Manufacturing Industry – innovation is key to success

Based on expert discussions, Deloitte has analysed the capability for innovation, as well as the opportunities and challenges for the Swiss manufacturing industry.

How innovative is the Swiss manufacturing industry? How do Swiss enterprises deal with the pressure to innovate? Deloitte has investigated and analysed the innovation capability of the Swiss manufacturing industry, with focus on MEM (mechanical and electrical engineering).

The Swiss manufacturing industry – and therefore the international leadership position of Switzerland and its industrial firms – has come under increasing pressure in the last few years. This is a result of production locations in other countries, which are mostly producing at lower prices, catching up in regards to quality and innovative strength. Deloitte has discovered additional reasons behind the increased pressure: Accelerated innovation processes, an increasing tendency to relocate production abroad and a trend towards far-reaching innovations that go beyond traditional product and process innovations.

Accelerated pace of innovation processes

The acceleration of innovation processes on a global level presents a challenge for Swiss industrial firms. Ralf Schlaepfer, Manufacturing Industry Leader Deloitte, explains: “Swiss manufacturing firms have to organise their innovation management more efficiently in order to stay competitive. The best protection against competitors is to bring innovations onto the market faster. Therefore, the pressure to innovate is of strategic importance and needs to be initiated and orchestrated by the firm’s top management.”

Global trends in innovation

The main demand in today’s global market is for innovations which go beyond mere process innovation. “Swiss manufacturing firms are well positioned”, says Markus Koch, Consulting Partner at Deloitte. “Some Swiss firms are offering extremely innovative solutions in the area of maintenance and service. They are engaging in exciting development cooperations and are successfully tackling themes such as ’Open Innovation’”.

Deloitte Research on Swiss manufacturing industry

Based on more than 20 expert discussions, Deloitte has investigated and analysed the topic of innovation for Switzerland’s manufacturing industry. This extends Deloitte’s existing research and analysis on the Swiss manufacturing industry, which was carried out in a large-scale study carried out at the end of 2012. At this time Deloitte analysed the general challenges faced by the Swiss MEM industry.

About Deloitte in Switzerland

Deloitte is a leading accounting and consulting company in Switzerland and provides industry-specific services in the areas of audit, tax, consulting and corporate finance. With approximately 1,100 employees at six locations in Basel, Berne, Geneva, Lausanne, Lugano and Zurich (headquarters), Deloitte serves companies and institutions of all legal forms and sizes in all industry sectors. Deloitte AG is a subsidiary of Deloitte LLP, the UK member firm of Deloitte Touche Tohmatsu Limited (DTTL). DTTL member firms comprise of approximately 200,000 employees in more than 150 countries around the world.

Note to editors

In this press release references to Deloitte are references to Deloitte AG, a subsidiary of Deloitte LLP, which is the United Kingdom member firm of Deloitte Touche Tohmatsu Limited (“DTTL”), a UK private company limited by guarantee, whose member firms are legally separate and independent entities. Please see www.deloitte.com/ch/about for a detailed description of the legal structure of DTTL and its member firms. Deloitte LLP and its subsidiaries are leading business advisers, providing audit, tax, consulting and corporate finance services through more than 12,600 exceptional people across the UK and Switzerland. Known as an employer of choice for innovative human resources programmes, it is dedicated to helping its clients and people excel. Deloitte AG is recognised by the Federal Audit Oversight Authority and the Swiss Financial Market Supervisory Authority. The information contained in this press release is correct at the time of going to press.