KPMG’s latest Global Manufacturing Outlook report contains some heartening news for many contractors working through umbrella companies: big global manufacturers are planning for top-line growth over the coming 24 months.
If it comes to fruition, this vision will generate abundant opportunities for a wide range of PAYE umbrella contractors, as companies seek skilled temporary workers to fill gaps in projects.
The KPMG report, which is based on a survey of 220 manufacturing executives from global companies (all with US$1 billion or more in revenue), reveals that top-line growth has outflanked cost reduction as their leading priority. 80% of those polled disclosed cautious optimism about the prospects for growth over the next one to two years.
Despite adverse economic conditions, the top-ranking market for increased demand is expected to be the US, followed closely by China, India, Brazil and Germany. Just over 50% of respondents considered emerging markets as the key to their growth strategies
Commenting on the findings, KPMG’s Global head of Diversified Industrials, Jeff Dobbs, said that manufacturers were “re-aligning their business models to prioritise top-line growth.” He continued “The lessons learned from the economic uncertainty, political instability and historic natural disasters of the past few years have taught companies they can survive these challenges with lean agile operating structures, enhanced risk management practices and a focus on innovation.”
Contractors in the IT skills market may be interested in another finding from the survey – almost half of those polled said they would be investing in new technology to generate better visibility across the supply chain.