Tags: additional detail, aggregates, american industry classification, architectural engineering, committee meeting, comparability, data users, digit level, final decision, industry classification system, industry structure, interested data, jack e triplett, mexico city, naics structure, north american industry classification system, north american industry classification system naics, payroll services, structure xx, xxxx,
Part VI--Proposed New Industry Structure for Professional, Scientific and Technical
Services
Section A--NAICS Structure
North American Industry Classification System
(NAICS)
Agreement Number 16
This Document represents the proposed agreement on the structure of the North American
Industry Classification System (NAICS) for the following industries:
Professional, Scientific and Technical Services
The detailed NAICS structure along with a brief description of the structure is attached
(Attachments 1 and 2). Each country agrees to release a copy of the proposed NAICS
structure to interested data users. Comments received will be shared among the countries and
additional discussions will be held before a final decision on the structure is made. Each
country may add additional detailed industries, below the 4-digit level of NAICS, as
necessary to meet national needs, so long as this additional detail aggregates to a 4-digit
NAICS level in order to ensure full comparability among the three countries. This NAICS
structure was presented and provisionally accepted at the NAICS Committee meeting held on
September 27, 1995 - September 29, 1995 in Mexico City, Mexico.
Accepted Signature Date
Canada /S/ Jacob Ryten 9/29/95
Mexico /S/ Enrique Ordaz 9/29/95
United States /S/ Jack E. Triplett 9/29/95
ATTACHMENT 1--NAICS STRUCTURE
XX Professional, Scientific and Technical Services
XXX Legal Services
XXXX Offices of Lawyers
XXXX Offices of Notaries
XXXX Other Legal Services
XXX Accounting, Tax Preparation, Bookkeeping and Payroll Services
XXXX Offices of Accountants
XXXX Tax Preparation, Bookkeeping and Payroll Services
XXX Architectural, Engineering and Related Services
XXXX Architectural Services
XXXX Engineering Services
XXXX Drafting Services
XXXX Building Inspection Services
XXXX Landscape Architecture Services
XXXX Surveying and Mapping Services
XXXX Geophysical Surveying Services
XXXX Testing Laboratories
XXX Specialized Design Services
XXXX Interior Design Services
XXXX Industrial Design Services
XXXX Graphic Design Services
XXXX Other Specialized Design Services
XXX Computer Systems Design and Related Services
XXXX Computer Systems Design and Related Services
XXX Management, Scientific and Technical Consulting Services
XXXX Management Consulting Services
XXXX Environmental Consulting Services
XXXX Other Scientific and Technical Consulting Services
XXX Scientific Research and Development Services
XXXX Research and Development in the Physical and Engineering Sciences
XXXX Research and Development in the Life Sciences
XXXX Research and Development in the Social Sciences and Humanities
XXX Advertising and Related Services
XXXX Advertising Agencies
XXXX Public Relations Services
XXXX Media Buying Agencies
XXXX Media Representatives
XXXX Display Advertising
XXXX Direct Mail Advertising
XXXX Advertising Material Distribution
XXXX Other Services Related to Advertising
XXX Other Professional, Scientific and Technical Services
XXXX Market Research and Public Opinion Polling
XXXX Photography Services
XXXX Translation and Interpretation Services
XXXX Veterinary Services
XXXX All Other Professional, Scientific and Technical Services
Attachment 2--North American Industry Classification System
Draft Classification for:
Professional, Scientific, and Technical Services
Representatives of the statistical agencies of Canada, Mexico, and the United States agree
to a draft industry classification for the Professional, Scientific, and Technical Service
industries.
The subsector is further subdivided into nine industry groups and 37 industries. The
placement of this subsector within the NAICS structure is not yet determined.
A General Outline
The statistical agencies of Canada, Mexico, and the United States have agreed to place
major emphasis on improved services classifications in NAICS. In their July 26, 1994
statement of concept for NAICS (Federal Register, Vol. 59, No. 142, p.38094), they stated:
"Statistical agencies of the three countries agree to give special attention to developing
production-oriented classifications for (a) new and emerging industries, (b) service industries
in general...."
Past industry classifications have two analytical inadequacies. First, individual services
industries are too few in number, which is another way of saying that they have been defined
too broadly to be useful--they have combined too many disparate activities into a single
industry definition. This criticism has been heard even in the U.S., which had more services
industry detail in its 1987 Standard Industrial Classification Manual than was the case for
most other classification systems. As indicated later in this outline, the detail problem has
been addressed in NAICS by breaking out new services industries from many of the broad
and heterogeneous industries in the former systems of all three countries.
A second problem in past services industry classifications is a general lack of a coherent
structure. To take the 1987 U.S. SIC system as an example, though it had what in NAICS
would be called a "subsector" for "Business Services," it was difficult to discern an
organizational principle in this subsector, or the relation that the industries included in it had
to each other or to the subsector as a whole. Moreover, engineering and architecture were not
defined as business services at all, and were located in a different part of the classification.
