Manufacturing - think global, act local
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Transcript of Manufacturing - think global, act local
THINK GLOBAL ACT LOCAL
MANUFACTURING IS AT THE CORE OF THE UK ECONOMY
Today, over
people in the UK workin manufacturing
2.6 MILLION 2.6 MILLION
£186.6 BILLION£186.6 BILLION
Almost half of the UK’s manufacturing exports come from five key sub sectors: mechanical and electrical equipment; chemicals; transport; metals; rubber, plastics and non-metallic minerals, accounting for
Getting insight from professionalservices companies with a local presence was the key issue for 83% of businesses seeking help with internationaldevelopment
The most prevalent approaches towardsinternational growth were: joint ventures, mergers and acquisitions and establishing independentoperations
Traditionally Europe has been the biggest market for UK businesses, and this is still the case – by 2020 the EU will account for around 17% ofglobal output
In relation to emerging markets, ease of doing business, quality management andpolitical-economic stability were important considerations
52% of manufacturers say that expansion hinges on the emerging markets
Having good decision makers to evaluate current and future risk and uncertainty of market opportunities
Entering a new market without countryspecific knowledge is a high risk strategy
Promoting knowledge, sharing internallyand learning from mistakes were regarded as key factors for growth
Where there is a mismatch between culture and strategy the likelihood of failure issignificantly increased
Those interviewed emphasised that international growth demands a need for the business to adaptto local cultures
The sector accounts for around 11% ofUK Gross Value Added and 54% of UK exports
11 %11 %
83%83%
54%54%
52%52%
But if UK manufacturers want to expand internationally, they must beresponsive and agile. Considering the following five key factors will help:
SUPPORT AND SEEKING HELPSUPPORT AND SEEKING HELP
ORGANISATIONAL DESIGN, CULTURE AND VALUESORGANISATIONAL DESIGN, CULTURE AND VALUES
GEOGRAPHYGEOGRAPHY
Anti-corruption legislation 29
Health and safety issues
25Export controls
29
25Product safety
21Strategic partnerships
21Tax
They were most likely to want advice on…
17%17%
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LEADERSHIP AND LEARNINGLEADERSHIP AND LEARNING
LOCAL KNOWLEDGE, CORRUPTION AND PROTECTING IP LOCAL KNOWLEDGE, CORRUPTION AND PROTECTING IP
#DLAPiper
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As businesses grow internationally, so has the importance of protecting Intellectual Property (IP)
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100% of businesses interviewed stated that they had been aware of corruption when operating internationally
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