Knocking Down the Bone Pile: Gold Mitigation for Class 2 Electronics
Punching Out: Your Financial Preparation for a Sale
Nolan's Notes: The Next Killer App in Component Manufacturing
Key Insights from the Annual Manufacturing Report 2018
June 18, 2018 | Neil Sharp, JJS ManufacturingEstimated reading time: 3 minutes
UK Manufacturing would appear to be experiencing both an exciting and a disconcerting time, according to the findings of the Annual Manufacturing Report 2018.
This year's report set out not just to provide a statistical snapshot of the industry, but to test the mood of manufacturers across a range of issues from technology to training.
The issue of support for Skills and Training was the one that generated the most enthusiastic feedback from respondents.
In particular, there was an acknowledgement of the need for those within the manufacturing industry to grow, and nurture, the flow of skilled young people coming out of the UK's colleges and schools.
The urgent need for investment in smart technologies and industrial digitization was another hot topic for discussion, with resounding agreement on the importance of investing in new technologies.
At the same though feedback suggests that, for many in the industry, there are obstacles getting in the way of making that investment a reality.
Skills and Training
The increasing digitization, industrial automation and interconnection of products (including the Internet of Things, Artificial Intelligence and robotics) is bringing with it some significant implications in terms of the specialist technical skills that companies require.
In tandem, there's recognition among manufacturers of the need to nurture innovation, empathy, creativity and leadership potential within their workforce.
A vast majority of respondents (86%) agree that manufacturers have a responsibility to get more involved with schools and training.
There was also resounding support for the benefits of apprenticeship schemes as a means to educate and empower employees and address the manufacturing skills gap.
Seventy-two percent of manufacturers see the development of apprenticeships as a positive thing for manufacturing, with 71% believing that apprenticeship schemes offer a viable alternative to other forms of higher education for school leavers.
Tempering this feedback though, is the view of 55% of respondents who think the UK government is sending mixed messages about what it is doing to address the skills gap. And 59% of those surveyed say they perceive the Apprenticeship Levy as a "tax on employment."
Smart Factories
The report highlights the important role of Smart Manufacturing and the Smart Factory in helping key information to be communicated across whole manufacturing supply chains and product life-cycles.
Of those surveyed, 92% think Smart Factory technologies will help them increase their productivity levels per headcount.
Eighty-nine per cent of respondents agree that these technologies will help their staff to work smarter.
And 80% of manufacturers believe Smart Factory technologies will have a positive impact on their supply chain relationships.
The Rise of Digital Technology
The report demonstrates a resounding acknowledgement of the relevance of advanced digital technologies and Industry 4.0 for the future of successful manufacturing.
Among the key findings: 87% of manufacturers indicated they are looking to invest in new digital technologies to boost productivity; 85% of respondents said they are using digital technologies to transform their business—from design to customer retention; 81% agree that data from connected machines will reduce their costs and help inform their decision-making; and 83% see digital as the key to accelerating innovation in design development and processes.
Quick Facts
- 42% of respondents find government support services for industry confusing
- 66% think digital technologies will be a massive growth driver in manufacturing
- 67% of manufacturers said Brexit is damaging their business prospects and making planning difficult
- 69% believe there should be a national campaign of education to promote the importance of manufacturing to the UK economy
- 72% of respondents have confidence in overseas trade and believe the conditions are prime for growth
- 75% of manufacturers say they have an export-based growth strategy
- 84% believe the UK has the drive to succeed as an industrial nation
Despite the challenges of a slower-than-expected growth in economy and the uncertainty of the outcomes of Brexit, the findings of the 2018 Annual Manufacturing Report demonstrate a commitment among the industry to innovate and succeed.
What's clear is that there is going to be increasing emphasis on balancing the need for business understanding with technological innovation and human insight.
As The Manufacturer’s editorial director Nick Peters sums up in the foreword to the report:
"UK manufacturers are riding high on a global economy that is beginning to shrug off a decade's worth of post-recession blues (and) people in the UK are waking up to the fact that we do have a vibrant manufacturing sector."
This post originally appeared on the JJS Manufacturing blog, which can be found here.
Share on:
Suggested Items
Electronic Components Market Update
10/04/2018 | Daniella Baldock, JJS ManufacturingUnfortunately, there is still no end in sight to the electronic component shortage, and some lead-times are being quoted with 2019 and even 2020 delivery dates! So if you are working with an EMS provider, it remains vital that you communicate and share forecast information with them. You may also want to start looking at the option of fitting, or designing in, smaller components to your PCB assemblies.
What SMT Component Shortages Mean for Design and Manufacturing Engineers
09/13/2018 | Russell Poppe, JJS ManufacturingMuch has been written about the increasing shortages of electronic components such as MLCCs, chip resistors and other semiconductor devices. And the manufacturing industry is now seeing price increases and greatly extended lead times. It seems the situation is likely to get rapidly worse rather than better. What can we do? Read on.
5 Supply Chain Questions to Ask Your Assembly Partner
08/16/2018 | Neil Sharp, JJS ManufacturingA key question for any OEM who may be considering outsourcing production is whether to maintain its existing supply chain or to hand those crucial purchasing decisions over to its assembly partner. This article highlights five questions to ask a potential assembly partner before handing over the responsibility for your supply chain management.
How Investment in Staff Well-Being Impacts Manufacturing Productivity
08/09/2018 | Sue Poole, JJS ManufacturingAs manufacturers seek to address the challenges of increasing efficiency, there's a greater emphasis on the value of high-performance working practices such as Lean manufacturing. But the emphasis on continual quality improvement processes can also have an indirect effect on employee health and well-being. Here's why manufacturers should invest in the well-being of its employees.
Overcoming Growth Challenges
07/19/2018 | Neil Sharp, JJS ManufacturingGrowth is usually seen by manufacturers as a good thing—a sign of success and a result of hard work. But if this growth isn’t planned for, or the manufacturer can’t react in time, growth can cause the same devastating results as if the business was in decline. This article looks at seven common areas that can cause manufacturers a headache when their business is growing, along with solutions to help ease the pain.