheUnitedStates.”Thereare
MEPCentersinall50statesandinPuertoRico.TheMEPpageonNIST’swebsitelists
allofthecentersanddescribestheireffectiveworkinworkingwithmanySMEsto
generateefficiencyandsustainabilitysavings,innovativeproductivityimprovements,
andsalesandincomegrowth.EachoftheMEPCentersprovidescasestudyexamples
ofsuccessfulcollaborationwithmanufacturerstoimprovetheir“bottomline.”
OnesuchexampleisfromtheDelawareManufacturingExtensionPartnership
(DEMEP).DEMEPworkedcloselywithEasternIndustrialServicesInc.(EISI)and
PTMManufacturing,whosecustomersincludeDuPont,AstraZeneca,Verizon,
ChristianaHealthCareSystem,andtheUniversityofDelaware.EISIandPTM
obtainedsupportfromtheDelawareEconomicDevelopmentOfficetoincrease
resourceefficiency,productivity,andcompetitiveness.Theyreceivedsubstantial
trainingandadvicefromDEMEPon“leanmanufacturing”toreducesevenwaste
streams:over‐production,waitingtime,transportation,processing,inventory,
motion,andscrap.DEMEPprovidedadviceonhowtostreamlinetheproduction
process,includingcompiling“meticulousvaluestreammapsonsuchkeyprocessesas
estimatingandbiddingjobs….Inthenew,moreefficientsystematthefacility,EISI
andPTMhaveformulatedauniqueprocessthathelpsidentifyandassignestimatesin
awaythatbalancesresourcesandworkloads.”ThenetresultofDEMEP’sadvisory
servicesisthatEISIandPTMcreated15newjobs,cutestimatingandbiddingtimeby
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20percent,andsignificantlyreducesenvironmentalwastebyrecyclingscrap
materials.
OthermodelsfortheAdvancedManufacturingBusinessAdvisoryServicesinclude
theBenjaminFranklinTechnologyPartnersofPennsylvaniaandtheMaryland
TechnologyDevelopmentCorporation,whichalsohelpearlystagetechnology
companiesobtainfinancingandconnectthemwithbusinessincubatorsand
accelerators.Inaddition,TriodosFacetinTheNetherlandsandTheNaturalStepin
Swedendoexcellentinternationalwork.Bothorganizationsadvise,train,andassist
SMEsinmanycountriesaroundtheworld,includinginBrazil.TriodosFacetfocuses
onentrepreneurship,andTheNaturalStepemphasizessustainability.
AdvancedManufacturingSkillsTraining
InthesamewaythattheAdvancedManufacturingBusinessAdvisoryServiceswill
offereducationandtrainingformanufacturersandsuppliers,theAdvanced
ManufacturingSkillsTrainingwillprovidevitallyneedededucationandtrainingfor
skilledjobsintheAdvancedManufacturingfield.SENAIandFIEMGalreadyhave
considerableexpertiseandalongtrackrecordofgoodexperienceprovidingbasic
andadvancedskillstrainingtoworkersforawidevarietyofindustrialoccupations,
andtheyshouldtaketheleadinoperatingtheAdvancedManufacturingSkills
Training.
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InadditiontousingtheSENAItrainingcenternearCETECasavenueforcoursesand
trainingprograms,theotherSENAIfacilitiesinBeloHorizonteandaroundthestate
canalsobeeffectivelyutilizedforthispurpose.Someofthetrainingcantakeplaceat
theCETECsite,incollaborationwiththeAdvancedManufacturingSustainable
InnovationCenter,AdvancedManufacturingBusinessAccelerator,Advanced
ManufacturingTechnologyIndustrialPark,andtheAdvancedManufacturing
BusinessAdvisoryServices.Employerswillbeabletointeractwithinstructorsto
helpdesignthebestpossibleeducationandtrainingprograms,andthegraduatesof
thesecoursesandprogramscanthenbecomeahighqualityskilledpoolofwell
trainedworkerswhocanbehiredtoworkforAdvancedManufacturingcompaniesin
MinasGeraisthroughouttheentirevaluechain.Essentially,theAdvanced
ManufacturingSustainableInnovationStrategywillbestrengtheningand
increasingthestatewideskilledlaborsupplyinwhatwillbecomerapidlygrowing
sectorsoftheSustainableInnovationeconomyinMinasGerais.
ThenewcampusoftheStateUniversityofMinasGerais(UEMG)underconstruction
inwalkingdistancefromCETECpresentsanexcellentopportunitytodirectlyinvolve
UEMGinAdvancedManufacturingSkillsTraining.CETEC‐SENAI‐FIEMGcanwork
withUEMGtodevelopcertificateanddegreeprogramsinvariousaspectsof
AdvancedManufacturing.
