Declan’s Policy Update: Manufacturing – making sense of the key issues and challenges

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Manufacturing…the heartbeat of our economy and the largest sector of employment in our region. 

It’s a sector which has its own dedicated Staffordshire Chambers’ policy forum, with the aim of growing the manufacturing base in Staffordshire.

Take a look around the county.  JCB, Klarius, KMF, Michelin, Ornua, Perkins Engines and Bostik, to name just a few of our larger manufacturers, not to mention scores of other manufacturing businesses, from sole trader upwards.

Thousands of local residents are employed in the manufacturing sector but what are the main issues and challenges facing manufacturing?  It’s something we discussed in last week’s Manufacturers’ forum.

In recent years, manufacturers have found themselves battling against rising costs, particularly the cost of raw materials. Businesses have reported challenges with skills.  The manufacturing sector employs a relatively high proportion of apprentices, compared to other sectors.

We are one of a number of Chambers of Commerce across the UK, who are delivering Local Skills Improvement Plans (LSIP) for their respective areas and we are committed to building on the work of the LSIP in bridging the gap between the skills needed by manufacturers and the training and support offered through our training providers.

During our forum, we heard that the environment/sustainability have grown in importance to manufacturers, with more companies looking to attain recognised accreditation such as ISO14001 and B-Corp accreditation. 

Such recognition can enhance a company’s reputation but can also support applications to procure future business.

We’ve had anecdotal feedback of manufacturers unable to source sufficient energy to allow business expansion, or where surplus energy being generated through renewable sources, can’t be offloaded due to Grid limitations.  Our Business Manifesto has called on the Government to deliver on the investment needed for Grid upgrades and it’s something we’ll continue to lobby for, in the coming years.

I’ve already mentioned that the manufacturing sector is home to a relatively high proportion of apprentices but during last week’s meeting, we questioned whether more needed to be done to promote apprenticeship pathways, to students and their parents, as well as to our local schools and colleges.  Many apprentices entering the manufacturing sector will go on to forge a successful career pathway but perhaps that engagement needs to take place at an earlier age, long before students are preparing for GCSE and A-Level exams.

We’re trying to play our part in championing the value of apprenticeships and you can see more information on this, through our ‘Look at Me Now’ website, which showcases local apprenticeship success, as well as highlighting support for both learners and employers:

Look at me now – Look at me now (lookatmenowstaffordshire.co.uk)

More and more of us are becoming aware of the role being played by Artificial Intelligence (AI) and this is already being adopted by some manufacturers but how will AI play out in future?  How can manufacturers’ adopt and effectively implement AI in their day-to-day processes?

If you are a manufacturer, we’d love to get your thoughts on the key issues affecting your business.  An overall list of key issues will feed into the future policy and lobbying work being delivered by our Manufacturers’ forum, with guest speakers lined up for future updates, linked to our Business Manifesto.  Feel free to get in touch:

declan.riddell@staffordshirechambers.co.uk