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It was the biggest economic story of 2007 – the credit crunch – and now the media is littered with news on whether we are going to come face-to-face with a recession or just a slowdown in growth.
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British manufacturing, however, seems to weathering the storm. Figures out this month from the Office for National Statistics show that output rose by 0.4 per cent in February, after a 0.5 per cent gain in January. And annual growth of 1.9 per cent was the best since December 2006
The resilience of the industry is impressive, but how long can we combat tighter credit conditions, rising prices and a possible slowdown in consumer demand. What can we do to ensure we keep our heads above water when conditions become increasingly stormy?
There are things that you can do now not only to ensure survival in uncertain times but also that you come out the other side in an even stronger position.
Following a continuous improvement agenda, being aware of market changes and tight cash management for example are vital.
Things do not happen overnight so your ability to map changes in your market, identify costs and reduce them and knowledge on where your cash is in the business will also put you in good stead when it comes to any aspect of decision making over the coming months.
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You basically need to know that everything is working productively for you from your cash and equipment right through to your suppliers and stock levels – unnecessary stock is just money tied up in a different guise!
Treat your good customers well and keep listening and talking to them. This will help you to identify future trends and requirements in order that you can develop new or modified products and services to meet their needs. Also make sure you look after your most critical suppliers and just as importantly take care of your staff.
The adage goes that you can never be too prepared and this couldn’t be truer than when facing uncertain times. But as much as you get your house in order to combat the down-turn you also need to be ready for the up-turn and the opportunities on the horizon. Changes in the economy will always offer up new avenues for growth – you just need to able to spot them and be ready.
Arthur Richardson
Director
South West MAS
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Masterclasses to help manufacturers access billions
With public sector spending at £550 billion and new research showing that manufacturers are not taking advantage of Olympic opportunities, the South West MAS has teamed up with Business Link and Team South West to deliver a series of masterclasses across the region on successful tendering.
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A survey by Lloyds TSB Commercial & Corporate saw 71 per cent of respondents state that they had not yet researched the Olympic possibilities for their businesses, with just 10.5 per cent planning to look into the opportunities available at some point during the next 12 months.
This was despite the 40.4 per cent of businesses that believed the Games would have a positive effect on the sector. It is estimated that there will be £21bn of potential new business up for grabs nationally through the 2,000 direct contracts with the Olympic Delivery Authority, 5,000 contracts with The London Organising Committee of the Olympic Games (LOCOG) plus 75,000 supply chain opportunities.
The ‘Tendering for Manufacturers’ workshops for leaders and senior managers will give manufacturers hands-on exposure to different types of tenders, both small and large. It will explore tendering as part of a manufacturing business strategy, why tender submissions fail, how to access opportunities and most importantly how to improve tender performance. |
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| 17th April |
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Cornwall |
| 8th May |
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Dorset |
| 19th June |
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Gloucestershire |
| 24th July |
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Wiltshire |
| 13th August |
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Somerset |
| 11th September |
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Devon |
| 23rd October |
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Bristol |
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To read more click here or visit the South MAS event calendar to select a date, book and pay online.
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Spotlight on Godfrey Tucker, Continuous Improvement Director, Actavis UK.
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Actavis is a leading player in the development, manufacture, and sale of generic pharmaceuticals across the world and recently won the Manufacturer of the Year and Best Team of the Year awards at the North Devon Manufacturers Association (NDMA) awards.
What excites you about your day-to-day work?
Working across both manufacturing and commercial functions in Actavis means I am involved in a wide variety of improvement activities which present a broad spectrum of learning opportunities.
In a typical day, what is guaranteed to put a smile on your face?
Those moments when someone suddenly gets to the root of a problem and the solution becomes obvious.
What has been your greatest achievement in the last year?
During the year, we outsourced our finished goods distribution to DHL in Banbury. This was successfully achieved against a background of tremendous growth and numerous other major changes.
4. On a day-to-day basis, what do you find frustrating about your work?
Unnecessary bureaucracy and regulations that impede change.
To read further, click here
Would you like to appear in next month’s e-Newsletter in the Spotlight section? We are looking for manufacturers who are willing to answer eight simple questions about their day-to-day role. More than 7,000 people worldwide read the monthly
e-Newsletter, so if you would like to share your thoughts on working in manufacturing or tell us more about your role, email the editorial team on info@swmas.co.uk
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MAS helps cider entrepreneurs press on to fulfil dream
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For Somerset-based entrepreneurs, Andrew Quinlan and Neil Macdonald, the chance to fulfil the dream of turning their hobby into a profitable business has become reality following support from the South West MAS.
Founded in 2005, Orchard Pig began its life producing cider on a small enough scale to supply to local outlets. Andrew and Neil soon realised, however, that there was potential to turn their love of cider making into a thriving business especially given the recent growth in the drinks market.
Following a referral from chutney, sauces and preserves producers The Bay Tree Food Company, Andrew contacted the MAS to work out how their hobby could be turned into a business proposition, the steps to formalising a solid business plan as well as take a strategic look at how they could exploit further channels available for the sale of apple-based products.
