THE 15 COMMANDMENTS

The future of U.S. manufacturing rides on the continued success of small and midsize manufacturers that account for more than 40 percent of U.S. production's value and 60 percent of total U.S. manufacturing employment. These companies constantly face challenges such as changing customer demands, worker

While many leading small and midsize manufacturers follow effective business plans, the truly successful ones all seem to adhere to the same 15 best practices.

* Stay in touch with customers, talk to them about their needs and look to them for new product ideas.

* Differentiate products and services to better define and develop a competitive advantage.

* Devote the necessary time and energy to marketing develop a distinct product and marketing strategy and expand and diversify customer bases.

* Go global. Develop export markets.

* Ensure that activity-based cost systems help to contain cost increases, and focus on activities that consume the most resources. Highlight and restrain nonvalue-added activities.