World Geo 3200/3202
March / April 2011
Overview
 Unit 5 gives us insight into selected secondary activities in which
humans engage as they transform raw materials, provided by
primary activities, to more finished forms.
 Manufacturing utilizes capital and labour inputs to move materials
through a series of processes until a higher-value added product is
obtained.
 Services involve the “manufacturing” of intangible goods or services
for human use.
 You are encouraged to examine the importance of the secondary
and tertiary sectors and factors that help to account for their
location.
Outcomes
 demonstrate an understanding of what manufacturing
entails, including the following delineations:
 5.1.1 Identify natural and human inputs in a
manufacturing operation. (k)
 5.1.2 Analyze the processes in a manufacturing
operation. (a)
 5.1.3 Describe the three processes that may be used to
change a raw material into a useable form. (k)
Manufacturing: An intro
 Sectors of the economy
 Primary
 Secondary
 Tertiary
Economic Sectors
 Primary economic activity involves the collection of
raw materials from the earth.
 Farming, fishing, mining, forestry are the classic parts
of the primary economy.
 The farmer takes plants from the land, the forester
takes trees from the forest, the fisher takes fish from
the ocean and the miner takes ore from the ground.
 All involve collecting natural resources.
Economic Sectors
 Secondary economic activity involves processing or
manufacturing raw materials into products for people
to buy.
 It is often referred to as the manufacturing or
processing sector.
 Examples: The cows are butchered in to roasts, T-bone
steaks and ground beef and packaged for sale at the
grocery store; the trees are milled into lumber or
pulped into paper; the fish are gutted, filleted, and
frozen for market; while the ore is refined into steel
ribbons or copper wire.
Economic Sectors
 You can see that there would be a multitude of
examples for secondary processing but all the activities
start with a raw material and convert it to a product for
sale.
 This is sometimes referred to as Value adding.
 The tree would be much less expensive to buy than the
lumber. The lumber has value added. Ship building, as
depicted above, is an example of the manufacturing
sector.
Economic Sectors
 Tertiary economic activity does not involve raw
materials rather it involves providing service to people.
 Often referred to as the service industry.
 Nurses, doctors, lawyers, teachers, waitresses,
hairdressers, sales people all provide services for other
people.
 Tourism is an important part of the tertiary sector and
golf has become a thrust for investment in
Newfoundland & Labrador.
Language of Manufacturing
 In all manufacturing processes we have to look at inputs & outputs
 Inputs: materials & factors that go into making a product. Examples; raw
material, power, buildings, land, labor, decisions, capital, machinery
 Manufacturing processes: those processes that change a raw material to
a usable form. Three types:
 Conditioning: minimal change to a resource. Example; logs into
lumber; fish into fillets; berries into jam. Raw material is almost
useable in its natural state
 Analytical: resource converted to a number of different products.
Example; cow into leather, milk & cheese, beef
 Synthetic: several resources are combined to make one resource.
Example; light bulb as a product has glass, tungsten, Nitrogen &
aluminum. It is developed from the mining industry. Car parts would
also be a good example
Language of Manufacturing
 Outputs: finished product from a manufacturing
process. For example the output from the fish plant is
fish sticks or frozen fish fillets.
Processes & Profit
 Profit = the difference between the price charged for
the product and the money spent in getting it to
market (manufacturing, shipping & selling the
product)
 Many aspects of cost involved in setting the price of a
product
 Manufacturing businesses are in the business of value
adding so they must consider the cost of adding value
Costs
 What are some of the costs associated with
manufacturing products?
 Labor (often most expensive)
 Included are wages, CPP, EI, Pensions, sick days, holidays, etc
 The cost of raw material
 Price of materials may fluctuate
 Cost of equipment & utilities
 Training costs money but increase efficiency & quality
 High volume products like pop can have a low profit margin
while low volume products like jewelry require a high profit
margin
Question #10
 For a small fish plant that produces frozen fish fillets,
identify each component:
 Inputs
 Raw material:
 Power:
 Buildings:
 Land:
Question #10
 Machinery:
 Labor:
 Capital:
 Decisions:
Question #10
 For a small fish plant that produces frozen fish fillets,
identify each component:
 Inputs
 Raw material: COD, RED FISH, FLOUNDER
 Power:
 Buildings:
 Land:
Question #10
 For a small fish plant that produces frozen fish fillets,
identify each component:
 Inputs
 Raw material: COD, RED FISH, FLOUNDER
 Power: MODERATE ELECTRICITY REQUIRED FOR
COOLING UNITS AND MACHINERY
 Buildings:
 Land:
Question #10
 For a small fish plant that produces frozen fish fillets,
identify each component:
 Inputs
 Raw material: COD, RED FISH, FLOUNDER
 Power: MODERATE ELECTRICITY REQUIRED FOR
COOLING UNITS AND MACHINERY
 Buildings: MODERATE SIZE BUILDING REQUIRED
WITH STORAGE ROOM
 Land:
Question #10
 For a small fish plant that produces frozen fish fillets,
identify each component:
 Inputs
 Raw material: COD, RED FISH, FLOUNDER
 Power: MODERATE ELECTRICITY REQUIRED FOR
COOLING UNITS AND MACHINERY
 Buildings: MODERATE SIZE BUILDING REQUIRED
WITH STORAGE ROOM
 Land: SMALL LAND REQUIREMENT BUT
LOCATION ON THE WATER IS KEY
Question #10
 Machinery:
 Labor:
 Capital:
 Decisions:
Question #10
 Machinery: SMALL AMOUNT OF MACHINERY,
MOST WORK DONE BY HAND
 Labor:
 Capital:
 Decisions:
Question #10
 Machinery: SMALL AMOUNT OF MACHINERY,
MOST WORK DONE BY HAND
 Labor: SKILLED CUTTERS REQUIRED AND LESS
SKILLED LABORERS
 Capital:
 Decisions:
Question #10
 Machinery: SMALL AMOUNT OF MACHINERY,
MOST WORK DONE BY HAND
 Labor: SKILLED CUTTERS REQUIRED AND LESS
SKILLED LABORERS
 Capital: FAIR AMOUNT OF MONEY REQUIRED TO
BUILD OR PURCHASE A PLANT
 Decisions:
Question #10
 Machinery: SMALL AMOUNT OF MACHINERY,
MOST WORK DONE BY HAND
 Labor: SKILLED CUTTERS REQUIRED AND LESS
SKILLED LABORERS
 Capital: FAIR AMOUNT OF MONEY REQUIRED TO
BUILD OR PURCHASE A PLANT
 Decisions: MANY DECISIONS LIKE BRINGING IN
FROZEN FISH TO KEEP WORKING THROUGH
TOUGH TIMES
Question #10
 Outputs ?
 Conditioning or analytic or synthetic processing?
Question #10
 Outputs ? FROZEN FISH FILLETS
 Conditioning or analytic or synthetic
processing? CONDITIONING
Activities
 Read the introduction to Chapter 13 "Patterns in
Manufacturing" on page 216
 Read "The Manufacturing Process" on pages 216-217.