UEMGcanlearnfromothersimilareffortselsewhere,suchastheGreen
ManufacturingSpecialistCertificateprogramofferedbyPurdueUniversity’s
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ManufacturingExtensionPartnershipCenterandTechnicalAssistanceProgramin
Indiana,workingtogetherwiththeSocietyofManufacturingEngineers,with
workshopsonEnergyManagement,MaterialUseandSolidWasteManagement,
WaterSupplyandWasteManagement,AirEmissionsandClimateImpact,Managing
ChemicalUseandHazardousWaste,andEnvironmentalBusinessManagement.This
programoffersitscoursethroughcommunitycolleges,professionalassociations,
laborunions,utilitycompanies,andeconomicdevelopmentorganizations.
Anotherinterestingmodelisthe79/SeventyManufacturingCertificationProgram
operatedbytheCareerandTechnologyEducationCenters(C‐TEC)inOhio.This
trade‐specifictrainingprogramisofferedattheCentralOhioAerospaceand
TechnologyCenter,withBoeing,Goodrich,andothermajorlocalmanufacturers
participatinginthe79/SeventyAdvancedMaterialsCorridorinitiative.These
manufacturershelpidentifyandprovidethetrainingmaterials,andensurethatthe
graduatesofthecertificationprogramaredirectlyconnectedwithemployment
opportunities.Forexample,Goodrich’squalitycontrolmanagerteachesacourseon
hisareaofexpertise.Manufacturerswhoteachinthisprogramalsobringthe
studentstotheirfactories.
GraduatesofOhio’s79/SeventyManufacturingCertificationProgramalsoareeligible
fortheNationalCareerReadinessCertificaterecentlydevelopedbytheNational
AssociationofManufacturers,TheManufacturingInstitute,andACT.Thisnewly
designedManufacturingSkillsCertificationSystem,alsoinvolvingtheManufacturing
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SkillsStandardsCouncil,NationalInstituteforMetalworkingSkills,American
WeldingSociety,andSocietyofManufacturingEngineers,canserveasaninstructive
modelfortheworkoftheAdvancedManufacturingSkillsTraining.Thisfollowsone
ofthekeyrecommendationsoftheAdvancedManufacturingreportsfortheUS
President.Oneofthesixkeystrategiesfor“SecuringtheTalentPipeline”isto
“DevelopPartnershipstoProvideSkillsCertificationandAccreditation.”
TheAdvancedManufacturingSkillsTrainingalsocanworkwiththeE.E.Professor
FontesTechnicalHighSchoolneartheCETECsitetooffercertificateprogramsin
AdvancedManufacturing.Currently1,200studentsatthisindustrialeducation
centerarebeingtrainedinmechanics,electronics,computers,andrelatedfields.The
schoolmaybeabletodrawsomelessonsfromChicago’sAustinPolytechnical
Academy(APA),foundedin2007bytheChicagoManufacturingRenaissanceCouncil
toprovidestate‐of‐the‐artcurriculumandinstructionfocusingonscientific,
technological,engineering,mathematical,andmechanicalskillsneededinmodern
manufacturing.TheAPAworkscloselywiththe60industrialpartnersonits
ManufacturingAdvisoryCommittee,andtheCenterforLaborandCommunity
Research,toofferpracticalhands‐onmanufacturingexperiencessuchaspartnering
withalocalbrewerytoproduceasodafrominceptiontofinalproduct.APAhas
establishedaManufacturingandTechnologyCentertoteachstudentshowtooperate
manualanddigitalmillingmachines,and73studentsalreadyhavecompleted
certificationprogramsofferedbytheNationalInstituteforMetalworkingSkillsin
metalformingandinmachinemaintenance,service,andrepair.Thisentry‐level
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credentialcertifiesthatthesestudentshavethebasicskillsinoperations,machining,
inspection,andsafetynecessaryforfull‐timeemploymentinmanufacturing
industries.
AdvancedManufacturingSustainableInnovationZone
OneofthespecialopportunitiesoftheAdvancedManufacturingSustainable
InnovationStrategyistocreateCETECandtheimmediatesurroundingareaasa
veryspecialplace,aworldwidedestination.Tobecomesuchaninternationalmagnet,
beingasinnovativeandsustainableaspossiblewillbecomeavitalpartofthevision
andofthereality.Innovationandsustainabilitywillrunthroughtheresearch,
development,andproduction,theteaching,andtraining,theentrepreneurshipand
thehardwork,andtheyalsocanbeaveryattractiveaspectofthelook,feel,anddaily
lifeandactivitiesoftheplaceinwhichAdvancedManufacturingSustainable
Innovationisoccurring.
CETEC’slocationintheHortoneighborhoodofBeloHorizonteisamajorphysical,
economic,andculturalasset,whichiswhythenewFAPEMIGheadquartersandthe
newUEMGcampuswillbecomeimmediateneighborsofCETEC.Theareais
attractiveandinteresting,servedbytwomajorMetrotrainstations,JoseCandidoda
SilveiraandSantaInes.LastyeartheSecretaryofStateforScience,Technology,and
HigherEducationofficiallydeclaredthisareaasa“CityofScienceandKnowledge,”
recognizingandcelebratingthereinvestmentbySENAIandFIEMGinCETEC,thenew
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UEMGcampus,thenewFAPEMIGheadquarters,andalloftheotherinstitutions:
BiominasHabitat,EPAMIG,SERPRO,SENAI,InstitutoAgronomico,NaturalHistory
Museum,UFMGBotanicalGardens,PlugMinas,E.E.ProfessorFontes.Secretary
NarcioRodriguesrecruitedprofessionalarchitect,formerCuritibaMayorandParana
Governor,andGUDViceChairJaimeLernertoadviseonurbandesigntoimprovethe
area’squalityoflifeandvibrancy.Thisapproachtosustainableurbandesignand
mixed‐usedevelopmentmightincludepromotingwalkabilityandpublictransit,
attractingstoresandservices,buildingcommercialandcommunityamenities.
