Identifying NAICS (Industry) Codes (2013)

Summary

In this video, Business Librarian Steve Cramer introduces NAICS codes, essential for defining industries in business and economic research. NAICS, or North American Industrial Classification System, is a hierarchical coding system created by the U.S. Census Bureau to classify industries with codes up to six digits long. The video demonstrates how to access NAICS codes through the Census website and use them for various purposes like finding companies and industry research. It also touches on the use of SIC codes and alternative databases like Hoovers and BizMiner for more detailed industry classifications.

Takeaways

• 📚 NAICS stands for North American Industrial Classification System and is used to define industries for business and economic research.
• 🏢 The U.S. Census Bureau developed NAICS to classify industries across various sectors, including farming, retail, and government services.
• 🔍 NAICS codes are hierarchical, with longer numbers indicating more detailed industry classifications, such as 513322 for cell phone service.
• 🔑 These codes are essential for finding companies, conducting industry research, and analyzing financial benchmarks and labor trends.
• 📈 NAICS codes can be accessed through the Census website or via the Business Librarian's NAICS guide, which offers a step-by-step guide to finding the NAICS section.
• 🏪 Examples are provided to illustrate how to navigate the NAICS system, such as finding the code for Snack and Nonalcoholic Beverage Bars (722515).
• 🔎 The script demonstrates how to perform a keyword search within the NAICS system to find relevant industry codes, like searching for 'coffee' to find coffee shops.
• 🆕 NAICS codes are updated periodically, and the script shows how to identify changes between different versions, such as between 2007 and 2022.
• 🛠️ If a specific industry code is not available, alternatives like Hoovers or ReferenceUSA can provide more detailed industry classifications.
• ⏏️ SIC (Standard Industrial Classification) codes are mentioned as a predecessor to NAICS, still used in some databases alongside NAICS codes.

Q & A

What are NAICS codes?

NAICS codes are the North American Industrial Classification System codes used to define industries and are foundational for business and economic research.

Who created the NAICS system?

The U.S. Census Bureau created the NAICS system to classify industries.

What is the purpose of NAICS codes?

NAICS codes are used for finding companies, conducting industry research and reports, benchmarking financials, and analyzing labor trends, among other uses.

How long can NAICS codes be?

NAICS codes can be up to 6 digits long, with longer numbers indicating more detailed industries.

What is the NAICS code for cell phone service?

The NAICS code for cell phone service is 513322.

How can one access the NAICS section on the Census website?

From the census.gov homepage, one can access the NAICS section by hovering over 'Business' and finding the NAICS link.

What is included in the NAICS profile for an industry?

A NAICS profile includes the industry's definition, scope note, examples of what it includes and excludes, and a detailed list of related items.

How can one find the NAICS code for a specific industry, like coffee shops?

One can find the NAICS code for a specific industry by using keyword searches on the Census website, such as entering 'coffee' to find 'Coffee Shops'.

What are some alternatives if a specific NAICS code is not available for a new or specialized industry?

Alternatives include using databases like Hoovers or ReferenceUSA, which classify industries at a more detailed level, or BizMiner for detailed financial industry breakdowns.

What is the relationship between NAICS and SIC codes?

SIC, or Standard Industrial Classification, codes were used before NAICS. Some databases still use SIC codes alongside NAICS codes.

How can one access SIC codes if needed?

One can access SIC codes through the NAICS guide, which has a section with links to a website from OSHA that still uses SIC codes.

How can viewers get further assistance with NAICS or SIC codes?

Viewers can get further assistance by contacting Steve Cramer, the Business Librarian, or iMinerva, and they can also visit the library.