Late deliveries cost UK economy millions
Late deliveries cost the UK manufacturing industry up to £166 million per day
A recent survey has revealed that the UK manufacturing industry could be losing up to £166 million a day because of late deliveries of raw materials. A key finding was that 11% of respondents believe that just one late delivery could cost them between £1,000 and £10,000; a figure that has surprised a leading UK manufacturers association.
The British Engineering Manufacturers’ Association Limited (BEMA) is a trade association set up to promote the interests of the engineering and manufacturing companies in the UK
“We were surprised at the potential cost to industry that late delivery could be making. Many of our members work themselves to ‘just in time’ principles to be efficient in today’s market place so having a trusted supplier of raw materials is of great importance,” said Ian Mynett, director of training at the British Engineering Manufacturers’ Association.
From the survey, just over 2,000 responses were received to give the insight into how much late deliveries are costing the UK economy. The survey respondents came from all business sectors but the figures have been extrapolated to obtain a picture of the cost to UK manufacturers.
The survey also revealed that 8.1% of UK manufacturing companies estimate they could lose between £1,000 to £5,000 a day if a delivery of raw materials is late, whilst 3.5% may lose between £5,000 and £10,000. It is estimated that if every manufacturer in the UK were to experience at least one late delivery of key raw material it could cost the UK economy £166,038,750.
Supporting Information: Metals Group Ltd
Today Team offer a reliable same day courier service across North West England.