The Manufacturing Agenda
An uptick in activity? Boards anticipate a busy period ahead. Almost equal proportions expect to undertake buy-side M&A (30%) and sell-side M&A (29%) in the next 12 months. This could indicate an increase in deal activity as businesses revisit growth plans that were placed on hold during more volatile market conditions. Alongside M&A, boardroom leaders expect to focus on fundamental operational and financial issues. Cashflow and working-capital pressure, cited by 29% of respondents, remains a key area of attention. Skills and talent also feature prominently (29%), reflecting ongoing competition for capability and the need to build leadership resilience. New geopolitical risks (28%) were also expected to prompt board-level action, mirroring the uncertainty seen throughout 2025. Lenders and investors shared many of the same concerns. When asked what would prompt them to intervene in a portfolio company over the next 12 months, respondents pointed first to cost, cashflow and working-capital pressure (44%). Investment in automation and digital capability followed closely (41%), as did people, skills and leadership resilience (37%). Demand, margin and supply chain volatility (35%) and sustainability and ESG transition topics (32%) also remained high on the list. These shared priorities indicate that, while boards and lenders may view risks through different lenses, there is significant overlap in the issues they expect to shape the year ahead.
30%
29%
Expect to undertake buy-side M&A
Expect to undertake sell-side M&A
29%
28%
29%
Are focused on cashflow and working-capital
Are focused on skills and talent
Expect geopolitical risks to prompt board action
41%
37%
44%
Said cost, cashflow and working capital pressures would trigger intervention
Flagged automation and digital capability investment as a key intervention trigger
Stated people, skills, and leadership resilience would be a trigger
24
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