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WE NEED A STRONG AND INNOVATIVE MANUFACTURING SECTOR

implementation of lean manufacturing continuously grow, adapt and
principles. We do this because we evolve to address the new economic
believe it is what the utility sector both realities. To this end, we are an active
wants and needs. participant in Project 13, an Institute
The UK water and gas markets in of Civil Engineers-led collaborative
which AVK operates are dominated by model for enterprise, as opposed
regulatory five-year price reviews and to the transactional delivery of
the associated capital and operational infrastructure. Water companies and
investment plans of the utilities. It Tier-1 contractors are among the
is an industry structure marked by early adopters of Project 13. We will
five-year framework contracts and shortly be opening the AVK Academy,
balanced scorecard procurement. a high-tech facility that will enable us
However, as the recent Public Accounts to learn more about the challenges
Committee report on water supply facing our gas and water company
and demand management made clear, customers, sharing our knowledge and
it is a sector that must also meet expertise with them. Furthermore, we
challenging long-term sustainability are developing a portfolio of ‘first to
and climate change goals. market’ smart technology products
To achieve both short-term and long- including pressure management
MANUFACTURING IS CRITICAL TO OUR ECONOMY term goals, I believe all parties in the devices (PMD) and smart air valves.
utility sector should further embrace The Water Act 2014 added a
I would like to make it clear that I am open engagement, collaboration and a new obligation on Ofwat and water
not suggesting that UK manufacturers strategic perspective on procurement. companies to increase the resilience
get a free ride. I am arguing, For example, water and gas companies, of water and wastewater systems. It
however, for a different approach to tier one contractors and consultants identified the need to promote long-term
procurement, one that appreciates and would benefit from deeper engagement planning and investment. Water and
values investment in quality, skills, with manufacturers and suppliers gas companies, in turn, need resilient
innovation, logistics and manufacturing that have shown their commitment to suppliers with a parallel commitment to
facilities; an approach that sees its the sector by investing in it. There are long-term investment. It is investment of
planning horizon as the long term innovation and engineering resources this type that has enabled us and other
rather than simply today’s lowest price. to tap into, different perspectives to UK manufacturers to help the water and
I am Chairman of AVK UK Group, evaluate, and datasets to be shared. gas companies maintain supplies during
which employs over 600 people and Diversity is key to unlocking the the Covid-19 lockdown.
has a UK turnover in excess of £90 sector’s challenges. For the reasons I have outlined above,
million. It has a long and proud history It is not a one-way street. I the UK needs a strong and innovative
of manufacturing products for the UK recognise that our business needs to manufacturing sector. The UK gas and
gas and water sectors as witnessed water industries cannot afford to sub-
by brands such as Donkin, Fusion, contract their futures to the vagaries of
Glenfield, Syddal and AVK itself. It is To achieve both short-term international markets and the volatility
part of a global group with a strategy of of exchange rates.
serving water and industrial markets. and long-term goals, I believe
Implementation of this strategy is, all parties in the utility sector AVK is an international group dedicated
however, focused totally on the needs of should further embrace open to the development and production of
local markets. Even during the Covid-19 engagement, collaboration valves, hydrants and accessories for water
lockdown we have continued to invest and gas distribution, sewage treatment
in new product development, our new and a strategic perspective and fire protection. For more information,
AVK Academy, ERP systems and the on procurement visit www.avkvalves.com

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