June 2021

News 0 6 | Plant & Works Engineering www.pwemag.co.uk June 2021 Britain’s manufacturers are accelerating as growth prospects become significantly more positive for the rest of the year, according to a major survey published by Make UK. Having seen a brutal 10% decline in output in 2020, the sector is now set to recover a significant amount of that loss in 2021 and outpace the growth of the economy overall. This growth is based on a surge in both domestic and overseas orders, which is translating into strong hiring intentions. Investment intentions have also turned positive for the first since the first quarter of 2020, suggesting that the introduction of the temporary super-deduction tax’ in the Budget is having some impact together with improved growth prospects. Make UK forecasts suggest, assuming vaccine effectiveness is strong, that manufacturing output levels will return to pre- pandemic levels by the end of 2022. That is earlier than previous forecasts had suggested. Fhaheen Khan, senior economist at Make UK, said: “Manufacturing growth is now firmly accelerating as restrictions have been eased and economies around the globe have started to open up. Looking forward there seems no reason to believe that this will not continue, assuming the shackles come off firmly in the second half of the year.” Manufacturing growth prospects surge as recovery accelerates SME manufacturers, supported by Made Smarter in their drive to digitalise, are up-skilling over 1800 workers to create the teams of tomorrow. The Made Smarter Adoption programme in the North West has worked with more than 1200 businesses since 2019, supporting them to introduce digital tools and technologies to help boost productivity and growth, and navigate the impact of COVID-19. Among these, 160 businesses have secured matched funding to develop projects using technologies which enable them to integrate systems, capture and analyse data, and even create simulations of their plants and processes. Others are using 3D-printing, automation, and robotics to solve business challenges and meet increased demand. These manufacturers are up-skilling 1822 roles to meet the demands of these emerging technologies and ensure successful digital transformation. But SME leaders are also navigating the cultural challenges of digitalisation: good digital leadership; bringing the team along on the journey; effective communication of the benefits of change; capturing the technical skills and know-how of older workers before they leave the industry; attracting new digital talent into the organisation; and plugging skills gaps. Made Smarter is supporting manufacturers in a variety of ways to meet these challenges, including organisation and workforce development (OWD) advice to enhance business performance through people, and a leadership programme designed to equip managers and directors with the strategic view and the skills needed to pursue smarter manufacturing. Digital technology internships are helping embed digital natives with fresh perspectives into a business, while digital transformation workshops can identify the challenges associated with going digital and develop a bespoke roadmap for technology implementation. Ruth Hailwood, organisational and workforce development specialist adviser for Made Smarter, said: “Choosing and implementing the right technologies and solutions is only one part of digitalisation. “Technologies are tools, but digitalisation is all about connecting systems and processes and sharing data to inform decisions made by people. “Empowering staff on the front line is vital to a successful digital transformation, so manufacturers need to have or work to create a culture that is open to change and looking to grow and innovate. This will ensure the buy-in and support of the team, which alongside the right skill sets, good digital leadership, and effective communication, will make sure everyone shares the same vision and people can reap the benefits of using these new tools effectively.” Hailwood concluded, that doing a skills audit is key to identifying where people need development with a view to future-proofing the organisation. This can also identify and unlock the hidden talent that already exists in the business or focus on capturing technical skills and know-how in a veteran employee.” Drive to up-skill over 1800 workers to create the teams of tomorrow Ruth Hailwood, organisational and workforce development specialist adviser for Made Smarter