safety, health& environment

partnership

innovation

productivityskills

the ukprintingindustrystrategic plan 2006

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WORLDCLASSPRINTING

Forward 2

Backgrounda The context 3b Planning assumptions 4c Aims & objectives 5

Our strategic objectives1 Increasing profitability 62 Improving productivity 83 Increasing the availability of skilled people 104 Attracting more young people into the industry 125 Encouraging innovation & value-adding customer services 146 Developing & embedding a culture of partnership in

the workplace 167 Influencing Government & other decision-makers to act in

the best interests of the industry 188 Improving safety, health & environmental performance 20

Appendicesi Updating the plan 22ii The three pillars 23iii The partners 24

CONTENTS

FOREWORD

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Welcome to the 2006 Printing Industry StrategicPlan. This document lies at the heart of the printstrategic planning process and is our contributionto the delivery of a World Class printing industry.

In 2001, an industry competitiveness report entitled“Print 21 – coming of age?” was published with fundingsupport from the DTI. The report set out a detailedprogramme of actions recommended as essential inorder to strengthen the industry’s performance.Subsequently a ‘three pillars’ strategy was implementedin order to put in place an effective and focused methodfor implementing those essential actions.

The rationale behind the three pillars strategy is that all of these actions can be grouped under one of threeheadings: productivity and competitiveness; training;representation and partnership. Each of these is headedby a separate organisation, enabling them to focus onwell-defined priority tasks and to provide expert practicalsupport to printing companies by engaging staff withappropriate specialist expertise. The organisationsprimarily responsible for the three pillars are: Vision inPrint (productivity and competitiveness), Proskills(education and skills) and the BPIF - together with otherindustry organisations - (representation and partnership).

However whilst it is crucially important that eachorganisation deliver real progress against its ownspecialist remit, this does not preclude the partiesworking together, particularly where this would be themost effective means of offering practical support tocompanies in the industry. In short, it is essential toensure that specialisation does not lead to fragmentation.

The three pillars are committed to working together toensure their forward work programmes complement andsupport one another. They will also seek to involvecompanies and other key players in the industry and itssupply chain, as well as Government and Governmentagencies, in determining their future priorities andactivities. For this reason the three pillars - working inconjunction with Amicus and the IndustryRepresentatives Group (a grouping comprising theindustry’s principal trade organisations) - have publishedthis strategic plan.

This Plan was first published in 2004 following industryconsultation earlier this year, and has now been revisedfollowing a review by the Chairs and Chief Executives ofthe three pillar lead organisations. Our aim is to producea blueprint for our industry’s future, and it sets out anexciting and radical agenda that we must tackletogether if the industry is not to be marginalised orovertaken by events. The three pillar organisations alone cannot achieve all of this. It will require thecollective efforts of all of us in the industry to make thishappen, and thus we look to you to use this plan toinfluence and shape all aspects of your daily work,drawing on the support available to you from ourorganisations. Success in this will allow us to createtogether that which we all seek to achieve: a WorldClass printing industry.

Tony Burke Assistant General Secretary, AmicusCatherine Hearn Chair, ProskillsPrintLesley Hide Chair, Industry Representatives GroupAndrew Pindar Chairman, Vision in PrintDominic Walsh President, BPIF

Overview of the sectorThe printing industry is one of the largest of the UK’smanufacturing industries but it is among the least welldocumented. It is an industry that serves all sectors of theeconomy including public authorities, financial services,publishers, distributive services and the manufacturingindustry. Its customers range from major institutions to the smallest business.

The printing, packaging and graphics communicationsindustry forms part of the UK’s fourth largest manufacturingindustry, the printing, publishing, pulp, paper and paperproducts sector. Estimates of the value of sales in theprinting industry vary depending on the source used and thedefinition of the industry. BPIF analysis of PRODCOM datapublished by the Office of National Statistics (ONS) revealsthat sales in the printing industry (SIC Code 22.2: printingand service activities related to printing, plus part of 21.2: forprinted packaging) were valued at around £15.2 billion on2004. The estimated Gross Value Added from these sales isestimated at around £7.6 billion. Sales of advertising literatureand books, brochures and leaflets dominate the figures. In March 2005, the UK printing industry employed around167,000 employees in nearly 16,500 companies, accordingto statistical analysis undertaken by ONS.

Analysis of SME statistics provided by the DTI’s SmallBusiness Service indicates that when those companies withno employees are excluded (i.e. sole proprietorships andpartnerships comprising only the self-employed owner-manager(s), and companies comprising only an employeedirector), the industry (as defined above) consists of around12,300 companies employing 170,000 people, with aturnover of £14.2 billion.

Net capital expenditure within the printing industry wasapproximately £497 million in 2004. It made a positivecontribution to the UK trade balance of £619 million in 2004.

The structure of the industry reflects the diversity of itsproducts and fragmented nature of its markets. Only about550 firms employ more than 50 people. Approximately 90%of firms in the industry employ fewer than 20 employees.Printing companies can be found in every town throughoutthe UK. Although London and Yorkshire have the greatestconcentrations Glasgow, Leeds, Manchester, Nottingham,Birmingham and Bristol are all home to significant numbersof printers.

It is an important medium for education, entertainment andinformation, serving all parts of the economy – central andlocal government, financial services, retailing, distribution,travel, tourism and the manufacturing industry. Demand for itsproducts is largely derived from the level of activity in theeconomy at large and as such the industry is regarded bymany as a bellwether for the economy.

Productivity and profitabilityWhen it comes to productivity: sales per head; value addedper head; and value of output per head increased by anaverage of 2.9%, 2.9% and 2.6% respectively per annumbetween 1999 and 2004. However, value added as apercentage of sales has contracted by 0.3% - and valueadded per pound of wages even more so, by 1.6% onaverage per annum over the same period.

Profitability has been erratic over this period and generally ata low level. Net profit before tax as a percentage of salesrecovered momentarily in 2003, but fell back again to amedian level of just over 3.6% in 2004. The averagepercentage change per annum between 1999 and 2004 is -4.3%. These ratios continue to suggest two trends withinthe industry. Firstly (and positively), that labour productivity isimproving and capital usage is becoming more effective.However secondly, despite this improved productivity, theindustry has suffered declining margins and overallprofitability. The indication here is that printers are gettingmore work in but are either under so much price pressure, or pressure to keep their machines running, that despiteimproved productivity their margins are being eroded.

Such downward pressure on margins has been exacerbatedby the low level of capacity utilisation that the UK printingindustry continues to exhibit: over the past two to three yearsan estimated 70% of printers on average, have been workingbelow capacity. Strong downward pressure on utilisationcomes largely from the adoption of new technologies byprinters: new modern presses and workflows enable muchhigher capacities than the equivalents they replace. Otherfactors contributing towards over-capacity include: over-investment in new equipment by some companies; seasonalfluctuations in print orders; tendency to retain old equipmenteven after new investments have been made.

THE CONTEXT

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In preparing this plan, the following assumptions havebeen made in relation to trends in the period ahead:

Demand for print will continue to increase: demand forprint and printed packaging has traditionally been closelylinked to GDP but there are now some signs ofdecoupling. Print’s overall share of the communicationsmarket will maintain its gradual decline but this should notpreclude continuing volume growth as the overall marketcontinues to expand.

The printing industry will continue to carry excesscapacity: continuing investment in more productiveequipment will add still further capacity to an industry whichalready has chronic overcapacity.

Margins will remain under severe pressure: profits -whether measured as a percentage of sales or as apercentage of value added – are languishing well below1997 levels according to the BPIF/SPEF Printing for ProfitSurvey 2005, which reveals the second lowest figure fornet profit before tax since records for this ratio began in1997. The PrintWeek Top 500 2005 survey shows that only60 printers in the entire survey posted pre-tax profit marginsin double digits.

Printers will need to step up the pace of productivityimprovement: the printing industry faces significantcompetitive challenges, resulting not only from globalcompetition but also from media substitution resulting fromthe spread of internet-based technologies. Notwithstandingimprovements made in recent years therefore, printers willneed to continue to improve productivity if they are to tacklethese challenges effectively.

Technological developments will continue to change theshape of the industry: the advent of ‘digital workflows’, inwhich content is received and processed in electronic form,will continue to require heavy investment in informationtechnology (IT) hardware and software and in IT skills.

Increased investment in skills will be needed: theindustry continues to suffer high levels of skills shortagesagainst a background of an ageing workforce and lowintakes of new apprentices. This continues to hold back theperformance of companies and demographic changes andhigher staying-on rates to full-time education are nowcausing the focus to shift to older recruits. The industry hasa patchy take-up of qualification-based training schemesand related initiatives. Print-related management trainingprogrammes are also in short supply.

Partnership between employers and employees is keyto the industry’s future success: employers andemployees need to work together if they are to addressadequately the challenges the industry faces, such asskills development, work-life balance and helpingcompanies to respond to increasing competition arisingfrom the development of new media and the sourcing ofprint overseas. BPIF and Amicus will support this througha new national partnership agreement and joint code of practice.

Environmental management will be of growingimportance: the industry is directly subject to an increasingamount of environmental regulations, notably the PackagingWaste Regulations and the Climate Change Levy. In addition, there are voluntary or semi-voluntary (i.e. undertaken to avoid regulation) initiatives to reducewastage within supply chains by industry customers.

