Delphi Research Questionnaires (round 1)Delphi Research Questionnaires - Round 1Step 1 of 520% Thank you for your participation as ‘expert panel member’ for the Research MADE IN EUROPE. The methodology for the questionnaires is based on the principles of a Delphi research.The Delphi technique is ‘an intuitive methodology for organizing and sharing “expert” forecasts about the future. Delphi operates on the principle that several heads are better than one making subjective conjectures about the future…and that experts will make conjectures based upon rational judgement rather than merely guessing…’ (Weaver, 1971).Procedure and Planning The procedure of the Delphi research MADE IN EUROPE will be as follows:Following this introduction, you will receive 6 questions on 4 topics related to the Research (Round 1)All answers from the participants will be collated and returned to you. In Round 2, you are invited to revise your initial input using the collective input from the other participantsIn the final 3rd Round the collated answers from Round 2 are again presented to you for your final revision and commentsUsing the shared and revised expert participants input, the Researcher can explore the level of consensus on the different research questions.Structure of the questionnaireThe questionnaire is split into four sections: The questionnaire is split into four sections:De-industrialization in Europe2 research questions (open)Operations strategy1 research question (open)Industrial location factors1 research question (semi open, rating of options)Decision making process2 research questions (open)Each topic will be introduced shortly after which the research questions will be presented. Most questions are self-explanatory with specific notes on each individual question.Closing Note: The Research questions refer to ‘the European Manufacturing Industry’. In your answer, please take the perspective of the specific Manufacturing sector close to your personal and professional experience.You are kindly requested to finalize your input for this questionnaire not later than the 31st of March 2017.Part I – De-industrialization in Europe ‘The first and simplest characteristic of a post-industrial society is that the majority of the labour force is no longer engaged in Agriculture or Manufacturing, but in Services’ Daniel Bell – The coming of Post-Industrial Society(1973)Introduction De-industrialization is ‘the decline in importance of the manufacturing industry in a region’. The table below shows the development of employment (1995 and 2013) of the main sectors of the EU-15 economies. From the Data research Made in Europe 2015 (original source: Eurostat) Some observations are:The total number of people employed increased with almost 21 million people (+14%)Employment in the sectors Agriculture and Industry decreased with over 9 million peopleEmployment in the Services sectors including Education and Health increased with almost 30 million people What are the main drivers behind de-industrialization? Relevant publications (e.g. Kollmeyer, 2007) sum up the following two main contributing factors: Productivity growth (new innovative technologies, ‘machines replacing manpower’) and Economic globalization (shift to low labour cost countries, outsourcing, global sourcing). Taking a closer look at the individual European Manufacturing sectors (see next table), the picture is even more diverse: a decrease of employment in all Manufacturing sectors except for the automotive sector: from -2% up to -62%. One Manufacturing sector shows an increase in employment: the Automotive sector. This increase is mainly due to one country in Europe: Germany. 1. As per Collins English dictionary (2014) 2. EU-15 countries: Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal, Spain, Sweden and the United KingdomEU-15: employment data (source: Eurostat)Please look at the Manufacturing sector most relevant for you. The following two questions will be related to your personal experience, with the objective to get a common understanding of the root causes for the substantial changes in manufacturing sector employment.Research questions1. Based on your personal experience in the Manufacturing Industry, what do you see as the most significant factors that have contributed to the shift in employment within the European Manufacturing sector?*Note: your answer will be analysed collated alongside the other participants, identifying the frequency of factors mentioned. In Round 2 you will receive the ranked input from all participants for further review and revision.2. In the next 10 years, do you expect employment in the European Manufacturing Industry to increase or decrease?*Note: please make your argumentation as specific as possible by indicating which influencing factors you consider most relevant for increased or decreased employment. In Round 2, the frequency of factors from all participants will be ranked for your subsequent review and revision.Part II - Operations strategy‘Manufacturing companies are either mindlessly global or hopelessly local’Anonymous quoteAt the end of the 20th century, a new technological revolution emerged: computer technology and the Internet: the 3rd Industrial or Digital Revolution. The birth of the Internet and the use of renewable energies are the main triggers for revolutionizing the industrial sector around the turn of the millennium. The cost of transportation and communication dropped substantially and Manufacturing on a global scale was critical for most Manufacturing companies to secure a competitive advantage.A previous research (MacCarthy and Atthirawong, 2003) described the following considerations for Manufacturing companies making international location decisions (in order of importance):Access to low labor cost and labor skillsAccess to marketsTax incentives from host governmentsAccess to raw materials and technologyCounterattack against competitors In recent years, business leaders and politicians refer to the 4th Industrial Revolution or Industry 4.0. Breakthrough technologies like 3D printing, advanced robotics using artificial intelligence and nanotechnology are introduced into the global market at incredible speed. The Internet of Things is connecting more and more physical devices to each other. With highly outsourced and global supply chains the industrial market is primarily global. A well-designed, cost effective global supply chain however, can quickly become a cost burden as new and disruptive technological developments reshape the manufacturing marketplace.Research question3. Considering the Manufacturing Industry has now entered the 4th Industrial Revolution, what do you currently consider to be main strategic and operational drivers for manufacturing companies working across borders for the coming decade?