In a market where uncertainty is constant, Wilson Process Systems undertook an efficiency review as the only sure way to succeed. Sales manager, Steve Cooke, explains.
The world has shrunk over the past few years and today practically everybody is affected, directly or indirectly, by the global market. From interest rates and commodities, through to jobs and investment - all are influenced in some way or another.
In the UK, we're still enjoying record low interest rates, low inflation, plus low fuel prices at the pumps and even record car sales. With reasonable consumer confidence, plus more money in the public's pocket, everything points to a good festive season for retail. But what about UK manufacturing? It's created many jobs in the private sector with record investment, seen record output in car production with manufacturing apparently growing its fastest in Q2/3 for a generation but, when you talk to many businesses, they still carry a word of caution with one eye on the horizon both east and west.
Growth is slowing
Looking east, China's economy has really slowed in the past year to single digit growth. The government have had to step in to devalue its currency twice to help with exports, while still increasing spending on infrastructure and defence projects, in an attempt to keep up investment, which is so important in the way it operates its economy. For me, the situation became clear when receiving five to six emails, sometimes 10 a day, from PCB manufacturers with spare capacity looking to try and fill the plant with almost give-away prices. The demise of Chine's growth is underway and it's expected to continue year-on-year down to five per cent by 2020, with the fallout affecting everybody. This wave of offers will probably continue to increase twofold by the end of this year and I suspect that after PCBs may come components.