Politics aside, it is now upon the British population to approach Brexit from a positive angle. Granted, worries and concerns remain – but in our technically advanced age, much of the anxiety can be overcome through upgrading legacy systems.
So, how can you leverage automation to mitigate your Brexit risks?
Rebalance Cost Woes
Brexit has come at a cost; both politically and financially. Currency devaluations have resulted in price increases across the board, which lumps pressure on supply chains as manufacturers’ margins come under pressure. One mitigation option has been to reduce the workforce – which is manageable in the short-term – but it is not a sustainable strategy.
Rather, manufacturers should focus on increasing productivity. Automating supply chains is fundamental in such efforts as leveraging smart technologies for repeatable tasks means improved efficiencies.
Paradoxically, the upfront investment in machinery could save both costs and the workforce as employees are retrained to oversee the new technologies. Meanwhile, the manufacturers themselves benefit from increased output without increasing overheads.
In improving internal efficiencies, companies can make themselves a more attractive proposition to others within their supply chain. Most manufacturers are yet to evolve an automation strategy, which means first-mover advantage is still very much in play. Taking impetus from the Brexit fallout and placing attention on strategic optimisations could easily put certain players ahead of the curve.
Those who act soon will find themselves in the enviable position of being an automation expert. This means they will not only have superior internal processes, but they could also become a leader in the space and branch out in a consultative manner.
Widening the Net
As much as moving early into automation establishes one’s place in the market, being a vanguard could also improve a manufacturer’s global footprint. Surveys suggest most companies are looking beyond the EU for post-Brexit partnerships, bolstered by the fact that upwards of 90-percent of non-EU supply chain managers believe British products stand out from the crowd.
Given such a strong standing in the eyes of the world, enhancing one’s operations could have a hugely positive effect when it comes to building a network of partners beyond the traditional EU counterparts.
While Acting Local
Finally, where manufacturers have traditionally outsourced their supply chain to EU suppliers, the Brexit transition could be the required push for many to re-shore their activity in the UK. One-third of UK suppliers are actively considering localising supply chain partnerships to manage costs; which is excellent news for those who enhance internal processes.
This presents a vast opportunity for those willing to invest early, as they set themselves up for the potential influx of interest once attention returns to our shores. As a wave of businesses goes on the lookout for local suppliers who can support bespoke requirements, automated capabilities could be the deciding factor.