Again, this lack of coherent structure has been criticized.
In NAICS, organizing principles have been sought that will give coherence to NAICS
services sectors and subsectors. The organizing principle of the Professional, Scientific, and
Technical Services subsector is human capital, the knowledge and skills of the employees in
the subsector.
A services firm is often in the business of selling the skills of its workers. When this is the
case, the production process of a services producer depends essentially on the abilities and
capabilities of its employees. Of course, human capital is important in other areas of services
as well--medicine, for example. A broad interpretation of the principles of human capital
could have led to the inclusion of other industries in this subsector. For example, investment
advisors and real estate appraisers also make available the particular knowledge and skills of
their human capital.
The distinguishing feature of the Professional, Scientific, and Technical Services
subsector is the fact that most of the industries grouped in it have production processes that
are almost wholly dependent on worker skills. In most of these industries, equipment and
materials are not of major importance, unlike health care, for example, where "high tech"
machines and materials are important collaborating inputs to labor skills in the production of
health care. Thus, the establishments classified in this subsector are expertise sellers. Much
of the expertise requires degrees, though not in every case. Moreover, differences in expertise
and in training distinguish the industries that are classified in this subsector.
Because of the importance of services industries, and their rapid growth in North America,
the three countries' statistical agencies have created a forward looking classification for this
subsector that is intended to provide a framework for measuring services as they expand
throughout the entire North American economy. For this reason, many NAICS industries in
this subsector have been created even when they cannot at present be supported by all three
countries. This is a different rule than the one followed in most of the traditional goods
producing sectors. The following paragraphs provide a brief description of the content of each
industry group and observations on issues that are of particular interest.
The Legal Services industry group includes Offices of Lawyers, Offices of Notaries and
Other Legal Services. Offices of Lawyers are by far the largest industry in this group.
Though many law firms specialize in particular forms of law practice, no acceptable way was
found to further disaggregate this industry into more detailed industries that would be
collectible in all three countries, and would apply to the operations of the industry in all three
countries. In Canada and Mexico, Offices of Notaries are empowered to draft, approve, and
execute legal documents and contracts. Such establishments do not exist in the United States.
The Other Legal Services industry actually groups legal activities that are noncomparable in
the three countries. In Canada, this industry includes offices of bailiffs that are involved in a
mixture of activities, including enforcing court orders, serving writs and summonses,
repossession of property and providing court house security. Bailiffs in Mexico and the
United States are employees of the courts and normally provide security, and serve court
documents. For this reason, offices of bailiffs do not exist as establishments in the U.S. and
Mexico. The Other Legal Services industry includes offices of paralegals in the United
States. Though most paralegals in the U.S. are employees of other legal firms, separate
establishments of paralegals are emerging, and are placed in the Other Legal Services
industry. The Other Legal Services industry does not exist in Mexico, because neither bailiffs
nor paralegals exist as independent establishments.
The Accounting, Tax Preparation, Bookkeeping and Payroll Services industry group
includes establishments providing auditing, accounting, tax preparation, bookkeeping and
billing, and payroll accounting services. The dominant expertise in this industry group is
expertise in accounting. However, other activities that are sometimes done in accounting
firms and sometimes in more specialized establishments (tax preparation, for example) are
also located here. The United States will subdivide the Offices of Accountants industry to
distinguish auditing accountants (Certified Public Accountants (CPAs)) from non-auditing
accountants (non-CPAs).
The Architectural, Engineering and Related Services industry group includes
establishments providing architectural, engineering, drafting, building inspection and
surveying services. All of the proposed industries within this industry group are specialized
and economically significant in Canada and the United States. However, three industries
(Drafting Services, Surveying and Mapping Services and Geophysical Surveying Services) do
not exist in Mexico. The Testing Laboratories industry includes establishments engaged in
the provision of laboratory sampling and technical testing services, such as chemical analysis
and nondestructive testing. It is located in this subsector because the industries in this
industry group are major users of testing laboratory services and because of the processes
used in the laboratories.
The Specialized Design Services industry group includes establishments providing
interior, industrial, graphic and other specialized design services. It should be noted that the
Architectural and Engineering Services industries also include establishments that are
engaged in providing design services.
The Computer Systems Design and Related Services industry group includes
establishments providing expertise in the field of information technologies. These
establishments provide services such as custom programming services, systems design
services, data center management services and technical consulting services. Though custom
computer programming is in this sector, the reproduction of packaged software is in the
NAICS Manufacturing sector, and software publishing and on-line retrieval services are in the
new NAICS Information sector, to be published separately.
The Management, Scientific and Technical Consulting Services industry group includes
establishments that advise and counsel clients on virtually all aspects of corporate operations,
as well as those offering technical advice and counsel on non-management issues. Many
kinds of consulting exist in a modern economy. This industry group brings together those
consultants who, while having specific expertise, offer a wide range of services to their
prospective clients. It is not the clients' business on which the consultants in this industry
group have expertise, but rather, they have specialized knowledge with potential applications
in a broad range of industries. Accordingly, those establishments that provide consulting
services that are closely tied to a specific industry are classified in the sector or group of
industries to which they are related. For example, agricultural consultants are included in the
Agriculture sector. In addition, establishments that provide consulting services in conjunction
with other services as part of an integrated process, or in conjunction with other sales, are
excluded. For example, the provision of advice and counsel on financial matters is often
related to or incidental to the sale of financial products, and is therefore included in the
Finance and Insurance sector.
