Readers not sufficiently old to recollect what are also known as the “Thatcher years” might not admire how dramatically the UK’s financial system modified in the course of the Nineteen Eighties.
Like another Western economies, notably the US, the UK more and more shifted its focus towards providers, finance, retail, and shopper spending, whereas manufacturing turned a smaller a part of the nationwide financial system.
Earlier than Margaret Thatcher turned prime minister in 1979, manufacturing accounted for roughly 30 % of UK nationwide revenue and employed round 6.8 million folks.
At present, the sector accounts for lower than 10 % of the financial system and employs round 2.6 million folks. The UK has fallen from being one of many world’s main manufacturing nations to someplace round twelfth to 14th place globally, relying on the measure used.
None of that makes Mike Wilson, chief automation officer on the Manufacturing Technology Centre (MTC), pessimistic concerning the future. In reality, Wilson believes the UK can considerably develop its manufacturing base once more, offered companies are keen to embrace new applied sciences.
In an interview with Robotics & Automation Information, Wilson says: “I bear in mind Margaret Thatcher speaking about service, financial system, finance, and basically manufacturing didn’t matter.
“Personally, I feel that was a giant mistake. Our manufacturing sector has declined through the years. We’re nonetheless the twelfth largest manufacturing nation on this planet.”
The timing could also be proper. Governments in each the UK and the US are inserting renewed emphasis on manufacturing, pushed by considerations over supply-chain resilience, strategic independence, financial progress, and lowering dependence on abroad manufacturing.
Wilson believes the MTC’s newly opened Robotic Expertise Centre will help speed up that shift by encouraging extra producers – notably small and medium-sized companies – to undertake robotics and automation.
The UK presently has a robotic density of round 119 robots per 10,000 manufacturing workers, inserting it nicely behind most of the world’s main industrial nations. However Wilson sees that not as a weak point, however as a chance.
“We did have, again within the 70s, a producing sector that was a minimum of twice as large as what we’ve bought now as a proportion of GDP,” says Wilson. “There’s no cause why we are able to’t return there. However to do this, we’ve to make use of the know-how.”
As somebody coming into the workforce in the course of the remaining years of Britain’s shift away from manufacturing, I discover that argument persuasive.
Rising labor prices in Asia, geopolitical tensions, supply-chain disruptions, and transportation prices are all altering the economics of world manufacturing.
Mixed with advances in robotics and automation, these tendencies might make producing items nearer to dwelling extra enticing than it has been for many years.
Interview with Mike Wilson
Robotics & Automation Information: You’ve been concerned in robotics for a few years. Are you able to inform us about your function on the MTC?
Mike Wilson: I’ve been concerned in robotics for greater than 40 years, working for each customers and distributors. I joined the Manufacturing Know-how Centre practically six years in the past.
My function is barely uncommon as a result of I don’t straight handle any of the technical groups. As a substitute, I give attention to technique, working with authorities, talking at business occasions, and selling the advantages of robotics and automation.
A key a part of my job helps producers perceive how they will undertake these applied sciences. The MTC is a not-for-profit group, so any surplus we generate is reinvested. Our measure of success is the influence we’ve in serving to business undertake new applied sciences and enhance productiveness.
R&AN: The UK has traditionally lagged another international locations in robotics adoption. Are you optimistic concerning the future?
MW: Sure, I’m optimistic.
The UK remains to be behind many different international locations relating to adopting robots and automation. Traditionally, we’ve had a really versatile labour market, which made it simpler for companies to depend on folks reasonably than automation. Labour prices have additionally been decrease than in some European international locations.
Nevertheless, the scenario is altering. Now we have labour shortages and expertise shortages throughout manufacturing, and companies are on the lookout for other ways to deal with these challenges. Automation is among the simplest methods to do this.
We’re seeing rising curiosity in manufacturing typically, helped by initiatives akin to the federal government’s industrial technique. There’s a recognition that manufacturing stays essential to the UK financial system and that rising productiveness is important.
On the similar time, world uncertainty is encouraging firms to construct extra resilient provide chains and produce manufacturing nearer to dwelling. All of those components are creating new alternatives for automation.
One in all our greatest challenges helps firms which have by no means purchased a robotic earlier than. Many see automation as dangerous as a result of they don’t perceive the know-how. What we discover is that after an organization installs its first robotic, it beneficial properties confidence and infrequently invests in additional automation.
Our purpose is to assist companies make that first step.
R&AN: Inform us concerning the new Robotic Expertise Centre and what it’s designed to attain.
MW: We’ve invested within the Robotic Expertise Centre primarily to help SMEs.
The ability incorporates a number of robotic methods that enable firms to see the know-how in motion, acquire hands-on expertise, and even herald their very own elements so we are able to run sensible trials.
The centre focuses on 4 frequent purposes: robotic welding, palletizing, machine tending, and collaborative robots. These are among the many more than likely beginning factors for smaller producers trying to automate.
Alongside the ability itself, we’ve launched coaching programmes targeted on the procurement of automation. Robotic suppliers already present coaching on programming and upkeep. Our focus helps firms develop enterprise instances, write specs, and perceive buy automation efficiently.
We’ve additionally established relationships with banks and finance suppliers so that companies will be directed towards appropriate funding choices.
As a result of we’re impartial, we’re not attempting to promote any explicit robotic or resolution. Firms can come to us realizing they’ll obtain neutral recommendation reasonably than a gross sales pitch.
R&AN: How essential are provide chains and SMEs to the way forward for UK manufacturing?
MW: They’re completely vital.
We do work with massive firms akin to Rolls-Royce and others, however their challenges are completely different. They often know purchase automation. The work we do with them is usually targeted on creating options that don’t but exist commercially.
The larger alternative is inside their provide chains. There are lots of extra small and medium-sized producers than there are massive enterprises.
The UK has round 130,000 manufacturing companies. Just a few thousand are massive firms. Round 28,000 are medium-sized producers using between roughly 10 and 250 folks.
Our estimate is that solely round 8,000 of these companies have even a single robotic. Meaning tens of 1000’s of producers haven’t but began their automation journey.
These companies make up the overwhelming majority of UK manufacturing, so if we would like the sector to develop, enhance productiveness, and stay aggressive internationally, we have to assist SMEs undertake automation.
R&AN: Do you imagine manufacturing ought to play a bigger function within the UK financial system?
MW: Completely.
I bear in mind the interval when the UK more and more targeted on providers and finance whereas manufacturing turned much less of a precedence. Personally, I feel that was a mistake.
The UK remains to be one of many world’s largest manufacturing nations, however manufacturing represents a a lot smaller share of the financial system than it as soon as did.
I imagine we want a stronger manufacturing base, notably given right this moment’s unsure world surroundings. Higher home manufacturing functionality improves resilience, strengthens provide chains, and creates financial worth.
Authorities initiatives akin to the commercial technique and programmes like Made Smarter are serving to companies undertake digital applied sciences and turn out to be extra aggressive.
Manufacturing presently represents round 10 % of the UK financial system. If we might considerably improve that contribution, it will have a serious influence on financial progress and exports.
However reaching that requires funding in know-how. We want better adoption of robotics and automation as a result of that’s how producers stay aggressive globally. We additionally face labour shortages, which suggests relying solely on folks is now not a viable long-term technique.
Automation shouldn’t be non-compulsory if we wish to rebuild and develop UK manufacturing.