Economic uncertainties will continue: economic growthin the US was forecast to be a healthy 3.5% in 2005.However, this was then forecast to fall to 3.0% as the initialeconomic impact of hurricane Katrina took its toll, beforerebounding as post-hurricane rebuilding would be expectedto boost growth in 2006 by 0.5%. However the USeconomy has stood firm: third quarter growth has beenrevised upward to 4.3% and the forecast for 2005 is nowfor growth to be close to 4%. UK economic growth hasbeen below trend in 2005 but is expected to pick-up overthe latter half of the year and into 2006. The UK forecast for2005 is growth of around 1.7%, increasing to around 2.1%in 2006 and 2.5% in 2007. Uncertainties remain high, notonly the terrorist threats but also oil prices, the performanceof the manufacturing sector and the extent of the slowdownin consumer spending. Sterling has been relatively stableagainst the euro in the last 18 months, albeit at a lower ratethan in previous years.

The image of the industry will continue to causeproblems for printers: outsiders generally see printing as adirty, unexciting industry and this image makes it difficult torecruit school leavers, interest investors, impresscustomers, or to gain the attention of the media andRDAs/Business Links.

PLANNING ASSUMPTIONS

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Three pillars - one strategic planThe overall aim of the industry strategic plan is to harness theoperational plans of each of the three pillars, ensuring theservices they each provide in support of printing companiesare both relevant and effective in raising their competitivenessand profitability. It also provides strategic co-ordination,ensuring that the pillars work closely together in order toensure that their services are mutually supportive and thatduplication of effort and expertise is avoided. The plan alsoseeks to determine the scope of collaboration between thepillars on joint projects and initiatives, where this would be amore effective means of delivering high quality support to theprint business community.

The plan therefore identifies the tasks that each of the pillarswill undertake individually, as well as those to be undertakencollaboratively, in addressing the key challenges the industrywill face in the period ahead. It also reports on recentachievements and work in progress.

The objectives of the plan are to assist the industry to:1 Increase its profitability.2 Improve its productivity.3 Increase the availability of people with the skills the

industry requires.4 Attract more young people into the industry.5 Develop innovation and value-adding customer

services.6 Develop and embed a culture of partnership in

the workplace.7 Influence Government and other key decision-makers.

to act in the best interests of the industry.8 Improve safety, health and environmental performance.

Each of these objectives is analysed in detail in thesubsequent sections of the plan.

AIMS & OBJECTIVES

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What this objective is aboutThe UK printing industry continues to face severe tradingdifficulties that are likely to continue unabated in the yearsahead. The recently published PrintWeek Top 500 2005 surveyshows that only 60 printers in the entire survey posted pre-taxprofit margins in double digits.

Figures from the BPIF/SPEF Printing for Profit Survey show thatalthough sales per head in the industry have risen steadily overthe last decade - added value per pound of wages paid hasdecreased over the same period. The impact of this on theindustry’s profitability is clearly apparent in the fact that profitsbefore depreciation – whether measured as a percentage ofsales or as a percentage of value added – are languishing ataround 80% of the corresponding figures in 1997. Net profitbefore tax measured as a percentage of sales was 3.62% in2004, down from 4.25% in the previous year.

Continuing low economic growth, high levels of overcapacity, poor margins, falling advertising revenues andincreasing competition from alternative media and informationsources are all hallmarks of a maturing industry.Rationalisation and restructuring has impacted on bothnumbers of companies and of those employed in theindustry, and has also resulted in a decline in new investmentin offset presses. Those hoping for a return to the highgrowth days of yesteryear are set to be disappointed.Despite a continuing drive by the industry to improve itsproductivity – most recently assisted by the establishment ofan Industry Forum for print (Vision in Print), the fact is theprinters face an unrelenting struggle to turn productivity intoprofits. Over the past five years sales per employee havegrown by only 10%. The unavoidable conclusion is that theprofitability improvements that the industry ought to be ableto realise through by new technology remain elusive. We nowface a critical situation that demands radical action.

It contains the following elements· Helping companies develop leadership and strategic direction.· High quality advice on human resource management issues,

to ensure that people are managed effectively and able to giveof their best to their employer.

· Working in collaboration with Amicus GPM Sectorrepresentatives in improving employment relations, skillsdevelopment and health and safety policies and practices andin taking action to improve job security.

· Help with improving employment relations, minimising time lostthrough industrial disputes or employment tribunals.

· Providing a united force in opposing legislation that restrictsthe ability of companies to trade profitably and in opposingunfair trading practices on the part of large customers.

· The stability afforded by a national agreement on pay andconditions, as well as practical help with implementing it.

· Legal services to ensure companies act within the law at alltimes, thus averting losses caused by damage to companyreputation and from payment of awards or settlements

resulting from legal proceedings.· Technical support to assist companies in planning the right

investment to ensure optimal returns on capital employed.· Health and safety advice, ensuring that accidents are avoided

and risks carefully assessed and minimised.· Advice on environmental issues, including the packaging

waste regulations and the disposal of chemical and harmfulsubstances, together with cost savings for high-energy usersthrough the Climate Change Levy Rebate scheme.

· Management development, through the ProfessionalCertificate in Print Management and the YMP network.

· Print-specific on-site training support for apprenticeshiptraining and adult upskilling programmes.

· Access to credit vetting services in order to avoid baddebt risks.

· Industry networks, through which companies can meetwith others in the same product sector or geographicalarea in order to exchange ideas, views and informationand experience.

· An unrivalled database of industry statistics including tradingtrends, productivity and profitability ratios, and manpower data.

Where we are todayThe industry’s trade bodies are committed to improving theprofitability of the industry they serve. In fulfilling this commitmentthey will undertake a number of on-going priority tasks. Thesecan be summarised as follows: · Advising printing companies on improving profitability, including

the assistance available from each of the three pillar leadorganisations and other sources of business supportorganisations and how to access this.

· Developing relationships with the wider industry.· Harnessing the diversity of the industry through promoting

BPIF/SPEF Special Interest Groups and the services of tradebodies representing specialist sectors on the industry.

· Growing their membership, in order that they are sufficientlywell-resourced to deliver value.

· Communicating effectively to promote and improve take-up ofthe business support services they provide.

In support of the above priority tasks, the three pillars ofbusiness support for our industry - productivity andcompetitiveness; training; and representation and partnership -have been developed. During the past year all three pillars havebecome a reality. High calibre employer representatives from arange of companies and product sectors are now involved in allthree pillars and each has now recruited specialist staff support.

How we need to improveThe external environment continues to change and the threepillars must continue to respond to the changing needs ofprinting companies, and the agenda of the Government.Despite some recent improvement in the economic outlook,printing companies continue to face severe challenges. The three pillars must continue to develop to help themflourish and grow in tomorrow’s economy.

INCREASING PROFITABILITY

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Our major challenges are:· Responding to the increasingly regional focus ofGovernment, ensuring that the industry’s voice is heard atregional level and that the opportunities for governmentfunded initiatives beneficial to them are maximised.

· Developing business plans in full consultation with employeerepresentatives and with the recognised trade union.

· Achieving, through action by the industry’s training providersand by Proskills, a step change in the level of skillsdevelopment in the industry.

· Providing focussed programmes and services to helpprinters manage their companies in a fiercely competitivetrading environment, and helping them to manage theimpact of rising costs and the increasing responsibilitiesplaced on them as the result of legislation and regulationspromulgated by Government.

Recent achievements· Establishing the three pillars and developing the Print Industry

Strategic Plan.· Print Congress 05 – Driving Industry Strategic Change.· Establishment of PrintYorkshire - Showcase 2005 conference

and trade exhibition held in Leeds. · Success in engaging a growing number of printing companies

in membership of trade bodies and in securing theirparticipation in the development of their policies and futurework programmes – ensuring that they remain representativeof, and responsive to, the needs of the print business community.

· Active participation of suppliers to the industry as members oftrade associations and in support of the work of Vision in Print- enabling the development of value-adding partnershipsbetween suppliers and printers.

· Expanded range of business support services, particularly inrelation to environmental management, improving health andsafety, legal and technical services.

· Refocused range of specialist consulting services targeted atreducing costs and adding value.

· Generated over 40 participants in UK Benchmark IndexPrint Module – benchmarking is acknowledged to be a keystep in assessing business priorities and provides clearfocus to any initiative to raise profitability.

Currently in hand· Providing additional value added services including legal and

HR services, and specialist expert assistance in businessgrowth and strategy development.

· Development of an accredited British Standard of all-roundbusiness excellence for print companies (PAS 75).

· Building effective networks to enable printers to accessregional and local funds and support.

· Continuing to monitor the needs of printing companies,representing their concerns to Government and others, andexercising necessary influence on their policy developmentand decision–making processes.

· Achieving a step change in the levels of skills in the industry,directly by raising the number of apprentices and othertrainees trained by BPIF, Amicus, print colleges and othertraining providers serving the printing industry back to thelevels we believe the industry requires and indirectly byensuring that we communicate the requirements of printingcompanies effectively to Proskills.

Next 2-3 yearsBy focusing on where they can achieve the greatest impact, thethree pillars will provide and enhance the value of the servicesthey provide, target the support they give to companies moreclosely to areas of greatest need, control costs more effectivelyand increase their financial stability. Each will continuouslyimprove all its added value services, investing in and developingtheir capabilities in relation to information technology, publicrelations and marketing, and research and statistical information.