The Scientific Research and Development Services industry group includes
establishments engaged in original investigation undertaken on a systematic basis to gain new
knowledge (research) and/or in the application of research findings or other scientific
knowledge for the creation of new or significantly improved products or processes
(experimental development). The industries within this industry group are defined on the
basis of the domain of research; that is, on the scientific expertise of the establishment.
The Advertising and Related Services industry group includes Advertising Agencies,
Public Relations Services, Media Buying Agencies, Media Representatives, Display
Advertising, Direct Mail Advertising, Advertising Material Distribution and Other Services
Related to Advertising. These establishments are primarily engaged in preparing advertising
campaigns, placing advertisements, or the delivery of advertising material to the general
public.
The Other Professional, Scientific, and Technical Services industry group represents a
residual grouping that includes Market Research and Public Opinion Polling, Photography
Services, Translation and Interpretation Services, Veterinary Services and other activities that
could not be placed within other industry groups.
Limitations and Constraints of the Classification
Differences in the organization of activities within establishments, and differences in the
economic significance of individual industries from country to country, were the major issues
faced in the development of a common classification structure for this subsector. These issues
were dealt with by grouping activities in a manner that recognized the different levels of
integration and diversification of establishments while allowing each country to add industries
where necessary to reflect the greater level of specialization or economic significance of
particular industries in its national economy. Still, in some instances, proposed NAICS
industries in this subsector do not exist in all countries.
Establishments that offer services to a broad spectrum of industries, and therefore do not
require particular expertise in the client's own industry, are classified in this sector. However,
the narrower interpretation imposes limits on studies of a more broadly defined "professional
or knowledge-based sector." Uses requiring such a broad definition will require regrouping
of NAICS industries in other sectors.
The identification of new and emerging industries is one of the principal goals of the
NAICS project. Many users have expressed the wish that this goal be achieved while
minimizing breaks in time series. However, these two objectives are more often than not
conflicting, and the degree to which proposed NAICS industries relate to existing national
classification systems varies from country to country.
Relationship to ISIC
Each of the NAICS industries created in this subsector can be assigned to a division of the
current International Standard Industrial Classification of all Economic Activities (ISIC,
Revision 3) of the United Nations. The majority of the NAICS industries are contained within
ISIC Division 74, Other Business Activities. Other NAICS industries in this sector relate to
ISIC Divisions 72, Computer and Related Activities and ISIC Division 73, Research and
Development.
Changes to the National Classification
For Canada, the identification of a significant number of new industries represents the
most important change to the 1980 Canadian Standard Industrial Classification (CSIC).
Twenty-seven of the 37 proposed NAICS industries applicable in Canada are new. The
industries of this sector are, for the most part, currently classified in CSIC 77, Business
Service Industries. The expansion is particularly important for legal services (CSIC 7761),
computer services (CSIC 7721), advertising services (CSIC 774), scientific and technical
services (CSIC 7759) and other business services (CSIC 7799).
The Legal Services industry group now contains three industries compared to one in the
existing Canadian system. The Offices of Notaries and Other Legal Services industries are
new.
The current Computer Services industry (CSIC 7721) is split into five industries. The
computer systems design and related services component is part of this subsector. The newly
created Information sector contains three industries, namely, Software Publishing, On-line
Retrieval Services and Data Transaction Processing Services, that were formerly contained in
CSIC 7721, but are not placed in the NAICS Professional, Scientific and Technical Services
subsector. Computer rental and leasing is now classified in the Rental and Leasing subsector
of NAICS.
The Advertising Services industry group (CSIC 774) expands to eight industries from the
current four. The new industries are Public Relations Services, Media Buying Agencies,
Direct Mail Advertising, and Advertising Material Distribution.
Nine of the proposed NAICS industries are components of the Other Scientific and
Technical Services Industry (CSIC 7759). This includes Drafting Services, Landscape
Architecture Services, Surveying and Mapping Services, Geophysical Surveying Services,
Environmental Consulting Services, Testing Laboratories and the three proposed Scientific
Research and Development Services industries.
The proposed industries for Interior Design Services, Translation and Interpretation
Services, Document Preparation Services, Telephone Call Centers and Packaging and
Labeling Services are components of CSIC 7799, Other Business Services n.e.c. Various
parts of this industry are reassigned to new NAICS industries.
Other significant changes include the creation of two industries from CSIC 7771,
Management Consulting Services (Management Consulting and Management Services) and
the splitting of a Graphic Design Services industry from CSIC 7749, Other Advertising
Services.
