Manufacturing businesses face many unique challenges regarding increasing productivity and profitability. Maintaining high quality, keeping production costs down, and meeting strict delivery schedules are all factors that make manufacturing a very different type of business from other industries. While there is no universal solution for every manufacturer, there are plenty of ways you can increase productivity in your facility. This post looks at 5 ways you can do just that.
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Commit to investing in employees and accelerating training
If there is one thing that all manufacturers can do to boost productivity, it is committed to invest in human capital. Human capital is the people who work in your facility and produce your product. Manufacturers invest in human capital by providing their workers with the training and resources they need to be successful on the job. When employees have the training and tools they need to do their jobs, they can produce products with less waste and fewer defects. What’s more, when your team members are appropriately trained, they can perform their jobs with less effort, which reduces labor costs. When your employees have what they need to be successful on the job, they are more likely to stay with your company. A high employee retention rate is an excellent indicator of overall company health.
Automate as many processes as possible with robotics and other forms of automation
Automation is one of the most common ways that manufacturers boost their productivity. There are many areas in a manufacturing facility where automation can help reduce costs, improve quality, and increase efficiency. Areas like inventory management, quality control, and scheduling can all benefit from technology automation. This doesn’t mean you need to invest in expensive new equipment to boost your productivity. For example, investing in barcode software can help you streamline your inventory management system, leading to fewer shortages and out-of-stocks. Other common ways to boost productivity through automation include data-driven workflows, standard operating procedures, as well as the use of technology to reduce downtime.
Streamline and standardize your supply chain
There are many ways to streamline and standardize your supply chain to reduce costs and improve efficiency. It starts with understanding where your supply chain is currently falling short and your options for improvement. Look for areas where your supply chain is inefficient. For example, your supplier might not deliver products on time or may not provide the quantity you need each time. If you are experiencing these problems, consider ways to reduce your dependency on that supplier and find others who will be more reliable.
Commit to continual process improvement with continuous experimentation
Manufacturers who want to boost their productivity and profitability will find that continual process improvement (CPI) is an integral part of the equation. CPI is the act of testing, measuring, and modifying your processes to see what works best. It is a great way to reduce waste and improve overall efficiency. All manufacturers should have a culture of experimentation. You encourage your team members to experiment with new ideas and process changes to see what works best in your facility. When people are allowed to experiment, your employees will see better results because they have been given a chance to try new things and make changes.
Invest in advanced manufacturing equipment
Investing in advanced manufacturing equipment is often a great way to boost your productivity, but it is essential to remember that it will likely be a significant investment. This is something that only certain manufacturers can do, and it does come with risks. First, you must understand how the equipment will improve your productivity. Second, you will need the capital to purchase equipment such as a new conveyor pulley. Consider investing in advanced manufacturing equipment when all other methods have been exhausted and you still fall short on productivity.
Takeaway
Successful manufacturers understand that boosting productivity is a continuous process. If you make these changes, you must review them regularly to see if you are making progress.