Manufacturing growth brings a grin from the grain for McArthur
A grain drying system with temporary silo storage, designed and constructed by McArthur Agriculture.
By Scunthorpe Telegraph | Posted: 11 Feb 2019
A North Lincolnshire farm equipment manufacturer is celebrating an impressive 12 months after sealing new contracts worth more than £2 million.
McArthur Agriculture, which employs 21 people at its Flixborough facility, has seen sales rise 25 per cent during 2018 as it meets demand for its specialised range of engineering services grow significantly.
It builds grain processing and storage systems, and has created six new jobs in the period, that has seen turnover hit £5.5 million.
A similar number of roles are expected to be generated if the move into the commercial processing and storage sector goes as planned, with turnover growth on a par too.
John McArthur, managing director of McArthur Agriculture, said: “We can offer a complete turnkey solution for clients, starting with the design and procurement, through to project management, construction and final handover – this is proving extremely popular.
“Traditionally, our clients have been in the agricultural sector, but there is now scope to take our grain storage and processing technology into the commercial market. Conservative estimates suggest that this could more than double our revenue over the next three years.”
The company has tapped into external support from the Manufacturing Growth Programme to develop its leadership and management team, improve operational scheduling capacity and create a strategic financial plan to support future expansion.
Mr McArthur, pictured right, said: “In order to scale up quickly, we decided to embark on a strategic review of the business to identify areas of improvement within the company.
“The Manufacturing Growth Programme identified the need to develop our leadership and management approach, the sales team and operations, putting in place a financial strategy to help us grow as projected.”
One of the key outcomes has been to create a new board within the business, based on Bellwin Drive, Flixborough Industrial Estate. This has refined the decision-making process, ensuring the senior management are aligned with the company’s shared values, while also providing a forum to resolve disagreements.
Mr McArthur added: “The Manufacturing Growth Programme has been outstanding, with the support proving very effective and delivered without lots of paperwork and with minimal amount of fuss.”
The scheme is a successor to the Manufacturing Advice Service, and support can be used for leadership and management, research and development, lean manufacturing, productivity and capacity, quality systems and supply chain development. Improvement grants are also available.
Neil Harriman, Manufacturing Growth Programme manager, said: “McArthur Agriculture is a fantastic business, which should be used as an example to show just what is possible in a rural region like Greater Lincolnshire.
“Once a farming family, they have now diversified and built a successful business with huge potential utilising the expertise they had developed back on their farm.”