The majority of proposed NAICS industries (22) relate to only one existing CSIC
industry. In those cases, the task of linking statistics based on the old and new systems is
relatively easy. For the remaining classes, this task is much more difficult since they are
defined in terms of components of existing industries for which no data are available.
However, many of these partial relationships are marginal in terms of economic activity.
For Mexico, 24 CMAP industries are included in this subsector: four industries have one-
to-one correspondence with NAICS; four CMAP industries were combined to form one
NAICS industry class; two other industries were merged with parts of other industry classes to
form two new NAICS industries; and of the remaining fourteen CMAP industry classes, 27
industries were created for this subsector in the NAICS. Some of the new or revised
industries reflect an increasing degree of specialization in this subsector in Mexico. Services
that were offered in combination within the same establishment, even when one of these
services was a secondary activity, are now provided separately by establishments that
specialize in only one activity. Therefore, in this new classification system there are
industries that were not even mentioned in CMAP, because they were formerly either
secondary activities or included with other activities.
The activities that are incorporated into this subsector are currently classified in branch
9510 of the CMAP, Provision of Professional Services, Technical and Specialized. However,
to fill out the new subsector some activities were relocated that were found in other CMAP
branches or subsectors or even from other activity sectors.
From CMAP Subsector 92, Services of Education, Investigation, Medicine, Welfare and
Civil and Religious Associations, the scientific investigation services performed by the private
sector and the public sector (CMAP classes 922100 and 922200, respectively) were
reclassified into three classes: Research and Development in the Physical and Engineering
Services; Research and Development in the Life Sciences; and Research and Development in
the Social Sciences and Humanities.
CMAP Subsector 94, Cultural, Recreational, and Sports Services, included establishments
that are devoted to personnel contracting for theatrical and cinematographic works (CMAP
classes: 941101, Private Production of Cinematographic Movies: 941106, Private Promotion
Services, Assembly and Artistic Spectacles Presentation; and in 941204, Promotion and
Assembly Public Service and Artistic Spectacles Presentation). These contracting agencies are
joined to the agencies of personnel placement to form a single NAICS class.
CMAP Class 952002, Various Personal Services, Photographic Services is reclassified to
NAICS Photography Services.
Two classes of CMAP Branch 9510 are not included in this subsector: CMAP class
951014, News Agency Services, and CMAP 951016, Photograph and Movies Developing
Services. The first is reclassified to the sector for Information and the second is included in
the Arts, Entertainment and Recreation subsector.
For the rest of the classes of CMAP Branch 9510, the most important changes are the
separations of the CMAP classes 951005, Services of Advising and Technical Studies of
Engineering and Architecture; 951008, Services of Advertising and Related Activities;
951010, Advising Services in Administration and Organization of Businesses, and 951023,
Other Professional Services, Technical and Specialized, not mentioned previously. The
creation of new product classes resulting from the separation is based on two fundamental
criteria: on the one hand, the specificity concerning production function and, additionally, the
perspective of growth in the future.
The CMAP class 951005, Services of Engineering and Architecture Consulting and
Mechanical Studies, is split into six parts; the first five are identified by their very specific
production functions: Architectural Services, Engineering Services, Surveying and Mapping
Services, Geophysical Surveying Services and Testing Laboratories. The sixth part
(prototypes design) is combined with the services of urban planners and with the services of
mode designers (located within the current CMAP class 951023), to become NAICS industry
Other Specialized Design Services.
The current class Advertising and Related Activities (CMAP 951008) is split into eight
NAICS industries: Advertising Agencies, Media Purchasing Agencies, Media Representation
Agencies, Advertising Agencies, Direct Mail Agencies, Direct Mail Advertising Agencies,
Commercial Event and Convention Organizers, and Other Services Related to Advertising.
The current CMAP class 951010, Administration and Organization Advising Services, is
split into five NAICS industries: Administrative Consultants, Public Relations Services,
Translation and Interpretation Services, Organizing Services, and Other Scientific and
Technical Consultancy Services.
Finally, certain activities in current CMAP class 951023, Other Professional Services,
Technical and Specialized Not Mentioned Previously, are now NAICS industries.
For the United States, of the 37 proposed NAICS industries, 23 are new. Of the 23 new
industries in this subsector, eight were created from 1987 SIC 7389, Business Services, Not
Elsewhere Classified. This former NEC industry had become a "catch-all" category that
included some of the fastest growing services in the U.S. economy, in a grouping that had no
natural interpretation or usefulness. Its size is significantly reduced by the creation of the new
industries in this subsector. Examples of new industries that were created from 1987 SIC
7389 are: Other Legal Services, Drafting Services, Building Inspection Services, Interior
Design Services, Industrial Design Services, and Translation and Interpretation Services. In
addition, other activities formerly included in SIC 7389 were redistributed among the
industries to create homogeneous industries or industry groupings. The redistributions out of
1987 SIC 7389 will reduce its overall size by approximately 40% of the establishments and
receipts. In addition, the remainder are redistributed into NAICS industry groups that have
more logic and coherence than the 1987 SIC 73 major group.
