The paper "Factors Responsible for the Skills Shortage in the UK Manufacturing Industry" is a good example of a business research proposal. The manufacturing sector is a key driver of the economies of industrialized nations. According to a recent study, it was discovered that the manufacturing sector contributes about £ 6.7 trillion to the global economy (The Manufacturer 2016). The United Kingdom is amongst the industrialized nations whose economy is largely driven by the manufacturing sector. The report indicates that the UK manufacturing sector currently at position 11th in the world and accounts for approximately 11 percent of UK gross value added (GVA).
The industry also employs more than 2.6 million people in the UK besides accounting for about 54% of the UK exports (The Manufacturer 2016). The manufacturing industries include automobile, pharmaceutical, aerospace, and utilities among others. The high contribution of the manufacturing sector to the UK economy implies that the industry needs to be supported both infant and mature companies to ensure sustainability. However, Allen (2016) reports that the UK manufacturing industry has been struggling in recent years due to skill shortage.
This study will investigate the factors responsible for the skills shortage in the UK manufacturing industry. 1.1 Background Information The UK’ s manufacturing industry is ranked the 11th largest in the world. The industry plays a critical role in the economic growth and development of the nation as it accounts for a large part of the £ 6.7 trillion global manufacturing industry (The Manufacturer 2016). Currently, the manufacturing sector accounts for about 11% of the UK GVA and employs more than 2.6 million people and this makes the sector among the top employers in the UK (The Manufacturer 2016).
The manufacturing industry also accounts for the largest share of the UK exports with about 54% of the UK exports coming from the manufacturing sector. The UK currently ranks the second-largest aerospace manufacturer in the world, according to the DFEE (1997) report. At the same time, the country ranks among the leading chemical and pharmaceutical manufacturers in the world with the industries generating up to £ 20 million daily to the IUK trade balance. Despite the contributions of the industry to the UK economy, the industry has been on a declining trend since the 1960s and this has been an issue of concern to the industry analysts, industry players and the government.
Production of the manufacturing sector has been declining at a faster rate and this has raised questions as to the sustainability of the industry amidst growing competition from industrialized nations (Oliver & Turton 1982, p. 165). In July 2015, for instance, the manufacturing output fell by 0.8% compared to the previous month and this has been the trend over the last few decades (Sentance 2015).
Although there are many factors linked to the bad state of the UK manufacturing industry, a shortage of skilled workers ranked top. The sustainability of the industry requires highly skilled personnel, such as engineers for the industry to compete with the rest of the world. Unfortunately, Allen (2016) report indicates that most UK manufacturers currently struggle to recruit skilled workers. Continued lack of skilled workers means that the industry would not be sustainable as it needs skilled people to ensure productivity and success.
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