GUDrecommendsthatCETEC‐SENAI‐FIEMGorganizealocalgreentransportation
system,theSustainableShuttleService,thatwillinvolvesolar‐poweredmultiple‐
passengerlow‐speedelectricvehiclesrunninginthreecontinuousloops:1)thefirst
routewouldrunfrequentlyback‐and‐forthbetweenCETECandtheJoseCandidoda
SilveiraMetroStation;2)thesecondroutewouldruncontinuouslybetweenSENAI
andtheSantaInesMetroStation;3)thethirdroutewouldcirclearoundtheCityof
Knowledgestoppingatallofthemajorinstitutionsandactivitycenters.Inaddition,
wesuggestthatCETECbecomethehostvenueforanoriginallargemetalsculpture
honoringthespiritofSustainableInnovation,speciallydesignedbythewell‐known
Mineiroartist,VirginiaFerreira.
InthespiritoftherecentSustainableBHSealcertificateawardsprogrambythe
MayorofBeloHorizonteforgreenbuildings,especiallyforbuildingssubstantially
reducingenergyandwaterconsumption,includingFIEMG’snewheadquarters,and
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thecity’srecenthostingoftheWorldCongressofICLEI‐LocalGovernmentsfor
Sustainability,the“CityofScienceandKnowledge”aroundtheCETEC‐SENAI‐FIEMG
sitecanbecomeamajorinternationaldestinationshowcasingstate‐of‐the‐art
featuresofSustainableInnovationindevelopingandmanagingurbancommunities.
Suchactivitiesinvolverenewableenergyproduction,energyandwaterconservation
andefficiency,reducingwastestreams,materialsrecyclingandreuse,andmany
othercreativesolutions,suchassolarrooftops,solarcanopiesinparkinglots,and
solarLEDlighting.
TheAdvancedManufacturingSustainableInnovationZoneinBeloHorizontecanjoin
togetherwiththeotherwell‐knownglobalurbanSustainableInnovationbest
practices,includingVaubaninFreiburg,Germany;SongdoinSouthKorea;Hammarby
SjostadinStockholm,Sweden;MasdarCityinAbuDhabi,UAE;TotnesintheUK;and
theEcoDistrictsofPortland,OregonintheUS,amongothers.
TheAdvancedManufacturingSustainableInnovationZonecanbeamagnetfor
economicandcommunitydevelopment,jobcreation,businessandincomegrowth,
andahigherqualityoflifefortheneighborhoodanditsworkers,residents,and
visitors.ItcouldbeamajortouristattractionforBeloHorizonteandMinasGerais.
Andfinally,itcanbecomeareplicablemodelfortherestofMinasGerais,including
developmentintheNorthVectorandtheWest,South,andEastVectorsoftheBelo
HorizonteMetropolitanRegion.
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FutureInitiatives:GlobalBrandingandGiftsofNature
TwofutureinitiativesforFIEMGtoconsiderareGlobalBrandingandGiftsof
Nature.GlobalBrandingisneededtocreateandmarketanewinternationalimage
forBeloHorizonteandMinasGeraisasaworldcenterforSustainableInnovation,
withtheAdvancedManufacturingactivitiesinandaroundCETECbeingoneofthe
centerpiecesofthesepublicrelationsefforts.Otheractionscanincludeinternational
marketingof:
Minascheese,includingpaodequeijo,
Minascoffee,
Minascachaca,
Minasfashionanddesign,
Mineiroculture,includingapotentialEstradaRealBicycleRaceasanew
Februaryeventintheannualworldwideprofessionalcompetitioncircuitthat
culminateswiththeTourdeFrance.
Theotherpossibleinitiative–GiftsofNature–involvespromotingSustainable
Innovationbyidentifyinghighervalue‐addedandadvancedtechnologyusesof
traditionalresources.Newusesformineralsincludeinnovativetechnologieslike
lithium‐ionbatteries,andtitaniumformedicalprosthesesandorthopedicimplants.
Newinnovativeusesfortreesandplantsincludedevelopinginsulinandother
medicinalsubstancesandpharmaceuticals.
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Conclusion
ThisreporthasoutlinedforFIEMGacomprehensiveAdvancedManufacturing
SustainableInnovationStrategyinpartnershipwithCETECandSENAI.GUDbelieves
thatthiswillbeoneofthemosteffectiveeconomicdevelopmentleadershipactivities
forFIEMG,andthatitcanenableMinasGeraistotakemajorstepsforwardonthe
pathof“Innovation‐LedEconomicTransformation.”
