The Misconception of Manufacturing

The misconception of manufacturing is still rife across the UK and everyone connected to the sector either running businesses or providing services to the sector, have a duty to play a small part in busting the myths. Why? Because the sector offers some of the most interesting careers for young people, yet it is suffering crippling skills shortages which are only set to increase. Of 2000 UK parents surveyed, "despite placing a high value on the role of manufacturing only a fifth (19%) of parents of children aged 18 and under would encourage their children to work in the sector."

We constantly hear about the skills shortages and the disconnect between government and industry, but I still believe there is more that individual businesses can do to help redress the balance. Over the course of 2018, I have witnessed some amazing businesses that have incredible people strategies, organisations that have invested so much in to their company brand and the development of their own people, whether that be through apprenticeships or the environment they are creating to develop and nurture their existing talent.

Nikki Barrington from Barclays shared their recent thought leadership paper with me and I am pleased it is focusing on changing the perception of the sector amongst young people.

Nikki says; “As you already know, manufacturing is a significant sector of UK Industry, accounting for 10% of GVA and 45% of UK Exports. However, the growth and productivity of the sector is hampered by Manufacturers citing constant skills challenges in recruitment. This has prompted us to lead a research paper setting out to identify solutions by looking at the problem from both perspectives: employers and potential future recruits. The study included over 500 UK manufacturing businesses, and opinions of 2,000 people, aged between 16 – 23 (Gen Z).” 

You can read the full report here, but outlined below are the key findings:

The Skills Challenge

• 25% of businesses are finding it hard to recruit skilled workers, with 20% finding it hard to find experienced staff.
• Over 40% of large companies (250+ employees) expect to see availability worsen – three in 10 of these larger firms have already noticed a negative impact since the EU referendum vote.
• Skills shortages and skills gap are intertwined – over a third (36%) of those who lack skills say they risk losing existing staff because of the extra strain placed on their workforce. One in ten say lack of skills is hampering plans to upgrade technology.

A Sector Overlooked

• The research highlights that only 6% of Gen Z would consider a career in Manufacturing
• Members of Generation Z display a clear bias towards high-tech vocations – citing Digital & Technology skills and IT/Computing as preferred choices
• Pay and progression are, in fact, among the factors most sought by young people in a potential employer: high pay levels top the list (57%), followed by a good work/life balance (48%). However, concern that they wouldn’t earn enough was cited by 12% of respondents, despite EEF reporting average manufacturing pay is £3,358 higher than in the economy as a whole.”

The report is an interesting read and hopefully, collectively we can begin to change the perception of #ukmfg, and convey to people outside of the sector that the careers offered are not only interesting and fulfilling, but according to the EEF 2018 Fact Card they are also often better paid.

I would like to mention the businesses that really stood out to me over the course of 2018. They stood out because they came across as businesses that not only valued their people but were prepared to take responsibility for the investment and training of young people coming in to the sector. If you have daughters/sons/nieces/nephews who live near any of these businesses, then I would consider them lucky if they could get a job in any of these companies.

Lander Automotive, Lintott Control Systems, Dura Automotive, Produmax, Gripple, Tharsus & Millers Oils.

I am always keen to speak to business leaders and HR Directors of businesses within the manufacturing and engineering sectors, please do not hesitate to get in touch directly.

This blog post was also published on LinkedIn: https://www.linkedin.com/pulse/misconception-manufacturing-claire-lauder/