The NAICS industry group Accounting, Tax Preparation, Bookkeeping and Payroll
Services includes the services of accountants, tax preparers, bookkeepers, and payroll
services. The inclusion of tax preparation services represents a significant change; these
services are currently included in 1987 SIC Major Group 72, Personal Services. Accounting
services were previously grouped with bookkeeping; the NAICS structure separates these two
activities.
The NAICS industry group Architectural, Engineering and Related Services groups three
previously existing services industries (1987 SICs 8711, 8712, 8713), one previously existing
industry from Agriculture (1987 SIC 0781) and includes two new industries.
The NAICS industry group Other Specialized Design Services includes new industries for
Interior Design Services, Industrial Design Services and Graphic Design Services.
The NAICS industry group Management, Scientific and Technical Consulting includes
one significant change. It includes a separate industry for Environmental Consulting
Services. This service is included in 1987 SIC 8999, Services Not Elsewhere Classified.
The NAICS industry group for Scientific Research and Development Services changes the
focus from the source of funding (commercial versus non commercial) to the domain of
research, that is, physical sciences, life sciences, and social sciences.
The NAICS industry group Other Professional, Scientific and Technical Services includes
Photography Services that are in 1987 SIC's 7221, Photographic Studios, Professional, and
7335, Commercial Photography. The U.S. will continue to separate these industries in its 5-
digit industry detail.
Achievement of Objectives
The proposed classification meets the objectives for the North American Industry
Classification System. It is comprised of industries that group establishments with similar
production processes, that is, it applies the production-oriented economic concept. The
hierarchical structure of the classification also follows the production concept.
The classification achieves comparability for the three participating countries. Based on
existing data, all three countries expect to be able to publish data regularly at most industry
levels of the NAICS structure, though a number of exceptions exist, as noted in the
"Limitations and Constraints of Classification" above. The proposed NAICS structure also
introduces a number of new and emerging industries by expanding the current classification
systems of each country for business and professional service industries. All countries agree
on the detailed definitions of the industries.
Section B-Annex: United States National Industry Detail
As explained in the Structure presentation of this notice, for a number of reasons 4-digit
industries in the NAICS industry subsector presented in Part VI, Section A--Attachment 1,
contain less detail than is currently in the U.S. SIC system, and less detail than is required to
meet important analytical requirements in the U.S. The three country agreement on NAICS
envisions that each country may develop national detailed industries below the NAICS
industry level, so long as the national detail can be aggregated to the NAICS classification,
thus assuring full North American comparability.
The ECPC is proposing U.S. 5-digit industry detail for the NAICS industry subsector
covered in Part VI of this notice. For cases where no 5-digit detail is shown, the ECPC is
proposing that the NAICS 4-digit industries will also represent the most detailed U.S.
industries.
TABLE 1
The definitions of status codes are as follows: E-existing industry; L-null industry for the U.S.; N-new industry; R-revised industry; and * means "part of". The abbreviation NEC is
used for Not Elsewhere Classified.
1997 NAICS and U.S. description 1987
Status SIC 1987 SIC descriptions
code code
XX Professional, Scientific and Technical Services
XXX Legal Services
XXXX Offices of Lawyers E 8111 Legal Services
XXXX Offices of Notaries L Null Set for U.S.
XXXX Other Legal Services N *7389 Business Services, NEC (process services, patent agents, notaries
public, paralegal services )
XXX Accounting, Tax Preparation, Bookkeeping and Payroll
Services
XXXX Offices of Accountants
XXXXX Offices of Certified Public Accountants N *8721 Accounting, Auditing, and Bookkeeping Services (certified public
accountants)
XXXXX Offices of Accountants, Except Certified N *8721 Accounting, Auditing, and Bookkeeping Services (accountants,
except certified public accountants)
XXXX Tax Preparation, Bookkeeping and Payroll Services
XXXXX Tax Preparation Services E 7291 Tax Return Preparation Services
XXXXX Bookkeeping and Billing Services N *8721 Accounting, Auditing, and Bookkeeping Services (bookkeeping and
billing)
XXXXX Payroll Services N *7819 Services Allied to Motion Picture Production (talent payment
services)
*8721 Accounting, Auditing, and Bookkeeping Services (payroll services)
XXX Architectural, Engineering and Related Services
XXXX Architectural Services E 8712 Architectural Services
XXXX Engineering Services E 8711 Engineering Services
XXXX Drafting Services N *7389 Business Services, NEC (drafting service)
XXXX Building Inspection Services N *7389 Business Services, NEC (home and building inspection services )
XXXX Landscape Architecture Services E 0781 Landscape Counseling and Planning
XXXX Surveying and Mapping Services N *7389 Business Services, NEC (map making services)
*8713 Surveying Services (except geophysical surveying)
