Productivity Found as Most Important Factor for Competitiveness
A Kronos commissioned survey has revealed that, of the 11 countries surveyed on the most important factor in achieving manufacturing success, labor productivity ranked the highest. Other factors, such as modern infrastructure, governmental support, and direct investment, also made the list behind labor productivity. Several new facts were gleaned from the survey including:
• 70 percent of respondents to the survey, including manufacturing managers, directors and executives from the U.S. and 10 other developed and developing countries, ranked manufacturing as the most important industry for economic health.
• About 75 percent of respondents agreed that high labor productivity levels are especially important for achieving manufacturing success.
• Of U.S. respondents, 66 percent reported that having a modern infrastructure was the most important factor.
• Just 18 percent of U.S. respondents said that access to foreign investment was the most important factor in assuring manufacturing success and 48 percent agreed that governmental support was the highest ranked factor.
• 44 percent of U.S. respondents agreed that absenteeism was not a big problem, similar in importance to with countries such as Australia, Canada, and the U.K.
• 26 percent of respondents in the U.S. said that shortage of skilled production was a serious problem.
• In the U.S., 90 percent of respondents reported that they were at least somewhat positive about encouraging younger relatives to consider manufacturing as a career.
• The top strategy to remain competitive, agreed upon by 45.5 percent of the entire, worldwide respondent pool, was for manufacturers to keep existing facilities as is and invest in operational methodologies devised of strategies for more effective labor cost controls, a minimalization of labor law compliance risk, and improved productivity.