North American industry Classification system - Wikipedia North American industry Classification system The North American Industry Classification System or NAICS ( pronounced `` nakes '' ) is used by business and government to classify business establishments according to type of economic activity ( process of production ) in Canada, Mexico, and the United States of America. It has largely replaced the older Standard Industrial Classification ( SIC ) system ; however, certain government departments and agencies, such as the U.S. Securities and Exchange Commission ( SEC ), still use the SIC codes. An establishment is typically a single physical location, though administratively distinct operations at a single location may be treated as distinct establishments. Each establishment is classified to an industry according to the primary business activity taking place there. NAICS does not offer guidance on the classification of enterprises ( companies ) which are composed of multiple establishments. Contents 1 Codes 2 History 3 See also 4 Further reading 5 References 6 External links 6.1 Analogues in other countries Codes The NAICS numbering system employs a five or six - digit code at the most detailed industry level. The first five digits are generally ( although not always strictly ) the same in all three countries. The first two digits designate the largest business sector, the third digit designates the subsector, the fourth digit designates the industry group, the fifth digit designates the NAICS industries, and the sixth digit designates the national industries. 2012 NAICS Sectors Sector # Description 11 Agriculture, Forestry, Fishing and Hunting 21 Mining, Quarrying, and Oil and Gas Extraction 22 Utilities 23 Construction 31 - 33 Manufacturing 41 / 42 Wholesale Trade ( 41 in Canada, 42 in the United States ) 44 - 45 Retail Trade 48 - 49 Transportation and Warehousing 51 Information 52 Finance and Insurance 53 Real Estate and Rental and Leasing 54 Professional, Scientific, and Technical Services 55 Management of Companies and Enterprises 56 Administrative and Support and Waste Management and Remediation Services 61 Educational Services 62 Health Care and Social Assistance 71 Arts, Entertainment, and Recreation 72 Accommodation and Food Services 81 Other Services ( except Public Administration ) 92 Public Administration History NAICS is a collaborative effort by Mexico 's Instituto Nacional de Estadística y Geografía ( INEGI ), Statistics Canada, and the United States Office of Management and Budget ( OMB ), through its Economic Classification Policy Committee ( ECPC ), staffed by the Bureau of Economic Analysis ( BEA ), the Bureau of Labor Statistics ( BLS ), and the Census Bureau. The system is designed to be largely compatible with the United Nations Statistical Office 's International Standard Industrial Classification system ( ISIC ). NAICS versions are released every five years. With the first version, released in 1997, NAICS offered enhanced coverage of the service sector, relative to SIC. The 2002 revision accommodated significant changes in the Information Sector. The 2012 revision slightly reduced the number of industries and modified six sectors. See also International Standard Industrial Classification Standard Industrial Classification ( SIC ) North American Product Classification System ( NAPCS ) Global Industry Classification Standard Industry classification Statistical Classification of Economic Activities in the European Community Thomson Reuters Business Classification Further reading North American Industry Classification System ( NAICS ) : Executive Office of the President Office of Management and Budget ; Jist Works ; ( January 1999 ) ; ISBN 1 - 56370 - 537 - 0 Harris ' Complete Guide to NAICS by Scott M. Vogel ; Harris Infosource ; ( September 19, 2001 ) ; ISBN 1 - 55600 - 922 - 4 NAICS Desk Reference, Jist Works, U.S. Census Bureau ; JIST Publishing ; ( July 2000 ) ; ISBN 1 - 56370 - 694 - 6 References Jump up ^ Division, Special Projects Staff, Service Sector Statistics. `` North American Industry Classification System ( NAICS ) Frequently Asked Questions ( FAQs ) ''. www.census.gov. Retrieved 2016 - 12 - 24. ^ Jump up to : `` 2012 North American Industry Classification System ''. United States Census Bureau. December 18, 2012. Jump up ^ `` NAICS 2012 - 41 - Wholesale trade ''. www23.statcan.gc.ca. Statistics Canada. Retrieved 2016 - 12 - 17. Jump up ^ `` 14. How does NAICS 2012 differ from NAICS 2007 ? ''. Frequently Asked Questions NAICS. United States Census Bureau. Retrieved December 18, 2012. External links Official website Analogues in other countries Russian Economic Activities Classification System ( OKVED ) ( in Russian ) Standard Industrial Classification ( South Africa ) Retrieved from `` https://en.wikipedia.org/w/index.php?title=North_American_Industry_Classification_System&oldid=828497663 '' Categories : Industry classifications Trilateral relations of Canada, Mexico, and the United States Statistics Canada United States Office of Management and Budget 1997 establishments in the United States Hidden categories : Official website different in Wikidata and Wikipedia Articles with Russian - language external links Talk Contents About Wikipedia Deutsch Français Polski Edit links This page was last edited on 2 March 2018, at 22 : 37. Text is available under the Creative Commons Attribution - ShareAlike License ; additional terms may apply. By using this site, you agree to the Terms of Use and Privacy Policy. 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Question: what is the purpose of the naics classification system
Answer: to classify business establishments according to type of economic activity (process of production) in Canada, Mexico, and the United States of America