XXXX Geophysical Surveying Services N *8713 Surveying Services (geophysical surveying )
XXXX Testing Laboratories R *8734 Testing Laboratories (except veterinary testing laboratories)
XXX Specialized Design Services
XXXX Interior Design Services N *7389 Business Services, NEC (interior design)
XXXX Industrial Design Services N *7389 Business Services, NEC (industrial design)
XXXX Graphic Design Services R 7336 Commercial Art and Graphic Design
*8099 Health and Allied Services, NEC (medical artists)
XXXX Other Specialized Design Services
XXXXX Land Use Planners Services N *8748 Business Consulting Services, NEC (planners of land use)
XXXXX All Other Design Services N *7389 Business Services, NEC (fashion, furniture, and other design
services)
XXX Computer Systems Design and Related Services
XXXX Computer Systems Design and Related Services
XXXXX Custom Computer Programming Services E 7371 Computer Programming Services
XXXXX Systems Design Services N 7373 Computer Integrated Systems Design
*7379 Computer Related Services, NEC (computer systems consultants)
XXXXX Computer Facilities Management Services E 7376 Computer Facilities Management Services
XXXXX Other Computer Systems Design and Related Services R *7379 Computer Related Services, NEC (except computer systems
consultants)
XXX Management, Scientific and Technical Consulting Services
XXXX Management Consulting Services
XXXXX Administrative and General Management Consulting N *8742 Management Consulting Services (administrative management and
general management consulting)
XXXXX Human Resources Consulting N *8742 Management Consulting Services (human resources and personnel
management consulting)
*7361 Employment Agencies (executive placement services)
XXXXX Marketing Consulting N *8742 Management Consulting Services (marketing consulting)
XXXXX Process, Physical, Distribution and Logistics N *8742 Management Consulting Services (manufacturing management,
Consulting physical distribution, and site location consulting)
XXXXX Other Management Consulting Services N *4731 Arrangement of Transportation of Freight and Cargo (tariff
consulting)
*8748 Business Consulting Services, NEC (safety consulting)
XXXX Environmental Consulting Services N *8999 Services, NEC (environmental consultants)
XXXX Other Scientific and Technical Consulting Services N *8748 Business Consulting Services, NEC (economic, radio, and traffic
consultants)
*8999 Services, NEC (nuclear consultants, geologists, physicists and
actuarial consulting)
XXX Scientific Research and Development Services
XXXX Research and Development in the Physical and N *8731 Commercial Physical and Biological Research (physical and
Engineering Sciences engineering sciences)
*8733 Noncommercial Research Organizations (physical and engineering
services)
XXXX Research and Development in the Life Sciences N *8731 Commercial Physical and Biological Research (life sciences)
*8733 Noncommercial Research Organizations (life sciences)
XXXX Research and Development in the Social Sciences and N *8732 Commercial Economic, Sociological, and Educational Research
Humanities (social sciences and humanities)
*8733 Noncommercial Research Organizations (social sciences and
humanities)
XXX Advertising and Related Services
XXXX Advertising Agencies E 7311 Advertising Agencies
XXXX Public Relations Services E 8743 Public Relations Services
XXXX Media Buying Agencies N *7319 Advertising, NEC (media buying services)
XXXX Media Representatives E 7313 Radio, Television, and Publishers' Advertising Representatives
XXXX Display Advertising N 7312 Outdoor Advertising Services
*7319 Advertising, NEC (display advertising, except outdoor)
XXXX Direct Mail Advertising E 7331 Direct Mail Advertising Services
XXXX Advertising Material Distributors N *7319 Advertising, NEC (advertising materials distributor)
XXXX Other Services Related to Advertising N *7319 Advertising, NEC (except media buying, display advertising, except
outdoor; and advertising material distributors)
*5199 Nondurable Goods, NEC (advertising specialities goods distributors)
XXX Other Professional, Scientific and Technical Services
XXXX Market Research and Public Opinion Polling N *8732 Commercial Economic, Sociological, and Educational Research
(market research and opinion research)
XXXX Photography Services
XXXXX Photography Studios, Portrait E 7221 Photographic Studios, Portrait
XXXXX Commercial Photography R 7335 Commercial Photography
*8099 Health and Allied Services, NEC (medical photography)
XXXX Translation and Interpretation Services N *7389 Business Services, NEC (translation and interpretation services)
XXXX Veterinary Services E 0741 Veterinary Services for Livestock
0742 Veterinary Services for Animal Specialties
XXXX All Other Professional, Scientific and Technical Services N *7389 Business Services, NEC (appraisers, except insurance and real estate,
and miscellaneous professional, scientific, and technical services)
TABLE 2
The abbreviation "pt" means "part of". @ means time series break has been created that is greater than 3% of the 1992 revenues for the 1987 SIC Industry. The abbreviation NEC is
used for Not Elsewhere Classified.
1987 SIC code 1987 SIC description 1997 U.S. description
0741 Veterinary Services for Livestock Veterinary Services (pt.)
0742 Veterinary Services for Animal Specialties Veterinary Services (pt.)
0781 Landscape Counseling and Planning Landscape Architecture Services
4731 Arrangement of Transportation of Freight and Cargo
Tariff Consulting Other Management Consulting Services (pt.)
