The scope of the land-based engineering industry includes the following groups of machinery: agricultural; groundcare; forestry; fixed; and construction machinery.  Companies that work in land-based engineering include: manufacturers; dealerships; golf courses; sports fields; grounds maintenance contractors; farms; and mobile engineers.

Land-based engineering follows the fortunes of agriculture, and therefore is not currently growing.  It is expected that the land-based engineering industry will contract further in size with up to 150 dealers disappearing.  More mergers and acquisitions within manufacturing companies will result in fewer dealerships.

Key statistics on the industry:

• 89.1% of businesses employ less than 10 people
• 83% of proprietors are male
• 80% of staff are male
• staff and proprietors are commonly aged 45-54 years
• 6% of the workforce are 35 years or under
• 81% of employees are aged over 45 years
• common annual business turnover is £100,000-£249,000
• approximately 17% of all establishments report vacancies, of which 13% are hard-to-fill but none are the result of skill shortages

Employers are experiencing difficulties in recruiting and retaining competent and motivated staff.  There have been difficulties in recruiting graduates for training schemes due to a lack of skills especially technical, marketing and financial skills.

Training is mainly delivered through the further education and work-based learning routes, with higher education provision being supported by 5 specialised providers.  Approximately 50% of engineering provision (1094 enrolments) is delivered through further education colleges.

Some manufacturers in the industry (approximately 30%) have established their own Apprenticeship schemes to train apprentices supported through a designated college.  Several manufacturers have established master technician schemes to allow continuing professional development activity for technicians once formal apprenticeship training has finished.

Technological advances have resulted in significant skills gaps for many of the older engineers.  Skills gaps and shortages are being addressed by technical updating courses.  There is an increasing need for staff who are conversant with electronics and computer diagnostics.  Skills gaps are also evident for soft skills, such as customer service, communication, professionalism and commercial business skills.

A wide range of ‘soft’ and job-specific skills are becoming increasingly importance, for some occupational groups these include:

• managers and owners would benefit from training in business planning and marketing
• technicians/engineers need communication and customer care training
• technical staff require electrical and hydraulic knowledge/practical skills, problem-solving and team working skills

Fitters/engineers are highly skilled and highly valued.

Factors creating skills gaps in the industry include:

• lack of business planning within industry
• no formal training plans or staff appraisal system to identify training needs
• lack of training over the last 20 years due to time and cost constraints
• learner workforce because of retirements and redundancy where the skilled
• workers have left the industry
• rising levels of technology in the equipment being used

Industry drivers affecting future work and employment include:

• new approaches to land management and rural stewardship resulting in larger farms and more reliable machinery
• changing business practice from the introduction of new technologies and globalization
• increasing and changing customer demands
• new regulations on emissions and waste management to ensure rural and environmental sustainability
• legislative requirements for safer working environments
• the impact of devolution and regionalisation on the delivery of government policies and strategies

Source: Sector Skills Agreement Stage 1: Key Drivers of Skill Demand 2005, Sector Skills Agreement Stage 1: Annex 2.7 2005 and Land-based Engineering Industry report 2005

This industry is closely linked to the engineering sector, information on future trends in engineering is available on this website.

For regional distribution of businesses and employees in the industry see:

Geographical distribution of land-based engineering industry, 2005