Adva nc e d Ma nufa c turing , Ma te ria ls & E ng ine e ring - PowerPoint PPT Presentation

Adva nc e d Ma nufa c turing , Ma te ria ls & E ng ine e ring WORK SHOP - Ma rc h 2016

On 21 st March we held a workshop at the Northern Ireland Science Park as part of our Advanced Manufacturing, Materials & Engineering (AMME) Study. Around 50 leaders from business, academia & government attended to discuss the themes emerging from our research and to try to get consensus on how best to grow the sector in the coming years. The workshop was chaired by Dr. Rob Hardeman, CTO of Seagate and Deputy Chair of the Matrix Panel.

The following slides give an overview of the work of the Matrix panel, the research carried out to date on the AMME study & the proposed next steps. The final report is due to be published in May 2016. If you need any further information about the study or our other work, please visit our website at www.matrixni.org

Ab o ut Ma trix  MATRIX advises government, industry and academia on the commercial exploitation of R&D and science and technology in Northern Ireland.  We work with industry and academia to identify new high technology market opportunities, IP and technologies for Northern Ireland companies to exploit and academia to benefit from. And we represent the voice of high tech industry and champion the role of science and technology as one the key drivers of economic growth in Northern Ireland.

THE MATRIX PANEL BRYAN KEATING ROB HARDEMAN NORMAN APSLEY (CHAIR) (VICE-CHAIR) (VICE-CHAIR) JIM McLAUGHLIN GAVIN CAMPBELL COLETTE DONAGHY TIM BRUNDLE SCOTT RUTHERFORD ALAN BLAIR BRIAN BAIRD HUGH McKENNA JAMES McELNAY JOHN HEALY ROB GRUNDY

T he a im o f this wo rksho p For longer term planning on business infrastructure development, government needs informed, independent advice on future directions in advanced manufacturing. We now have the opportunity not only to present a picture of advanced manufacturing in Northern Ireland today, but also to create a vision of how the sector might grow in the next 5-10 years.

Ag e nda 10:00 OPEN BACKGROUND SCENE SETTING Rob Hardeman Richard Buckley 10:45 WORKSHOP SESSION 1 Stream (i) - Skills Bryan Keating, Matrix Chair + Apprenticeship Forum Chair Stream (ii) - Costs Richard Buckley Stream (iii) – Sectoral Development Ben Walsh, High Value Manufacturing, Innovate UK 12:30 LUNCH 13:15 SESSION 1 SUMMARY Richard Buckley 13:45 SESSION 2 WORKSHOP + CONCLUSIONS Rob Hardeman 15:00 CLOSING REMARKS Andrew McCormick, DETI Permanent Secretary

AMME – b y de finitio n:  Materials types are labelled in variety of ways, often overlapping. Different types of materials can be defined or qualified in terms of: traditional categories (e.g. ceramics, polymers, alloys) material properties (e.g. optical, electronic, magnetic)  application (e.g. materials for low energy technologies)  the nature or scale of engineering (e.g. nano-materials, micro-materials) and   sector (e.g. aerospace materials) These categories are not intrinsically distinct. Some advanced materials could correspond to some or all of these labels.  Furthermore, there a variety of labels used to qualify categories of materials. i.e. ‘advanced materials’   ‘high value materials’ ‘modern materials’  ‘future materials’.  (Featherston & O’Sullivan, A review of international public sector roadmaps-advanced materials)

AMME – b y de finitio n:  Advanced Manufacturing is: “a family of activities that depend on the use and coordination of information, a) automation, computation, software, sensing, and networking, and/or make use of cutting edge materials and emerging b) capabilities enabled by the physical and biological sciences, for example nanotechnology, chemistry, and biology. This involves both new ways to manufacture existing products, and especially the manufacture of new products emerging from new advanced technologies.” (President’s Council of Advisors on Science and Technology Report to the President on Ensuring American Leadership in Advanced Manufacturing)

AMME 2016 – Wha t’ s in? Included in previous Out but worth a re-look? Out and still out Matrix study and still in Manufacture of chemicals and Manufacture of textiles Manufacture of food 20 13 10 chemical products products Manufacture of rubber and Manufacture of wearing apparel Manufacture of beverages 22 14 11/ plastic products and tobacco products 12 Manufacture of other non- Manufacture of leather and related Manufacture of coke and 23 15 19 metallic mineral products products refined petroleum products 25 Manufacture of fabricated metal 16 Manufacture of wood and of 24 Manufacture of basic metals products, except machinery and products of wood and cork, except equipment furniture; man. of articles of straw and plaiting materials Manufacture of computer, Manufacture of paper and paper 26 17 electronic and optical products products 27 Manufacture of electrical 18 Printing and reproduction of equipment recorded media Manufacture of machinery and 28 equipment n.e.c. Manufacture of motor vehicles, 29 trailers and semi-trailers Manufacture of other transport 30 equipment Other manufacturing 32

