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Survey reveals a need for manufacturers to digitalise to survive, recover and grow

25 July 2022

Made Smarter, the movement connecting UK manufacturing industries to digital tools, has conducted a survey of 200 SME manufacturers in the North West of England. The results highlighted how the last two years affected them, and their approach to digitalisation and their priorities going forward. 

The Made Smarter survey revealed while 35% of makers, particularly smaller businesses, are focussed on survival after a turbulent few years, achieving growth by improving productivity and adopting digital technologies are key drivers for SMEs.

In fact, two-in-five manufacturers revealed they had plans to invest in or adopt new technology in the next two or three years. Meanwhile, one-in-three respondents said their latest business strategy included integrating digital technology or a roadmap towards automation.

The survey also showed that manufacturing leaders are exploring a range of technologies to revolutionise the way they make and distribute their products. 

Almost half expressed an interest in data and systems integration technologies, while two-thirds were considering industrial machinery, robotics and automation.

The survey also tapped into attitudes towards technology adoption where it found almost One-third cited productivity, efficiency, and output as key drivers for manufacturers in 2022 and beyond, despite the current business climate. Increasing revenue (18%) was the secondary motivator to invest in new digital tools, followed by attracting and winning new customers (17%).

However, while the majority (80%) of manufacturing leaders expressed a clear understanding of what they need to do and the benefits of investing in new technologies, once they are aware of the benefits, barriers to adoption remain. 

Two-in-five manufacturers said that the lack of capital and funding to invest was holding them back from investing, as well as the lack of time (10%). The survey also revealed a fragmented awareness of the business advice and support available, meaning SMEs are potentially missing out on valuable funding and support available to them.

Donna Edwards, Programme Director for the Made Smarter adoption programme in the North West, said the findings of the research show that the case for digitalisation has never been stronger.

“SME manufacturers have endured a few unsettling years and continue to face a multitude of recovery challenges,” she said. “They are aware that technology brings significant benefits and they risk being left behind by not capitalising on the opportunities on offer. But it is also clear that they need support and advice to create a roadmap to digital transformation to enable them to adopt the right digital tools, progressively and sustainably, to avoid risking wasted time, money and effort.” 

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