We need a local touch, pleads sector in shake-up of service

AN organisation which supports Yorkshire's small and medium-sized manufacturers must retain a regional presence if it is to continue to succeed in the future, businesses have warned.

The Manufacturing Advisory Service (MAS), which operates in nine UK regions, will be managed at a national level from April 2012 following the disbanding of regional development agencies (RDAs) but Yorkshire manufacturers raised concerns about the speed of delivery from a national organisation and the need to retain local contacts.

A Government consultation is under way to give businesses the chance to contribute to the future shape of the service.

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Robin Watson, regional director of MAS Yorkshire and Humber, said: "The good news is that at least manufacturing is being recognised as key to underpinning the economy. I think the Government has got a tremendous challenge because it is trying to look at the most effective ways of continuing the delivery. One of the challenges it faces is whether it will be a single national contract or a number of smaller contracts which look after the regions."

He added: "We could say the challenge is to make sure that we do not lose the good things we have built up if it becomes a national contract. It's important that the qualities we have as an organisation – responding to local issues and networking locally – aren't lost.

"However, the Government hasn't got an infrastructure in place to deliver and manage regional contracts in the absence of RDAs."

Mark Ridgway, managing director of Wakefield-based machine manufacturer Group Rhodes, which has used MAS several times, said: "The main concerns I have are the speed of delivery and whether there will be regional points of contact where people can discuss issues and also receive valuable advice on projects as they progress.

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"The danger is that there will not be enough regional decision-making to allow the flexibility to deliver the schemes. You can't have a set national rule for how these things are delivered because each project is different.

"The most important thing is that manufacturers have easy access to people with local knowledge."

Sheffield-based VeryPC, which manufactures energy efficient computers and servers, boosted its turnover by two per cent and achieved a 25 per cent reduction in waste at quality control after working with MAS specialist Craig Smith to obtain the official certification needed to reflect its environmental credentials and Made in Sheffield quality.

Technical director Simon Bown said: "Craig's in-depth knowledge of manufacturing was invaluable and we hope to work with MAS in the future as we continue to expand."

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Last week the Government issued an open letter to manufacturing stakeholders for contributions to define the function of the Manufacturing Advisory Service.

The letter asks questions about the design and delivery of MAS, highlighting lessons learned and initial recommendations from the independently produced MAS Review.

Areas for discussion include how best to prioritise services given emerging and future needs of manufacturers, strengthening key knowledge areas and the potential inclusion of larger companies than the target SME size.

Joe Anwyl, head of business development at the Advanced Manufacturing Park in Rotherham, said: "For the Yorkshire region it's imperative that we have a strong Manufacturing Advisory Service that is still led by people here because they understand the businesses. There needs to be a Yorkshire MAS which respects the nuances of the region and the different types of manufacturing that it does.

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"The good news is that the Government appears to be listening to manufacturers and making some good efforts to support manufacturing."

The service, which is jointly funded by Yorkshire Forward and European Regional Development Fund, is managed and delivered by YFM Business Development, part of the GLE Group – a not-for-profit enterprise development company.

Mr Watson has written to businesses that have worked with the organisation to ask them to take part in the consultation process and contribute to the future shape of the MAS service.

The organisation in Yorkshire is currently experiencing a funding gap and has been unable to take on any new work since last October.

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Mr Watson said funding negotiations were making "good progress" and hopefully the situation would be resolved soon.

"Whilst 50m of new funding has been announced from March 2012, there is still a short-term issue in this region," he said. "We are making very good progress with solving that need and I am hopeful that in the next two weeks we should be able to make some progress towards increasing our level of support again to assist businesses."

He added: "I would encourage businesses to examine the questions that are being asked and respond in an honest and frank way. I am anxious that our good work continues."

Business Minister Mark Prisk told the Yorkshire Post: "We are looking to get the best value out of the service. From April 2012, MAS will be managed at a national level but will be delivered locally to ensure it continues to address the needs of individual companies. In the end it's the same service and businesses shouldn't see any difference."

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Comments and suggestions should be submitted to [email protected] by Wednesday, February 16.

Body receiving 50m investment

The Government is investing 50m over three years in the Manufacturing Advisory Service as part of the review into how it can grow advanced manufacturing in the UK.

It said MAS provides a highly-valued advice service making small and medium-sized businesses more productive and competitive.

Last month, the Government also held an advanced manufacturing summit attended by ministers, key manufacturing stakeholders and other Government departments.

The responses to these initiatives and the consultation into the future of MAS will feed into the Government's Growth Review which will announce policy proposals by Budget 2011.

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