Action

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What this objective is aboutUK Print must improve its performance if it is to remaincompetitive and secure the jobs and employment prospectsof those who work in it. Between 1999 and 2004 sales perhead and added value each rose by a modest 2.9% perannum, while value added per pound of wages paid actuallyfell 1.5% over the same period. The balance of trade in UKPrint of £619m in 2004 is at its highest level for seven years.If competitiveness is to be revived, and profitability,investment and job security follow, then much betterproductivity performance must be achieved. Modestprogress at company level from internal efforts alone will notachieve this radical improvement. In Spring 2003 Vision inPrint, the Print Industry Forum, was established with thesupport of the DTI to help UK printers adopt best practicefrom both within Print and elsewhere to raise performance inmanufacturing, customer service, business processes andteam development.

It contains the following elementsEssentially companies must raise quality, reduce cost and improve delivery by reducing waste in labour, materialsand time. Vision in Print (ViP) will help companies achievethese objectives in conjunction with its partners by a rangeof activities:· In-company process improvement programmes delivered

by ViP engineers to company teams to achieve radical andsustainable performance enhancement.

· Best Practice studies on key topics to raise standards usingexperience from both Print and other industries.

· Publish reports to track progress in raising productivity andhighlight key issues to be addressed.

· Promoting work done by organisations supporting theprinting industry who can contribute to raising productivityand competitiveness.

· Working with partners e.g., DTI, Business Links and theGovernment’s Manufacturing Advisory Service (MAS) todeliver programmes and help find funding to assist printers(especially small printers) to afford the time and cost ofimplementing change programmes to raise productivity.

Where we are todaySince Spring 2003, the ViP Board, made up of printers’representatives of the whole industry, together with a fastgrowing staff, have worked hard to raise awareness amongstprinters that they can make radical improvements to theirproductivity and competitiveness. Early adopters of ViP’sproducts and services have been willing to share theirenthusiasm for new ways of managing people andgenerating sustainable performance improvement. Indeed thelimiting factor to date has been the ability to recruit and trainhigh calibre ViP staff. This success is put down to two keyfactors. First the quality of the team and second the printspecific nature of the products. Given the profile of theindustry with a high proportion of small companies, ViP hasput special effort into developing products and servicessuitable for smaller printers as well as promoting its BestPractice Studies, whose findings can be implemented by anycompany without the direct engagement of ViP staff.

In parallel, considerable efforts have been made to build linkswith a wide range of government bodies and agencies e.g.RDAs, MASs etc who can work with ViP to assist indelivering productivity improvement.

How we need to improveMost print prices continue to fall in real terms year-on-year.Most printers have responded by continual investment toincrease capacity and reduce labour and other costs. This formula worked for many in the ‘90’s during a period ofrising demand. Now more radical solutions are needed andprinters are focusing on how to achieve major performanceimprovements with existing staff and equipment:· This means adopting modern manufacturing techniques

(still relatively rare in UK Print) and other best practiceprocesses.

· It means engaging with the workforce in fresh ways that tapinto their knowledge and enthusiasm in a sustainablefashion to deliver continuous improvement (still viewed withcaution by many managements and workforces alike), aswell as engaging with their representatives as a positivemeans of effecting change.

· It means working to increase efficiency in the supplychain, more effectively communicating with bothcustomers and suppliers (relations are more often than notstill relatively combative).

IMPROVING PRODUCTIVITY2Analysis

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Recent achievements· One hundred Premier Snapshot (diagnostic programmes)

delivered by ViP to printers in all sectors from large to small. · Over sixty process improvements programmes underway or

completed by ViP delivering an average £126,000 addedvalue improvements. Over half of these programmes are‘Kickstarts’, designed for companies with less than 50 staff.

· Over twenty-five other ViP programmes delivered on topicssuch as customer service, office and pre-press processimprovement, management awareness training etc.

· In November 2004, ViP published an internationalproductivity report examining relative performance of tenUK printers in each of two sectors (Books plusMagazines & Catalogues) with five printers from mainlandEurope (including in each case, one from EasternEurope). The findings were encouraging as in bothsectors UK printers were broadly competitive withWestern European competitors in terms of added valueper pound/euro of wages. However the range ofperformance was wide, with all companies having clearopportunities for improvement given analysis of thedetailed figures and the Eastern European companiesoffering a fresh and clear challenge with wage and socialcosts a fraction of UK and Western Europe.

· All industry forums have a responsibility to work with thewhole supply chain. For ViP this has meant creating twostrategic advisory groups, one for Suppliers and one forCustomers to comment on how the whole supply chaincould be improved. They have a key role in directing ViP’sBest Practice Studies.

· In March 2005, ViP published a Maintenance Best PracticeStudy, which incorporated an on-line survey of almost onehundred printers. It found that a significant proportion of theindustry was making clear effort to introduce moreprofessional maintenance practices. However there wasmuch more to do and a 20 point plan was published toassist those ready to move on.

· In June 2005, ViP held a 2-day conference with over 170delegates exploring more effective ways of managing staffand achieving sustainable process improvement.

· Best Practice Purchasing study was published in Summer2005, reporting the purchasing practices of over 50 printerSMEs and 20 supplier’s processes. From this Basic &Advanced Purchasing Toolkits were published, givingguidance on how to implement more effective purchasing.

· In December 2005, a study on ‘What makes a goodprinter?’ was published. 150 print buyers, large and small inall sectors have been asked what makes some printsuppliers stand out. From these findings a self-assessmenttool has been developed which will allow printers to identifythese aspects of performance that they need to focus on.The findings are being incorporated in the new PrintAccreditation scheme reported on elsewhere in this plan.

Currently in hand· BPIF Training and ViP are to pilot print-specific Team Leader

Training in Autumn 2005 to help fill a major gap inmanagement training within the UK Print Industry.

· ViP is piloting ‘Lean Focussed Maintenance’ programmes in Autumn 2005 to actively engage operators, engineersand management in effective management of key capital equipment.

· Productivity and competitiveness can be improved throughattention to many aspects of business performance.Printers need a one-stop shop for all business improvementinitiatives. Hence from Autumn 2005, ViP manage BPIFBusiness (the BPIF’s bespoke consultancy service) onbehalf of BPIF, to offer a full range of business improvementfrom business planning, sales and marketing, technicalservices, health and safety, and the environment.

Next 2-3 years· We will persuade a significant number of UK printers to

adopt modern manufacturing processes and other bestpractice techniques.

· We will engage the supply chain (customers, printers andsuppliers) in a range of collaborative initiatives to drive outcurrent inefficiencies and achieve real gain in quality, costand delivery.

· We will build confidence in ViP brand as key deliverer of in-company programmes that raise productivity radically.

· We will promote best practice across UK Print by series of high quality studies that change industry habits for the better.

· We will publish reports on productivity and competitivenessof UK Print to track progress and highlight key steps still tobe taken.

· We will demonstrate with objective performance data theimproved competitiveness of print companies that adoptbest practice processes.

· We will work with other government agencies to ensure thatUK printers can take maximum advantage of funding andopportunities to raise productivity and competitiveness.

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What this objective is aboutAll recent skills focussed research into the print and printedpackaging sector indicates serious skills gaps and shortagesafflicting the sector, as well as recruitment issues relating tosufficiently high calibre industry entrants, particularly from amongstyoung people. There is a real need to significantly raise the level ofemployer investment in skills development in the printing industry.

Despite this, there are some robust approaches to skillsdevelopment:· The industry’s trade associations, print colleges and training

providers provide a range of specialist print trainingprogrammes, including modern apprenticeships, upskillingprogrammes, together with e-learning facilities, distancelearning, and management development courses.

· Amicus is committed to improving the skills of workers in theprinting industry and works with employers and trainingproviders both nationally and regionally in pursuit of this.

In August 2005, Proskills, the new Sector Skills Council forprocess and manufacturing, including print and printedpackaging, gained a license and £4m of government fundingover 3 years to improve training and development in five industrysectors. The Proskills’ vision is “to become the recognised drivingforce behind fit-for-purpose training and development of the skillsof the workforce so as to make a significant contribution toincreasing the productivity of the UK process and manufacturingindustry”. Within Proskills, industry groups have been establishedto represent and advise on the strategic priorities for their industry.Proskills Print has therefore evolved from the former PETF andcomprises representatives of employers and Amicus GPMSector (both are also represented on the main Proskills Board).

Proskills and Proskills Print will continue the thrust of theeducation and skills pillar with the following objectives:· To reduce skills gaps and shortages and anticipate future

needs through leverage on the supply side, and to helpemployers and individuals to make informed career choices.

· To improve productivity through strategic actions based onanalysis of key sector priorities.

· To increase opportunities to develop and improve theproductivity of everyone in the sector’s workforce, includingaction to address inequality of opportunity in relation to sex,age and ethnic origin.

· To improve learning supply, including the development of apprenticeships, higher education and NationalOccupational Standards.

· To develop effective links with educational providers toincrease and improve awareness of the sector industriesand career opportunities.

It contains the following elements· Ensuring up to date research on skills gaps, skills shortages,

recruitment issues and future skills needs.· Ensuring employers understand and appreciate the

importance of retraining and upskilling existing employees,

particularly older workers.· Action planning to improve both the overall standard of skills

and the level of skills training undertaken in the industry,include devising measuring targets against which success canbe measured.