*Note: Please use MacCarthy and Atthirawong’s considerations as reference or add freely other considerations you believe relevant. Your answer will be analysed and collated alongside the other participants, identifying the frequency of factors mentioned. In Round 2 you will receive the ranked input from all participants for further review and revision.Part III – Industrial Location Factors‘The advantages of relocation are inevitably complicated by the advantages of staying put.’Roger Hayter (1997)IntroductionResearch on Industrial Location factors is part of the discipline of Economic Geography and deals with the question where economic activity takes place and why? (Fujita, Krugman and Venables, 1999) Economists and other scientists generally agree that the main objective of a company’s location strategy is to minimize cost. What location factors are important for manufacturing companies looking for global capabilities? For determining the criticality and relative importance of various location factors, we will be using the fourteen location factors described by Masood Badri in his 2007 publication as starting point for this questionnaire.Different Manufacturing sectors have different priorities related to industrial location factors. E.g. the Oil & Chemical sector may consider the factor Utilities (availability and cost of energy) as more critical than some other Manufacturing sectors. You are requested to rate all 14 factors to determine what you consider to be important for the Manufacturing sector of your experience.Research question4. Based on your professional experience, how would you rate the critical location factors for industrial location of the European Manufacturing Industry in the coming decade? Please rate each factor individually using one of the giving options. Please add critical factors freely if considered appropriate.4.1 Transportation* Unimportant Slightly important Important Very Important4.2 Labor* Unimportant Slightly important Important Very important4.3 Raw materials* Unimportant Slightly important Important Very important4.4 Markets* Unimportant Slightly important Important Very important4.5 Industrial site* Unimportant Slightly important Important Very important4.6 Utilities* Unimportant Slightly important Important Very important4.7 Government attitude* Unimportant Slightly important Important Very important4.8 Tax structure* Unimportant Slightly important Important Very important4.9 Climate* Unimportant Slightly important Important Very important4.10 Community* Unimportant Slightly important Important Very importantInternational location factors4.11 Political situation of foreign country* Unimportant Slightly important Important Very important4.12 Global competition and survival* Unimportant Slightly important Important Very important4.13 Government regulation* Unimportant Slightly important Important Very important4.14 Economic factors* Unimportant Slightly important Important Very importantOther main factors4.15 Other main factors, please defineNote: your rating will be collated with the ratings from all other participants, showing the relative importance of each factor. In Round 2 you will be able to revise your individual input and add any other relevant factors if applicable.Part IV – Decision Making‘…Research shows that half of the decisions made in business and related organizations fail.’Paul C. Nutt (From: Why decisions fail, 2002)Long-term success of any business depends on making the right decisions. Research on decision making however showed that decisions frequently fail. Research also showed that the decision-making process for a business is perhaps much less a rational, analytical process than one might think. Gut feel and intuition play a major role in business decisions, same as in everyday life decisions.Industrial location decisions are strategic and complex. In the previous decades, globalization has resulted in many industrial relocations with the objective to conquer new markets and gain cost competitive advantages. Earlier research (MacCarthy and Atthirawong, 2003) showed that in making international location decisions, the following four problems are considered most difficult:Many factors involved in the decision processDifficult to get the right information and right peopleManagement issuesThe relation of new location and existing manufacturing resources/technology This last section of the questionnaire will deal with the complex process of taking industrial location decisions.Research questions5. Based on your previous and personal experience, what do you consider to be the most difficult problem or problems to overcome when dealing with international manufacturing location decisions?*Note: Please use the problems documented by MacCarthy and Atthirawong as reference and/or add freely other problems you believe are relevant. Your answer will be analysed and collated alongside the other participants, identifying the frequency of problems mentioned. In Round 2 you will receive the ranked input from all participants for further review and revision.6. Based on your business experience, what recommendations do you have to overcome the problems related to the industrial location decision making process?*Note: Please use the specific problems you selected in Question 5 for your recommendations. Your recommendations will be analysed and grouped into comprehensive categorized recommendations. In Round 2 you will receive the categorized input from all participants for further review and revision.
