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1: A manufacturing Christmas carol
In the blink of an eye, Christmas is here again. Congratulations to you and your kin on turning in another great year, but forgive me a moment for rattling the chains louder than the ghost of Jacob Marley.
For there is a piercing chill about to strike at British manufacturing. Research shows six in 10 site leaders have never heard of Industry 4.0 - a technological revolution that could help the West restore its global manufacturing hegemony. Let me tackle the bah humbug brigade with the aid of the ghost of manufacturing past.
It’s hard not to be awestruck as you glide over the tops of mill chimneys. The ambition and endeavour of industrialists like Cartwright, Brunel and Stephenson is tearing up fields for factories, tunnels and track. The smoke rising from iron foundries screams of Britain’s undisputed industrial might.
Nostalgia quickly evaporates as we join the spirit of manufacturing present. The coal tinged air is gone and a discount retailer occupies our once thriving cotton mill. But all is not lost. You stand in a factory whose production line still purrs. Workers and managers beam as they swap ideas on how to make things smarter. Yet the mood soon sours. Bob Cratchit of B shift shows Tiny Tim, the apprentice, a tabloid story about looming job losses as us Brits languish behind Industry 4.0 -embracing Germany in the global productivity stakes.
Cue the ghost of manufacturing yet to come. Our factory has given way to a 24-hour superstore. Inside, Bob Cratchit looks despondent discussing bogoffs where he once led dynamic kaizen blitzes. Tiny Tim looks even more pathetic: staring off into space as he swipes tins of beans through the till. Our spirit points to a plaque beside the pet food aisle. It reads: ‘Here lies UK manufacturing. Born 1760. Died 2026. Dearly beloved but doomed by an inability to adopt Industry 4.0 quicker.’
It’s over to you to play out the final redemptive scenes. But just before you hug Bob Cratchit of B shift and swot up on the Internet of Thingy ma jigs, it leaves me to conclude: ‘God bless UK manufacturers, every one’. Merry Christmas.
Published: November 2015
2: Father Christmas: He’s one of us
Pop a couple more chestnuts on the fire and pour yourself a well-earned glass of mulled wine. It's going to be a very happy Christmas according to WM's annual business barometer, Manufacturing Outlook.
Factory optimism is in the upper stratosphere. More than 80% of sites are upbeat over business prospects next year – a 30% swing from 2012. Nervous whispers of recovery have become a commanding roar. Good riddance recession, God bless recovery.
As you finalise the 2014 hoshin planner ahead of the upturn, it's worth seeking inspiration from a great manufacturing case study. Step forward St Nicholas Manufacturing of Reindeer Industrial Estate, Lapland.
St Nick's is a benchmark in manufacturing brilliance. Near limitless product diversity from fur slippers to Furbies, turned around in 24-day lead times and delivered to a global customer-base over 24 hours. Just in time manufacturing eat your heart out.
Factory boss, St Nicholas – or Father X as he goes by on to the shopfloor – is the ultimate management idol. If you think it's hard finding decent maintenance engineers near Manchester then imagine trying to recruit elves with first-rate toy assembly skills to a site somewhere within the Arctic Circle.
At Saint Nick's you never hear Donner or Blitzen bad-mouthing the boss in the canteen. Father X is all about engagement. He bellows his company mission statement until his belly wobbles: Deliver happiness to all the good little boys and girls. Every elf knows it and relishes December's unpaid overtime.
Come Boxing Day, the boss is straight out to the shopfloor. A pat on the back for another successful year and first dibs at enough mince pies and brandy to last until next Christmas.
Avuncular, altruistic and eternally jolly, there's a lot of Father Christmas in all of you; a kindred spirit who knows what it's like when half the world stops believing you even exist. We shrug shoulders and, whether it's aftershave or GDP growth, carry on leaving some wonderful gifts under the nation's Christmas trees. Ho, ho, ho – Merry Christmas!
Published: December 2013
3: Trust the little donkey to kick ass
Merry Christmas to you all and a toast to the nativity donkey. That's right, the unassuming mule at the heart of the Christmas story. It's usually played by the class clowns who stagger blindly around the stage in a two-man donkey costume, looking like Frankel auditioning for Dancing on Ice. But between the sniggers at this year's school play, please spare a second thought for the humble creature who, at heart, is a kindred spirit. Our long-eared friend is the unsung hero of the Christmas tale. He advances relentlessly along the long road from Nazareth, bearing a heavy load and braving hostile terrain.
You, too, have overcome tough conditions to push forward this year. A bitter recession and soaring energy prices have been par for the course. You've also carried some more celebrated corners of the economy along the way. No grumbling, no quitting, not a lot of adulation – just like the donkey, we dig deep and move on.
WM's Outlook report shows a sector upbeat about the road ahead in 2013. Management teams have been galvanised by the recession. A dogged commitment to improvement programmes means sites are smarter, leaner, meaner and better equipped to weather the storm. Manufacturers have also found a great lucidity in crisis. Organisations know where they want to go and have the confidence they're good enough to get there.
Most are following a great star that has risen in the East. The boom economies of Asia promise an export sales surge that could see goods-in disappear beneath a mountain of gold, frankincense and myrrh.
Yet few seem to be in a rush. Most manufacturers appear content to grow revenue by a couple of percentage points next year. Almost all will fund their expansion internally.
Some analysts will point to a sector lacking ambition, destined to plod along because of its refusal to take a risk. Oh ye of little faith. Triple dips or debt crises – whatever 2013 brings, you can depend on UK manufacturing to deliver. The real asses will be those who ever doubted it.
First published: December 2012
4: It’s a wonderful life
A very merry Christmas to you all. And if you get the chance to put the BlackBerry aside this Yuletide, please settle down on the sofa and watch It's a Wonderful Life. It's not just a great Christmas movie, but also a cracking metaphor for British manufacturing.
You guys are ringers for George Bailey, the film's wholesome star played by Jimmy Stewart. George is the hub of the local community of Bedford Falls. He works altruistically for others, adding value by offering affordable loans and housing to the town's residents.
But George's work is unspectacular and underappreciated. He watches enviously as peers enjoy the big time after pursuing less selfless careers. Community lynchpins, adding value and in the shadow of more glamorous contemporaries... sounds familiar, doesn't it?
The film's famous denouement sees a downtrodden George wishing he'd never existed, only for a guardian angel to show him what a devastating blow that would be for Bedford Falls. It's much like the scenario playing out in the UK, minus the deity.
Manufacturing had to hit a crisis for the government to wake up to the sector's crucial importance. A world without you is a vision of Hades: unprecedented unemployment as two million join the Jobcentre queue; social disorder as entire communities implode; a nation too poor to import goods and lacking the nous to make its own. The very thought should be enough to have David Cameron beating down the door to give you a bear hug.
The good news is we're a long way from the manufacturing apocalypse. Businesses are upbeat about prospects for 2012 according to our annual Manufacturing Outlook survey. Morale is soaring, with many planning to invest in new plant and boost headcount over the coming year.
Manufacturers are bearing fruit after a ruthless commitment to improvement during tough times. Some big retailers could be about to face the same challenge. So while they spend Christmas staving off the creditors, manufacturers can enjoy a mince pie and think to themselves that although things are far from perfect, overall it's a wonderful life.
First published: December 2011