5199 Nondurable Goods, NEC
Advertising Specialities Goods Distributors Other Services Related to Advertising (pt.)
7221 Photographic Studios, Portrait Photographic Studios, Portrait
7291 Tax Return Preparation Services Tax Preparation Services
7311 Advertising Agencies Advertising Agencies
7312 Outdoor Advertising Services Display Advertising (pt.)
7313 Radio, Television, and Publishers' Advertising Representatives Media Representatives
7319@ Advertising, NEC
Media Buying Services Media Buying Agencies
Display Advertising, Except Outdoor Display Advertising (pt.)
Advertising Materials Distributor Advertising Material Distributors
Other Other Services Related to Advertising (pt.)
7331 Direct Mail Advertising Services Direct Mail Advertising
7335 Commercial Photography Commercial Photography (pt.)
7336 Commercial Art and Graphic Design Graphic Design Services (pt.)
7361 Employment Agencies
Executive Placement Services Human Resources Consulting (pt.)
7371 Computer Programming Services Custom Computer Programming Services
7373 Computer Integrated Systems Design Systems Design Services (pt.)
7376 Computer Facilities Management Services Computer Facilities Management Services
7379 Computer Related Services, NEC
Computer Systems Consultants Systems Design Services (pt.)
Except Computer Systems Consultants Other Computer Systems Design and Related Services
7389@ Business Services, Not Elsewhere Classified
Process Services, Patent Agents, Notaries Public and Paralegal Services Other Legal Services
Mapmaking Services Surveying and Mapping Services (pt.)
Interior Design Interior Design Services
Industrial Design Industrial Design Services
Drafting Service Drafting Services
Fashion, Furniture and Other Design Services All Other Design Services
Translation and Interpretation Services Translation and Interpretation Services
Home and Building Inspection Services Building Inspection Services
Appraisers, Except Insurance and Real Estate, Miscellaneous Professional, All Other Professional, Scientific and Technical Services
Scientific, and Technical Services
7819 Services Allied to Motion Picture Production
Talent Payment Services Payroll Services (pt.)
8099 Health and Allied Services, NEC
Medical Artists Graphic Design Services (pt.)
Medical Photography Commercial Photography (pt.)
8111 Legal Services Offices of Lawyers
8711 Engineering Services Engineering Services
8712 Architectural Services Architectural Services
8713 Surveying Services
Except Geophysical Surveying Surveying and Mapping Services (pt.)
Geophysical Surveying Services Geophysical Surveying Services
8721@ Accounting, Auditing, and Bookkeeping Services
Certified Public Accountants Offices of Certified Public Accountants
Accountants, Except Certified Public Accountants Offices of Accountants, except Certified
Payroll Services Payroll Services
8731@ Commercial Physical and Biological Research
Physical and Engineering Sciences Research and Development in the Physical and Engineering Sciences (pt.)
Life Sciences Research and Development in the Life Sciences (pt)
8732@ Commercial Economic, Sociological, and Educational Research
Social Sciences and Humanities Research and Development in the Social Sciences and Humanities (pt.)
Market Research and Opinion Research Market Research and Public Opinion Polling
8733@ Noncommercial Research Organizations
Physical and Engineering Services Research and Development in the Physical and Engineering Sciences (pt.)
Life Sciences Research and Development in the Life Sciences (pt.)
Social Sciences and Humanities Research and Development in the Social Sciences and Humanities (pt.)
8734 Testing Laboratories Testing Laboratories
8742@ Management Consulting Services
Administrative Management and General Management Consulting Administrative and General Management Consulting
Human Resources and Personnel Management Consulting Human Resources Consulting (pt.)
Marketing Consulting Marketing Consulting
Manufacturing Management, Physical Distribution, and Site Location Process, Physical, Distribution, and Logistics Consulting
Consulting
8743 Public Relations Services Public Relations Services
8748@ Business Consulting Services, Not Elsewhere Classified
Planners of Land Use Land Use Planners Services
Safety Consulting Other Management Consulting Services
Economic Consultants, Radio Consultants, Traffic Consultants Other Scientific and Technical Consulting Services (pt.)
8999@ Services, NEC
Nuclear Consultants, Consulting Geologists, Consulting Physicists, and Other Scientific and Technical Consulting Services (pt.)
Actuarial Consulting
Environmental Consultants Environmental Consulting
Description of Changes to the U.S. System
Forty-eight U.S. industries are included in the NAICS Professional, Scientific, and
Technical Services subsector. Thirty-one of these are new industries (Offices of
Notaries, as defined, do not exist in the U.S.); four are revised 1987 SIC industries; and
13 are industries that existed in 1987. The primary focus of this subsector is to group
together establishments that make available the particular knowledge, expertise or skills
of their employees to a wide range of business and individual clients. The activities
included here can be utilized throughout all sectors of the economy. Other activities
that do not meet this criteria are generally included in the particular subsector they
serve. The industries within this subsector have similar production processes. The
changes also help to better achieve comparability with Mexico and Canada. The
following new industries were added for 1997:
Other Legal Services from part of 1987 SIC 7389, Business Services, NEC.
