Wednesday, October 26, 2016

North East Automotive Industry report

In partnership with

24-page commercial supplement

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

THE JOURNAL WEDNESDAY, OCTOBER 26, 2016 in association with the North East Automotive Alliance

Automotive alliance growing stronger T

HE North East automotive sector generates over £11bn of sales for the regional economy and directly employs more than 30,000 people. The sector also exports over £5.1bn, generating a trade surplus of £2.6bn so has an enormous impact on the region’s and wider UK economy. Today, a third of the total UK car production and 26% of the total EU electric vehicle production comes from the region. However, the region also boasts a significant off-highway sector, and a burgeoning significant and growing reputation for investment into research and development and new and emerging automotive technologies. The North East Automotive Alliance (NEAA), the UK’s largest automotive cluster, has worked alongside The Journal to produce this special feature supplement aimed at showcasing the automotive sector and its significant and growing capabilities, while celebrating recent successes from local businesses. Paul Butler, CEO of the NEAA said: “Within the sector the North East region is world renowned for automotive manufacturing. “This is an excellent opportunity to profile the world-class companies based in the region and showcase the fantastic work that takes place here in

the region to the wider community.” Launched in March 2015, the NEAA was set up to support the sustainable economic growth and competitiveness of the North East automotive sector. Today the cluster boasts a staggering 175 members in less than 20 months, and a further 20 SMEs engaged on an ERDF-funded programme to support the growth and competitiveness of North East-based SMEs. The industry-led cluster has successfully created a number of thematic working groups where local automotive industrialists collaborate on issues that have an impact on their sector including business excellence (competitiveness), skills and innovation and technology. The NEAA acts as a platform for the industry to come together and address key challenges and barriers to growth. The alliance also provides member-to-member engagement, connects the supply chain to business opportunities, and enables members to work together to solve skills issues and share best practice. The NEAA sits on 16 steering groups throughout the UK with a view to raising the profile of the region and ensuring North East contribution to automotive developments. The cluster has members

>>Paul Butler, CEO of the North East Automotive Alliance

ranging from world-renowned original equipment manufacturers (OEMs), to world-class tier one companies, through to innovative SMEs and sole traders, as well as

The North East is a thriving hub for the automotive sector As a proactive industry-led cluster group, the North East Automotive Alliance (NEAA) is here to represent and work on behalf of the whole North East automotive sector, from making cars or components, working in commercial, to off-highway or engine manufacture. Join the NEAA - the largest automotive cluster in the UK and one of the largest in Europe. Tel: 0191 516 4400 [email protected] www.northeastautomotivealliance.com

professional associate members. While NEAA can boast the likes of automotive giants Nissan, Komatsu and Cummins as members, supply chain development is

a key area of focus for the alliance. The NEAA is delighted to be working on a £1.4m ERDF-funded programme to work with 160 SMEs and improve existing capability, or to attract SMEs into the automotive supply chain. The ACE SME programme (advancing the competitiveness of North East automotive SMEs) focuses on improving the competitiveness of SMEs, expanding business capability through business excellence, increased trade and innovation, attracting new SMEs into the sector and supporting entrepreneurship. This programme, as well as the NEAA cluster, exists to encourage more local sourcing and reshoring of products and services that would otherwise be procured outside of the UK, thus offering more opportunity to companies within the UK. Following cluster management excellence principles promoted by the European secretariat for cluster analysis, the NEAA was awarded the bronze label cluster by the European cluster excellence initiative in a record time of 11 months. The NEAA is actively working towards gaining its gold label accreditation which would put it in the top 1% of clusters across Europe – a clear indication of the NEAA’s commitment to providing a worldclass cluster network to support the region’s automotive sector.

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

>>Nissan’s presence in the region has generated a world-class supply chain which continues to grow and develop

Innovation drives growth for automotive sector T

he global automotive sector is changing rapidly, with significant breakthroughs in the hybridisation of engines and electrical vehicular development being two of the major drivers for this change. The North East automotive supply chain, with the innovative, research and development-focused Nissan at its heart, is ideally placed to capitalise on the opportunities presented by these shifting market dynamics. Certainly, one of the most significant developments to have taken place in recent years for the region’s automotive supply chain was the

Automotive has been one of the North East’s most important business sectors for several decades now. MARK LANE spoke to some of the key players in the sector about the current state of the industry and its prospects launch last year of the North East Automotive Alliance (NEAA) which promotes the region’s automotive sector capabilities on a national and international level, as well as providing supply chain business and collaboration opportunities. The development of the NEAA can be viewed as a much-needed strategic development for the

region’s automotive supply chain – an opportunity to foster collaboration and the tackling of common issues across the multitude of world-class engineering and related automotive businesses which now reside here. Heading up the NEAA is Paul Butler. He says: “Improving the supply chain competitiveness is a key

focus for the NEAA. The NEAA has been able to secure ERDF funding to support over 160 SMEs across the North East region. “This funding will not only allow the NEAA to improve SME capability in the existing supply chain but to also increase the breadth of the supply chain by attracting new SMEs into the automotive supply chain.

“In just 18 months the NEAA has grown to become the UK’s largest automotive cluster, and one of the fastest growing clusters across Europe. The NEAA represents the region’s automotive sector on 16 steering groups throughout the UK and has raised the profile of the region’s significant and growing automotive capabilities.” Think automotive in the North East and minds automatically go to Nissan – which is fair enough given that the company now employs around 7,000 people producing Turn to Page 4

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

From Page 3 500,000 cars per annum, approximately one third of all UK car production. However, what has become increasingly apparent in recent years is how Nissan’s presence has spawned a world-class supply chain which continues to grow and develop. Butler says: “The North East automotive sector is not just restricted to Nissan and its supply chain, indeed the region is home to a significant off-highways sector which includes Komatsu, Caterpillar, GT Group and Miller Construction UK; and includes other key OEMs such as Cummins and the Explorer Group.” Butler also points out how the North East has become global leader in electric vehicle manufacture, thanks in no small part to the fact that the all-electric Nissan LEAF is manufactured here and accounts for 26% of all electric vehicle production across Europe. “This has had a knock-on effect and now the region boasts a significant and growing reputation for investment into research and development and new and emerging automotive technologies,” says Butler. “We are advanced in terms of battery technology, control systems and EV charging networks.” Today there are over 240 companies operating in the automotive sector in the North East, together employing over 30,000 people and generating more than £11bn of sales for the region’s economy. Asked where he sees this major North East industry sector heading in the next five years, Butler told us: “The pace of innovation in automotive is unprecedented. Environmental concerns such as climate change and city air quality; safety and congestion pressures; and changing customer tastes and model integration are driving this change. “The hybridisation of engines and electric car market really is taking off however we’re certainly not there

>> Dave Atkinson, head of manufacturing for Lloyds Bank Commercial Banking

yet. The future is all about developing the range of the vehicles so drivers can drive further and charge faster. Lighter cars, bigger batteries are coming and faster charging is under development. Hybrid technologies are also strong in the off-highway sector.” All of which points to some exciting times ahead for the region’s automotive supply chain. However, there are many challenges on the horizon, of which – arguably – the most pressing is skills. To find out more about this issue, we talked to Liz Mayes, the North East region director of the EEF, the manufacturers’ organisation (which includes many automotive sector members). She told us: “Access to skilled workers continues to be a perennial weed for the sector. Firms struggle to

For the automotive sector, ongoing access to the single market will be critical

Liz Mayes

attract both the quality and quantity of skilled workers that they need to drive their businesses forward. “The fast-approaching advent of 4IR (the fourth industrial revolution) is expected to exacerbate this problem even further and will see manufacturers across the board seeking to compete with other hi-tech industries for staff with the technical, managerial and leadership skills required to capitalise on the opportunities set to be unleashed by new technologies. “Against this backdrop, it’s worrying that firms typically have grave concerns about the Apprenticeship Levy, which the Government sees as a solution to creating more and better apprenticeships, while industry sees it as a system likely to fail.” Skills are an ongoing problem for the sector, and a problem which many sector-linked companies didn’t expect to be facing until the shock Brexit result, was the UK’s withdrawal from the EU market. This is a serious worry for Mayes and her organisation’s members. She told us: “There is a lot of uncertainty and we are, of course, worried that [Brexit] could lead to reduced investment. “What we do know is that firms’ business confidence dropped following the referendum and that, in this region, manufacturers are more concerned about the status of EU funding and research grants than their peers in other regions and were among those most likely to immediately review UK recruitment and investment. “For the automotive sector and manufacturing as a whole, ongoing access to the single market in goods and services and the ability to continue to employ and deploy staff from across the EU will be critical. “At the same time, we know that firms are also keen to seize post-Brexit opportunities for more global trade

and it’s vital that the Government supports these ambitions through new free trade agreements, particularly with the US, China, India and Canada, which are the countries of most interest to manufacturers.” While Brexit has unquestionably cast a spell of uncertainty over all of the region’s manufacturers, our conversations with the industry stakeholders we spoke to suggested there is still a strong sense of optimism in automotive supply chain circles. Such anecdotal evidence is backed by several industry surveys on this issue. For instance, the extensive recent Lloyds Bank Automotive Report suggests North East manufacturers are forecasting 13% growth over the next two years,

>>Liz Mayes

while their commitment to innovation remains strong with the region’s firms planning to invest an average of 18% of current turnover into research and development over the next two years (as opposed to 17% across the UK as a whole). Meanwhile, the same report suggests North East firms are keeping a close eye on technological developments in the sector, with more than a third (40%) planning to upskill their workforce or change their business model to develop low carbon or electric vehicle technology. Dave Atkinson is head of manufacturing for Lloyds Bank Commercial Banking. Talking on the report’s findings, he told us: “The North East is home to a vibrant automotive industry. “[In our latest survey] businesses in the region told us they were gearing up for turnover growth over the next two years and had above UK-average plans to invest in new products. “On average North Easy companies are looking to invest almost a fifth of their turnover in research and development, with many creating new products and spending on existing lines.” This commitment to research and development bodes well for the automotive sector’s future in the North East. Equally important are developments such as the International Advanced Manufacturing Park (IAMP) project which will provide a world-class environment for hi-tech industries and advanced manufacturing businesses, including further options for the automotive sector. Sunderland City Council is continuing to work very closely with South Tyneside Council on the IAMP project. This joint venture has seen the two councils consulting recently on a preferred site for IAMP which is proposed for an area close to the A19 and A1 to the north of Nissan’s existing manufacturing plant.

