Manufacturing industry more upbeat but still cautious

UK manufacturers currently have much more reason to be cheerful than they’ve had for a long while. There are definite signs that the sector has turned the corner. Oliver Burr, Sage 200 Sales Consultant at Datel takes the temperature of the UK manufacturing sector…

The key findings in a recent survey conducted by the Confederation of British Industry (www.cbi.org.uk) reveal that:

• Optimism amongst the UK’s smaller manufacturers has surged to its highest level since records began in 1988
• The number of people employed has enjoyed a sharp boost, and employment is expected to grow at an even stronger pace during the next quarter
• Domestic orders rose strongly and export orders bounced back from a fall in the previous quarter
• Output grew solidly for the third consecutive quarter
• Spending for plant and machinery remains positive, at its strongest level since July 1995.

Despite this apparent turnaround in the fortunes of the sector, it’s unlikely that UK manufacturers will allow themselves to become complacent. It will take many more quarters of growth before the recent downturn is erased from collective memory within the sector.

It’s worth pointing out too, that growth is coming chiefly from domestic markets. Fierce competition from manufacturers in parts of the world with a lower cost base, not to mention the present political turbulence, mean that UK manufacturers need to increase agility and carve out costs wherever possible.

In the light of these challenges, how can UK manufacturers build a profitable and sustainable business?

Increasing manufacturing agility in a changing world

At Datel, we work with manufacturers in a whole range of sectors. When businesses come to us for advice on their choice of IT platform, we often recommend that they look at Sage 200 as a way to gain greater control of their production process and to manage their finances and customer relationships.

The Sage 200 suite includes a manufacturing module. Combining this with the financial and commercial modules enables businesses to:

• Move fast to activate a product recall
  Something a manufacturer would hope never has to happen but if it does, serial and batch traceability and a "Where Used" report can provide an instant snapshot of any item in question.

• Manage product versioning easily
  Sage 200 Bill of Materials manages your bill of material process from end to end, breaking down the assembly process into easy-to-access areas and managing the history of versions so they can be called up if needed.

• Gain accurate stock control
  Sage 200 allows you to manage multiple physical and virtual warehouses, to easily control your raw materials, finished products, quarantined stock and returned stock.

• Eliminate delays in order fulfillment
  Sage 200 looks at lead times and preferred suppliers to make purchasing recommendations based on what you need, ensuring you don't over or under order for future fulfillment.

For a full overview of how Sage 200cloud can help your business, visit our Sage 200cloud page.

Datel’s Sage 200 experts are always happy to take your call and have an informal chat about how the solution could help your manufacturing business.

To get in touch, call us on 0844 417 0745 or complete the form below and we'll be in touch as soon as possible.