In 2017 and 2018 the year on year growth in South Africa’s manufacturing production declined substantially. In 1994 manufacturing accounted for 20% of GDP. It now stands at 14%.
In February 2019, local utilisation of available manufacturing capacity was sitting at 80.8%, leaving 12.2% capacity unused.
In a sluggish economy, where demand is weak, margin management is a business imperative.
Manufacturing executives often think they know how well their company is managing margins,