· Developing and maintaining a suite of competence based qualifications.

· Ensuring all employers are aware of the importance and easeof access to training, and of the importance of successionplanning at all levels.

· Developing and maintaining networks of employers, collegesand other training providers.

· Attracting, retaining and maintaining the skills to deliver newICT-based products and services.

· Developing skills to manage customer, supplier and newpartner relationships.

· Improving the development of management and businessskills at all levels.

· Encouraging more employers to provide accredited trainingleading to the achievement of qualifications or progresstoward them.

· Providing specialist training programmes for the industry’smanagers and production workers that meet the industry’s skill requirements.

Where we are today· New skills: given the changes facing the industry, the growing

need for ICT-related and greater customer-facing skills is self-evident. Recent research has identified requirementsgenerally for IT, teamwork, management/supervisory andcommunication skills; requirements in technical areas fordigital printing, computer-to-plate (CTP) systems, pre-pressand litho printing skills.

· Skills shortages: for experienced staff and trainees, there areapparent shortages of advanced IT and/or software skillsacross most occupational areas.

· Skills gaps: in technical and non-technical areas, the main gapsare in advanced information technology and software skills,while customer handling skills gaps appear to be prevalentamong sales and marketing staff. The occupations with mostskills gaps are management and supervision, where high levelsof expertise are key to business growth and development.

· Provision: the training infrastructure of colleges and privatetraining providers capable of delivering print training is indecline and is insufficiently used by employers, despite allleading providers meeting Adult Learning Inspectorateinspection criteria.

· Working with Amicus to develop a learning culture: union learnerrepresentatives (ULRs) are union members who are elected orappointed to work with employers and their fellow employees topromote and encourage learning and training both within andoutside of the workplace. Although there are many examples ofULRs and employers working together to increase skill levels inindividual companies, awareness and take-up of their roleremains patchy across the industry as a whole.

INCREASING THE AVAILABILITY OF SKILLED PEOPLE

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How we need to improve· Funding: Proskills needs control over allocation of funding to

support industry training and manage contracts with trainingproviders. Levels of funding need to be increased substantiallyin order to ensure the financial viability of training providers and lobbying to Government has already commenced on this issue.

· Ensuring that available training meets the needs of employers:training needs to be focused on the needs of employers, andmust be of the highest quality, if it is to be taken up to the extentrequired. A National Skills Academy needs to be establishedproviding specific training programmes that directly target theskills needs of the industry. Proskills must provide a ‘one-stopshop’ for industry training; geared to comprehensively meetingskills needs and gaps across the sector.

· A change of culture: the future of the industry will depend onthe quality of its people. Without employer investment intraining, it will be impossible to halt a downwardly spirallingskills base and training infrastructure and even more difficult torebuild it. Increased investment in skills development isrequired and new provisions have been agreed in the nationalBPIF/Amicus Partnership Agreement to support this.

· Delivery: recruitment, retention and achievement rates for skillstraining programmes need to be increased significantly oncurrent levels.

· Availability and access: only limited local training provision isavailable in some regions due to the decline in the number ofcolleges offering courses in printing and publishing, and accessingtraining is difficult for sites away from major urban centres.

· Management and customer care: it will be essential to ensurethat appropriate high quality training is identified and madeaccessible to the industry, including industry-specific andmore generic training, perhaps delivered in conjunction withrelated sectors.

· SMEs make up a large proportion of the industry but externaltraining is limited by distance, cost and time away fromproduction duties - distance and flexible learning areincreasingly important training media here.

Recent achievements· Proskills established with effect from 1 August 2005 and

launched in November 2005.· Full set of occupational standards developed.· Full set of competence based qualifications in place.· Modern Apprenticeship frameworks in place.· Simple guides to apprenticeships and qualifications produced.· Management Development website established. · Professional Certificate in Print Management course established. · Improved inspection grades for BPIF Training.· E-learning facilities in place in several major print colleges.· Extensive suite of ‘Big Books’ for schools produced and

distributed, enabling children to be introduced to the industryand its technologies.

· Print Works stand at Skillcity 2005 (major careers eventattracting 120,000 young people).

· Amicus GPM Sector has helped over 3,000 individualsaccess learning over the past 18 months. The union is in theprocess of putting together proposals to attract even morefunding from the Union Learning Fund to continue its workover the next two years, beginning 1st April 2006.

· The Learning and Skills clause within the new nationalPartnership agreement will help improve the industry’s skill levels.

Currently in hand· Proskills recruiting personnel, establishing organisation

structure and defining sector skills priorities, with the aim ofbecoming fully operational by 1 April 2006.

· Research in hand to establish sector skills priorities.· Proskills and other trade bodies working to drive up levels of

employer engagement in training. · Work on recruitment, including new material for schools.· PrintIT!, the industry-wide initiative to attract youth to the

printing industry.· Setting funding priorities with Sector Skills Councils.· Growth strategy in place for BPIF training provision, focusing

on improved programme content and tuition facilities andmore effective marketing of benefits for employers.

· EFTA are seeking formal accreditation under the nationalframework for their training courses.

· Performance improvement is dependent on giving staffappropriate competencies to identify and analysis problemsand then devise and implement improved processes. Vision inPrint programmes will deliver these skills to teams at all levelsin a business and thereby assist the development of acontinuous improvement culture.

· Amicus GPM Sector has continued to work with employers toimprove the skills levels of their employees. The union willcontinue to do this, supported by the Union Learning Fund.

Next 2-3 years· Develop and submit proposals for funding to establish a

Proskills National Skills Academy.· Develop and expand upon the PrintIT! initiative to maintain an

ongoing annual PrintIT! programme with schools.· Develop work-related training and qualifications that mirror the

needs of sector employers and maximise individuals’ potential.· Increase the supply of appropriately skilled individuals to help

meet the current and future needs of the sector.· Improve the quality of provision across the sector, from both

local providers such as colleges and national providers.· Increase involvement in management development.· Provide exemplary levels of support to sector employers and

effective sector representation on skills and recruitment issues.· Establish the Proskills research function as the primary source

of information on education and training needs within the UKprint and printed packaging sector.

· Develop web-based learning materials and alternativemethods of learning delivery.

· Develop new and sustainable sources of funding forindustry training.

· Promote understanding among companies of the importanceto employees of gaining recognition for training undertakenthrough the achievement of recognised qualifications.

· Improve the level of basic numeracy, literacy, and IT skills. · Amicus GPM Sector will continue to recruit, train and

support Union Learning Reps (ULRs).· Amicus GPM Sector to continue to develop training

programmes, both vocational and non-vocational, inconjunction with employers.

· Amicus GPM Sector will work with the BPIF to ensure thesuccess of the Learning and Skills clause within the newnational partnership agreement.

Action

11

What this objective is aboutDespite being one of the most technologically advancedindustries, the present image of the printing industry fails toportray its vibrant and forward thinking nature. As a result, it isstruggling to attract young people to take up a career in thevarious sectors of the industry. This is reflected in its ageingworkforce, which will ultimately affect the future growth of the industry.

PrintIT! is an industry-wide initiative to raise the profile of theprinting industry in schools and colleges, with the aim ofencouraging young students to consider a career in print byraising awareness of our high-tech global industry.

Central to the initiative is a nationwide competition in whichstudents will be challenged to create a print-centriccampaign that uses print’s unique advantages to promote thecause of leading charity, The Fairtrade Foundation.

It contains the following elements· An industry-wide, truly altruistic project to benefit the

industry as a whole.· Government endorsement from the DfES.· A print-centric competition aimed at first year GCSE

Graphic Products Students to develop a campaign topromote Fairtrade Fruit.

· Comprehensive and fully interactive teaching resourcematerials for teachers as well as pre-prepared student workbooks.

· All materials curriculum mapped to ensure the lesson plansfit with the GCSE Graphic Products Course.

· A local ‘twinning’ programme to encourage interactionbetween schools and local printing companies.

Where we are todayPrintIT! is the brainchild of Picon, the business supportorganisation that represents UK based suppliers of printingequipment. Since June 2004, Picon has been exploring thefeasibility of such an initiative, consulting witheducationalists and industry bodies to assess its logisticaland financial viability.

To date, PrintIT!, under the leadership of Picon, has securedthe support of eight key partners: BAPC, BPIF, FairtradeFoundation, IPEX 2006, Robert Horne Group, SpecialistSchools Trust (SST), Stationers Educational Charity andWyndeham Press Group plc.

PrintIT! has been developed to assist teachers in educatingtheir students studying in the first year GCSE Graphic ProductsCourse, about the various processes involved in print.Students will be challenged to design and develop a print-centric campaign to promote Fairtrade fruit in supermarkets.During the process, participating schools will be ‘twinned’ withlocal printers to ensure an interactive process.

How we need to improve· Industry profile: To improve the image and increase the

profile of the printing industry to younger people, particularlyin schools and colleges.

· Skills Shortage: To utilise PrintIT! as a ‘fun’ yet educationalprogramme to encourage young people to consider a futurecareer in print.

· Knowledge and Understanding: To expose students tothe various elements of the printing industry and increasetheir knowledge and understanding of the elements,sectors, processes and career opportunities that existwithin the various parts of the industry.