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

RETAIL SECTOR FOCUS ■■ The region’s car retail industry continues to flourish, thanks in no small part to the fact that the people of the North East love their cars. We spoke to the leaders of two prominent motor retailers about the outlook for the sector VERTU Motors has 16 dealerships in the North East alongside substantial central functions, all of them located at Team Valley, Gateshead. Employing more than 1,000 people in the region, this is one of the North East’s most successful companies. Discussing the current state of the market, Vertu chief executive Robert Forrester told us: “Used car demand is very robust indeed. On the new car side, we have seen UK demand falling since April of this year and with sterling down there will be some

upward pressure on new car prices. That said, with the UK being the fastest growing major economy on the planet, near full employment and low interest rates all provide much optimism of strong new car markets in the years ahead.” Forrester sees significant opportunities for Vertu as the car retail sector in the region consolidates. He added: “We will seek to further consolidate the sector as more people decide to sell their dealerships. We are the fifth largest car retailer in the UK and the eighth largest in Europe. “We are well set to ensure that there is a major North East-based car retailer in the future and this will help to contribute to the economic growth in the region. “Companies that are headquartered in the region will be vital if the region

is to flourish and high-value added jobs are developed. There is a big knock-on effect to other companies in the region.” We also talked to Nigel McMinn, managing director at the motors group Lookers, which also employs over 1,000 staff across 21 businesses in the region, including eight Volkswagen, four Audi and two Nissan dealers, as well as wholesale operations and a repair centre. Lookers last year purchased the Benfield Motor Group. McMinn suggests there has always been a strong motor retail trade in the region, with the presence of the Nissan manufacturing plant in Sunderland leading to demand for that brand in the North East being “the strongest in the UK”. “[Demand for cars] has fully recovered from the 2008 recession and

new registrations have now surpassed the previous UK peak market. Used car demand this year is also the strongest on record,” he told us. Asked about current opportunities, challenges and threats for modern day car retailers, McKinn said: “The role of the internet in the purchase experience will be the biggest area of challenge and opportunity going forward. “Like other mainstream retail sectors it appears likely that customers will ultimately want a ‘multi-channel’ experience which still includes physical outlets as well as e-commerce. Both will be supported by call centres. “The use of technology and cleverer management of customer data will make communication more personalised and relevant.”

nissan exhibition THERE’S an exhibition currently showing at Sunderland Museum & Winter Gardens on 30 years of Nissan. Speaking about the exhibition and Nissan’s importance to the Sunderland economy, Sunderland City Council leader Paul Watson said: “Almost everyone in the city will know somebody who works at Nissan, a reflection of the scale of the company. There have been a great many highs for the firm over the last three decades. “This exhibition shows how Nissan has grown to be a business that supports more than 40,000 UK jobs, with one in every three cars made in the UK being a Nissan. “The work of our people at this plant has helped to put Sunderland on the map nationally and internationally and that is something we should all be very proud of.” The exhibition is on the ground floor in the Time Gallery at Sunderland Museum until 2 January 2017. To find out more about opening times, visit www. seeitdoitsunderland.co.uk. >>Councillor Paul Watson

>>Nigel McMinn of Lookers

>>Robert Forrester, CEO of Vertu Motors

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

THE JOURNAL WEDNESDAY, OCTOBER 26, 2016 in association with Sunderland College

Time to shine at City Campus

>>Sunderland College’s new City Campus

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LASSROOMS. That’s how many of us will remember our experience of being in education. That’s a world away from the new state-of-the-art spaces that fill Sunderland College’s multi-millionpound city centre campus. Gone are the desks and in their place stand catering cookers, hot-tubs, lathes, welding benches and an aeroplane fuselage. Built to accommodate vocational students, who learn with their hands as well as their heads, Sunderland College’s City Campus – which is at the heart of Sunderland’s resurgent city centre – is a hotbed for young, eager talent. “It’s not like any other learning environment I have been in,” says Ellen Thinnesen, principal and chief executive at Sunderland College. “We saw on paper what it would look like and the facilities it would include, but it just doesn’t prepare

Last month, Sunderland College opened the doors to its multi-million-pound city centre facility, which is now home to more than 2,000 students. The Journal finds out more about the flagship £29m City Campus and how this futuristic facility will transform the city and region’s skills for generations to come.

found travel to our campuses prohibitive. This new space is special. Our team is special. “And this combination is something that will elevate us and help put not only the college, but the whole city on the radar of generations of young people looking to get on a pathway to success. And we are you for the reality. Opening the doors change the way young people learn.  ticularly in industries like engineerconstantly building our connections to City Campus was a proud, proud “Our courses are very much ing, so it was important to meet a to business. day. It is among the most impressive focused on the development of specification that aligns with industry “The partnerships we enjoy with a college buildings I have set foot in professional and technical skills, so standards.” range of businesses in the city have during my career in education – and I City Campus absolutely has to feel As well as the internal assets, the only been strengthened by the have been to a lot of colleges.” like a real working environment college is well-located in Sunderland. fantastic city centre college campus While the wow-factor of City where our young people can get the At the heart of Sunderland city we now have. We have truly modern Campus is something that Ellen is experience they will need to succeed centre, the college is easily accessible facilities – facilities that have been proud of, her delight with the new into their future.  by bus, ideal for the 2,000 students shaped by the businesses we work building is based much more on the “We have designed each area of the who are based there. Rail links with. practical benefits it will bring. campus as close as possible to the though are what make this venture “And the result is a space that is From brand new electrical and environments our young people will most exciting. more than equipped to deliver the mechanical engineering spaces, progress to in their career pathways, “City Campus is literally seconds future skills needs of not only the to a stunning 80-seater restaurant and worked very closely with away from a Metro station and it is city, but the wider region.” that will be staffed by students industry leaders to ensure that this this connectivity that has opened ■■ To find out more about City learning the art of catering and campus delivers in every way. Sunderland College’s door to Campus and Sunderland College, hospitality, the campus is set to “It’s a fast changing world – parstudents who might otherwise have visit www.sunderlandcollege.ac.uk.

>>Motor vehicle workshop and industry standard engineering facilities at City Campus

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

In association with Jigsaw Business Group

Jigsaw delivers expert solutions By Steve Spratt

we have operational and practical experience. F your business or team is We have built a team of experts struggling to deliver and you think supplemented by a network of highly you need additional support to get skilled associates and can scale our over your current workload or deliver resources to meet varying demands. that extra task, but are worried about We work to the highest standards the lack of time you have and the and have external verification for effort that is required to bring in any our procedures through ISO9001 help in order for you get up to speed, certification across all our service then you should talk to us at the areas. Jigsaw Business Group. If you would like to know if your At Jigsaw we think we are a bit business or team might benefit from different. We have all had careers the support of the Jigsaw Business leading in the industries that we now Group team, please feel free to service and have all had those contact us and at no cost to you other moments too. than your time, we will arrange to So if you are looking to fill permameet with you to discuss your needs nent or interim positions, improve and to advise you if we have a processes, productivity and profitsolution that fits your needs. ability, develop and launch new We understand that in business a products, or manage and develop real benefit needs to be felt if you are your workforce skills or supply chain, going to invest in the support of talk to the team that has genuine external services, and this is why any insight and understanding and can offer of support that we might make deliver solutions that fit. will always be in the form of a fully At Jigsaw we have proudly grown developed proposal with agreed our business through reputation and deliverables, timing and costs recommendation and have develinclusive of terms and conditions. oped specific services and tailored For examples of the type of business models to meet the support and solutions we provide, challenges of a broad range of see the case study page on specialised sectors. Sectors in which www.jigsawbusinessgroup.com

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

THE JOURNAL WEDNESDAY, OCTOBER 26, 2016 in association with Nifco

Stronger and better together The North East automotive sector has developed into a vibrant, competitive cluster that is driving the economic growth of the area, bolstered by the combined force of the North East Automotive Alliance, set up to unite the industry and its supply chain. The Journal speaks to Nifco managing director Mike Matthews about what the secret has been to the region’s success

