Michael Johnson Speech
All party parliamentary print group Reception 2008
Ladies and Gentlemen:
Many centuries ago, this industry of ours – the printing industry- embarked on its humble beginnings in far off China. It began like most industries, through a culmination of innovation, science and experimentation. That process of continual change has continued to this very day.
The evolution of this amazing industry goes on and is accelerating!
Through the centuries, we have adapted to great change. Spurred along by innovation and science, we have been through the great industrial revolution, the age of colour, advertising, marketing, digital and we find ourselves here today in the age of ‘the consumer’. The survival of our businesses is largely due to our ability to adapt to our changing society.
And let me tell you, we cannot leave the need to reinvent yourself to Madonna, U2 or David Bowie. In business, we must all adapt! We must all reinvent ourselves, if we want to reach the top of the charts or downloads or whatever the latest rating is.
That print is one of the most dynamic of all business sectors is a given, and what makes it such a buzzing industry to belong to, comes from that ability of good entrepreneurs to reinvent themselves.
Our event here today is - ‘adding value to the UK Economy’. Adding value is the latest change we must face, tackle and adapt to.
Now, we’ve produced a showcase publication that we’re launching this afternoon. And I encourage all of you, politicians, press, and printers alike, to take a copy of this fantastic publication with you, because it highlights why British print is a leading gross value added sector, with a crucial and strategic importance to the UK economy. Printing, ladies and gentlemen, has THE largest Gross Value Added of total turnover of all the UK manufacturing sectors. It has harnessed technological innovation to make an increasingly positive contribution to the UK balance of trade, and it supplies every sector of the UK economy. Everywhere we turn, from schools, to hospitals, to sport, media, packaging, the arts, to our lives in general – print plays a massive part and that is why we want Government to hear our calls!
Well, to the Lords and MPs here today, what we want Government to do is:
‘Target better support for UK manufacturing.
EncouragE partnership in every aspect of economic life.
recognise the versatility of the modern printing industry and give real support to innovation across and R&D in our sector.
TAKE HEED OF the positive lessons that can be learnt from print and disseminate these across trade and industry as a whole.
increase the productivity of the creative industries, raise their profile, and support their development so that the UK can become the world's creative hubs.
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Now, ladies and gentlemEn, Let’s turn to the global agenda..
Britain leads the world in so many fields. We lead the world in our universities, in auctioneering, aviation, music and the creative industries. We lead in pharmaceuticals, advertising and our coveted financial centre in the city. And not to forget, the Royal Navy of course! It may not be the biggest but its recognised as the best.
And let me add one more…. PRINT.
In terms of adding value, UK print is a world leader. In Europe, no other country can boast our non-print turnover. It’s up to 30% higher than the average EU printer and 25% higher than second best, Germany. That is an Office of National Statistics fact! More and more printers are now providing added value services to their customers, which go way beyond ink on paper. These include innovative packaging products and print solutions that enable customers to access new markets, brand enhancement, information and facilities management, print on demand and personalised print. Today’s modern print company is a multi-media provider, undertaking digital asset management, website design, hosting, CD Rom production and database management.
But we need to go further!
We need to Keep on adding value!
When I visit members throughout the UK, I am always amazed with what I see. In the bigger picture, companies are investing in what our friends in academia call, ‘the rise of the intangibles’.
No longer is it enough to invest in new machinery, presses, transport or packaging or other tangible goods. Investment for the future is investment in intangibles like research and development, innovation, marketing, environmental scope, CSR and crucially human capital.
53 companies in the top 100 operating profit tables offer value added services, particularly high end packaging for example in – pharmaceuticals or have some intellectual input into fulfilling the customers brief. These companies like have average profitability of 14% compared to the industry’s 4%.
So what is my message to the politicians here today?
well, If british PRINT WANTS to keep its leading global position, if british print wants to stay ahead and I know that’s what you want
. You need to encourage investment in the intangibles. You need to value and support innovation. You need to encourage the development of added value services in manufacturing.
Consumers are demanding it. Our competitors will be offering it and we’ve got to give it? And what is it?
Ladies and gentlemen, it’s adding VALUE.
Thank you very much.