· School Resources: To improve and deliver more up todate and comprehensive Print related teaching materials forwidespread use in schools and colleges.

ATTRACT MORE YOUNG PEOPLE INTO THE INDUSTRY

4Analysis

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Recent achievements· Establishing a network of key partners: BAPC, BPIF,

Fairtrade Foundation, Ipex 2006, Picon, Robert HorneGroup, Specialist Schools Trust, Stationers’ CompanyEducational Charity and the Wyndeham Press Group.

· Securing over £200,000 of sponsorship & support.· Sponsorship from: Agfa, Canon, Duplo International,

FujiFilm; Heidelberg; HP, Image Reports, KBA, KPG,Komori, Man Roland, Muller Martini, Polestar, Print & PaperMonthly, PrintMedia Management, PrintWeek, PrintingWorld, Screen, Turning Point Technologies.

· Support from: AD Communications, Apex Digital Graphics,Friedheim International, Graphic Arts Equipment, MarloweGraphic Services, Morgana Systems, Ripware, Russell-Webb, Tech-ni-Fold and Upex.

· Employment of a dedicated PrintIT! project manager andassistant project manager.

· Gaining the support and endorsement of the government(DfES).

· Bringing together leading industry organisations andassociations to pursue a common industry-wide goal.

· The commitment of approximately 500 schools and 20,000students to take part in the PrintIT! competition duringautumn 2005.

· Delivery of comprehensive teaching resources, includingteachers pack, student work books, interactivePrintdynamics™ CD ROM, PrintIT! game cards etc.

Currently in hand· Management of approximately 500 schools and 20,000

students committed to taking part in the PrintIT! competitionduring autumn term 2005.

· Development of the ‘twinning programme’ with appropriateprinting companies who will work closely with their localschool to offer support and advice to the teachers andstudents taking part in PrintIT!

· Establish a suitable judging panel for the final selection ofwinning entries during January 2006.

· Interim display of short listed entries at the Stationers HallCareers event in March 2006.

· Gallery of competitive finalists on dedicated stand at IPEX 2006.

· High Profile awards ceremony and prize giving at IPEX 2006.· Links with educational initiatives, events, careers

organisations etc.· Ongoing support PR activities to maximise profile-building

opportunities.

Next 2-3 years· To assess the success of the inaugural PrintIT! initiative with

the view to carrying the programme forward into the future.· To build on the profile and teaching resources with schools

to expand the remit of PrintIT! for subsequentyears/promotions.

Action

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What this objective is aboutThe UK printing industry faces significant competitivechallenges, resulting not only from global competition but alsofrom media substitution resulting from the spread of internet-based technologies. According to a report prepared for theComprint International conference held in Lisbon in April 2002,“a steady stream of technical innovations and new markettrends are raining down upon the printing and media industries,which around the world consist predominantly of small andmedium-sized operations”.

Seen from the point of view of its customers, however, printingis essentially a service industry, facing increasing demands fromcustomers for innovation in the development of products andservices that create new value and benefits for them. While the optimisation of efficiency in the use of complextechnologies is still a prerequisite for a successful andentrepreneurial printing company, this is insufficient in itself toafford any company with long-term viability. It is also essentialto create additional customer value, and to do so in anenvironment where specialised equipment (for example,electronic image processing systems) is today relativelyinexpensive and routinely installed in the premises ofcustomers themselves, and where technical know-how isincreasingly being incorporated into intelligent software that isreadily available to customers.

It contains the following elements· Help in developing and bringing to market innovative

products and print solutions that will enable customers toaccess new markets.

· Assisting companies to develop effective sales andmarketing strategies.

· Help with image and brand enhancement and thedevelopment of effective communications and public relations.

· Advice on how to improve understanding of customers’markets and pre-empt customer requirements.

· Advice on assistance with information and facilitiesmanagement services for customers.

· Advice on developing service agreements and strategicpartnerships with customers, based on a shared knowledgebase and agreed performance, quality and delivery targets.

· Support in developing the customer base through theassessment of customer value, effective retention of keyclients and the use of management information systems toimprove communications with customers.

· Advice on the use of e-commerce for marketing,procurement and payment.

· Assisting companies to improve use of digital workflows.· Support in implementing on-demand production and the

use of variable data to produce personalised print.· Assisting companies to become multi-media information

providers, including digital asset management, website designand hosting, CD Rom production and print management.

· Facilitating increased research and development activity andencouraging innovation in the development of newtechnologies and business management processes gearedto value creation.

Where we are todayThe future success of the printing industry thus revolvesaround far more than how well it manages the process ofputting ink on paper. In addition to the optimisation ofproductivity and manufacturing performance, the industrymust address the challenge of product innovation and theprovision of integrated solutions to customer needs.

The three pillars are committed to helping print companiesexplore innovative ideas and new technologies, and tohelping them bring these to market. They also recognise theimportance of promoting and accelerating the transfer ofknowledge and innovation by developing communities ofinterest around emerging technologies.

How we need to improve· We need to establish knowledge transfer networks forcompanies wanting to grow by exploiting technology, bringingtogether businesses, universities, research organisations andothers with an interest in technology applications.

· We need to secure funding for collaborative research anddevelopment projects.

· We need to provide consulting services to help businessesimplement and exploit innovative ideas, supported wherepossible with Government funding.

· We need to assist companies to secure grants to carry outR&D that could lead to a technologically innovative productor process.

· We need to assist companies in establishing knowledgetransfer partnerships for the purpose of securing fundingfor developing/improving products or forupgrading/streamlining processes.

· We need to establish an Innovation Task Force that canassist printing companies to increase their innovation andR&D in relation to both products and services, by bringingtogether existing relevant expertise from both within andoutside the sector.

· We need to develop new added value packaging solutionse.g. the development of shrink sleeves, complex labelsincorporating information booklets, printing on complex anddemanding substrates.

ENCOURAGING INNOVATION & VALUE-ADDING CUSTOMER SERVICES

5Analysis

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Recent achievements· Technology Warehouse portal

(www.technologywarehouse.com) launched by BPIF for useby printers, print buyers, equipment suppliers, softwarespecialists and service providers. The portal enables usersto source and exchange information, knowledge, ideas,views and contacts, and will offer hotlinks to other sites forinformation on specialist subjects and events.

· ViP has established a Print Customer Strategic AdvisoryGroup. Representatives of all major print customer sectorsmeet to discuss strategic improvements to the PrintSupply Chain.

· New Publicly Available Specification for print services –PAS 75 – developed in conjunction with BSI followingextensive consultation with printers and print buyers –launched in December 2005. This sets standards ofexcellence for printing companies that enable them tomeet the expectations of customers and improve theirefficiency and profitability.

· Vision in Print What makes a good printer? Best practicestudy and PrintYorkshire/ViP Competitive advantage throughexcellence in customer service reports launched jointly atevents in London and Yorkshire in December 2005.

Currently in hand· ViP has developed Customer Service products to help

printers identify major process improvements to customerservice and opportunities for additional added valueservices for customers through well-managed innovation.

· Technology mapping study being conducted in direct mailand magazine printing sectors to predict futuretechnological changes impacting on the sector as a resultof changes in customers needs and expectations, and toensure that all parts of the supply chain are aware of theseand responding to them.

Next 2-3 yearsThe impact of trade liberalisation and falling production costsin emerging economies presents new challenges to profitmargins as printers struggle to compete on costs alone.Existing strategies of cost reduction and lean productionmust be coupled with the creation of added value servicesbased on innovation and knowledge. Our focus will need tocentre on:· Bringing new knowledge and processes into the business.· Developing new high value-added products, processes

and services.ViP is committed to developing new products to assistprinters to innovate their business processes e.g. through theuse of e-business.

Action

15

What this objective is aboutIn November 2003 the DTI approved £250,000 funding for amajor initiative to improve the printing industry’s productivityand working environment through a new partnership betweenemployers and unions at national level. The funding wasmatched by £250,000 in ‘in-kind contribution’ from theindustry and was used to facilitate a fundamental reform ofthe existing national bargaining framework by the BPIF andAmicus, focussing on major issues of concern to employersand employees alike. The BPIF and Amicus are nowcommitted to promoting partnership working and constructivedialogue at both industry and workplace level, gearedtowards the common goals of improving the profitability ofUK print companies and the working environment of thosewho work in them.

It contains the following elements· Publishing a new partnership document that has support

from employers and employees and ensuring that thenew partnership can be sustained and adapted in thelonger term.

· Launching the new partnership at a joint nationalconference.

· Embedding the principle of partnership into theBPIF/Amicus National Agreement and promoting theestablishment of effective partnerships at company level.

Where we are todayThe BPIF and the Amicus GPM Sector have a long history ofcollective bargaining at local and national level, which hascontributed significantly to the industry’s record of low levelsof days lost through industrial action stretching back manyyears. Through the work of the BPIF/Amicus Joint ReviewBody, a new partnership agreement and joint code ofpractice has now been concluded that takes the printingindustry forward for the future and protects and modernisesthe National Agreement. It recognises the technological andsocial changes which the industry has undergone, and takesinto account partnership, best practice, current and futurelegislation, learning and skills, and modernised and improvedworking arrangements.