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OR more than a decade, Nifco has seen its prospects rise. From a company in failure to one with well-documented success which is continuing to make a huge economic impact in its borough. Mike Matthews, who is leading the company, has worked with his team to achieve this Stockton-based business’s success, overseeing factory relocations, huge capital investment in equipment and securing the single biggest contract in Nifco UK’s history. “It’s been a journey,” says Mr Matthews, a time-served apprentice, who has made his way through the business to the position of managing director of the Japanese headquartered firm. “We have been growing and growing and that has been – in no small part – down to the

skill and craftsmanship of our team.” Matthews, who is also president of the North East England Chamber of Commerce, has long been a champion of the so-called ‘people-power’ he believes keeps the cogs of Nifco whirring. “People are at the heart of success, and we are lucky to be based in a region that is home to people with a work ethic that, I believe, is unmatched. “We are proud people and we put in a shift. This is critical to us at Nifco, as we need to deliver quality – but do so efficiently and effectively. “Alongside this, we have an office-based team that is 100% strategically aligned with industry and that has resulted in a great level of collaboration with our clients. This in turn has created a business that can predict changes in industry

and proactively plan for that. “We don’t wait for clients to ask us to make parts to their drawings, we are proactively conceptualising, designing and making parts, often before they even know they need them.” It is partnerships like this that Matthews believes has seen the region’s automotive cluster grow so rapidly. He continues: “The partnership between Nifco and Nissan is a really good example of how we are innovating together. The Leaf was an entirely different proposition for us, but we found a solution very quickly, working with Nissan engineers in Europe and Japan, and we put it into production to meet the needs of Nissan. “These kind of global collaborations demonstrate the region’s agility, so when it comes to investing somewhere, it is easy to see why the North East has so quickly established

The North East is a thriving hub for the automotive sector As a proactive industry-led cluster group, the North East Automotive Alliance (NEAA) is here to represent and work on behalf of the whole North East automotive sector, from making cars or components, working in commercial, to off-highway or engine manufacture. Join the NEAA - the largest automotive cluster in the UK and one of the largest in Europe. Tel: 0191 516 4400 [email protected] www.northeastautomotivealliance.com

itself as a key player, despite current headwinds.” Now, with the NEAA forming a strong voice for the sector, Matthews believes that the region can continue to develop and grow its automotive ‘footprint’. “The industry will face major challenges as we make the break from Europe, and we are all very much aware of that. “However, nobody got through adversity by giving up, and there is a will to find a way through all that lies ahead. Collaboration is at the centre of that. “By working together, we ensure that the sum is greater than the parts. Together, we are responsive and innovative. Together we are stronger. “Together we have the ingenuity to make it through everything that lies ahead and come out fighting – and that is what we intend to do.”

>>Mike Matthews MBE

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

in association with Sunderland City Council

>>Hyperdrive Innovation opened a production facility in Sunderland last year and continues to grow

Honoured to be home of most productive car plant in Europe C

HIEF among the automotive industry leaders is Britain’s biggest car plant Nissan Motor Manufacturing UK, one of the UK’s largest inward investment successes and a company that has in many ways become synonymous with Sunderland. The Japanese automotive giant employs 6,700 people at its Sunderland plant and supports almost 21,000 more jobs in its considerable supply chain in the North East alone (impacting on 40,000 jobs in the UK). No other single car plant in the history of the UK automotive industry has made more than 400,000 cars in one year, let alone 500,000. About 60% of these are the all-British Qashqai – designed, engineered, and built in the UK. It’s no wonder it has become the first crossover to achieve the title of most popular family car in the UK. Since the company’s arrival in the city in 1986 it not only created a new business sector in the North East supported by a burgeoning supply chain, it also revolutionised manufacturing across the whole of Europe; contributing to the evolution of the

UK manufacturing industry. There have been 46 separate investments in the city by Nissan since 2010, totalling £1.6bn or an average of £330m a year. This 30-year relationship between the Nissan and Sunderland as its host city has been more than mutually beneficial. Nissan has invested £4bn in the plant since 1986. Its faith in Sunderland has been rewarded with repeated productivity records – the Sunderland plant is the most productive in Europe. The introduction of the Infiniti Q30 premium line earlier this year also marked the first new car brand to be manufactured in the UK for 23 years. Building on the bedrock of the flagship Nissan factory in the city, the European home of production of the fully electric LEAF and lithium-ion batteries for electric vehicles, Sunderland is now one of the UK’s key hubs for the low carbon vehicles. “Sunderland is extremely honoured to call itself home to the most productive car plant in Europe and a thriving supply chain that is innovating day-in-dayout,” says Coun Paul Watson,

Shaping the city for success SUNDERLAND is currently undergoing a period of significant public and private sector investment. More than £1.2bn will be invested by 2024, targeting its infrastructure and connectivity projects focusing on economic growth, international investment, innovation and enterprise. The formation of an International Advanced Manufacturing Park (IAMP), a joint venture between Sunderland and South Tyneside, will attract more than £300m of private sector investment and create more than 5,200 new manufacturing jobs on land to the north of Nissan. Plus, work on Sunderland’s £100m New Wear Crossing is taking a huge step forward with the launch of the bridge deck across the River Wear.  The bridge, between Castletown on the north bank and Pallion on the south, will help support key development sites and improve traffic flow across the city from the A19 through to the city centre and the Port of Sunderland, creating further opportunities for regeneration and investment.

We have proudly helped to lead the way when it comes to the low carbon vehicle market Coun Paul Watson

leader of Sunderland City Council. Many of the 28 tier one suppliers in the North East region also continue to grow, including Unipres UK who have invested £13m in state-of-the-art presses leading to the creation of 22 new jobs. The giant pieces of kit produce lightweight, high tensile strength steel parts mainly for use at Nissan.  The Japanese-owned company is

also ramping up production to supply Honda in Swindon with components for its new Civic Global model, which will be sold in Europe and the US, as well as producing parts for Renault. Unipres exports around a quarter of its products to overseas car makers. Later this year the company will open the Unipres Training Academy at Washington Business Centre where it will train apprentices and trainees in its simulated manufacturing environment. “We have proudly helped to lead the way when it comes to the low carbon vehicle market, with the world’s best-selling zero emission 100% electric LEAF coming out of our great Nissan plant here in Sunderland, as well as the production of lithium-ion batteries for electric vehicles,” continues coun Watson. Hyperdrive Innovation who opened a production facility in 2015 continues to grow with the announcement of its new 48V lithium-ion battery packs, which are scalable to serve automotive, off-highway and autonomous vehicle applications.

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Partnering with trainers driving sector forward

>>Gateshead College student Stephen Mccarron at the Skills Academy for Automotive, Engineering, Manufacturing and Logistics

A shortage of appropriate skills represents a serious challenge to the North East’s automotive sector. However, an increasingly collaborative approach between businesses and regional training providers is slowly but surely helping to change that picture. MARK LANE reports

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he region’s manufacturing industry, of which automotive is an integral part, requires a “paradigm shift” on the issue of skills development to ensure the long-term viability and success of the industry. That’s the view of Mike Matthews, managing director of Nifco UK, a North East-based advanced automotive components manufacturing business. “I think where we need to improve is in turning talk into action – we need a paradigm shift, to scale up,” Matthews says, expressing thoughts which were echoed by several other automotive industry stakeholders I spoke to on this issue. “Even if a small percentage of businesses in the North East were to take on an apprentice – or to take on an additional apprentice if they already are – that could create a huge number of skilled people, ready to further the development of businesses in the region.” He added: “The North East – like other parts of the county – faces many challenges when it comes to the availability of skilled people, across all sectors. But these are not unsurmountable and it is futile

talking about it – what is needed is action.” Stephen Irish, managing director of Hyperdrive Innovation, agrees that individual businesses in the automotive supply chain each have their own collective part to play for the benefit of the industry as a whole. Hyperdrive Innovation designs and builds lithium-ion battery systems for automotive, off highway, industrial, marine and standby power applications. This is smart, innovative work which requires a difficult-to-acquire mix of serious engineering know-how and astute business acumen. “[On skills] in some ways we are lucky as we have the local manufacturing eco-system,” Irish says. “There are a lot of people who have been

The North East faces many challenges when it comes to the availability of skilled people Mike Matthews

involved with or directly trained by Nissan. But finding the engineers with the skills we need in terms of product development has been very challenging.” Irish points out that his business has taken on apprentices and undergraduates as well as giving opportunities for school work placements. The ROI on such efforts might not be apparent straight away yet Irish suggests businesses in the supply chain have to think beyond the immediate benefits – a holistic, long-term approach is required. “A collective investment is needed and while some of that is asking how you facilitate apprenticeships generally, it is also about individual companies contributing and giving opportunities to young people,” he says. The theme of individual companies giving something back to the industry was a recurrent one when we talked to automotive industry businesses about skills. That said, there is also an appreciation that the industry does have some fantastic support available in terms of the region’s universities and colleges. “We are very lucky in that respect,” Irish told us, suggesting his business

>>Newcastle College encourages as much hands-on learning as possible through its Automotive Centre

has worked with all of the region’s universities in some form or another, collaborative efforts with such institutes being an obvious means of accessing pipeline talent.  But what are the region’s academic institutes actually doing on skills development for the automotive sector? From our interviews on this area, it is clear that there is a strong sense of partnership between industry and academia here – a sense of mutual benefit and, to some degree, dependence. Peter Dryden is head of automotive with Newcastle College. Asked about the college’s commitment to training people in the automotive sector, he told us: “As a vocational college, we encourage as much hands-on learning as possible. Students learn in our Automotive Centre that consists of four large workshops which contain a light vehicle maintenance facility with electronic diagnostic test equipment, tyre and exhaust replacement bays, computerised paint mixing and spray painting booth. “For body repair disciplines, our facility includes MIG and TIG welding, computerised vehicle measuring and straightening jigs and wheel alignment systems.

