Textiles Manufacturing Plant
(Based on information from the Financial Times fDi Benchmark tool, May 2012)
Content
Competitiveness of Scotland
Labour Availability and Quality
Value for Money
Presence of an Industrial Cluster
Overall Attractiveness
Infrastructure and Accessibility
Quality of the Location
Annual Operating Costs
Quality Competitiveness
General Business Environment
Living Environment
Benchmarking Study

The following analysis is based on fDi Benchmark, an online location benchmarking tool provided by
the Financial Times (FT)

fDi Benchmark compared the Scottish Central Belt with the leading locations globally for a Textiles
manufacturing
plant based on an analysis of over 55 quality factors and 10 cost factors

A key emphasis was placed on:
- Labour availability and quality – overall size of labour market, tightness and competition for
labour and experienced industry-specific staff
- Presence of industrial cluster – size of the industry, track record and export competitiveness
- Infrastructure and accessibility – access to major overseas markets, quality of local infrastructure
and quality of utilities

Other factors including the general business environment and living environment were also
assessed
Project Profile Overview
Cost Factor
Usage Amount
Property
Total Occupancy cost (industrial rent)
66,000 m²
Total Occupancy cost (in town office rent)
2,500 m²
Employee Type
Profile Head count
Logistics and Purchasing
Warehouse and Distribution Operative
20
Manufacturing
Weighting Model Overview
Weight
Head of Manufacturing
10
Production Manager
15
Production Operative (Highly Skilled)
30
Production Operative (Skilled)
125
Production Operative (Unskilled)
620
Labour Availability and Quality
50
Presence of an Industrial Cluster
20
Engineer
Infrastructure and Accessibility
15
Administration
General Business Environment
10
Living Environment
5
R&D / Engineering
10
Facilities/Office Services Specialist
55
Secretary
15
fDi Benchmark Matrix
The fDi Benchmark Matrix shows the trade off between cost and quality across the 4 selected locations for the Textiles
manufacturing plant profile. The average cost and quality score is 100 for the selected locations.
The ‘ideal’
quadrant is the
top left
(high quality/lower
operating costs)
Source: fDi Intelligence, from the Financial Times Ltd
fDi Benchmark Matrix
• The matrix is based on the weighting and cost
model for the Textiles manufacturing plant
profile. The weighting model identifies the key
location criteria for the project and the cost
model shows the primary cost inputs for the
operation. The cost and quality scores are
calculated using real data on all the location
requirements and cost inputs.
• The results indicate the different location
solutions for the investor as follows:
 the Scottish Central Belt and Milan offer
higher quality but at higher cost
 Bradford and Warsaw offer lower cost, but
at lower quality
The Operating Cost value is in GBP - United
Kingdom Pound
Location
Operating Cost
Qualitative Score
Index
Operating Cost
Value
Bradford
68.1
93.6
17,342,981
Milan
Scottish Central
Belt
120.9
130.1
24,109,435
112.3
114.4
21,206,790
Warsaw
98.7
62.0
11,491,387
Source: fDi Intelligence, from the Financial Times Ltd
Location Attractiveness Index
The location attractiveness index shows the overall attractiveness of the 4 selected locations for the Textiles
manufacturing plant profile. The ratio of quality to cost is 50:50
Source: fDi Intelligence, from the Financial Times Ltd
Cost Quality Competitiveness
The cost quality competitiveness uses the results of the fDi Benchmark Matrix to show the value for money of each
location option. The graph shows that:

The top location offering the highest quality for a given level of cost is Warsaw
Source: fDi Intelligence, from the Financial Times Ltd
Cost Competitiveness
The annual operating cost calculation for Textiles manufacturing plant is based on the following primary input costs:
Labour Cost
 The average cost across the selected locations for Textiles manufacturing plant is GBP 18,537,647
 The greatest cost saving between the selected locations is GBP 12,618,049 per annum
 The values in the chart below are in GBP - United Kingdom Pound
Source: fDi Intelligence, from the Financial Times Ltd
Cost Competitiveness
The location with the lowest operating costs is Warsaw
In terms of the individual cost factors, the location with the lowest costs is:


Labour Cost: Warsaw
Property: Bradford
The values in the table below are in GBP - United Kingdom Pound
Location
Labour Cost
Property
Bradford
12,917,603
4,425,377
Milan
19,578,305
4,531,130
Scottish Central Belt
14,721,296
6,485,492
Warsaw
6,406,078
5,085,308
Source: fDi Intelligence, from the Financial Times Ltd
Quality Competitiveness
The quality competitiveness assessment is based on the weight model for the Textiles manufacturing plant profile which
assesses each location across the following location factors: General Business Environment, Labour Availability and
Quality, Presence of an Industrial Cluster, Infrastructure and Accessibility and Living Environment. The average score
for the selected locations is 100.
The location with the highest quality score is Milan
Source: fDi Intelligence, from the Financial Times Ltd
Quality Competitiveness
In terms of the individual quality factors, the location with the highest score is:





General Business Environment: Milan
Labour Availability and Quality: the Scottish Central Belt
Presence of an Industrial Cluster: Milan
Infrastructure and Accessibility: Bradford
Living Environment: Warsaw
Location
General
Business
Environment
Labour
Availability and Presence of an Infrastructure
Quality
Industrial Cluster and Accessibility
Living
Environment
Bradford
13
35
4
11
4
Milan
19
54
32
11
5
Scottish Central Belt
15
66
16
10
5
Warsaw
12
45
28
8
6
Source: fDi Intelligence, from the Financial Times Ltd
General Business Environment
The quality competitiveness breakdown for General Business Environment for the Textiles manufacturing plant profile is
shown below.
The location with the highest overall score for General Business Environment is Milan
Source: fDi Intelligence, from the Financial Times Ltd
General Business Environment
In terms of the individual quality criteria within General Business Environment, the location with the highest score is:




Economic growth and stability: Milan
Operating risk: Milan
Taxation and incentives: the Scottish Central Belt
Regulatory environment: the Scottish Central Belt
Economic growth
and stability
Operating risk
Taxation and
incentives
Regulatory
environment
Bradford
1.13
1.51
6.48
4.18
Milan
6.53
7.58
3.24
1.92
Scottish Central Belt
3.16
1.51
6.48
4.18
Warsaw
4.18
1.41
4.81
1.71
Location
Source: fDi Intelligence, from the Financial Times Ltd
Labour Availability and Quality
The quality competitiveness breakdown for Labour Availability and Quality for the Textiles manufacturing plant profile is
shown below
The location with the highest overall score for Labour Availability and Quality is the Scottish Central Belt
Source: fDi Intelligence, from the Financial Times Ltd
Labour Availability and Quality
In terms of the individual quality criteria within Labour Availability and Quality, the location with the highest score is:




Overall size of labour market: Milan
Tightness and competition for labour: Bradford
Experienced industry-specific staff: the Scottish Central Belt
Flexibility of labour regulations: the Scottish Central Belt
Overall size of
labour market
Tightness and
competition for
labour
Experienced
industry-specific
staff
Flexibility of labour
regulations
Bradford
2.61
10.90
3.34
17.99
Milan
22.58
5.72
14.16
11.43
Scottish Central Belt
13.26
9.63
25.56
17.99
Warsaw
11.55
3.74
16.95
12.59
Location
Source: fDi Intelligence, from the Financial Times Ltd
Presence of an Industrial Cluster
The quality competitiveness breakdown for Presence of an Industrial Cluster for the Textiles manufacturing plant profile
is shown below
The location with the highest overall score for Presence of an Industrial Cluster is Milan
Source: fDi Intelligence, from the Financial Times Ltd
Presence of an Industrial Cluster
In terms of the individual quality criteria within Presence of an Industrial Cluster, the location with the highest score is:
 Size of industry: Milan
 Track record: Warsaw
Location
Bradford
Milan
Scottish Central Belt
Warsaw
Size of industry
Track record
1.72
2.67
19.15
13.33
4.86
10.67
14.28
13.33
Source: fDi Intelligence, from the Financial Times Ltd
Infrastructure and Accessibility
The quality competitiveness breakdown for Infrastructure and Accessibility for the Textiles manufacturing plant profile is
shown below
The location with the highest overall score for Infrastructure and Accessibility is Bradford
Source: fDi Intelligence, from the Financial Times Ltd
Infrastructure and Accessibility
In terms of the individual quality criteria within Infrastructure and Accessibility, the location with the highest score is:
 Access to major overseas markets: Bradford
 Quality of utilities: Bradford
 Quality of ICT infrastructure: Warsaw
Location
Access to major
Quality of utilities
overseas markets
Quality of ICT
infrastructure
Bradford
6.93
3.72
0.53
Milan
6.66
3.47
0.44
Scottish Central Belt
5.76
3.72
0.49
Warsaw
4.65
3.08
0.54
Source: fDi Intelligence, from the Financial Times Ltd
Living Environment
The quality competitiveness breakdown for Living Environment for the Textiles manufacturing plant profile is shown
below
The location with the highest overall score for Living Environment is Warsaw
Source: fDi Intelligence, from the Financial Times Ltd
Living Environment
In terms of the individual quality criteria within Living Environment, the location with the highest score is:
 Cost of living: Bradford
 Attractiveness for international staff: Warsaw
Cost of living
Attractiveness for
international staff
2.74
1.70
1.88
2.78
2.69
2.32
2.69
3.21
Location
Bradford
Milan
Scottish Central Belt
Warsaw
Source: fDi Intelligence, from the Financial Times Ltd
To realise the potential,
please contact:
Scottish Development International
150 Broomielaw, Atlantic Quay
Glasgow G2 8LU
Scotland, UK
T +44 141 228 2828
F +44 141 228 2089
www.sdi.co.uk
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