Offices of Certified Public Accountants from part of 1987 SIC 8721, Accounting,
Auditing, and Bookkeeping Services.
Offices of Accountants, Except Certified from part of 1987 SIC 8721, Accounting,
Auditing, and Bookkeeping Services.
Bookkeeping and Billing Services from part of 1987 SIC 8721, Accounting,
Auditing, and Bookkeeping Services.
Payroll Services from part of 1987 SIC 7819, Service Allied to Motion Picture
Production, and part of 1987 SIC 8721, Accounting, Auditing, and Bookkeeping
Services.
Drafting Services from part of 1987 SIC 7389, Business Services, NEC.
Building Inspection Services from part of 1987 SIC 7389, Business Services, NEC.
Surveying and Mapping Services from part of 1987 SIC 8713, Surveying Services,
and part of 1987 SIC 7389, Business Services, NEC.
Geophysical Surveying Services from part of 1987 SIC 8713, Surveying Services.
Interior Design Services from part of 1987 SIC 7389, Business Services, NEC.
Industrial Design Services from part of 1987 SIC 7389, Business Services, NEC.
Land Use Planners Services from part of 1987 SIC 8748, Business Consulting
Services, NEC.
All Other Design Services from part of 1987 SIC 7389, Business Services, NEC.
Systems Design Services from 1987 SIC 7373, Computer Integrated Systems
Design, and part of 1987 SIC 7379, Computer Related Services, NEC.
Administrative and General Management Consulting from part of 1987 SIC 8742,
Management Consulting Services.
Human Resources Consulting from part of 1987 SIC 8742, Management Consulting
Services, and part of 1987 SIC 7361, Employment Agencies.
Marketing Consulting from part of 1987 SIC 8742, Management Consulting
Services.
Process, Physical Distribution, and Logistics Consulting from part of 1987 SIC
8742, Management Consulting Services.
Other Management Consulting Services from part of 1987 SIC 4731, Arrangement
of Transportation of Freight and Cargo, and part of 1987 SIC 8748, Business Consulting
Services, NEC.
Environmental Consulting from part of 1987 SIC 8999, Services NEC.
Other Scientific and Technical Consulting Services from part of 1987 SIC 8748,
Business Consulting Services, NEC, and part of 1987 SIC 8999, Services, NEC.
Research and Development in the Physical and Engineering Sciences from part of
1987 SIC 8731, Commercial Physical and Biological Research, and part of 1987 SIC
8733, Noncommercial Research Organizations.
Research and Development in the Life Sciences from part of 1987 SIC 8731,
Commercial Physical and Biological Research, and part of 1987 SIC 8733,
Noncommercial Research Organizations.
Research and Development in the Social Sciences and Humanities from part of 1987
SIC 8732, Commercial Economic, Sociological, and Educational Research, and part of
1987 SIC 8733, Noncommercial Research Organizations.
Media Buying Agencies from part of 1987 SIC 7319, Advertising, NEC.
Display Advertising from 1987 SIC 7312, Outdoor Advertising Services, and part of
1987 SIC 7319, Advertising, NEC.
Advertising Material Distributors from part of 1987 SIC 7319, Advertising, NEC.
Other Services Related to Advertising from part of 1987 SIC 5199, Nondurable
Goods, NEC, and part of 1987 SIC 7319, Advertising, NEC.
Market Research and Public Opinion Polling from part of 1987 SIC 8732,
Commercial Economic, Sociological, and Educational Research.
Translation and Interpretation Services from part of 1987 SIC 7389, Business
Services, NEC.
All Other Professional, Scientific and Technical Services from part of 1987 SIC
7389, Miscellaneous Business Services.
The following four NAICS industries were modified from their 1987 definitions:
Testing Laboratories from 1987 SIC 8734, Testing Laboratories. This industry was
modified by moving veterinary laboratories to the Support Services for Agriculture
subsector. This move was made to improve comparability with Canada and Mexico and
because the production process of this type of laboratory was so different from the
others that are included.
Graphic Design Services from 1987 SIC 7336, Commercial Art and Graphic Design,
and part of 1987 SIC 8099, Health and Allied Services, NEC. Medical artists of 1987
SIC 8099 were combined here because of the similarity of the production process with
graphic designers and to improve comparability with Mexico and Canada.
Other Computer Systems Design and Related Services from part of 1987 SIC 7379,
Computer Related Services, NEC. This industry was modified by moving computer
systems consultants to NAICS industry Systems Design Services to improve
comparability with Mexico and Canada.
Commercial Photography from 1987 SIC 7335, Commercial Photography, and from
part of 1987 SIC 8099, Health and Allied Services, NEC. Medical photography from
1987 SIC 8099 was combined with commercial photography because of the similarity
of their production processes.