With competition from overseas manufacturers, rising material costs and increased labor rates, a number of North American and European manufacturers are asking themselves what they have to do to not only remain competitive, but thrive in today’s economy. When your company no longer has the answers, it might be time to call upon the services of a manufacturing consultant.
Competing today isn't easy and several companies have exhausted their internal resources on mitigating costs and improving efficiencies. A manufacturing consultant may just be what your company needs. However, what qualities should they have and what should you expect?
Importance of Continuous Improvement in Manufacturing and Supply Chain Management
When companies are faced with rising manufacturing costs, hiring the right manufacturing consultant can not only help reduce those costs, but can also point the way to a better bottom line. The question therefore becomes, what goes into hiring the right manufacturing consultant and what qualities should they have? We’ll cover the importance behind hiring a manufacturing consultant and then review the four most important qualities the best consultants bring to the table.
Focus on Eliminating Waste
Manufacturers must set the table for continuous improvement by constantly mitigating costs and eliminating waste in all its forms. This involves increasing production capacity or throughput by continually reducing cycle times in manufacturing. The approach is to analyze cycle times in each production work station and to constantly improve upon the process by reducing these times. Reducing times in one work station, and not the next, simply creates a backlog in the process. Therefore, the best approach is to reduce cycle times in each station and ensure the next work station in the process can handle the workload. The following table was taken from a project I ran recently for a client. It explains how to analyze production times in lean work cells.
The above video, graph and table outline the importance of tracking cycle time variances within individual work cells and stations. To learn more, please go to: Cycle Time Tracking & Variance Analysis in Excel for Small Manufacturers
While improving production is one part of the equation, another equally important part is to properly manage the company’s supply chain as it pertains to procurement and inventory management. After all, if there’s a shortage of materials and parts, then the production stops. Improving manufacturing includes ensuring the company has adopted a supply chain management approach that is in line with the company’s business model and the demands of its manufacturing. Materials and parts must be readily available when needed and no production delays can ever occur because of a shortage.
Understanding the importance of continuous improvement initiatives in both manufacturing and supply chain management, what must the manufacturing consultant do to make his or her efforts a success? More importantly, what should your company expect when it hires a manufacturing consultant?
- Manufacturing Consultants Must Work With Production and Not Rely on “theory”
First and foremost, the manufacturing consultant must adopt a “hands on” approach. Theory is nowhere near as important as practical application. The best consultants work side by side with manufacturing and never rely upon high level presentations in a board room. They may use meetings to explain approaches and strategies, but their most important work is done working alongside production employees.
- Manufacturing Consultants Must do Initial Trial Runs on Cycle Times
A successful manufacturing consultant understands the importance of analyzing initial cycle times with all their flaws and lost time. In fact, capturing lost time in manufacturing is a good thing for a consultant because it provides them with the impetus to affect change. Identifying lost time is critical to success. The best consultants want to find downtime in manufacturing as it allows them to put forth initiatives to reduce its impact.
The above video shows how to structure the lean work cell. You can learn more by going to: Manufacturing Work Cell Optimization: Design, Layout and Analysis
- Manufacturing Consultants Must Provide a Clear Path to Success
While analyzing initial cycle times is one aspect of success, another is to take that analysis one step further and reduce the incidence of lost time altogether. This involves analyzing delays and identifying root causes. The best consultants analyze all the times in each and every production work station. They reduce times across the board so that the overall cycle time to make the finished part is drastically reduced. Most importantly, they provide their customers with the process to make it a reality.
The best consultants have a purpose and intent on how to finish a given project. They take their customer along that road to success by explaining processes and providing quantitative results of their actions. This often includes providing a summary of savings and net benefits of reducing manufacturing cycle times and eliminating waste. Customers must come to expect to see real quantifiable results. The most proactive and resourceful consultants provide those results in a way that speaks directly to the customer’s needs.
Consultants must be able to apply real world examples and approaches that get to the heart of the issue of lost and idle time in manufacturing. They must provide quantifiable and measurable results. A number of manufacturers have made the necessary changes and have lowered cycle times and increased productivity. In pursuing these initiatives, don’t be afraid to use the services of an experienced manufacturing consultant.
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