What does every business need but not every industry has?
Summary
This episode explores the North American Industry Classification System (NAICS), the codes used by the U.S. government to categorize businesses for data collection and federal contracts. Host Wayan Wong and guest Sally Hershey discuss the importance of these codes, featuring business reference librarian Jennifer C. Bocher and emergency restoration owner Darren Houdima. They examine how the lack of a specific code for the restoration industry leads to inaccurate data and higher insurance costs, while also noting that spaceports recently secured a new classification.
Topics discussed
Introduction to NAICS codes and the upcoming update
Definition and purpose of the North American Industry Classification System
The importance of accurate industry codes for economic data
Sponsor segments for LinkedIn and Capella University
Introduction of guest Jennifer C. Bocher, business reference librarian
Historical context: From standard codes to the 1997 NAICS adoption
How NAICS codes define industries like grocery stores vs. supercenters
List of federal agencies that rely on NAICS codes
The challenge of missing codes: The case of the marijuana industry
Impact on federal contracts and the difficulty of applying for new codes
Case study: Darren Houdima and the emergency restoration industry
Insurance implications of incorrect or missing industry classifications
The application process and the recent rejection for restoration codes
Future outlook: New codes for spaceports and the next five-year cycle
Show credits and sponsor segments for Edward Jones and Schwab
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