“We have close relationships with leading industry suppliers to ensure the technology in our Automotive Centre is up to the required standards of industry. These employers include Snap-on Tools, Hunter Wheel Alignment, Hunter Hawkeye, DeVilbiss, Pagid, Car-oLiner and Octoral Paints. Many employers donate equipment and sponsor student awards throughout the academic year.” Asked about the main skills challenges in the region’s automotive supply chain from the college’s perspective, Dryden told us: “Employers within the region are facing a number of skills challenges in all disciplines of the automotive trade. We are regularly approached by employers to not only supply them with new staff (apprentices), but to also upskill their existing employees.  “There is still a perception that the automotive industry is solely about the mechanical ‘under-thebonnet’ trade and we find that students leaving school are unaware of the vast amount of careers on offer within the industry. Very few understand the other vocations on offer within automotive refinishing and automotive body repair and the careers that these can lead to.”

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

INDUSTRY VIEW Matt Boyle, managing director of Gateshead-based Sevcon, which designs and manufactures high quality AC and DC motor controllers and system components, answers our questions on skills Are you happy with the availability of skilled staff, relevant to your business in this region? We are a cutting-edge, hi-tech niche business in the North East. The skills we need are generally developed outside the region, we scour the world for the brightest and the best for what we need. We have had to establish facilities in Toronto, Canada and Oxford in order to capitalise on availability of skilled staff in those regions. Whilst we grow our own in the region by sponsoring students in local universities, this is a long-term plan and doesn’t satisfy short-term need. Where are the main skills gaps in your opinion? There are many areas where skills gaps exist, some wider than others. They range from maintenance through to research and development and are gaps in both quality and quantity. What are the major skills challenges in the region’s automotive supply chain in your view? The major skills challenge is in addressing the looming retirement problem where we will have to replace some 8,500 skilled engineers and technicians retiring over the next three years. At the moment there just isn’t the quality and quantity of skilled people available for the region’s supply chain. What is the region doing right on skills and what could it be doing better? I think the region has taken provision of skills for the automotive sector into its own hands for overly long. We were hoping that a combination of government and business would address the issues that we see. That is now firmly being addressed by business, whilst politicians still don’t understand the needs of business in the region.

A common issue in years gone by is that universities and colleges have been slow to respond to the needs of industry. This picture has changed significantly in recent years, however, and the relationship between the region’s academic institutes and automotive supply chain is a very clear case in point. Dryden points out how the college has developed close working relationships with employers to ensure that as well as giving students the skills required by the automotive sector, it is also staying abreast of their training needs. “We do this in a number of ways from talking to employers directly to partnering with regional trade associations,” he says. “For example, our Automotive Centre has been the venue for the Institute for the Motor Industry (IMI) monthly regional events. These events are an opportunity for automotive employers to come together and discuss topical issues and skills needs that are common across the sector. “We also hosted an IMI Regional Review Seminar which brought together regional training providers where new training courses were proposed and discussed. All of these link to

industry bodies to ensure best practice is shared and that we are delivering the most up to date training and skills to our students.” There is a similar picture of collaboration between the automotive industry and academia to be found at Gateshead College. The college has the highest number of learners on motor vehicle programmes at all levels in the North East, its provision encom>>Mike Matthews of Nifco

passing 16-19 full-time study programmes for school leavers from levels 1-3 offering automotive curriculum in mechanical service and repair, body repair and paint. “We work with over 100 local and national employers delivering all elements of intermediate and advanced apprenticeships and full-cost programmes,” Zac Aldridge, assistant principal at Gateshead College told us. “We deliver curriculum in all disciplines of motor vehicle including body, paint, service and repair, light and heavy vehicles, bus and coach electrical and mechanical. Furthermore, we wrote the curriculum at levels 1, 2 and 3 in Electrically Propelled Vehicles, which is accredited by one of our stakeholders, the Institute of the Motor Industry, which is the Sector

Skills Council for the Automotive Retail Industry.” Critically, learners at the college are taught in a purpose-built Skills Academy for Automotive, Engineering, Manufacturing and Logistics in Gateshead. The facility is fully equipped with industry standard equipment and offers learners the chance to execute their skills in a practical, contextualised setting, preparing them for a career in the automotive industry. Such state of the art of the facilities – as well as being great learning environments – are also critical in terms of winning the hearts and minds of the young people who are so important to the future of the region’s automotive sector. Once again, the links with industry are also a prominent theme. “We have recently solidified strategic partnerships with two of the region’s highest profile employers in the bus and coach industry, Arriva and Go North East, who describe their relationship with the College as ‘exceptional’,” Aldridge told us. “Our bus and coach curriculum has been developed with input from Go North East and Arriva over a number of years and has proved to be a big draw for employ-

ers in this sector. From September 2016, all of Arriva’s apprentices in the North East transferred to Gateshead College from another provider following the acquisition of all Go North East apprentices in 2014.” The college’s relationship with Arriva is such that it has been replicated elsewhere in the UK – offering welcome evidence that when it comes to skills development in the automotive sector, our region is leading where others follow. Aldridge adds: “As a trusted partner of Arriva and having proved that our provision is market leading and employer responsive, Arriva asked us to manage and deliver a programme in London, delivering adult apprenticeships to all their staff in maintaining and repairing vehicles. This provision is written into Arriva’s strategic training plan. “Furthermore, as added value to this programme, we are one of the only providers in the country to be delivering the IRTEC qualification. IRTEC is a renewable accreditation scheme that assesses the competence of technicians who maintain and repair vehicles in the passenger carrying industries; this is currently delivered to Arriva London and Go Northeast employees.”

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

THE JOURNAL WEDNESDAY, OCTOBER 26, 2016 in association with Frew Pain and Partners

>>If planning is approved, Wear Point 55 will provide quality warehouse and manufacturing accommodation, set within a sustainable landscaped environment

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OCAL property developer Town End Farm Partnership has submitted a major mixed-use planning application to Sunderland City Council for Wear Point 55. This exciting hybrid application, which includes both detailed and outline proposals, will see a major manufacturing and commercial site developed on land owned by the partnership to the north of Nissan, adjacent to the A19. Strategically and commercially located adjacent to the A19 motorway network and other existing international occupiers, Wear Point 55 offers a unique opportunity to be located in the heart of the North East’s proposed International Advanced Manufacturing Park. The 22 hectare site has the potential to deliver over 92,000sqm of B2 manufacturing space, associated infrastructure and amenities and more than 9,000sqm of commercial space. The detailed application includes the delivery of two high specification production facilities suitable for a selection of end users. The proposed production and warehousing units comprise the Brunel building which will offer a high-quality facility amounting to 46,450sqm with frontage on to the A19. The Hudson building complements the development providing a facility of 27,870sqm – the scheme collectively will provide a total footprint in excess of 74,000sqm of the detailed part of the proposed development. In addition to the detailed submission, the outline application includes a further manufacturing unit, the Wake building, which will offer flexible space options ranging from 9,000sqm to 25,500sqm depending on the requirement of the end user. The outline application also includes the remainder of the site which will form a commercial hub,

Masterplan vision for Wear Point 55 scheme

>>The layout for a major manufacturing and commercial site on land to the north of Nissan

including car parking, retail and leisure. Expressions of interest for some of the leasehold arrangements in this hub element of the scheme have already been received from major national and regional retailers. The Town End Farm Partnership masterplan vision will provide high-specification, quality warehouse and manufacturing accommo-

dation, set within a sustainable landscaped environment that will suit potential occupier needs. If planning is approved, it is envisaged that occupation could be as early as 2018. It is expected that the proposal could provide around 1,348 jobs in the North East local enterprise partnership area, more than a third of which would be in

Sunderland and include significant inward investment of over £70m to the local and regional economies. Town End Farm Partnership director Peter Razaq, said: “We are extremely proud of our investment in the North East. This application comes at the end of an eight-year period of hard work necessary to deliver this vision.

“Together with our team of advisers, funder and potential tenants, we believe that our planning application, which brings to life our masterplan vision for the site, will be seen as a positive step and we look forward to working with Sunderland City Council to deliver an exceptional mixed use site, which would be occupied by Q1 2018.” The site is being marketed by Frew Pain and Partners in conjunction with GVA. James Pain, director of Frew Pain and Partners, said: “Market demand in the proposed development has been very strong without any promotion of the site, we have several national and international companies interested. “The quality, size, type and location of this high-specification product fill’s a massive void currently in the market. Both of us are very excited and enthusiastic to be working on such a high-profile and unique new development and would very much welcome any new interest that potential occupiers may have. “It is a very exciting time for Sunderland and the North in general. Post-Brexit, Wear Point 55 compliments the other successful schemes within the immediate area including Turbine and Hillthorn Business Park.” ■■ For more information on Wear Point 55 go to www.wearpoint55. com

POINT 55 B U S I N E S S PA R K

The Middle of Everywhere Exciting new commercial development offering industrial units for high specification manufacturing, storage & distribution use complemented by a mix of on-site commercial units offering hotel, leisure and retail opportunities.

