Published by Applegate Marketplace Ltd - located at Riverside Road, Pongton Industrial Estate, Barnstaple, Devon, EX31 1LS, United Kingdom - is registered in England and Wales with company number 03990680 © Applegate Marketplace Ltd 2015 T: 0845 600 7177 E: [email protected] W: hp://www.applegate.co.uk Small Business. Big Ideas. SMALL MANUFACTURING TRENDS SMALL MANUFACTURING IN NUMBERS Small manufacturing businesses follow different producon systems than their larger counterparts. Many manufacturing SMEs are finding success by implemenng the following pracses. SMALL MANUFACTURING’S SUCCESS 180% 123 7.6% Manufacturing, a large part of this being made up of SMEs, was praised for its exceponal growth in this year’s ‘1,000 Companies to Inspire Britain’ list, complied by the London Stock Exchange. Covering more than 100 industry sectors, the list includes businesses that demonstrate revenue growth, have increased their workforce, patented a num- ber of new products or have won more contracts than in the previous year. Manufacturing in the UK enjoys strong domesc demand, helping to boost producon levels across a wide range of sectors and despite increasing glob- al compeon, this has paved the way for smaller manufacturers to thrive. Whilst these successful SMEs share a number of similar aributes to larger manufacturers, smaller businesses are benefing from differing trends in producon and management. Invesng in areas like Research & Development, new technology and facilies, skills and training has created a strong outlook for Britain’s small manufacturers. The average annual revenue growth in small manufacturing, making the sector one of the top five performers between 2010 and 2015. The number of SME manufacturing companies to appear on this year’s list, holding the majority over any of the 100+ sector categories. The level of job creaon across small manufac- turing businesses, placing it behind the food & beverage and informaon technology industries only. Small manufacturers have adopted the made-to-order ethos, delivering products that directly reflect their clients’ needs. Customising their output on demand has negated the need for inventory management, avoiding an overstock situa- on and decreasing supply chain costs to help the business achieve its sales goals without the expense of unnecessary materials, processing and producon. It follows that small manufacturers also benefit from im- proved quality control standards, allowing businesses to bet - ter keep to budget as fewer defects occur and costly produc- on errors are avoided. Realising that their current technical capabilies or resources may not fulfil demand, some manufacturers have turned to specialist companies - developing partnerships to help them handle order requests that might otherwise need a ded- icated team and could take months to complete in-house. Businesses are able to streamline producon and develop relaonships with other expert manufacturing companies to offer the best product. Likewise, small manufacturers put great emphasis on under - standing their clients’ needs and knowing the end consumer. Successful manufacturing businesses have embraced a cul- ture of communicaon and innovaon in the workplace. This might involve improving the flow of informaon between management, departments and staff or it could refer to implemenng technology soluons, building relaonships with new suppliers and incorporang more environmentally friendly processes. Discover the profitable steps small manufacturers take to build successful businesses.