MAS specialist, Neil Osment, recommended that Orchard Pig take up the Strategic Management Programme (SMP), which would help them to identify operational challenges and possible growth opportunities of strengthening, or diversify, their product range and offering.
To read more, click here
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UK manufacturing enjoyed its most productive year for a decade in 2007. Phil Townsend from South West MAS looks at the part Bristol is playing in the ongoing revival of this hard-pressed sector.
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Who says manufacturing is in decline? According to the latest figures from the Engineering Employers Federation (EEF), manufacturing is going through a renaissance. During 2007, UK manufacturing was at its most productive for a decade. Not only was investment at an all time high over the same period, but the numbers of companies posting a profit was up 34 per cent.
Much of the credit for this is down to the way in which the sector has transformed itself of late. Faced with huge pressure from overseas competitors, companies have learned to become far cleverer about the way they do business by embracing lean manufacturing practices, innovating their core offering, investing in technology and specialist skills and exploiting new markets.
Nowhere is this more evident than Bristol. Although the city is fast becoming known for its thriving financial services sector, manufacturing is still very much alive and well. It currently accounts for 8 per cent of Bristol’s Gross Value Added (around about £720m a year), while the number of people employed is around the 22,500 mark, about 12 per cent of all jobs (or 8 per cent of all jobs in the South West of England). There are currently in excess of 1,800 manufacturing firms operating in the city.
Traditionally, aerospace and advanced engineering, have been the bedrock for much of Bristol manufacturing, and these sectors continue to perform well, despite the recent upheaval at Airbus. However, the most startling growth has been in niche manufacturing, where SMEs are busy channeling their energies, and their expertise to good effect. Food and drink, building products as well as printing and publishing are three areas that are leading the way.
To read more, click here
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| You can now book your place at South West MAS events online. Simply visit the South West MAS website, provide your details and you will receive confirmation of your booking, be able to pay online and download maps and directions. You can also see what events you’ve attended in the past. |
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>The Regional Economy & Future Prospects Seminar
Command Wessex invites members and non-members to hear Nigel Jump, chief economist for the South West of England Regional Development Agency, present an overview of the region and projected economic conditions. The seminar is aimed at owners, directors, senior managers, sales, operations, finance, procurement and HR specialists of manufacturing and distribution businesses. Email p.bennet@groveley.co.uk or call 01202 483497 to book a place. |
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Wednesday 16th April 2008, Dudsbury Golf Club, 64 Christchurch Road, Ferndown, Dorset BH22 8ST |
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5pm |
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Manufacturers |
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>MACH 08
MACH is the UK’s premier manufacturing technologies event, encompassing metal-cutting and metal-forming machine tools along with all ancillary and related products and services.
For 2008, MACH will also incorporate MACHplus exhibitors from related industries and MACHconsult, industry advice from experts. MACH attracts over 500 exhibitors and in excess of 22,000 + visitors to each show and is the only place to find out what’s new in the marketplace.
Come see the MAS on stand 4780c (hall 4) or take part in one of our ‘5S’ and ‘Off Shore, Be Sure’ workshops running during the event.
For more information visit www.mach2008.com |
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21-25 April 2008, NEC Birmingham |
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Manufacturers |
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>WEAF breakfast meeting
The West of England Aerospace Forum is organising a free, informal event to provide new
and prospective members with an update on the industry, and information on how to get involved in the supply chain, how to market your company, how to meet other new members and find out how WEAF service providers might be able to assist your company. For more information, call 01275 872353 or email info@weaf.co.uk |
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14th May, Bournemouth (AFC Bournemouth) |
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8–11am |
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Manufacturers |
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>Challenge Towards World Class Manufacturing
Participate in an intensive five-day mission in Japan for EU managers and executives from European Member States manufacturing companies. Receive an in-depth analysis of Japanese manufacturing methodology and acquire a better understanding of TQC (Total Quality Control), TQM (Total Quality Management), TPM (Total Productive Maintenance), JIT (Just In Time), TIE (Total Industrial Engineering) practices and the current KAIZEN manufacturing methods (continuous improvement). The training course consists of lectures and workshops and visits to some of the world’s most advanced Japanese. For more information, click here |
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20 - 24 Oct 2008,
application deadline: 11 Jun 2008 |
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Manufacturers |
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Japanese housekeeping comes to the South West
Japanese housekeeping is being brought to the South West by the Manufacturing Advisory Service (MAS), which is running a series of workshops based on hundreds of years of a proven Japanese philosophy adopted by companies such as Hewlett Packard and Boeing.
The workshops will focus on helping manufacturers cut down on waste, improve the levels of quality and safety, reduce production lead times and costs and ultimately increase company profit.
"5S is a method for keeping a shared workplace organised," said Arthur Richardson, director at the South West MAS. "It’s a reference to a list of five Japanese words which, when translated into English, start with the letter S – Sort, Set, Shine, Standardise and Stick - and is sometimes referred to as a housekeeping methodology. Essentially, it focuses on workplace morale and efficiency."