The new agreement and code of practice aims to facilitatemore open and constructive dialogue between employersand employee representatives, to address areas of commoninterest and resolve differences in a positive and non-confrontational way. It recognises that employees, as well asemployers, have an interest in improving the productivity andprofitability of their companies. New provisions on flexiblepatterns of working time, absence control, and theemployment of part-time and temporary workers addressthis, for example.

Of course, employees also want to improve the quality oftheir working lives, and companies realise the importance ofthis. New proposals provide for fair treatment in theworkplace, reduce excessive overtime, ensure protection ofthe health, safety and welfare of employees and assistcompanies to implement workplace legislation and goodemployment practice. Similarly, employees and employersalike suffer as a consequence of skills gaps: both stand togain from on-going investment in training and for the first timethe new partnership commits companies to this.

How we need to improveWhere companies and employees work together to plan andimplement change there are clear benefits to both. The keyto the successful industry-wide implementation of the newpartnership agreement and joint code of practice will bewillingness and commitment on the part of employers andemployees to cultivate honest and ongoing dialogue with oneanother, and to find ways of working together in partnership.

DEVELOPING & EMBEDDING A CULTUREOF PARTNERSHIP IN THE WORKPLACEAnalysis

6

16

Recent achievements· Joint survey of employers and employees completed.· 23 focus groups held for employers and for employee

representatives.· Joint proposals drafted for changes to the existing national

agreement and for a new joint code of practice.· Consultation meetings with companies and branch/chapel

officials and text of draft agreement and code revised in thelight of these.

· Ballot approval for new partnership agreement and code ofpractice by Amicus GPM Sector members covered by theBPIF national agreement.

· Final partnership document published and launched inNovember 2005.

Currently in hand· BPIF and Amicus assisting their respective members in

implementing the new partnership agreement and code of practice.

· BPIF and Amicus to bid for further funding to supportimplementation in 2006.

Next 2-3 yearsThe success of the current partnership at work project will bemeasured by a qualitative survey of employers andemployees to assess their views of its impact on theirrelationships and the extent to which effective partnershipsare evolving on the ground.

Partnership approaches to tackling change and improvingcompany performance can only work effectively if employeesare informed about and consulted on changes that affectthem, and have an opportunity to influence decisions beforethey are taken. Ensuring effective implementation ofRegulations arising from the EC Information and ConsultationDirective will therefore be a key issue for employers andunions in our industry.

Looking further ahead the BPIF and Amicus are committed totaking the results of this project forward through a series ofsubsequent company level initiatives involving partnershipsbetween managements and employees and theirrepresentatives. The results of which can then be publicisedto the sector as a whole and indeed more widely to othersectors. The theme of partnership will need to be developedfurther and embedded properly at company level. To this endthe parties intend to bid for further funding to supportpartnership initiatives within individual print companies.

Creating the right environment to encourage change andimprovement is essential to a better partnership at workbetween employers and staff. Vision in Print though its in-company programmes for teams of shop floor andmanagement will create the right conditions for such aculture change. The key is sustainability, a challenge thatneeds the long-term commitment of both managements and employees.

Action

17

What this objective is aboutThe printing industry needs a strong collective voice that is ableto articulate the industry’s concerns effectively, in order toinfluence Government and other organisations whose decisionsand policies affect the interests of our sector. The industry mustinform government and other decision-makers about thesector’s needs and priorities, and by corollary, we need tounderstand theirs. Our task is to create an environment: · In which decision-makers act in the best interests of

the industry.· Which enables the industry to capitalise upon good working

relationships with decision-makers.· Which provides access up to date information about policy

developments both in the UK and Brussels in order that theimplications of these can be fully evaluated.

Working closely with Government agencies in the regions iscrucial to success in this area. The three pillar leadorganisations with Amicus, are now working closely together todevelop a common approach to Regional DevelopmentAuthorities, to assist them to provide more effective support toprint companies in their regions. The BPIF and Vision in Print areboth recognised by the Government’s regionally-basedManufacturing Advisory Service as Centres of Expertise inManufacturing. They are able to provide sector-specific tailoredbusiness solutions to printing companies that will enable themto improve their profitability significantly. While Amicus is amember of the National Network Forum of the MAS. As theSector Skills Council for the process and manufacturingindustries, Proskills is recognised by Government as therepresentative voice of the printing industry on education andskills issues.

It contains the following elements· Monitoring initiatives and decisions that are of importance to the

industry, and seeking to ensure that UK and European publicpolicy recognises and responds to the needs of our sector.

· Grasping opportunities for representation or lobbying andwhere appropriate undertaking joint lobbying activities in orderto ensure a consistent message to the Government and otherdecision making organisations.

· Utilising the contacts the BPIF, Amicus and other trade bodieshave within Westminster, Whitehall and Brussels to maximiseinfluence on behalf of the industry.

Where we are todayThe BPIF effectively monitors policy developments in the UKand Brussels, with a view to improving the public and politicalprofile of the industry. The BPIF regularly publishes pressreleases regarding existing projects and political concerns,which are placed on the BPIF’s website and often lead toarticles in the trade press. This practice results in good publicityfor the industry and its representative bodies. The BPIF has anestablished mechanism for engaging with members through its

Government and Industry Committee, and has also developeda more flexible select committee procedure through which totackle specialised issues.

Once an issue requiring representational opportunity has beenidentified, the BPIF compiles submissions to the consultationslaunched by government and other decision-makers. By corollary, it is also a pro-active lobbying body and haslaunched specific issue-driven lobbying campaigns.

Amicus sits on the European TUC and UNI-Europa, theEuropean Federation of printing and graphical trade unions. This gives it an opportunity to raise issues of relevance to theindustry with its European partners. It has close working linkswith the European Union Commission and sister organisationsin all member countries together with members of the EuropeanParliament, both U.K. and other countries. It has an extensiveEuropean Works Council network allowing feedback onEuropean issues directly to many of the industry’s large printing groups.

How we need to improve· It is essential that the industry’s representational activity is

founded on a detailed knowledge of the industry’s concernsand so we must engage individual employer and employeerepresentatives actively in the formulation of policy positionsand briefing papers. The BPIF is reviewing its current structureof employer networks and standing committees in order toensure that it is able to harness the input of employerseffectively on a wide range of issues, both at national andlocal levels.

· To work more closely with regional organisations chargedwith delivering business support, e.g. RegionalDevelopment Authorities, Learning and Skills Councils andBusiness Link Operators, to maximise printing companies’access to these resources.

· There is scope to build on the existing monitoring of policydevelopments in Brussels and investigate the benefits ofactive engagement in European political affairs. For example, by developing relations with key Europeanprint trade associations.

· There is potential to improve web-based communications ofour representational work to raise its profile.

· Amicus is currently engaged in a merger exercise that willprovide for more resources in this area.

INFLUENCING DECISION-MAKERS TO ACTIN THE BEST INTERESTS OF THE INDUSTRY

7Analysis

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Recent achievementsSince 2003 the BPIF, Amicus and other industry bodies havebeen successful in bringing the industry to the attention of policydecision makers, by actively participating in consultationdocuments and engaging with government. For example:· Retention of a sector desk within DTI, which will continue act asa vital conduit between the industry and governmentdepartments, following a review of the Department’s businesssupport services.

· Submission to HM Treasury’s consultation, “Bridging the FinanceGap”, has led to further consultation on a specific financialproduct and a sector specific meeting with a Senior TreasuryPolicy Advisor.

· Submission to the Department for Environment, Food andRural Affairs regarding the Pollution Prevention and ControlAct, which led to local authority guidance notes in the bestinterests of the industry.

· All Party Parliamentary Print Group Event, with the Minister forIndustry and the Regions as the keynote speaker, providesgood forum for raising the profile of print with the RegionalDevelopment Agencies.

· Work undertaken by the BPIF and by Amicus in briefingMembers of Parliament, from both sides of the house,thereby informing them about print and furthering specificlobbying campaigns.

· Securing the Association of British Insurers’ (ABI) approval of theBPIF Health & Safety healthcheck as a best practice model forinsurers’ assessment of Employers’ Liability

· Working with regional organisations to disseminate best practicein HR, environmental and health & safety initiatives such as theEnvironmental Assessment Scheme (in co-operation with thePeriodical Publishers’ Association) and the Shared HR resourceproject with Eastern RDA.

· Joint BPIF/Amicus submission to the Trade and Industry SelectCommittee’s Enquiry into Support to Businesses from RDAs.

· The Trade and Industry Select Committee’s response to itsEnquiry into Support to Businesses from RDAs referredspecifically to the printing industry’s unusual position that wasoutlined in the joint BPIF/Amicus submission to the enquiry. This added weight to the ongoing campaign to adapt theGovernment’s business support policy to better meet the needsof the printing industry.

· BPIF work with the Department of Constitutional Affairs resultedin major revisions of the legislation covering the design of ballotpapers and associated election materials, which allow printers todevelop efficient and error-free production processes.

· In 2004 the BPIF’s North Eastern region worked with YorkshireForward to develop Print Yorkshire, a body to develop theproductivity and profitability of the Yorkshire printing industry.

