Informing
Policy
for Progress

Advanced Manufacturing – Formulating a National Policy

This study is intended to initiate and formulate a national policy proposal for promoting and implementing advanced manufacturing in Israel.

Most of Israeli industries are using conventional production methods, which turn raw materials and components into systems. Some industries apply automation techniques that increase efficiency and productivity. Unfortunately, much of Israeli industry, in particular the classical industry, suffers from low productivity, which leads to an inability to handle the export markets in terms of both competitive product prices and response times to market demands. Low productivity and the lack of trading in export markets lead to low salaries for workers in the traditional industries, and sometimes to the closure of non-competitive and non-profitable factories or to enterprises being moved abroad.

Similar problems are faced by most Western countries – most industry is moving to the Far East or Eastern Europe. The production base in the West is being eroded.

To meet these challenges, several Western countries are formulating and implementing national policies to promote advanced manufacturing, such as the US, UK, Germany, and France, and several Eastern countries, such as China and Korea.

Advanced manufacturing entails the application of advanced technologies to the production of goods and systems, with the aim of “breaking the convention” of linear production that turns raw materials into goods and systems.

There is a large variety of advanced technologies and innovative processes that fall under the heading of advanced manufacturing, such as incremental production, 3D printing, application of Nano-technology to manufacturing and products, etc.

During 2015, global and domestic trends in this area were summarized based on reports and documents published on the subject. In addition, preliminary recommendations were formulated for a national policy for advanced manufacturing in Israeli industry. In 2016, efforts continued at the Industrial Excellence Center to develop and promote a national policy for advanced manufacturing in Israel, which included, among other things, the following activities:

The formulation and distribution of a document that summarizes the status of advanced manufacturing in the world and Israel, proposing a national policy on the subject.

A roundtable discussion with more than 30 experts and stakeholders to develop awareness in this area, and the creation of an advocacy group for the proposed policy.

Participation in a roundtable held at the Ministry of Economy on the subject and presenting the policy.

Mapping of the companies in Israel engaged in advanced manufacturing technologies (commissioned by the Foreign Trade Department of the Ministry of Economy – a report was issued to the commissioning party).

Participation in a tour of advanced manufacturing in Germany organized by the Manufacturers’ Association.

Initiating and participating in various meetings and seminars to present and discuss various aspects of advanced manufacturing.

Participation in standardization committees in the fields of three-dimensional prints.

Continued dialogue with Aviv Co. to promote the productivity in traditional industries.