The Shipbuilding and Repair
Industry
Wirral's maritime economy really took off during the industrial era with the growth of shipbuilding in Birkenhead and Wallasey leading to a population explosion of dramatic proportions. This period also resulted in the area becoming a world leader in maritime innovation and oceanography. Cammell Laird shipyard in Birkenhead has played a massive role in Wirral life for generations.
However, the SRI has significantly
restructured itself over the last two decades from a mainly
labour-intensive to a capital and knowledge dominated high-tech
production.
Broadband is now generally recognised as a key factor contributing to productivity. Cost reductions stemming from improved communication and data exchange, as well as lower transaction costs are the main reasons why companies implement e-business applications.
The main driving force for developing,
implementing and using IT as well as e-business in the SRI is
increasing international competition, especially from Asian
countries. Korean shipyards are trying to streamline their
production processes by investing in new technologies and in
e-business. China is also starting to invest in modern production
technologies and e-business tools.
Due to structural changes in the SRI, small and medium-sized supplier companies for maritime equipment or engineering services generate more than 70% of a ship's value.
On average, SMEs are slower in adopting IT and e-business, because they are not able to realise economies of scale and lack expertise as well as a qualified labour force. Wirral's investment in NGA broadband will enable both the large scale employers like Cammell Laird as well as the SMEs to implement these new IT improvements at significantly reduced cost.