From 0 sq ft 275,00 to t 00 sq f 1,000,0

Strategically located between Sunderland and Washington, adjacent to the A19. Development Details: l

High specification, quality warehouse and manufacturing accommodation set within a landscaped environment

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Design & Build opportunities available

l

On-site leisure and retail amenities proposed

l

Excellent labour pool regionally, both skilled and unskilled

l

Immediately adjacent to A19 with links both North and South

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Strategically located next to Nissan Car Plant

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Close proximity to Port of Tyne services

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Available mid 2018 (subject to planning permission)

Unit Sizes:

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BRUNEL

HUDSON

WEAR POINT 55

WEAR POINT 55

27,414 sq m (275,084 sq ft)

27,870 sq m (300,000 sq ft)

A1290 Washington Road, Sunderland, Tyne & Wear, SR5 3NS

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WA K E WEAR POINT 55

46,451 sq m (500,000 sq ft)

POINT 55

www.wearpoint55.com

B U S I N E S S PA R K

For further details contact our agents: James Pain, Frew Pain & Partners 0191 229 9517 07841 871 710 [email protected]

gva.co.uk

0191 261 2361

Danny Cramman, Bilfinger|GVA 0191 269 0068 07796 993 750 [email protected]

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THE JOURNAL WEDNESDAY, OCTOBER 26, 2016

NORTH EAST AUTOMOTIVE INDUSTRY REPORT

Brexit vote does not mean Here in the North East, we have a terrific automotive supply chain. MARK LANE spoke to some of its most impressive players about the outlook for the region’s automotive sector

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ecent years have seen a new breed of business evolving within the North East automotive supply chain. Innovative, forward thinking and highly ambitions, such companies have spawned in the imposing and impressive shadow of Nissan, one of the world’s most innovative manufacturing enterprises. In many cases, these companies have used the lessons learnt working with and alongside the car giant to win new business in national and international markets. Hyperdrive Innovation, which designs and manufactures electronic vehicle systems for automotive, industrial, offshore and subsea applications, certainly falls into this category. The company recently became the first business to secure the supply of Nissan’s LEAF lithium-ion battery technology for its own commercial products. The company is incorporating the Nissan-developed, UK-made new and used battery modules in its new intelligent battery systems which can be deployed by manufacturers to power electric and hybrid electric vehicles, as well as providing energy

storage for off-grid and back-up utility supplies. The first battery packs are being fitted into a number of niche, off-highway vehicles and scalable energy storage for both domestic and commercial markets. Stephen Irish is managing director of Hyperdrive. The company, which was established in 2012 and recently moved to a new site at Nissan’s Future Technology Centre, continues to work closely with Nissan, enjoying a two-way relationship with the motoring giant to bring products to market through the Advanced Propulsion Centre (APC) programme. Talking about his company’s work with Nissan, Irish, who is on the board of the North East Automotive Alliance, told us: “We had been importing cells from abroad, from South Korea, similar to what were being made right here on the doorstep. Nissan wanted to sell their cell technology, and we were a good way of doing that.” The development of the Advanced Propulsion Centre (APC) programme helped to facilitate this process. “The reason the Government has invested in this programme is to encourage SMEs to get involved with OEMs,” adds Irish. “Nissan has been like a beacon for North East manufac-

turing, investing in its own factory and further down the supply chain and really encouraging companies like our own.” But is there a concern that there is an over-dependence by local suppliers on Nissan? The question is very topical, particularly at a time when Brexit is forcing all internationally trading businesses to consider whether the UK will be the right place for their operations if the UK is outside the EU trading block. Irish says: “[Some kind of dependence] is inevitable due to the sheer size of Nissan. But many suppliers to Nissan have also diversified to supply other OEMs as well, including Jaguar and Honda, for instance.” Mike Matthews is managing director of Nifco UK, which makes components for the global automotive industry. Nifco supplies plastic parts used in the engines, interiors and exteriors of cars made by BMW Mini, Ford, General Motors, Honda, Jaguar Land-Rover, Nissan, Renault, Toyota and Vauxhall Opel. Like Irish, Matthews is clear on Nissan’s influence but also emphasises Nissan’s position not as an organisation which suppliers depend on but one which they use as a positive catalyst for change. He told us: “It is typical in any automotive cluster that there will be an OEM at the heart of it. That is the case with Nissan, who are at the heart of the North East cluster. It is down to the supply chain to ensure that it is not overly reliant on any one business and the way to do that is to innovate; to be ahead of the competition; to make it difficult for any customer to choose to work with another supplier. That’s something that has stood us in good stead, and I think is something the wider supply chain here is doing too. “It is essential that businesses working with Nissan learn from

>>Inside Nifco UK’s Stockton-on-Tees manufacturing system

this relationship and use that learning to broaden horizons and connect with other UK OEMs, just as Nifco has done as a supplier to all major UK OEMs – we aren’t putting all our eggs in one basket. This is an opportunity for the supply chain to prove its competitiveness and win business with other OEMs and Tier Ones.” Asked whether Nissan has been beneficial in terms of encouraging and fostering innovation in the region’s automotive supply chain, Matthew added: “Nissan enjoys close working relationships with its

suppliers and that in turn is helping to aid understanding of their business and allowing us to get ahead, creating products that pre-empt their needs, sometimes before our customers realise we can help. “We collaborated closely with Nissan when they were developing the Leaf, and were able to create a new part custom-designed for the car’s electric battery. It’s fantastic when you can work together in this way, and as a result, the North East is seen as a place that is at the cutting edge – innovative and collaborative >>Stephen Irish, managing director of Hyperdrive Innovation

>>Hyperdrive’s lithium-ion battery

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

supply chain is in neutral BREXIT has already had a significant impact on UK businesses which trade internationally – and will continue to do so. The interviewees we spoke to on this issue had mixed feelings from a business perspective, albeit there appeared to be a collective determination to accentuate any positives – whatever they might be. Mike Matthews of Nifco told us: “For the UK’s manufacturing industry this is potentially a huge challenge we will have to rise to and overcome – but something we need to recognise now as an opportunity to refocus and ensure we make our businesses and country attractive to both customers and investors. “Inevitably there will be a period of uncertainty, but we are a country that has relied heavily on manufacturing. In difficult times, manufacturing has been the industry that has underpinned our economy. “The referendum result was challenging news for industry, but we must not let it become a negative in terms of our image globally; and we will need strong

and one that can be trusted to deliver, whatever the ask.” Sevcon, an electrical engineering company based in Gateshead in the UK, manufactures controls for electric vehicles. The company’s managing director Matt Boyle suggests that Nissan is “hugely important to the region’s automotive sector, one of the largest car plants in Europe on our doorstep it is obviously very important to us”. That said, like others we spoke to he points out that Nissan is much, much more than a valuable custom-

er for local businesses. He says: “With the help of Nissan and the work undertaken by companies in the region, those companies have developed skills and products that can be sold outside the region to the West Midlands and beyond. “I think it could be argued without Nissan’s presence in the region there would be less of an incentive to invest in the region to develop automotive supply chains.” Boyle also refutes the suggestion the local supplier base as a whole has become over-dependent on Nissan. He says: “I think businesses

Collective determination to accentuate Brexit positives leadership from the Prime Minister to ensure the terms of our departure are as favourable as possible.” Many automotive suppliers in the region import as well as export – hence, share the sentiments of Matthews who suggested that short-term currency gains were, “a double-edged sword for us, we see increased material prices but more competitive exports”. Likewise on the issue of currency movements, Matt Boyle of Sevcon said: “No, the business has not benefited from short-term currency gains. Our purchases are in euros our sales are denominated in dollars. I find it extremely short-term thinking for people to believe that a weak currency is a good thing.” More generally on Brexit, Boyle added: “For the business, it depends what type of Brexit the politicians manage to achieve. It has given me concern that without clarity I have had to pause decision-making on

in the supply chain have worked hard to diversify their businesses from a dependency from Nissan. Losing Nissan from the region would be a huge blow but not necessarily terminal. “Yes, Nissan have been very supportive of its supply chain in activities like sharing a best practice, open involvement in the Alliance in terms of business excellence, skills and development. “How? Active involvement in things like the Alliance, being prepared to share their knowledge and outreach to schools, education and business.” >>Two of Sevcon’s Gateshead-based employees at work

Automotive supplier Omega to make £1m investment  WITH sites in Blyth, Washington and Hartlepool, Omega Plastics Group, which was established in 2015 following the merger of Omega Plastics and Signal Plastics, has announced it is investing £1m in new equipment across the three sites having been supported by a £200,000 grant from Let’s Grow North East, a £60m Regional Growth Fund programme operated by business services company BE Group and Newcastle accountancy firm UNW LLP. The first stage in the investment programme is a 1,300 tonne injection moulding press and overhead robotic equipment installed at Signal Plastics’ facility in Washington. This £400,000 machine enables Signal Plastics to produce more and larger parts for the automotive sector, where it is a tier one and two supplier to various manufacturers including Aston Martin and Nissan.   Alan Franklin, managing director at Signal Plastics, said: “We’ve made this investment on the back of increased demand from the automotive industry. It’s a significant develop-

ment in the growth of the business but we’ll see the rewards not just in terms of the extended product offer we can make to customers, but also in making our process more costeffective by improving our energy efficiency.” Commenting on the North East automotive industry, Franklin said: “Nissan is obviously the single biggest feature in the region’s automotive sector and without it, there would be no tier one supply base. “Some suppliers are entirely dependent on Nissan but our group-wide business model is based on work across a range of sectors including medical, electronics, FMCG and personal care as well as automotive. “The supply chain is continuing to evolve and I welcome the efforts made by the North East Automotive Alliance to encourage tier one and two suppliers to engage with one another, sharing best practices and developing mutual efficiencies through their respective supply bases.”

investment here despite everything I have said, and that’s because for us being in Europe as part of the decision-making on things like standards and product development road maps is essential.” Stephen Irish of Hyperdrive Innovation offered a slightly alternate take on Brexit, explaining, like others, that the currency gains had not necessarily been a positive due to the company importing raw materials. However, he added that the company is actually to onshore more imports which would negate such issues. “That is not necessarily for patriotic reasons but also as a way of reducing the cost of components and the logistical effort of getting them to our factory. “In that sense we are very fortunate to be using the Nissan modules – the most expensive and heaviest part of our product is the battery cell and that is made half a mile from where I am sitting today.”

