It would also make the blacksmith MUCH more important for the fortress, since you'd probably end up making the tools necessary for most professions on-site. Which, of course, is fairly accurate for how pre-industrial societies worked.
You'd probably have to abstract a lot of it out into general clustered items. So instead of making a hammer, and saw, and chisel, and plane, etc for the carpenter's shop, you'd just make -carpenter's tools- which would be required to build a carpenter's workshop. Having better tools would probably effect the quality of work you could do there. But then, what do you do when you later make *carpenter's tools* and want to upgrade? That could become a pain. Maybe some mechanism where workshops can be upgraded without destroying, rebuilding them?
I guess the question here is, how much abstraction are we ok with? More abstraction means less we have to worry about, but less we can effect. Tools effecting the quality of work, for example, means that having a blacksmith who can make legendary tools a big bonus for the fortress, and would allow some more synergy between crafts.
It could also get out of hand. Imagine if all workshops got worn down over time, and you had to replace stuff. New barrels for the dyers workshop, new tools for the mason, etc. It'd make more work for you to deal with. Unless, of course, the manager automatically queued up work to replace worn out items. If that included clothing, that might be nice.
It'd certainly help keep the economy moving at later stages of the game, and give more of a reason to import/export stuff, as new tools/barrels/etc would always be needed to replace the old failing ones.
While I'm on that thought...why doesn't the still require a barrel or bucket to create?