Currently in hand· Against the backcloth of escalating energy prices, the BPIF hasset up an energy-purchasing consortium in order to pool thebuying power of BPIF members and enable purchasing on thewholesale market. The BPIF is lobbying for a transparent andcompetitive UK energy market, and provides evidence aboutmembers’ experiences of the energy market to Ofgem, the DTIand the CBI on an ongoing basis. The BPIF also ensures that

member companies are kept informed about developments inthe energy market, and assists them to review energy usageand make savings on energy bills. In conjunction with theCarbon Trust, the BPIF ran a series of two-day seminars inDecember 2005, to equip delegates to identify areas forpotential savings, set targets and monitor systems. Amicus hasmet twice with Energy Ministers (with a further meeting inJanuary 2006) and will be presenting evidence to theGovernment’s Energy Review.

· Seeking the endorsement of a major user of on-line reverseauctions (in partnership with the Packaging Federation and theBritish Carton Association) of a set of best practice guidelinesregarding on-line reverse auctions that will be disseminated toprint buyers.

· The BPIF is working with central government purchasingauthorities to promote the print services specification PAS 75 toprint buyers.

· Submission to HM Treasury consultation on priorities forreducing the administrative burden of taxation on smallbusinesses highlighted the cash flow problems caused byinflexible taxation payment systems.

· Lobbying UK MEPs to ensure that the EU Chemicals Strategy(REACH) is implemented in such a way as to ensure thecontinued competitiveness of European manufacturing and thelimitation of new supply-chain costs that could harmdownstream chemicals users such as printers.

· The BPIF is working with the Design Council to promote theprinting industry as a centre of creativity, with a view toaccessing Government assistance to promote the UK’s world-renowned design capabilities.

· The BPIF, Amicus and Proskills are lobbying the Department forEducation and Skills to improve the funding of work-basedtraining in the printing industry.

· Vision in Print, the BPIF, Proskills and Amicus are workingtogether to explore how best a regional strategy can bedeveloped to best ensure that printers get easy access to therange of regional support and funding to develop their business.Vision in Print is already building links with regional bodies suchas the Manufacturing Advisory Services to ensure maximumsupport is available to printers. By close liaison with print specificregional bodies such as PM&GN in East Midlands, and theBPIF Regional Business Centres, programmes can bedeveloped and funded for SMEs that would otherwise not occur.Good examples of this include Yorkshire and Humber MAS,PrintYorkshire, East Midlands MAS and West Midlands MAS.

· Amicus has secured funding from the DTI to conduct a jointstudy with KFAT together with various small companies in theindustry. The study will consider representation and partnershipinitiatives in small companies and will examine the benefits ofworking together at plant level.

Next 2-3 yearsWhilst government policy and legislative networks will becontinuously influenced by the evolving political arena, ourmedium and long-term objectives will be centred on continuing toinfluence and raise our profile with the relevant decision-makersand develop a structure that is sensitive and responsive toexternal political and economic developments.

Action

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What this objective is aboutThe Health and Safety Commission (HSC) has commissionedresearch and subsequently published a series of case studiessetting out the business case for good health and safetymanagement. They demonstrate business and social benefits ofhealth and safety improvements in a variety of organisations,including FTSE 100 and FTSE listed companies, globalbusinesses and public bodies. The 19 case studies, compiledby risk management consultants Greenstreet Berman Ltd, span awide range of industry sectors and public service. Each studydescribes an initiative or programme and its benefits, in bothhealth and safety and business terms. These include:· Around £11m savings through reduced sickness absence. · 40 per cent reduction in reportable injuries. · Health insurance spend down £200,000 a year. · 50 per cent reduction in civil claims.· Improved productivity and public image. · One company estimated that in financial terms, the benefits of anew rehabilitation scheme - which reduce average absenceafter injury from 26 days to 4 - outweighed costs by 12:1.

It contains the following elements· Ensuring up to date research the links between safety, healthand environmental (SHE) issues and productivity and profitabilityin the printing sector.

· Action planning to improve both the overall standard of SHEperformance in the industry.

· Developing and maintaining a suite of practical SHE standards.· Ensuring all employers is aware of the importance and ease ofaccess to SHE training.

· Developing and maintaining networks of employers, tradeunions and also of colleges and other training providers.

· Attracting, retaining and maintaining the skills to deliver new ICT-based products and services.

· Developing skills to manage SHE issues.· Improving the development of management skills.· Encouraging more employers to provide accredited trainingleading to the achievement of SHE qualifications or progresstoward them.

· Providing specialist training programmes for the industry’smanagers and production workers that meet the industry’s SHE requirements.

· Linking into, and positively contributing to, the existing work ofthe Printing Industry Advisory Committee (PIAC) on health andsafety issues.

· Identifying and implementing agreed environmental standards.· Health and safety advice, ensuring that accidents are avoidedand risks carefully assessed and minimised.

· Advice on environmental issues, including the packaging wasteregulations and the disposal of chemical and harmfulsubstances, together with cost savings for high-energy usersthrough the Climate Change Levy Rebate scheme.

Where we are today· The BPIF and Amicus GPM Sector sit on the Printing IndustryAdvisory Committee (PIAC) where they play an active part.

· Amicus GPM Sector and BPIF represent the UK printingindustry on CEN TC198, which deals with the harmonisation ofhealth and safety standards in the manufacture and design ofnew printing machines.

· The BPIF and Amicus GPM Sector commit considerableresources to health and safety issues in the printingindustry, disseminating information through circulars, emailsand their websites.

· The BPIF has a family of healthchecks that are offered to allmembers, and taken up by the majority. This gives a number ofreports that allows members and non-members to plan theirhealth and safety management.

· The BPIF organise regional forums and seminars on health,safety and environmental issues giving members and non-members up-to-date advice and guidance on print issues.

· The BPIF have a network of consultants and training co-ordinators that provide basic health and safety advice, and deliver HSE print related advice leaflets.

· The BPIF works closely with the HSE on providing guidanceand advice on specific issues, including projects on membercompany sites.

· Amicus GPM Sector represents the TUC on key Health & SafetyCommission committees dealing with business involvementprogrammes and directors’ duties on health and safety.

How we need to improve· The PIAC needs to engage senior industry employers on issuesof health and safety. Despite the importance of health and safetyin terms of productivity and profitability health and safety issuestend to be relegated to lower management levels.

· Raise the profile of good health and safety as a clear businessimperative in the printing industry.

· To work effectively with the HSE and develop more industryinitiatives on health and safety.

· There is potential to improve web-based communications of ourrepresentational work to raise its profile.

· Amicus GPM Sector, the product of a merger between GPMU& Amicus, has made increased resources available in this area.

· Develop appropriate health and safety performance measuresfor the printing industry.

· The BPIF is developing tools to deliver health, safety andenvironmental products through its website.

· The BPIF are investigating ways in which Managers andTrainees receive health and safety training, providing them withthe underpinning knowledge to carry out their job effectively.

· Companies must be encouraged to report all accident in linewith current legislation, so that the information can be analysed,and control measures implemented effectively.

· The BPIF are working to engage all insurers for the printingindustry and seek to bring about premium reductions for goodSHE management.

IMPROVING SAFETY, HEALTH &ENVIRONMENTAL PERFORMANCE

8Analysis

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· The industry needs to be working more closely with theGovernment Agencies on environmental issues.

· The industry needs to working more closely with our EUcounterparts on common objectives and aims on SHE issues.

· All industry organisations need to be engaged in helping toimprove the SHE culture at company level.

Recent achievements· Securing the Association of British Insurers’ (ABI) approval ofthe BPIF Health and Safety Healthcheck as a best practicemodel for insurers’ assessment of Employers’ Liability.

· Working with regional organisations to disseminate bestpractice in environmental and health and safety initiatives suchas the Environmental Assessment Scheme (in co-operationwith the Periodical Publishers Association).

· Development of the HSE’s Printing Industry AdvisoryCommittee (PIAC) Health and safety strategy over the nextthree years.

· PIAC guidance on health and safety for printers, available andupdated, “The Printers Guide to Health and safety.”

· Other health and safety guidance available through PIACpublications.

· The Printers’ Guide to Health and safety 2nd edition - HSEBooks 2002 - ISBN 0 7176 2267 3.

· Control of Chemicals in Printing - COSHH Essentials forPrinters – HSE Books 2000 – ISBN 0717618358 £15.00(free from HSE website).

· eCOSHH Essentials for Printers updated (free from HSE website).

Currently in hand· Work on key indicators for successful health and safetymanagement in printing.

· BPIF management training in health and safety for keyplayers/groups.

· Amicus GPM Sector safety representative training availablefrom Amicus Education Department at regional and national level.

· Amicus GPM Sector safety rep/supervisor health and safetyawareness in key companies/groups.

· Promotion of PIAC health and safety publications, especiallyThe Printers Guide to Health and safety.

· The BPIF Healthcheck is being made available to all printers. · Working with the HSE as an Intermediary for guidance

and publications.· Working with other trade associations in areas of SHE

best practice.· The BPIF can provide solutions for all SHE managementthrough a network of consultants and providers.

· Joint involvement of BPIF and Amicus in an HSE project tofund a Safety Worker Adviser in the South West to promoteworker involvement in small companies.

Next 2-3 years· Increase the effectiveness and activity of the Printing IndustryAdvisory Committee.

· Make the PIAC a well known “brand” throughout the industry.· Demonstrate increased worker involvement in health and safety.

· Demonstrate Improved health and safety performancethroughout the industry.