>>Alan Franklin, managing director at Signal Plastics

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

Automotive Cadetship venture set to swell industry skills base

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THE JOURNAL WEDNESDAY, OCTOBER 26, 2016 in association with AV Dawson

EPTEMBER saw the start of a new scheme that aims to put automotive skills in the fast

lane. The Automotive Cadetship, a joint venture between industry, schools and Teesside charity The High Tide Foundation, is taking 13 and 14-year-olds on a fascinating journey through various stages of the industry’s supply chain. Students from Nunthorpe Academy, Beverley School and Unity City Academy in Middlesbrough are being put through their paces on a six-week course that teaches them about the manufacture and transportation of plastic and steel and, at the far end of the chain, the art of sales in the car showroom. It is suitable for children hoping to progress on to an apprenticeship or go to college to study a STEM (science, technology, engineering and mathematics) subject that opens up an automotive career path. The idea is to encourage more young people to consider the vast range of career opportunities in the industry’s supply chain – and there could be a host of new jobs on offer by the time they’re of working age. The North East Automotive Alliance (NEAA) estimates that 10,000 new vacancies could be available in the region in the next five to 10 years as more projects come on stream. The challenge is making sure that sufficient numbers of workers are available. Logistics specialist AV Dawson,

which is heavily involved in the cadetship, said this would only happen if there was greater awareness of what the industry had to offer. In one exercise, the company invited students to identify logos of some of the region’s most prominent automotive firms – and the fact that many couldn’t highlighted the problems facing the sector. Charlie Nettle, head of marketing and business development at AV Dawson, said: “They recognised Caterpillar and Nissan but not many recognised Nifco and other really important companies to the North East economy. “It’s really important that we all do everything we can to inform and inspire the next generation so that they are more aware of the opportunities here in our region. “We’ve developed a world-class automotive sector in the North East; it has become a key sector for the area and is attracting global interest. However, to sustain this, we must attract new talent.”

Lots of students say they want to be an engineer, but don’t have an idea what jobs are out there Lauren Bywater

That’s why AV Dawson, along with Nifco, SABIC, Nissan and Evans Halshaw, have all been quick to sign up to support the cadetship. It was officially launched by High Tide, founded in 2012 by Teesport operator PD Ports and Casper Shipping to encourage more young people to work in the region’s port and logistics industries. Since then the charity has expanded its offering to provide work experience, learning and employment opportunities for children wanting to expand their knowledge of other sectors. High Tide already runs a successful cadetship programme that gives participating students an understanding of the burgeoning global electronics supply chain. Now the charity wants to target STEM students who are interested in finding out how the automotive supply chain welds itself together. Lauren Bywater, general manager of High Tide, said: “I think that lots of people have an interest in automotive but don’t know how to get into it. At that age [13 and 14] it’s crucial to give these young people an idea of the qualifications needed to get into the industry. “It’s the middle-achieving students who sometimes need that extra push. If they get that support, they can achieve so much more. “Lots of students say they want to be an engineer, but don’t have an idea of what specific jobs are out there. That’s

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THE JOURNAL WEDNESDAY, OCTOBER 26, 2016 

where the cadetship can help.” The schools involved in the initiative are certainly buying into it. Ten students from Nunthorpe Academy have taken part in the scheme and Alison Blacklock, director of STEM and student leadership at the academy, said they had gained valuable skills as a result. She said: “It’s a fantastic scheme for our students, particularly those who are not going to go on to sixth form college or university. It gives them a great overview of the type of jobs in the industry. “It’s a really good way of introducing schoolchildren to the world of work. In many respects, businesses don’t know what schools do and schools don’t know what businesses do. The Automotive Cadetship is a good way of bridging that gap.” Ms Blacklock said schools and businesses needed to work together more closely to help industry tackle vital skills shortages. “Each school has its own way of doing things,” she said. “I’m constantly trying to bring in businesses into the school so that students get vital experience of the workplace. “It’s important that every school engages with the business community because, at the end of the day, schoolchildren will end up working in local companies. “We need to get to a stage where these children have the skills that are going to directly benefit these companies.”

NORTH EAST AUTOMOTIVE INDUSTRY REPORT

Workforce development is a key priority for the companies involved in the cadetship. Car parts maker Nifco UK has been a longstanding advocate of staff training and currently has more than 30 apprentices on its books. Its managing director, Mike Matthews, was an apprentice toolmaker by trade and made his way from the shop floor to the top job in the Eaglescliffe-based company. Nifco said getting involved in the cadetship was a “no-brainer” and an opportunity “to get more young people excited about our industry”. Frances Hoy, personnel manager at Nifco, said: “The opportunity to shape the cadetship with other fantastic businesses like Nissan, Evans Halshaw and others, was something we were excited to be involved with. “With automotive businesses and their supply chain companies – like Nifco – facing skills shortages in the coming years, it’s imperative that programmes like these give the right experience and insight to the young people who could make such a difference to our industry. “Programmes like these need to be given backing by industry leaders. Those who lead by example and show that it’s the next generation, the young people who are deciding now where their futures

>>The first cohort of automotive cadets with their teachers, AV Dawson’s Charlie Nettle and Kim Upex, membership co-ordinator at High Tide, both front right. Inset, Natasha Caddick of Unity City Academy, right, with Kim Upex

will lie, that will be the driving force of our businesses very soon.” Nifco said the cadetship provided an ideal chance to show young people the “incredible” range of automotive careers on offer. It’s also an opportunity to encourage children to take STEM subjects at school so that automotive firms have access to a ready-made pipeline of talent in the future. The cadetship has been given the thumbs-up by the NEAA, which was launched last year to support the

sustainable growth of the sector. Paul Butler, chief executive of NEAA, said: “This initiative is a great example of the innovation and pioneering ideas coming from businesses operating in the automotive sector in the North East and is exactly what’s required to inspire the next generation to consider working in the sector. “It also illustrates the added value businesses can achieve by all pulling together.” Partnerships between businesses and education providers are going to be crucial if the industry is going to successfully tackle skills shortages. AV Dawson highlighted a dearth of qualified drivers and said companies were finding it difficult to retain those who were available. Charlie Nettle said: “You have to invest about £2,000 to get a driver qualified and then find that they move to a company down the road who pays them an extra £1 an hour more. “Hauliers often aren’t prepared to make the upfront investment. All of us have got to be prepared to put our hands in our pocket.” Initiatives such as the automotive

cadetship will go some way to addressing these problems, although bosses behind the scheme acknowledge it will only just scratch the surface. However, they’re looking to extend the cadetship and get it accredited by the Industrial Cadets, which works with employers and young people aged 11-19 to develop a pipeline of future talent for industry. Mr Nettle said: “The biggest challenge for us is how to make this [cadetship] scalable. At the moment we’re just touching the tip of the iceberg, but you’ve got to start somewhere. What do we need to do to get more people involved? Could we create virtual reality tours to showcase the industry to a wider audience? “The key reason why we’re involved is to use this as another tool to showcase the strengths of the automotive industry in the North East. If we can encourage more people to take the sector seriously, it will become even stronger than it is now. “The cadetship is the first of its type to work with automotive firms across the supply chain. It’s great that we’re pioneering it here in the North East and it’s really important that we continue to work together to bring more skills into the industry.”

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THE JOURNAL WEDNESDAY, OCTOBER 26, 2016

NORTH EAST AUTOMOTIVE INDUSTRY REPORT in association with Komatsu

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OR three decades, powerful yellow behemoths have rumbled off the production line at Komatsu UK. The Birtley-based giant is part of the fabric of North East industry and one of the region’s manufacturing elders, producing a range of hydraulic excavators here since 1986. However, longevity and a proud history does not make Komatsu a company entrenched in the past. Driven by an emphasis on skills development and innovation, it is a progressive, modern manufacturer with a constant eye on the future. With future skills shortages across the manufacturing sector predicted, businesses must act now to address a decline in experienced engineers. Thankfully, Komatsu is ahead of the game. Managing director, Peter Howe, said: “We are dedicated to attracting, developing and continuously improving our employees – from our STEM ambassadors working with youngsters and students to our comprehensive apprenticeship and graduate trainee programmes, right up to Komatsu’s focus on providing impactful training programmes for all staff, we are focused on recruiting and retaining our future workforce. “It’s no coincidence we have some of the finest apprentices in the North East. We select the best candidates, we provide excellent training and we provide great career opportunities.” The firm works with schools, colleges and universities, empowering its 18-strong team of STEM ambassadors to promote the subjects to students. Design engineer Kathryn

Can you dig it? >>Komatsu UK managing director Peter Howe

Mullins is one of the Komatsu ambassadors. She said: “STEM is everywhere. It shapes experiences and is part of most people’s working day. Getting the message to young people about the importance of these subjects is vital and something Komatsu is passionate about.” Securing numerous awards for its apprentices, Komatsu further empowers its talented young team by offering high-performers the opportunity to achieve university degrees, financing qualifications and allowing employees study time within the working week.

