True Business- real life for small businesses

This post is going to be a bit odd for me, because I’m going to talk about something I don’t know much about at all- manufacturing.

You see, I have always worked in the service sector. I’ve got soft, Fairy Liquid hands because ‘I’ve never done a ‘proper’ day’s work in my life’. I’ve lived my whole life in front of a keyboard. (Actually, I spent three very happy months in a warehouse loading up trucks, but it was a long time ago).

I’m not alone here. Our manufacturing industry has been in decline for at least thirty years. Compared to many developing countries, here in Britain, we only exist to provide services to one another, and never actually do much manufacturing at all. The Midlands is full of memories of our glorious manufacturing past, but most of the mills and workshops have long gone quiet- replaced by call centres.

Five years ago, I outsourced a project to an Indian company. Their MD was over in the UK, and I took him to dinner. Over our conversation, he put it very succinctly: “The problem is, Nick”, he said, “you guys just don’t make anything any more.”

He’s right. But I know what you’re thinking. You’re thinking, “How can we possibly make anything? It’s cheaper to make stuff in China, these days. What’s the point in trying?”

Well, I sympathise- to a degree. But not completely. Here’s why.

Firstly, this is a global recession. Don’t think for one minute that this recession is specific to the US, the US and UK, or just the Western world. China is so worried about the effects of the global recession that it has just announced a gobsmacking £400bn public works investment programme in order to stimulate their economy.

Secondly, factors like oil prices are also global. This recession is levelling the playing field in many cases. Consumer inflation is on the way down and latest figures show that the cost of manufacture is actually going down here in the UK.

Thirdly, there are some general trends bubbling under, which influence our choice of products. The supermarkets, for instance, are learning that savvy consumers are concerned about “food miles”. To protect the planet, we would prefer our goods to be sourced as locally as possible.

It seems, therefore, to me (as an uneducated observer with little experience of manufacturing industries) that now might just be the time for us to reverse the trend. From fabrics to homewares to electricals, manufacturing just doesn’t get a decent press. It’s just not cool, and that needs to change. Maybe it’s not the perfect time to build a new car plant or a giant fabrication shop. But plenty of smaller entrepreneurs would be happy in a small workshop, turning out quality, local products.

There’s one thing we could all do to make this happen, with a bit of help from the government. We need to start to respect the Union Jack. A shock, I know. From the 1950′s to the 1970′s, we were urged to “Buy British”. Everything from the Lion symbol on our eggs to abysmal Rover cars were emblazoned with symbols of Britishness.

Unfortunately, we often turned out products of dubious quality, and Britishness became a sign of second-rate manufacturing. I can tell you that that’s no longer a justified reputation- we have a willing and exceptionally talented workforce.

The government needs to run a concerted campaign to make “Made in Britain” a worthy mark of quality tradesmanship. If Britain bought just a fraction more of their goods from British businesses, our economy would be massively wealthier, and many smaller manufacturers would benefit too. We’ve never needed a rejuvenated sense of our own value so desperately.