Is regulatory change affecting your manufacturing firm? If the answer is yes, you’re not alone.
According to a new global Sage report on process manufacturing, nearly two thirds of UK manufacturers (62%) admit regulatory changes are affecting their businesses.
Meanwhile, 99% of all process manufacturers who contributed to the research in the UK, US and Canada revealed they are preparing for growth.
The report, Riding the wave of uncertainty: How process manufacturers are planning for a brighter future, takes a view of the sector, which is going through changes in areas such as technology, skills and services – and for the UK in particular where materials and goods are sourced.
In the report, you will learn about:
- Opportunities created by regulatory change
- Facing the war on talent to embrace new opportunities
- The need for traceability
- Preparing for change in an uncertain world
- What process manufacturers are investing in
- The future of process manufacturing
Here’s an excerpt from Riding the wave of uncertainty: How process manufacturers are planning for a brighter future.
Opportunities created by regulatory change
As process manufacturers grow, globalisation becomes a factor. Interacting with the world offers lucrative opportunities, creating a higher demand for products and sources of cheaper raw materials that often impact the entire supply chain.
But globalisation also means complex challenges.
A crowded global market means more competition and a rapidly accelerating rate of change. For example, Brexit will surely mean changes in trade agreements between the UK and the European Union, which will carry implications given Europe is by far the UK’s largest export market at present.
In the US, process manufacturers are also seeing bilateral and renegotiated trade agreements, as well as corporate tax reform.
These changes could also impact supplier networks and sources of supply, which will undoubtedly push up the cost of raw materials, and will ultimately have to be absorbed by the manufacturer or be passed on to the consumer, neither of which is an easy choice.
Our research shows that there are a range of external forces impacting process manufacturers, with preparing for regulatory changes ranked ahead of data breaches/cyber security and globalisation.
In the UK, 62% of process manufacturers said regulatory change is one of the biggest external factors impacting their business.
Globally, more than 80% of process manufacturers report that import/export changes are affecting their strategic decision making, with a third saying import/export changes are having a “very high impact” on strategic decision making.
These figures suggest that regulatory upheaval due to Brexit and changes in US trade/tax policies are having a significant impact on the real-time business planning for process manufacturers.
Riding the wave of uncertainty
What does regulatory change mean for process manufacturing? Read this report to learn how manufacturers are tackling challenges and focusing on growth – and see how you can too.