Development engineer Phil Waters, 26, is a former apprentice and recently graduated, achieving a first in mechanical engineering. He is followed by Ethan Iveson, 22, another former apprentice who started the mechanical engineering degree course at Northumbria University in September. Ethan said: “Komatsu wants you to succeed. The focus is on constant improvement, whether that is employees, our processes and products or health and safety – the culture throughout the whole business is one of

ambition and a desire to get better.” As well as the STEM activity and apprenticeship programme, the focus on continuous improvement has seen Komatsu invest in leadership development and training for supervisors and team leaders through an Institute of Leadership and Management qualification. Tracey Wilson, senior HR manager at Komatsu, said: “Our industry must make sure North East manufacturing continues to grow. We must be fit for the future and I believe our recruitment process, the suite of training we provide, and our desire to constantly

improve puts us ahead of the game.” Komatsu also champions internal initiatives like the Technology Olympics and Quality Circles, both of which create competition and empower staff to create or improve upon processes and products. Peter added: “We must always look to the future while continuing to challenge our outstanding workforce. We encourage people at all levels to submit ideas to improve our processes, so employing the most talented people and training them to the highest possible standard can only be a wise investment.”

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THE JOURNAL WEDNESDAY, OCTOBER 26, 2016 

NORTH EAST AUTOMOTIVE INDUSTRY REPORT

In association with AVID Technology

AVID Technology gears up for growth I

NVESTMENT in new technology and an ongoing recruitment drive have placed an ambitious North East automotive clean-tech business at the cutting edge of electric and hybrid vehicle development. AVID Technology is a leader in the design and manufacture of smart electrified ancillary and advanced thermal management systems. With a proven track record for supporting programmes from concept to production, AVID’s customer base has expanded globally to include leading vehicle manufacturers, tier one suppliers and heavy-duty fleet operators including Daimler, Scania and Cummins. The Cramlington-based firm recently secured a key position in a £5.2m, three-year collaborative programme with global original equipment manufacturer, Caterpillar, to develop more efficient hybrid powertrains for heavy-duty on and off-highway vehicles. The powertrain will utilise AVID’s advanced electrification technology for the engine’s ancillary devices, reducing the parasitic loads on the vehicle. Ancillary devices will be powered using waste heat energy that will be recovered from the exhaust. AVID has more than doubled in size in the last 12 months, now employing 45 people and managing director Ryan Maughan says the

>>AVID Technology’s Giles Johnston, left, who leads on the delivery of the firm’s lean maintenance consultancy service and managing director, Ryan Maughan

growth in headcount is set to continue. “We’re actively looking to expand our skilled and ambitious team with new opportunities in mechanical and electrical engineering, sales and marketing and other support functions within the business,” said Ryan. AVID’s burgeoning reputation and

growth potential were recognised earlier this year when the firm secured investment of £3.4m from Newcastle-based NVM Private Equity, the North East Technology Fund, London-based Downing LLP and Andy Hales, formerly a corporate finance partner in KPMG’s diversified industrials team, who has

subsequently joined the company’s board as chairman. “The investment builds on the success of our fantastic team in building a global customer base of blue chip vehicle manufacturers and operators,” explains Ryan. “It will allow us to develop AVID’s engineering and manufacturing capabilities,

continuing our mission of improving the efficiency and environmental impact of vehicles ranging from buses and off-highway heavy-duty machinery to high performance supercars.” AVID’s success also caught the eye of UK industry peers when it received the prestigious national award for innovation from the low carbon vehicle partnership. “Our business has grown significantly and it’s fantastic to see the team’s efforts recognised by investors and industry experts but we have so much more to achieve,” said Ryan. “Just in the last couple of weeks, researchers at the Massachusetts Institute of Technology have published a study which shows that when operating and maintenance costs are included in a vehicle’s price, vehicles emitting less carbon are among the market’s least expensive options on a per-mile basis. “Our sector is growing strongly as more electric and hybrid vehicles come to market and by remaining at the leading edge of technology we have a tremendous opportunity to expand our share of the global market from here in the North East.” ■■ Anyone interested in improving the operational performance of their vehicle fleet should contact AVID Technology on 01670 707 040 or visit the website www.avidtp. com.

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

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THE JOURNAL WEDNESDAY, OCTOBER 26, 2016 in association with Unipres

Apprentice production line for Unipres recruits

AR parts maker Unipres has launched an apprentice production line, set to roll out the next generation of automotive experts. The Unipres Training Academy, opening later this year, will train apprentices and trainees in a simulated manufacturing environment. The new centre, which will be housed in Sunderland City Council’s Washington Business Centre, will be stocked with state-of-the-art robotic equipment and overseen by Unipres’s most experienced employees and training specialists. Unipres plant director, John Cruddace, said: “All businesses must work hard to ensure they are future-proofed, but the automotive sector in particular, with our strong regional presence, must always have one eye firmly focused on the next generation.  “We are committed to our apprentices and have created a programme of development at the plant to ensure there is a clear progression path for them. The Unipres Training Academy will be the launchpad for our own trainees and apprentices and many more who will fill roles across the automotive sector and manufacturing generally.” Based in Sunderland for 27 years, Unipres employs more than 1,200, providing steel components to car makers including Nissan, Renault and Honda. The business works tirelessly to encourage young people into engineering. It is part of the industrial cadets initiative and the trailblazer apprenticeships pro>>Minister Robert Halfon and Unipres apprentice ambassador Rhys Goulden gramme. With a well-established apprenticeship programme – Unipres minded, but who can develop giving people a ladder of opportunity recruited 25 apprentices last year practical abilities and provide an to thrive.” alone – the academy will further interesting and challenging career for Mr Halfon met with Unipres boost its credentials and increase its them. apprentice ambassador, Rhys training capacity.  “A great deal of effort has gone into Goulden, 22, who said: “You only get It will support around 90 trainees creating the academy and when it out of life what you put into it and we per year, and the firm expects around opens we expect to hit the ground know here that if we work hard, we 100 apprentices will use the facility in running. It will operate like our plant, can make a successful career at the first 12 months, with an average a hive of activity and a production Unipres. of 50 per year after that. line where we take raw material and “Apprenticeships work and the Supplying training in welding, shape it into a valuable product: a prospects here are health and safety, work procedures, new Unipres recruit.” fantastic for anyone equipment start-up, labelling and The plant was visited by new lucky enough to secure a quality systems, it will also address Minister for Apprenticeships and position.” basic skills such as literacy and Skills, Robert Halfon. He toured the In the last 12 months, numeracy. factory and met both apprentices Unipres has established Managing director Gary Graham, a and trainers. the training academy, staunch advocate of apprenticeships, He said: “We are committed to which is on the Register said: “The academy is for young developing the skilled workforce our of Training Organisapeople of all levels of educational engineering industry needs now and tions with EAL; been achievement. I want us to catch the in the future. It’s great to see Unipres honoured by receiving kids who might slip through the doing just that by expanding its an Investment in cracks. Those not academicallyapprenticeship programme and Apprenticeship Award >>Regional apprenticeship champion George Ritchie and Unipres HR manager with some of the firm’s apprentices

from the North East Apprenticeship Network for its quality provision of apprenticeships, and secured a grant from the SFA for staff development and training. Sunderland City Council, which operates Washington Business Centre, welcomed the company to the facility with open arms.  Coun Paul Watson, leader of

Sunderland City Council, said: “Sunderland is a respected hub for automotive manufacturing excellence and that reputation is due to the commitment of firms like Unipres who work incredibly hard to ensure they remain fit for the future. “It is great to see a major employer not only taking a lead in addressing potential sector skill shortages, but also making a commitment to creating opportunities and careers for young people in one of our region’s strongest industries. “We have worked closely with Unipres for several years to support the growth of the business, and their latest commitment to the city means that we’ll be sure to do so for many years to come.” >>Minister Robert Halfon and chats with Unipres apprentices

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THE JOURNAL WEDNESDAY, OCTOBER 26, 2016 

NORTH EAST AUTOMOTIVE INDUSTRY REPORT

In association with Ecusol

Can you reduce your energy costs? By Brad Patchcott Managing director

lighting you can cut these costs by up to 75% while reducing your carbon footprint and improving the working environment. Our range of LED energy efficient lights are up to 90% more efficient than traditional bulbs and produce significant cost savings which will reduce your carbon emissions.

A

S the cost of energy rises and the emphasis on carbon reduction gains speed, there has never been a better time for your business to work with Ecusol. Ecusol’s services and products have been developed to help your business reduce your energy usage and carbon emissions in a sustainable way. Our free consultation will show you the best way to manage, use, generate, store and source your energy. We supply energy efficient products, arrange finance, install and monitor your energy needs, producing significant savings and contributing to a greener planet. With a history of successful outcomes in all sectors, we are ready to show you how you can easily convert to energy efficient LED lighting, generate your own energy through the installation of low maintenance PV solar or wind turbines, store your energy effectively or switch to a green energy provider. Whatever changes you make, you are guaranteed to increase efficiency, lower costs and improve your carbon footprint. Call Ecusol for a free, no commitment appraisal and assessment of your current energy usage. Depending on your circumstances, we will follow up with either a written

■■ Store your Energy Ecusol’s battery energy storage system (ESS) enables you to capture energy produced at one time and store it for use at a later time. Sizes range from individual 2kW blocks to 2MW storage containers that can be placed in series or parallel configurations.

>>Ecusol’s energy efficient products produce significant cost savings

or verbal report. This report will include a proposal outlining how your current energy usage can be dramatically reduced and recommend products and services that will help your business to achieve significant cost savings and improve your carbon footprint. We supply a range of high-quality products that will be installed by our professional team and when

installation is complete, we won’t disappear. We want to show you how effective your new lighting, energy generation, storage or new green energy provider is. We will monitor your energy usage and costs and report on performance and savings generated. On average, 25% of an organisation’s electricity costs come from lighting. With our energy efficient

■■ Your bills We are able to procure and manage the supply of low cost energy (10-20% saving) for your business. What will it cost? We will take all the hassle out of arranging finance and do the job for you. In some cases we can eliminate the need for any CAPEX. The savings you make will typically offset the monthly finance cost and depending on usage levels, can provide a payback within 12 months. ■■ Call now to find out about how you can claim a £10,000 Carbon Trust Fund grant towards your energy reduction. Ecusol – 0191 228 6596.

