Industry Classification Codes

1. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes Industry & Service Classification Codes SIC, NAICS, ISIC Credits: This CLIP Tutorial was created by Institution: Northeastern State University Authored: G. Cheatham (resource coordinator, College of business and Technology)

2. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes • This tutorial is designed to introduce the industry and service classification systems most commonly used in the United States. • By the end of the tutorial you will learn some of the background behind each coding system, discover where to find the codes, and become aware of some of the resources using the codes.

3. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes SIC (1972) SIC (1987) NAICS (1997) ISIC NAICS (2002) • Three primary classification systems will be discussed in this tutorial. This includes the 1972 and 1987 versions of the SIC system, the 1997 and 2002 editions of the NAICS classification, and the international system known by the acronym ISIC.

4. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes Standard Industrial Classification North American Industry Classification System International Standard Industrial Classification • SIC stands for “Standard Industrial Classification” • NAICS stands for “North American Industry Classification System” • ISIC stands for “International Standard Industrial Classification”

5. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes • U.S. industry codes were introduced as part of the 1957 classification system. Although these codes have undergone various revisions since then, their original use, which was to define industries in accordance with the composition and structure of the U.S. economy and economic activities, is still valid today. • The first major revision of the 1957 classification occurred with the release of the1972 SIC codes. Although now dated, the 1972 codes may be needed when researching industry statistics between the years 1972 and 1987.

6. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes REF. HF 1042 .A55 1987 • Due to major technological and institutional changes in U.S. industries and services, the Office of Management and Budget modified the 1972 codes during the 1980s. • This led to the publication of the 1987 SIC system. The 1987 edition represents a significant revision and expansion of the 1972 codes, particularly those related to service sectors. A major restructuring of other industrial classifications was also part of the 1987 version.

7. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes REF. HF 1042 .N6 1998 • During the 1990s, the governments of the U.S., Canada, and Mexico produced a common classification system which resulted in the adoption of the 1997 NAICS codes. NAICS was designed to replace the existing classification systems of each country, and to enhance the industry comparability of the three NAFTA trade partners. Although NAICS was adopted in the last decade, the business world has been slow to fully embrace it. As a result, both SIC and NAICS remain in use today.

8. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes REF. HF 1042 .N6 2002 • Shortly after the release of the 1997 NAICS codes it became clear that a modification was needed to address certain growth industries, including those related to the Internet and information sectors. As a result, the classification system underwent a revision that produced NAICS 2002.

9. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes REF. HC 10 .I673 2005 • Independent of SIC and NAICS is another classification system maintained by the United Nations, and known as the International Standard Industrial Classification (ISIC). Although not all countries have switched to the ISIC system, the use of this classification may be necessary when researching certain characteristics of international trade and economic activities. For example, the U.N. Industrial Development Organization uses this system to organize and report the industrial and economic activities of various nations.

10. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes NAICS SIC • Time and space does not permit discussing how to use or interpret these various coding systems in print publications and electronic resources. This is a topic of other instruction opportunities. This tutorial, however, can be used to identify some print publications and databases that use SIC (1987) and NAICS codes. Some of these resources will only accept one code or the other, but others make provision for using either system.

11. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes REF. HF 5681 .R25153 2005/2006 • Let’s begin by looking at three print publications dealing with industry and business ratios. The first such publication is Dun & Bradstreet’s Industry Norms & Key Business Ratios. This publication uses SIC codes.

12. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes REF. HF 5681 .R25T68 2007 • The second ratio publication is Troy’s Almanac of Business and Industrial Financial Ratios. Recent editions of this title use NAICS codes.

13. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes REF. HF 5681 .B2R58 2006/07 • The third and final ratios book is RMA’s Annual Statement Studies. This publication accepts the use of both SIC and NAICS.

14. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes • Although many other print publications that use SIC or NAICS codes could be mentioned, an additional noteworthy title is Dun & Bradstreet’s Business Rankings. Sometimes called Dun’s Business Rankings, this publication uses SIC codes to help identify major public and private companies in many categories, including competitors in the same industry.

15. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes SIC & NAICS Databases • Next, let’s identify some databases that accept the use of SIC or NAICS.

16. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes • For example, ABI/Inform (a ProQuest database) accepts the use of NAICS codes in the advanced search mode to help find periodical articles on specific industries and service categories.

17. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes • Business Dateline is another periodical article database that supports the use of codes, namely SIC codes.

18. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes • Business Source Elite accepts the use of NAICS codes to help find periodical articles on business topics.

19. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes • Mergent supports the use of both SIC and NAICS to identify company and industry information.

20. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes • The U.S. Business subset of ReferenceUSA supports the use of both SIC and NAICS to identify businesses and companies by industry and service category.

21. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes • Thomson One Banker supports the use of SIC codes to find company data by category. To find the needed search box on Thomson One Banker, after logging onto the database click on Search for Companies.

22. CLIP Cooperative Library Instruction Project Industry & Service Classification Codes SIC (1972) SIC (1987) NAICS (1997) ISIC NAICS (2002) • Although additional databases and print resources supporting the use of SIC, NAICS, and ISIC can be identified, the ones mentioned in this tutorial are a good starting point. Explore the use of these codes in other resources. Using these industry and service classification systems could be just what is needed to simplify your search for industry and service data.