· Produce, through the PIAC, a 3rd Edition of the Printers Guideto Health and Safety.

· Produce a print specific Environmental Guide.· Produce targets for the industry to reduce injuries and ill health.

· Produce electronic versions of useful publications that arereadily available to line managers and workers.

· Provide and make available low cost/no cost solutions toprinting companies.

· Develop a environmental checklist that will identify thefundamentals for a printer when running a business.

· Provide a change of SHE culture programme, funded by insurers.

· Provide SHE fact sheets, and e-mail alerts that reach allprinters in the U.K.

· Produce environmental targets for SMEs in the industry that not only ensure compliance with legislation, but also show significant cost savings in areas such as wastemanagement etc.

· Put forward joint proposals from BPIF and Amicus for HSEfunding for a second year to finance a Worker Safety Adviserin the South West.

· Produce a health and safety ‘toolbox’ that will equipsupervisors and workers with the basic requirements in healthand safety, including toolbox talks, daily weekly and monthlychecklists, and powerpoint presentations on HSE focus areas.

Action

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This paper sets out the contribution the three pillars arecommitted to making to support companies in improving theirprofitability and competitiveness.

A Steering Group has been established to oversee thedevelopment of the printing industry strategic plan and toensure that it is updated on a rolling basis. This Groupcomprises the Chairmen and Chief Executives of the threepillars, together with the Chair of the Industry RepresentativesGroup (see below) and the Assistant General Secretary of Amicus.

The Steering Group is small in number, as it is not intendedthat it should become a body that is representative of theinterests of the sector as a whole. The latter function is theremit of the Industry Representatives Group, which will drawtogether the various trade associations, trade unions andprofessional bodies from across the sector. As the ChiefExecutives of each of the three pillars attend the IndustryRepresentatives Group meetings, they are able to reportback from and feed into those meetings.

The Steering Group is supported by a Secretary, who alsoattends its meetings. This role is undertaken by AndrewBrown, Strategic Partnerships Director at the BPIF. In respectof this element of his duties, he is jointly accountable to theSteering Group.

The strategic plan is a working document, with progressreviewed against it on an on-going basis by the SteeringGroup. The Chief Executives of the three pillars will meetregularly in order to keep up to date with each other’sactivities, monitor progress against the current plan, anddiscuss initial ideas for the next plan. Officials of the threepillars’ organisations below Chief Executive level will alsomeet as required to progress specific joint initiatives andprojects. The industry strategic plan is revised and updatedannually, with a new plan published each year.

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i UPDATING THE PLAN

The organisations primarily responsible for the three pillarsare: Vision in Print (productivity and competitiveness),Proskills (education and training) and the BPIF (representationand partnership). All three organisations are committed toworking together to ensure their activities are closely co-ordinated and mutually supportive. While each organisation ischarged with delivering real progress against its ownspecialised remit, the operational activities of each willsupport the implementation of a common strategic plan forthe industry. The plan is developed by the three parties jointlyand in consultation with the wider printing businesscommunity and others. The plan sets out the contributioneach is committed to make individually as well as thoseareas where they are delivering specific actions jointly and/orwith other players within or outside of the industry.

Specifically, the three parties have adopted eight keyprinciples as the basis for cooperation and collaborationbetween each other in providing support to printingcompanies in improving their performance:

(i) To determine jointly priorities and timescales for futureactivities and ensuring that these are mutually supportive – toensure that competition for the time of companyrepresentatives is avoided, and that the various projectsundertaken by each of the pillars build upon and reinforcethose undertaken by the others.

(ii) To ensure respect for each others’ roles andresponsibilities – to respect each others’ independence andseparate operating remits, whilst encouraging activecollaboration so as to ensure that new products and serviceswithin the remit of another party are introduced with thesupport of that party.

(iii) To co-ordinate initiatives to access funding fromGovernment Departments and other public agencies – toensure that competition for available funding is avoided andthat funding opportunities are maximised, and that the sectoras a whole has greater influence and impact by collaboratingon joint bids.

(iv) To ensure each party is aware of the others’ activities,business plans and marketing plans – to increase mutualawareness of each others’ current and forthcoming workprogrammes, so that duplication of activity is avoided. Eachparty had agreed to send copies of their Board papers andminutes to the other pillars on a routine basis, and the ChiefExecutives of the other pillars are able to attend their Boardmeetings on an ex-officio basis, either by invitation or at theirdiscretion when relevant agenda items appear.

(v) To determine areas and specific projects where theparties need to work in partnership with each other, and/orwith others, if they are to deliver optimal results – to maximiseopportunities for partnership and collaboration and todetermine the extent to which the lead partner could utilisethe services of one or more of the other parties.

(vi) To develop a common approach to key partners outsidethe sector – to enable a consistent and coordinatedapproach that builds tailored relationships with RegionalDevelopment Agencies and local bodies such as BusinessLinks and Local Learning and Skills Councils; to enable acommon approach to the development of relationships withother sectors in the industry’s supply chain and othermanufacturing sectors.

(vii) To ensure that companies and other clients who interactwith any of the three pillars receive a comprehensive range ofbusiness support all that addresses all of their businesssupport needs, regardless of their ‘point of entry’ – to enablereferrals between parties are handled in a seamless manner,possibly by making use of common briefing sheets, helplines and portals.

(viii) To present effective and clear communications tocompanies within the industry and other ‘publics’ that theparties need to influence – to convey a clear sense ofpurpose and demonstrate that the parties are workingtogether in a coordinated and mutually supportive way –possibly by using common themes and branding; todemonstrate that the priority issues affecting the industry’scompetitiveness are being addressed by one or more of theparties; to report progress against plan.

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ii THE THREE PILLARS

The lead organisations for the three pillars – Vision in Print,Proskills and the BPIF - work closely with the various tradeassociations, trade unions and professional bodies fromacross the sector. The Chief Executives of each of theseorganisations, together with the Chief Executives of the threepillars, meet under the umbrella of the Industry RepresentativesGroup. This Group meets around four times a year, and isthe main point of liaison between the pillars and otherindustry partners.

The terms of reference of the Industry Representatives Group are:· To articulate the views and concerns of organisations

and individuals represented by the Group’s members, in order that these can be conveyed to the Boards of thebodies leading each of the three pillars of the industry’sstrategic plan.

· To identify ways in which the Group and their members canbest contribute to the work of each of the pillars in raisingthe performance of the printing industry.

· To evaluate the impact and progress of initiativesundertaken by each of the pillars from the perspective ofthose represented by the Group’s members.

· To report back to their memberships on the current activitiesand future plans of each of the pillars, and to seekfeedback from them on these for report at meetings of the Group.

· To evaluate Government policies and initiatives and reviewthe impact of these on the competitiveness of the printingindustry, advising on actions required by each of the pillarsin response.

· To propose areas where the three pillars should beundertaking new initiatives – either individually or incollaboration - and to advise how these can best beimplemented, recommending and brokering partnershiparrangements with other appropriate organisations wherethey are able to do so.

· To determine those areas in which some or all of themembers of the Group would be able to work in partnershipwith any or all of the organisations, leading the pillars inundertaking specific projects or activities, either bilaterally ormultilaterally. This could include funded, sponsored orcommercial activities.

The members of the Group are:British Association for Print and Communication (BAPC)Concorde House, 56 Station Road, London N3 2SAt 020 8349 3009 f 020 8224 9090 www.bapc.co.uk

British Printing Industries Federation (BPIF)Farringdon Point, 29-35 Farringdon Road, London EC1M 3JFt 0870 240 4085 f 020 7405 7784 www.britishprint.com

European Flexographic Technical Association (EFTA)4/5 Bridge Barns, Langport Road Long Sutton, Somerset TA10 9PZt 01458 241 455 f 01458 241 684 www.efta.co.uk

Amicus 35 King Street, London WC2E 8JGt 0800 587 1222 f 020 7420 8998www.amicustheunion.org

Institute of Paper, Printing and Publishing (IP3) 83 Guildford Street, Chertsey, Surrey KT16 9ASt 0870 330 8625 f 0870 3308 615 www.ip3.org.uk

Proskills UKCenturion Court, 85b Milton Park, Abingdon Oxfordshire OX14 4RYt 01235 833 844 f 01265 833 733 www.proskills.co.uk

Picon - representing suppliers to the industrySt Christopher’s House, Holloway Hill, Godalming, Surrey GU7 1OZt 01483 412 000 f 01483 412 001 www.picon.com

Pira InternationalCleeve Road, Leatherhead, Surrey KT22 7RUt 01372 802 000 f 01372 802 238 www.piranet.com

Print Media and Graphics Network (PM&GN)Charnwood Centre, Farnborough Road, Clifton, Nottingham NG11 8LUt 0115 921 4555 f 0115 921 4666 www.printsector.net

Digital and Screen Printing Association (DSPA)Association House, 7a West Street, Reigate, Surrey RH2 9BLt 01737 240 792 f 01737 240 770 www.spauk.co.uk

Scottish Print Employers Association (SPEF)48 Palmerston Place, Edinburgh EH12 5DE t 0131 220 4353 f 0131 220 4344 www.spef.org.uk

Vision in Print (ViP)Farringdon Point, 29-35 Farringdon Road, London EC1M 3JFt 020 7915 8379 f 020 7915 8395www.visioninprint.co.uk

iii THE PARTNERS

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