The free half-day 5S workshops are being run across Wiltshire and Gloucestershire during April and May and are aimed at manufacturing team leaders, operations managers and managing directors:
To book your place online simply click on your workshop of choice or call 0845 608 3838:
30/04/08 Pembroke Arms Salisbury SP2 OBH
01/05/08 Beechfield House Hotel - Melksham SN12 7PU
13/05/08 Old Bell Hotel - Malmesbury SN16 0BW
15/05/08 Cotswold Water Park Hotel - Cirencester GL7 5FP
To read further about the events, click here
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Develop your managers through South West MAS’ Operational Leadership Programme – starting again in Dorset and Cornwall
The Operational Leadership Programme (OLP) is much more than the normal training course. It is an action-based development programme with measurable outcomes, culminating in the delivery of a work-based project. It aims to be a fast-paced, fun, down-to-earth programme, designed specially for first line managers who are eager to get more from their people and shop floor processes.
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The six stage development programme, run over approximately 12 weeks, helps first line managers improve management and manufacturing skills to add value to their business.
The cost per delegate is £1,250 + VAT for SMEs (0–250 employees) but SMEs may be eligible for a £500 grant for a delegate attending, reducing the cost to £750 + VAT.
The Dorset programme begins on Monday 28th April, 2008 at Kingston Maurward College, Dorchester, Dorset. The Cornwall programme will begin on the 11th June.
To find our more or register to attend, click here.
For more information, contact Phil Townsend on 0845 608 3838 or email olp@swmas.org.uk
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Enter the National Business Awards and get recognised for business excellence
The National Business Awards have just launched their search for the best businesses in 2008. Fast becoming a leading programme in recognising excellence in business achievement, innovation and success in the UK, the lasting rewards of becoming a National Business Awards winner or finalist are immeasurable in terms of media exposure, your organisation’s reputation and pride amongst managers and staff within the companies themselves.
For more information about categories and entry forms, visit www.nationalbusinessawards.co.uk
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Scrapheap Challenge looking for teams
Channel 4 is looking for teams of enthusiastic amateurs to build amazing machines at home to compete in the Summer 2008 Scrapheap Challenge. If you think you could build a machine that could be raced, visit www.meontv.co.uk/scrapheap or call 0207 013 4115.
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Feedback on public sector procurement procedures
Suppliers who have concerns about public sector procurement procedures now have an opportunity to raise issues via the Office of Government Commerce (OGC) Supplier Feedback Service. The OGC is the body responsible for setting standards and best practice in this area and the feedback service provides a clear, structured and direct route for suppliers to raise issues via an online form, which is then considered by a team of procurement policy specialists. More information is available from the OGC Service Desk on 0845 000 4999, or at www.ogc.gov.uk
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Tamarside Community College to offer the new Diploma in Manufacturing and Product Design
The Tamarside Community College has recently discovered that it bid to offer the new Diploma in Manufacturing and Product Design at the college from September 2009 has been successful. The Diploma is a new qualification aimed at providing young people the opportunity to combine essential skills and knowledge, hands-on experience and employer-based learning to prepare them for work or further study. The MAS was able to provide unique insight into the world of manufacturing and support the college in its successful bid.
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Finding new ways to gain a competitive edge
The South West Innovation Relay Centre (SWIRC) brings companies, universities and research institutes together so that they can profit from each other's research, technology and expertise.
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Established by the European Commission in 1995, it has grown in to a network of nearly 300 offices. As part of the Innovation Relay Centre Network we have access to hundreds of technology partnering opportunities through our Technology Watch Service.
If you have technology to exploit or are looking for a technical solution, the Innovation Relay Centre can help create a technology partnering profile, locate potential partners, and guide you through the technology partnering process. For more information please contact Kenny Legg on Kenny.Legg@southwestrda.org.uk
Here are two current technology partnering opportunities:
Biodegradable Packaging Material for Shopping Bags
Reference: 08 GR HFHF 0JYZ
A Greek SME active in the processing and packaging of organic food is searching for biodegradable packaging materials for distribution of its products. The company is seeking industrial partners able to provide biodegradable shopping bags material through a commercial agreement with technical assistance.
Gearboxes and/or Transmissions for Wind Turbines
Reference: 08 IL ILMI 0JUW
An Israeli manufacturer of gear-based products is looking for a technology to produce gearboxes and transmissions for wind turbines. Ideally, the developed product should fit wind turbines with a power capacity of 1-3 MW. The technology/product requested should be fully developed.
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South West Manufacturing Advisory Service - the trusted provider of advice and hands-on support for manufacturers aiming to achieve sustainable success
South West MAS is run in partnership with:
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©2008 South West Manufacturing Advisory Service www.swmas.co.uk. All rights reserved.
Chargrove House | Main Road, Shurdington Cheltenham Glos GL51 4GA | United Kingdom | Telephone +44 (0) 1242 864129 | Email info@swmas.co.uk
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