From the editor D


ear readers, welcome to our September issue, the last issue of Factory Equipment and Materials Handling & Logistics as you know it.


You may have read in the last editors comment, that as of October we will have a new name and a fresh look. Factory


Equipment magazine and Materials Handling & Logistics magazine are combining under the new name, Factory & Handling Solutions. To celebrate this, along side our 70th anniversary, we’re bringing the magazine forward into the modern age with a fresh design, new features and monthly regulars, and a bumper launch issue that we hope you’ll love. We have a new features list available, so please get in touch with myself or Charlie if you’d like to see this and be part of the launch.


I also want to thank you, the readers, for following us along our journey, and we will see you for our next exciting chapter. For now, I hope you enjoy reading this issue, the last of its kind, and look forward to seeing you at IMHX and the PPMA Total Show.


Rachel Tucker - Editor


Want to keep up to date? Follow us on Twitter: @CI_factory


MANUFACTURERS TAKE ACTION TO TACKLE GROWTH-HARMING SKILLS SHORTAGE “This is a real problem.” said Howes. “We are


T


o meet the challenge posed by a chronic shortage of suitable recruits coming into


the UK manufacturing sector – a key factor hampering growth – bosses are increasingly 'upskilling' their existing employees. At the same time a rapidly increasing number


of manufacturing firms are seeing turnover and profits nosedive compared to this time last year. These are two headline findings of the latest


SME Manufacturing Barometer, a quarterly survey of the sector’s leading decision makers compiled by SWMAS (South West Manufacturing Advisory Service) and Economic Growth Solutions. When asked whether it was more difficult now


to find skilled and motivated people than it was 12 months ago, 54 per cent reported it was either 'much more difficult' (24 per cent) or 'somewhat more difficult' (30 per cent). Just four per cent responded that they found


it easier to recruit now than a year ago. In response to being quizzed about their


growth aspirations, a fifth referenced an urgent need for certainty on Brexit, while worryingly 15 per cent defined 'survival' as their 'immediate aspiration'. Simon Howes of SWMAS said: “Overall, UK


manufacturers are seeking stability in the face of this challenging business climate, and are developing people, processes and new products in order to overcome adversity.” Those who are still recruiting are finding this


more difficult due to factors such as local talent shortage (26 per cent), negative attitudes of candidates (16 per cent) and unrealistic salary expectations (13 per cent).


seeing some worrying signs that the lack of suitably skilled and motivated people could become the biggest shared issue for the sector in the near future. “But manufacturers never stand still and what


we are seeing is manufacturing bosses taking a pragmatic approach and focusing internally instead, looking at what they already have by way of people, processes and products, and seeing how all three could be improved.” He added: “This focus is reflected when you


look at manufacturers’ staffing plans, with nearly 70 per cent reporting that they will be deploying strategies to support the development of their existing workforces.” Turning to business performance, the


Manufacturing Barometer found that while the percentage of firms reporting 'much increased' turnover and profits was broadly flat compared to previous years, the amount saying their turnover had 'greatly decreased' had spiralled sharply, moving from 17 per cent to 31 per cent. Projected increases in turnover for the next six


months revealed that just 51 per cent believed they would see 'much increased' sales compared to last year’s 64 per cent, with 22 per cent fearing their sales would be 'much decreased' – more than double last year’s 10 per cent. Dean Barnes, regional director of economic


growth solutions, commented: “Draw a trend line through the reported findings across sales and profits and there is no doubt the swing in performance continues to move downward. “However, in unpacking the data in response to questions about staffing and recruitment, we


HOPPECKE EXPANDS SALES TEAM H


OPPECKE Industrial Batteries has announced the appointment of three new senior sales executives as managing director Jon Bailey


commits to continued growth in the UK. Steve Beeston joins the business as key account manager, UK and Europe,


while Judith Merricks and Gareth McCorkell are appointed as account managers for the firm's motive power division. The team is tasked with driving growth in sales and HOPPECKE's customer base across the motive power sector in both OEM and direct sales business. Gareth McCorkell began his career in a technical role with the company.


4 SEPTEMBER 2019 | FACTORY EQUIPMENT


can see that UK manufacturing business leaders overall are far from accepting doom and gloom and are deploying strategies to get their growth aspirations firmly back on track.” Back to staffing issues and the Barometer


revealed that manufacturers are facing up to their recruitment challenges by investing in their existing workforces. When asked: “What are your main staffing


strategies for the next 12 months?”, a quarter responded they would focus on 'upskilling existing staff through training'. Other strategies include 'Staff retention


incentives' (15 per cent), 'leadership management and training' (11 per cent) and 'coaching and mentoring' (10 per cent). Just 12 per cent said their main focus for the


coming year would be 'recruiting new permanent staff'. Howes continued: “The really interesting


discovery here is that, to address the challenge of recruitment being limited as a principal growth strategy, manufacturers are taking proactive steps by investing in their existing people. “In addition, they are looking at their


processes to make themselves leaner as well as developing new products to boost sales and stay competitive. “When we include the introduction of new


processes and people in review of these Barometer findings, we clearly see the importance that manufacturers must place on upskilling and retaining their current staff.” He added: “They know that their existing


people are central to their business model if they want their growth strategies to succeed.”


Having worked as a field engineer for four years, this appointment recognises the value of his expertise with a promotion and a move into sales. Judith Merricks worked at IBCS Ltd, most recently as sales account manager


for the Midlands. Prior to this she worked in business development roles in medical consumables and ran her own business for 10 years. At HOPPECKE the new recruits will focus on strengthening the company's


core motive power business through strong partnerships and collaboration. As well as exploring ways to enhance direct relationship with both OEMs and end users, they will take advantage of innovations in product technology and service support to drive growth. They will report directly to operations director, sales and service, Stuart Browne.


www.hoppecke.com / FACTORYEQUIPMENT


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