It is now several months since the UK completed its transition out of the EU, and manufacturing and logistics firms have been at the forefront of adapting to the new trading landscape. A recent industry survey found that growth in UK manufacturing activity fell to a nine-month low in February, with reports that new trade barriers have affected exports and the ability of manufacturers to the secure raw materials and components from overseas. Border delays, red tape and haulier shortages have all been regular features of the news.
Yet, manufacturers were largely well prepared for this period of disruption, having spent the last four years drawing up contingency plans for all possible eventualities. Many firms had stockpiled parts or goods or taken additional warehouse space to give them a buffer during the first few months. Others brought in temporary supply chain adjustments, such as using different routes or ports, to avoid potential delays.
Now, as the initial disruption settles down, it is time to take stock, learn lessons, and lay down long-term plans. How should manufacturers and logistics businesses be looking to shore up their sales operations and revenues for the future? And how can online networks and sales tools support their goals?
Restructuring supply chains
Stockpiling parts and finished products has been effective for many manufacturers so far, however it isn’t a long-term solution. As the implications of Brexit become clearer, ranging from administrative delays to additional tariffs, businesses will need to assess whether it still makes sense to continue importing from or via the EU, or whether to explore alternative arrangements.
Options could include developing local, UK-based supply chains, or importing from outside Europe altogether. Studies have shown that many manufacturing companies have already been looking for new trading partners further afield to compensate for the effects of Brexit. Many manufacturs will also be on the hunt for new logistics partners, with reports of truck and driver shortages in the first quarter of 2021.
Building up trusted supply chains and supplier relationships takes time however firms can now move much faster by maximizing online channels such as LinkedIn. Firms can use the platform to research the landscape, source recommendations and introductions, and connect with promising suppliers. Covid-19 means sales teams have adapted their approach for online platforms, using tools that promote buyer-first behaviours. So, buyers can expediate much of their due diligence without leaving the home office.
Targeting new sales opportunities
Just as supply chains are being reshuffled, Brexit has also opened up new sales opportunities. Over 600,000 more sellers were prospecting into the manufacturing sector in 2020, according to Linkedin’s Sales Navigator data, and this growth looks set to continue as manufacturers and logistics firms reevaluate their target markets, in light of their experiences.
The UK now has the power to broker its own trade deals, which should make trading with a host of countries, including Japan, Australia, New Zealand, the US much more favourable. International markets offer significant expansion opportunities, while also enabling firms to mitigate any potential losses from the EU. And selling internationally has never been more straightforward, with LinkedIn Sales Navigator enabling sales professionals to research and connect with prospects in 200 countries, using virtual selling tools to tailor their approach.
Drawing on external expertise and technology
As they optimize their supply chain and sales strategies for Brexit, manufacturers and logistics firms also have an opportunity to look for broader ways to drive improvements across their organisations. That could mean outsourcing areas of their operations, or working with external consultants, to help manage legal, tax, accounting or communications challenges.
Times of change are also a chance to review how new digital tools can help to bring efficiencies, boost productivity, or increase sustainability, whether in factories, the supply chain, or other areas such as marketing or customer service. Technologies such as the internet of things, artificial intelligence and data analytics are becoming increasingly sophisticated, with use-cases now emerging across manufacturing and logistics processes.
LinkedIn Sales Insights is the new tool that allows users to better understand their market and how to best deploy their sales efforts. When paired with Sales Navigator, it is made even more effective as users can use it to find and build relationships with their customers and potential buyers.
Building resilience for the future
Preparing for and adapting to Brexit has been a steep learning curve, however following four years in limbo, businesses finally have certainty about the task ahead. The manufacturing and logistics sectors have a long heritage of resilience and innovation, and they have once again shown their capacity to adapt and evolve in the face of new challenges. Now is the time to consolidate and focus on using Brexit as a catalyst for driving growth. And with LinkedIn Sales Solutions, building value through trusted relationships has never been easier.
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