>>Brad Patchcott

Do you actively manage your business energy costs? Regardless of the answer, Ecusol can help your business reduce energy consumption, cost and CO2 emissions.

Call us now for your

PROCESS

T: 0191 2286596 PRODUCTS

[email protected] www.ecusol.com

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NORTH EAST AUTOMOTIVE INDUSTRY REPORT

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HE history of the industrial revolution dates back to the late 18th Century, prior to this processes were predominantly manual when, with the advent of steam and water power, manufacturing processes began to use this to drive mechanical production processes heralding in the first industrial revolution. Nearly a century passed before we saw the use of electrical energy and division of labour concepts drive the second industrial revolution, which created prosperity and wealth. Output continued to rise with mass production and then the 1960s saw the emergence of electronics and IT begin to further automate processes, and push productivity still higher. Now we are at the start of the forth revolution which is being driven by connectivity allowing cyber-physical systems to connect to the cyberphysical world to create new autonomous systems. We are even entering an age of mass customisation with some of these technologies. Momentum has been building for some time, and for a while it seemed the often over-used buzz words such as ‘big data’ and ‘internet of things’ were just hype, but now we are starting to see the technology mature and impact into our factories. So what is Industry4.0 really about? The basic principle of Industry4.0 is that interconnected machines and systems will form an intelligent self-controlled network spanning the entire value chain. In the ideal factory, machines autonomously react to unexpected changes in production, predict failures and trigger maintenance processes. This aspires to a vision of technology-enabled just in time manufacturing and maintenance, with near-zero downtime translating into reality. With Industry4.0, all the latest technologies of big data, data analytics, internet of things, cloud computing, smart factory and many more, are combined into one single concept. Furthermore, this isn’t just isolated to a single factory but can extend to production locations around the world, or throughout the supply chain, allowing these to flexibly adapt and react to changes

THE JOURNAL WEDNESDAY, OCTOBER 26, 2016 in association with the University of Sunderland

Driving a revolution in manufacturing In case you haven’t heard there is a revolution happening in the automotive and manufacturing sectors. The fourth industrial revolution, or Industry4.0, as it has become known, is well and truly underway explains ROGER O’BRIEN, director of The Institute for Automotive and Manufacturing Advance Practice (AMAP) at the University of Sunderland in demand or production problems. The connectivity we now all take for granted and think nothing of, having become rapidly accustomed to it via our mobile phones, is the enabler of mass manufacturing connectivity driven on the backbone of the internet. Now with Industry4.0 we see computer integrated manufacture with real-time accurate collection of production line data connected via an industrial internet to real-time production monitoring, giving greater control over production processes. Automated process control will lead to a reduced need for manual intervention on the production line, while environmental conditioning and monitoring optimises efficiency.

No longer is this the stuff of science fiction, but science fact. Recently at AMAP’s North East Maintenance Forum leading local industrialists were able to experience first-hand how these sustainable and cost effective solutions are being deployed in manufacturing plants around the globe.

Industry4.0 is an opportunity to be seized; it is the next step in optimisation and efficiency

>>Industry4.0 can deliver real-time manufacturing data to support decision making, even making some of the decisions autonomously within the manufacturing system

It is safe to say the audience was impressed and for many the light dawned for the first time that this was now something they needed to embrace. Recent surveys of manufacturing industry in the UK show that 80% of manufacturers expect industry 4.0 to be a full reality by 2025, with the majority expecting to invest in internet-connected capital equipment in the next five years (EEF). But can the North East really wait for this revolution to come its way and expect to just jump on board? The fact is that Industry4.0 is an opportunity to be seized and drive productivity; it is the next step in optimisation and efficiency, which will allow industry to raise its ambitions. Industry4.0 will provide

better data sooner and more accurately, in turn facilitating better decisions and indeed more innovation. Figures already show industry in Germany is spending considerably more than its UK counterparts. This is a revolution our industry must embrace quickly. AMAP is already actively involved in support for these new technologies and realise that Industry4.0 will be at the heart of factory and process innovation. This alongside automation and sophisticated processes, as well as further emerging technologies such as deployment of collaborative robots, will be critical for organisations in maintaining or gaining competitive advantages. The University of Sunderland has

>>Autonomous systems, such as the inspection system shown that AMAP are working with their partners, help deliver improvements in quality and productivity made possible by Industry4.0

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THE JOURNAL WEDNESDAY, OCTOBER 26, 2016 

NORTH EAST AUTOMOTIVE INDUSTRY REPORT

>>Roger O’Brien in the factory at AMAP with the hybrid fuel car it developed

been active in research in big data for a long time, and this combined with specific knowledge of advanced manufacturing has allowed AMAP to be positioned at the forefront to support our local industry. Never an organisation to rest on its past successes AMAP is already working with a range of manufacturers, both regionally and nationally, to develop strategy and solutions that embrace Industry4.0 to benefit their processes. The North East needs to embrace this technological revolution to secure its manufacturing future; rest on our laurels and manufacturing plants which have best in class and globally competitive productivity levels will see others rapidly catch up, and indeed overtake them.

AMAP are working closely with small, medium and large companies who have a vision to harness the latest technologies to secure their futures. These changes are not solely the prerogative of the big companies as technology prices are already at a level that brings basic solutions into the realms of affordability for all. However, as with all technologies, deployment is not enough and this is where AMAP also works to ensure there is a surrounding long-term strategy in place to make sure the desired result is achieved, bringing their manufacturing knowledge to support the latest technology solutions at the cutting edge. While all this talk of state-of-theart technology may strike fear into the workers of today, this is not

something to be afraid of but embraced. Yes, as technology changes so will jobs and roles but this brings with it opportunity and increased rewards. This is where the University of Sunderland can offer further support. With the advent of Industry4.0 the majority of manufacturers around the country recognise the need for upskilling and training, merging ‘traditional’ engineering skills with digital knowledge in order to fully capitalise on what these technologies can bring to manufacturing will be key. When discussing the subject, invariably manufacturers expect a significant increase in demand for skills, yet most are worried about how this demand is going to be met.

The key factors of the industrial revolutions

AMAP and the University of Sunderland recognise this problem, and are already working with the sector to create innovative methods to bridge the skills gap, via traditional university degree courses, CPD training, and also in new approaches such as degree apprenticeships. The University of Sunderland actively wants to work with industry and that creates an exciting dynamic partnership. Our vision for AMAP is to inform, inspire and innovate in advanced manufacturing, which we will achieve by being an innovative, accessible, and outward-facing provider of support for industry. This will be based upon the application of research and knowledge of advanced manufacturing regionally, nationally and internationally, adding unique value and excellence to differentiate the engagement and value. The University of Sunderland has the research capability supported by AMAP, and AMAP also have their network of industrial contacts. AMAP is trusted and respected by suppliers because of its neutral position. Our practice understands industry and we appreciate the challenge of the competitiveness within the supply chain. We are here to support businesses, large and small, by sharing contacts and best practice, providing training and upskilling of the workforce, plus carrying out research and then sharing the findings. Indeed, AMAP was identified as a specific innovation hub ‘providing facility-based solutions for companies looking for innovation as a route to growth’ in the NELEP Strategic Economic Plan.
Research and development are fundamental to business growth, not just in product design, but in the design and manufacturing processes. Research and development demonstrates to customers that you are a supplier that they should work

The North East needs to embrace this technological revolution to secure its manufacturing future

with, who can offer something different and is open to new ideas. Innovation is key, be that in the design of a product, the design of a process, the manufacture itself, or the methods of delivery. It does not always have to be re-inventing the wheel, it can be gradual and incremental as a continuous improvement, although as with Industry4.0 it is that disruptive innovation that redefines the standards and differentiates a product or company. Margins are often very tight in manufacturing, and can be especially low within sectors such as the automotive supply chain, therefore you need to add value, differentiate and be innovative to remain successful. Because of this the benefits of working with AMAP are clear: Shared learning about skills, quality, design, materials, manufacturing and maintenance techniques help companies to be more efficient, which means increased profit and better products, delivered on time throughout the chain. One aim of AMAP is to build networks and engage companies, drawing on support to access research, consultancy, or even industrial placements for students. The wider benefit of this direct link to businesses for AMAP and ultimately the University of Sunderland is that it supports the development of academic engineering programmes with curriculum based on real-world feedback and links to industry, in turn supplying engineers with the skills needed not just for today but for tomorrow as well. Such an approach is placing us at the heart of delivering the forth industrial revolution in the region. To find out how AMAP can help you or your company learn, adapt, innovate and grow, contact us on 0191 515 3888 or visit our website at www.amap.sunderland.ac.uk for an overview of the services, training, research and consultancy available. ■■ Roger O’Brien is director of AMAP, University of Sunderland. amap-enquiries@sunderland. ac.uk ■■ AMAP, University of Sunderland. The Industry Centre, Colima Avenue, Sunderland Enterprise Park West, Sunderland, Tyne & Wear, SR5 3XB, UK, tel: 0191 515 3888 (general) www.amap.sunderland.ac.uk

MAKE it Sunderland… Making EV Work for You.

…these automotive global brands have already chosen our city as their home. Join them. E [email protected] T +44(0)191 561 1194 W makeitsunderland.com @MAKEitSund