Ladies and gentlemen. It is a great pleasure to welcome you to today s conference.

Transcription

1 Erhvervs- og vækstminister Henrik Sass Larsens tale ved åbning af konferencen Shaping the strategy for tommorow s production den 27. februar 2015 kl. 9:10-9:20. Ladies and gentlemen. It is a great pleasure to welcome you to today s conference. Two hundred years ago, the introduction of machines led to an up-rise among British weavers. The new engine-powered machines could produce more fabric for clothing than several weavers using the traditional manual equipment. The weavers saw the new machines as a danger, undermining their livelihood. So, the weavers destroyed the machines. Side 1 af 12

2 Today, we know that machines and new production technologies are not the enemy of workers, but quite the opposite in fact. There is no reason to oppose technological progress. Instead we should embrace it and take advantage of it, especially in countries with relatively high costs, such as Denmark. This is what today s conference is all about. How do we make sure that workers, companies, and our economy as a whole are fit to make use of all the new possibilities that come from big data, the Internet of Things, robotics and automation. Side 2 af 12

3 [An industrial renaissance] During the last decade Denmark lost more than production jobs, far more than our neighbouring countries. We want to change this development. No longer shall we accept the erosion of our production sector. We cannot afford to repeat the mistakes of the previous decade and just look passively at the weakening of our competitiveness and the resulting loss of manufacturing jobs. Side 3 af 12

4 Therefore, the Government has launched a number of growth plans and initiatives. And we have laid out a strategy for Denmark as a production country and established the Production Council. But this is not a quick fix. It takes time and requires hard work from policymakers like me - and business people like you to succeed. Our goal should be clear: Ten years from now, Denmark should still be home to some of the most advanced production companies in the world. Side 4 af 12

5 Some might say that we are fighting the inevitable. Why even try to stop China, India and the rest of the developing world from being the world s factory. After all isn t this exactly what globalisation is all about letting work be done, where it can be done the cheapest? Well, I don t think so. I truly believe that there is a future for production in Denmark and in Europe if we seize the opportunities that lie in new production technologies. This is especially important for small open economies. We need to be agile and ready to adapt quickly to new global trends and stay on the forefront of the technological development. Side 5 af 12

6 The Danish economy rests on a number of industrial strongholds, ranging from pharmaceuticals, food and clean tech to shipping and creative industries. In all of these sectors there are important opportunities for production going forward. But let me also be clear on one thing. We cannot - and should never try to - compete with the developing world by lowering salaries in our part of the world. A race to the bottom is simply not an option. Side 6 af 12

7 [Workers, investments and foresight] Let me highlight three issues that I believe are of crucial importance if we are to succeed. First, we should make sure that workers are prepared for and able to make use of the new technologies. This involves a focused effort in our schools and in the adult educational programs, but also an effort by the companies themselves. Now more than ever, management has a clear incentive to invest heavily in their workers education and training. Side 7 af 12

8 Second, we need to have a financial system that supports and helps our companies to invest in new production technologies. There will be no progress without investments in technologies as well as in the people who are to make use of the technologies. Third, we need companies and entrepreneurs to see the great opportunities that arise from new production technologies. Too often the leaders of our small and medium scale companies as well as politicians have their eyes fixed on today s challenges instead of tomorrow s opportunities. Now is the time for big ideas and discussions of what it takes to succeed as and advanced and competitive manufacturing country. Side 8 af 12

9 [An industrial revolution] We are standing on the verge of a new industrial revolution that will challenge our common understanding of what production is. A noisy and dirty factory filled with sweating men might still be the media s stereotypical picture of real production. But it has very little to do with what production is like today and even less to do with what production will be like tomorrow. Side 9 af 12

10 The production of tomorrow is characterized by high-skilled and well paid employees using the latest technologies to streamline the production and come up with new products. What was once a machinist will tomorrow be a CNC-technician controlling computers and robots doing the actual manual work. The Danish government wants Danish companies to be part of the industrial revolution. This is the background of today s conference and the establishment of the Production Council. And it plays a key role in the growth initiatives presented by Government during the last couple of years. Side 10 af 12

11 Like the weavers in Britain 200 years ago, some might fear that a new industrial revolution will only lead to massive job losses. I don t share this fear. I believe technological development is actually the prerequisite for a future of production in our part of the world. Let me be frank with you. The alternative is not that everything remains as we know it is today, but instead a continuing loss of production jobs as well as a growing loss of research and development jobs. Business as usual is not an option for companies in a competitive environment. Therefore, we and the companies should focus on how the new technologies can help them develop and expand their production. Side 11 af 12

12 And let us not restrain by the rules of convention. As Henry Ford, the inventor of the assembly line and the mass production of cars, once said: If I had asked my customers what they wanted they would have said a faster horse. Let us today focus our time and shared energy on the opportunities that lie ahead of us. Side 12 af 12