By Bryan Bird, Regional President, North America, Universal Robots
For North American companies of every type, particularly these within the manufacturing sector, 2022 was something however typical. Or boring. Or simple. ‘Labor shortages’ and ‘Supply chain issues’ grew to become go-to phrases that encapsulated probably the most vital challenges for trade. Challenges which can be persevering with nicely into 2023.
In a latest survey from National Association of Manufacturers, 75% of manufacturing corporations listed that their largest problem is ‘attracting and retaining a quality workforce’. And when taking a look at the newest statistics, you perceive why; The Bureau of Labor & Statistics estimates that there are round 644,000 open jobs within the manufacturing sector –nearly 50% greater than the pre-pandemic numbers. The nationwide jobless charge has not been this low since Neil Armstrong and Buzz Aldrin walked on the moon in 1969.
Supply chain challenges is one other wrestle for producers within the US and Canada. And though provide facet points have dominated the headlines, super pressures have constructed up on the demand facet too, which means producers are struggling to adapt their sources to quickly altering product mixes and rising demand. On prime of this comes inflation mixed with rising rates of interest, making borrowing dearer.
Isn’t there any excellent news, you may ask? COVID is now a manageable scale pandemic, provide chain points are bettering month-to-month, and inflation has dropped by greater than 50% from its peak.
On prime of this, reshoring initiatives are gaining floor round North America as companies and coverage makers at each state and federal ranges acknowledge the significance of getting a powerful home manufacturing sector.
In reality, some 62% of producers have already began reshoring or near-shoring their manufacturing capacities, in line with a report by Deloitte, primarily based on a survey of 305 executives at transport and manufacturing companies, principally within the U.S., with annual income of $500 million to greater than $50 billion.