How stable is your supply chain? The past two years have certainly presented the biggest challenges on manufacturing supply chains the world over. If a global pandemic wasn’t enough, the prominent aftershock of Brexit and the myriad of paperwork and new regulations ought to rock the boat.
In 2020, manufacturing accounted for almost half of UK exports, with exports to the EU more than double of those heading to the US. In March 2021, The Office for National Statistics (ONS) reported that the first month spent outside of the EU had seen goods exports between the UK and the EU fall dramatically by 40.7%.
The combined impact of COVID-19 and Brexit has put UK manufacturers under immense strain over the past 2 years, thrusting the topic of reshoring to the forefront of industry headlines and boardrooms. Reshoring presents a significant opportunity of growth for the UK manufacturing sector, whilst providing a number of key benefits to the companies looking closer to home for suppliers.
Key benefits of reshoring manufacturing:
- A supplier in the UK significantly reduces, in some cases completely removes, the risk of a supply chain collapsing.
- Weather, raw material shortages and a whole spectrum of other factors, including the apparent border control delays can have a huge knock-on effect in delivery schedules. Reshoring manufacturing can help avoid risk of delays in delivery.
- Frequent site visits and ease of communication allow for tighter control over product quality and ensuring industry standards are met.
- Quite often is the case when contracting overseas suppliers, questions surrounding ethical practice can arise. Remove any uncertainty around this and KNOW your supplier.
- Working in the same time zone reduces delays in communication and allows speedy response to problem solving. Communicating in the same native language also prevents any barriers to business including design, metrics and trade contracts.
- Visiting overseas suppliers is often time consuming and costly to the company. Reshoring will significantly reduce travel costs and resources required to visit suppliers, allowing for more frequent face-to-face meetings.
- From prototyping and samples to timely overseas freight processes, reshoring production can reduce overall turnaround time.
- Reshoring manufacturing can reduce or eliminate delivery costs entirely.
Reshoring is highlighting the skills, resources and ability for innovation that the UK manufacturing sector boasts. As the UK continues to recover from the recent pandemic and adapt to the implications of Brexit, there is a silver lining in witnessing more companies transition and support UK manufacturers.
As a specialist in the industry, Conception is an ideal marketing partner for SMEs in the manufacturing and engineering sectors looking to generate new leads and grow their business. Through an integrated approach to marketing, Conception can make your brand visible, building awareness in your target market and capturing your audience. With companies across the UK reshoring production, there is no time like the present to start marketing your business. Speak to our team today!