Made in Midlands' Big Sustainability Report 2023 reveals UK manufacturing growth and a shift towards sustainability.
The Big Sustainability Report 2023 by Made in Midlands provides a fascinating insight into the industry's performance over the past year and its strategic direction moving forward.
Despite the challenges of supply chain disruptions and soaring input costs, a remarkable 72% of companies posted growth in 2022. This resilience, a characteristic trait of the sector, has seen only 7% of businesses experience a contraction in sales. It's a testament to the sector's ability to adapt and overcome adversity.
But the report reveals more than just economic resilience. It uncovers a significant shift in the industry's approach to sustainability. Two-thirds of directors now rank the importance of sustainability in their organisation as high or very high. This growing commitment to sustainable practices is more than just a nod to environmental concerns. It's a strategic move that aligns with the industry's objectives of cost-saving, productivity enhancement, and brand reputation improvement.
Here are some key takeaways from the report:
- 72% of companies posted growth in 2022 despite supply chain disruptions and soaring input costs.
- Two-thirds of directors rank the importance of sustainability in their organisation as high or very high.
- Strategies for managing business costs include establishing more local supply chains (22%), passing on costs to customers (22%), increasing subcontracting activities (18%), and relocating some aspects of production in-house (15%).
- Over half of the directors surveyed (56%) are utilising production efficiency improvements as a coping strategy for rising business costs.
- There is a need for more support and guidance to help boardrooms understand the interconnection between sustainability, profitability, and future resilience.
In the face of rising business costs, over half of the directors surveyed are turning to production efficiency improvements as a coping strategy. This approach not only helps manage costs but also promotes more sustainable production practices. It's a clear indication that the transition towards sustainable operations is well underway, driven by the alignment of sustainability goals with other key business objectives.
However, the journey towards sustainability isn't without its challenges. The report suggests a need for more support and guidance to help boardrooms understand the interconnection between sustainability, profitability, and future resilience. It's a complex relationship, but one that holds the key to the future success of the industry.
This is where FourJaw Manufacturing Analytics comes into play. Our machine monitoring system is designed to help manufacturers improve productivity and become more sustainable. By providing real-time data on machine utilisation and power consumption, we enable manufacturers to identify inefficiencies and make informed decisions that can reduce energy consumption and waste. In a world where sustainability is becoming a business imperative, FourJaw is committed to helping manufacturers strike a crucial balance between operational efficiency and their commitment to sustainability.
To read the full report visit Made In Midlands (Members only).