No matter how much you try to improve the different work process, you cannot achieve the required level of productive efficiency. As a result, you have higher costs and this brings down the profit. Accompanying problems typically include lower customer satisfaction and reduction in market share and inability to attract new clients. Lower productivity has a negative impact on employee motivation as well. When all of these issues are present at the same time, the company is at a very high risk of going down. That is why you must take action timely. Here is a concept which is effective for practically all manufacturing companies.
The solution is called lean manufacturing. It is all about identifying waste and eliminating it from the production system. The term “waste” covers not only material waste, but also the waste of time, money and nonmaterial resources such as labour. When there is no waste, the system will work at its maximum capacity. It will be highly efficient and bring costs down and profits up. The implementation of this method requires time and specialist knowledge and skills. That is why companies that use it hire a specialised lean manufacturing consultant. The professional and their team http://www.theleanteam.com.au/ provide training based on extensive analysis designed to assist employees at all levels at increasing their productivity.
This method for boosting productive efficiency and profit involves three core steps. These are:
- Pinpointing issues – The idea is to identify waste in all stages of the production process from the provision and use of supplies to the keeping of inventory and the transportation of the ready products. Some of the problems which are typically present include time lags between the different stages, too much work on the product and the inefficient use of machine capacity and the potential of workers.
- Analysis – New data is collected and existing figures are used for analysing the situation in the company and for finding the ways in which it can be improved. The analysis is typically done by the lean manufacturing consultant who works in cooperation with the management of the company.
- Issue Resolution – The final stage involves countering the existing problems with specially designed strategies. Usually, the whole staff receives training so that improvements can be made effectively at all levels.
There are different kinds of approaches which are based on this particular concept and which can be used for increasing productivity and profit. The consultant and the management of the company selects the best approach based on the specifics and needs of the business and on the time and resources available to them.