MONTREAL, May 10 /CNW Telbec/ - After the hardships of the economic
crisis, there are now encouraging signs of growth in Quebec's
manufacturing industry. Indeed, according to a study recently
published by Sous-Traitance Industrielle Québec (STIQ), over 50 % of
Québec-based SMEs in the manufacturing industry have increased their
yearly revenue by at least 5 % in 2010. Furthermore, the majority of
theses companies (77 %) operated at over 50 % of their capacity, a 10 %
increase from 2009.
STIQ presented today the results of the Baromètre industriel québécois, a comprehensive study conducted with 400 Québec-based SMEs in the
manufacturing industry. The study shows that SMEs seem to have regained
confidence in the future: 64 % of interviewed SMEs are investing over 2
% of their yearly revenue in the acquisition of new production
equipment, which is higher than the growth of the Canadian GDP in 2010.
Such growth can be explained by various strategies adopted by SMEs,
particularly customer diversification strategies. This could explain
why 4 of 10 of participating SMEs attribute over 10 % of their sales to
new customers and why less than 10 % of the SMEs concentrate over 75 %
of their revenue with three major clients. Such results are indeed
positive ones when we consider that a well diversified customer base in
various market segments reduces commercial dependency and protects SMEs
from industry and market fluctuations.
However, notwithstanding such positive results, the study also shows
that there are still many challenges left for the manufacturing
community. STIQ thus noticed that 61 % of interviewed SMEs win less
than half of all requests for quotes. This could be explained in part
by the fact that many major manufacturers have delayed their projects
due to the economic downturn and that these major customers tend to
shop around more than they used to, as they are themselves facing
pressure for cost reduction. There could, however, be other structural
problems which could explain this, as pointed out by Normand Voyer,
Executive Vice-President of STIQ, an association directly involved with
Quebec based manufacturers.
According to Mr. Voyer, « such a low success rate could be explained in
part by the ever increasing demands of OEMs and major manufacturers and
the difficulty of Quebec based manufacturing SMEs in meeting these new
and demanding requirements ». Mr. Voyer argued that SMEs often have a
hard time estimating their costs in a cost competitive market and do
not possess the financial resources to participate as long term
partners in complex projects which is what OEMs will require for new
In addition, SMEs seem to be lagging behind in the implementation of the
industry's best practices and continuous improvement principles such as
Lean Manufacturing. Mr. Voyer concluded that this lag affects the productivity and
competitiveness of Quebec based manufacturing SMEs on a global level.
STIQ conducted this study in order to provide a new picture of the
industry and wishes to pursue this initiative on a yearly basis to
measure the evolution of this key segment of Québec's economy.
With its in-depth knowledge of Quebec's manufacturing industry and the
help of Bureau d'Interviewers Professionnels (BIP), STIQ performs a
yearly survey with 400 SMEs. The study is based on original and
measurable indicators. This year, for the first time, STIQ has
analyzed these indicators in collaboration with experts from SECOR,
thus providing a fresh look of the manufacturing industry.
Sous-Traitance Industrielle Québec
STIQ is an association of Quebec based manufacturers dedicated to the
improvement of the supply chain efficiency and doing so by helping
suppliers develop their business, diversify their customer base and
identify business opportunities with prime manufacturers. STIQ offers
professional and technical services for suppliers' research, evaluation
and assistance as well as organizing many networking events.
SOURCE SOUS-TRAITANCE INDUSTRIELLE QUEBEC (STIQ)
For further information:
| Michelle Vyboh |
Sous-Traitance Industrielle Québec (STIQ)
Phone: 514 875-8789