The Federation is linking this appeal with the publication of the BDI study “Germany 2030 – Future perspectives for value creation”. This comes to the conclusion that in the upcoming decades abrupt changes in the economic environment and particularly in new technologies and also the political framework will increase. BDI experts assume that companies will form alliances and cross sector cooperation agreements to co-design change through innovations. According to the BDI the “Horizon 2020” programme had to reverse the trend while European support for research is falling.

According to the detailed results of the survey not only production but also orders received and employment are heading south. The clearest decline is in the investment goods sector, according to the Association’s information, with drastic losses in new business. As per the BME survey businesses restricted their production in April for the first time since the start of the year. They are concentrating on running down stocks, have reduced staffing slightly and are keeping inventories to a minimum. As a result of these developments delivery times had not been so short for three years, reports the BME.

Under the motto “Reshaping your supply chain to manage volatility”, the 14th European Annual Supply Chain & Logistics Summit 2012, is taking place. On the side of ConMoto Dr. Marc Heinisch and Mr. Dirk Laforet will take part in the summit.

Global supply chains, and their businesses are under enormous pressure from rising commodity prices, globalisation of clients,  labour disruptions, natural disasters and constantly changing regulations.

The key challenge facing any business today is to  mitigate against these industry drivers and to survive and prosper in an increasingly volatile market.

Key issues include:

• Supply chain risk management in a global economy
• Moving from S&OP to Integrated Business Planning
• Supply chain in the BRIC countries
• Supply chain as a function of a total business strategy
• Supply chain forecasting
• Greening the supply chain

According to the study these five innovations sectors are technical services and services in research and development, the electrical industry, mechanical engineering, vehicle construction and IT/telecommunications. At 562 billion euros the companies in these five sectors generated around 45 per cent of all German export income from trade in goods and services in 2011. In addition, these branches of industry achieved a foreign trade surplus of 223 billion euros – 47 per cent more than the entire economy put together, because other sectors posted a foreign trade deficit. According to information from the VDI a total of 1.6 million engineers work in Germany’s companies.

In view of this development the member companies of the BVL are looking to recruit qualified employees with numerous activities. For example, 70 per cent of the companies surveyed are supporting employees with training and further education. According to 61 per cent of those surveyed an additional incentive has been created with flexible working times. But companies’ lists of measures also include additional bonus payments or investments in health management according to the BVL.

In terms of the general business outlook the results of the survey show a cautiously optimistic picture among the German Mittelstand. 22 per cent of companies expect better earnings in the next few months while 17 per cent expect losses. At least 45 per cent of those surveyed asses their current situation as “good” and 46 per cent as “satisfactory”. In contrast, only nine per cent of SMEs are currently taking about their own situation as “bad”.

The Federal Statistical Office sees possible causes for the differences in demographic developments and in the efforts of many young people with the university entrance qualification to complete higher education. While in trades the number of new apprentices fell by 2,100, in industry and retail 10,400 more apprenticeship contracts were concluded than in 2010.

A current evaluation of business registrations statistics also disclosed business closures in 2011. Developments differed between larger companies and small businesses. The number of business closures of companies with greater financial significance dropped. Over 119 000 businesses were closed in 2011, 4.6 per cent fewer than in the previous year. In contrast, the number of small businesses that were given up in 2011 was 1.1 per cent higher than in the previous year at nearly 302,000.

The companies surveyed name tapping new markets as the most important motive for foreign commitments. Accordingly, 49 per cent of these companies are investing in sales and customer service abroad. 30 per cent are spending money on production locations outside Germany. However, cost reasons are less and less a reason for foreign investments being made by German companies. Only 21 per cent of those surveyed gave this as a motive. This is the lowest value since the start of the survey in 1999. In comparison, in 2003 42 per cent of companies saw lower costs abroad as an investment reason.