Re po rt o b je c tive s  Review conclusions & delivery against recommendations of previous reports  Present an updated picture of the AMME sector in Northern Ireland  Review AMME research agenda / R&D infrastructure across the region  Analysis of external trends and prioritised funding areas within AMME across UK/EU  Analysis of emerging global trends  Statement on global macroeconomics – current position and implications for the sector  Scene setting and recommendations for the future

F o re sig ht  Market opportunity – what are the disruptive technologies coming down the line?  Global macro-economic trends & what they mean for NI industries  Challenge and change within manufacturing – evidence on the ground?

Po lic y Re vie w  UKTI / GO-Science Foresight  Industrie 4.0 – strong digital focus – even stronger if reviewing now – re-enforced by Innovate UK position, Nov ‘15  Even wider use of case studies  Workshops  Market opportunities important – but look to areas where report can make most impact  Technologies 2.1  Sustainability  New world of metrics  Technology & Innovation Futures report

T he re se a rc h lib ra ry is no w o nline ...

I de ntifying with UK fo re sig ht ‘ tre nds’ Manufacturing of the future “Se r vitisation” Pe r sonalisation “F ac tor y- le ss Cir c ular of pr oduc ts goods E c onomy pr oduc e r s” Inc r e asing inte r ac tion be twe e n fir ms to give ac c e ss Customisation to indir e c t Co- loc ation & c apabilitie s “Industr ial Commons” Value thr ough Busine ss mode ls like e nvir onme ntal “infinite bandwidth/ ze r o sustainability & Collabor ative late nc y” & ge ne r al pr ove nanc e c onsumption pur pose te c hnologie s “ T he future o f ma nufa c turing – a ne w e ra o f . ” o ppo rtunity a nd c ha lle ng e fo r the UK

He a dline po ints Manufacturing sector – OUTLOOK Spring 2016 (UUEPC)  Locally, the high profile job losses announced in the manufacturing sector in 2015 and early 2016 have contrasted with several new investment announcements. This is a reminder of the volatile nature of global investment patterns and looking forward, the UUEPC forecasting model continues to suggest a relatively modest rate of growth. Sectoral Outlook for Manufacturing  The most recent data shows manufacturing employment growing strongly.

T he No rthe rn I re la nd la ndsc a pe The outlook remains positive, but growth will be lower reflecting the difficult international trading environment and the recent announcements at JTI, Michelin and Bombardier (with the impact being most significantly felt in 2017 and 2018).

R&D Pe rfo rma nc e £209.1m £199.3m £44.8m Advanced Manufacturing BERD Other Manufacturing BERD All Other BERD

NORT HE RN I RE L AND E CONOMI C OUT PUT SPRI NG 2016 (UUE PC) MACRO-ECONOMIC FACTORS IMPACTING UK/NI PERFORMANCE Growth in China • Continued growth in China’s real economy despite volatility in global markets reaction. Oil Prices • Oil price collapse good for net importers (such as UK & RoI) but some emerging economies such as Brazil & Russia are dependent on oil exports. Potential Brexit • Most likely to have a bigger impact on Northern Ireland compared to the rest of the UK or RoI.

NORT HE RN I RE L AND E CONOMI C OUT PUT SPRI NG 2016 (UUE PC) UK INTEREST RATE FORECAST: 2018 2019 2020 3.0% 2.5% 2.5% 2.5% 2017 2.5% 2.0% 2.0% 1.5% 2016 2015 1.0% 0.6% 0.5% 0.5% 0.0% BANK OF ENGLAND BASE RATES UK INFLATION RATE FORECAST: 2020 3.0% 2019 2018 2.4% 1.8% 1.7% 2017 2.0% 2016 1.0% 0.8% 2015 1.0% 0.1% 0.0% UK CONSUMER PRICES INDEX (CPI)

No rthe rn I re la nd GVA Se c to ra l F o re c a sts 2016 2017 2018 2019 2020 PRODUCTION & MANUFACTURING 1.6% 0.9% 1.6% 2.4% 2.6% CONSTRUCTION 2.4% 2.9% 2.7% 2.2% 2.0% PUBLIC SECTOR SERVICES 0.1% 0.9% 1.7% 0.9% 1.0% PRIVATE SECTOR SERVICES 2.4% 1.5% 1.9% 1.8% 1.7% TOTAL 1.6% 1.3% 1.8% 1.7% 1.7%