ANNUAL MANUFACTURING REPORT 2016

FINANCE & INVESTMENT
ANNUAL
MANUFACTURING
REPORT2016
8
What proportion of your production is outsourced?
80%
70%
60% 60%
10 How easy has it been for your company
to obtain necessary funding in 2015,
compared with previous years?
50%
40%
50%
30%
40%
20%
10%
30%
0%
2010
2011
2012
2013
2014
2015
20%
10%
0-10%
10-20%
30-40%
more than 40%
0%
2008 2009 2010 2011 2012 2013 2014 2015
20-30%
Don’t know
9
Is your level of outsourcing likely to increase or decrease
over the next 12 months?
80%
60%
40%
Funding inaccessible
Funding difficult to obtain
No change
Funding obtained more easily
Funding very much easier - more sources, more
choice
Not applicable - no funding sought
20%
0%
2010
Increased
Decrease
2011
2012
2013
2014
Stay the same
Don’t know
2015
Responses to this question have been broadly similar over the past
five years. It is an area that remains important to some companies in
manufacturing but the days of large-scale outsourcing appear to be
in the past. Less than 10% of production is outsourced by the majority
(62%). While around a fifth (19%) of respondents expect to see more
outsourcing in the short term, the overwhelming majority (70%) expect
things to stay much the same.
“The days of large-scale outsourcing
appear to be in the past”
The dark days of the credit crunch are now
behind us. The percentage of respondents
saying that funding is easier, much easier or
no more difficult (no change) to obtain in
2015, compared with previous years, is at the
highest level (61% total) that this survey has
ever recorded. “No change” is at its highest
level since the first survey, in 2008 – just before
the credit crunch hit and things became
much harder.
Adverse conditions reached their nadir in
2010-12. We saw a steady recovery in the
recorded levels of those finding funding easier,
or very much easier, to obtain up to a peak
of 21% in 2013 – the year that it and ‘harder/
much harder’ crossed over. The proportion
saying funding is harder to obtain is at its
lowest level since 2009 and the number saying
they are not looking for funding is also at an
historically low level.
Easier access to funding appears now to be
the norm; businesses are responding to the
improved conditions with more investment.