Late raw materials delivery could cost manufacturing £166m a day

Eleven per cent of respondents to survey of UK businesses by TLF on behalf of international metals stockist Broder Metals Group (BMG) said just one late delivery could cost between £1,000 and £10,000. "We were surprised at the potential cost to industry that late delivery could be making. Many of our members work themselves to 'just in time' principles to be efficient in today's market place so having a trusted supplier of raw materials is of great importance," said Ian Mynett, director of training at the British Engineering Manufacturers' Association. The respondents came from all business sectors but the figures have been extrapolated to obtain a picture of the cost to UK manufacturers. Just over 2,000 responses were received to give the insight into how much late delivery is costing British industry. The survey also found that 8.1% of UK manufacturing companies estimate they could lose between £1,000 to £5,000 a day if a delivery of raw materials is late, while 3.5% may lose between £5,000 and £10,000. BMG said: "If every manufacturer in the UK were to experience at least one late delivery of a key raw material it could cost the economy £166,038,750." Mark Burton, managing director of Broder Metals Group (pictured), added: "The figures revealed by the survey are extremely frightening in terms of the amount of money which can be lost by manufacturers who are under intense pressure to compete with foreign companies; it's just scary how much is at stake."