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Makers Must Concentrate Production

21st May 1948, Page 23
21st May 1948
Page 23
Page 23, 21st May 1948 — Makers Must Concentrate Production
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Which of the following most accurately describes the problem?

TO enable the British heavy-vehicle

industry to take advantage of he present world demand for vehicle, world interests must be widened, competition between makers must be reduced, and, if possible, a smaller range of types must be manufactured in 'substantially increased quantities.

This view was expressed by Mr. 0. U. Smith, chairman of the Maudslay Motor Co., Ltd., at the company's annual general meeting. "We must recognize

the marked trend towards the steady concentration of our class of industry by large-scale manufacture and assembly, and we must be ready to adapt ourselves to these changing conditions," he said.

.Although the potential demand at home and overseas was great, the company .was constantly encountering increasing frustration by the inability of the Government to effect satisfactory trade agreements with foreign countries. Having built up distributing organizations in some countries, particuizerly European, the company found subsequently that markets became closed on account of currency difficulties. The differences in British regulations and those in other countries rectu:red manufacturers to carry almost a complete. duplication of stocks of parts, which had to he financed for many months before becoming fruitful.

Mr. Smith said that last year the company built a record number of vehicles, and output per man-hour had, in many instances, been mach increased by the introduction of new plant and better .incentives. In no ease was output per man-hour lower than before the war, hut production per worker in this country by no means approached the level obtaining in the U.S.A. Components and units must he produced itt large quantities on flow lines if British vehicles were to be competitive in world markets. .

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