Tag Archives: Efficiency

Have you heard of a High Reliability Organization? The concept has been out there for several decades but it’s taking center stage again now. Let’s delve into what a High Reliability Organization is, why this concept is coming to the forefront again, and whether you should explore implementing the principles in your own organization.

Simply put, a High Reliability Organization (HRO) is a company that has a solid operating system of execution in place that emphasizes safety and strives to minimize risk across the business.

We’re talking about complex or hazardous industries like nuclear power, the Navy and other branches of the military, air traffic controllers and the mining industry.

The idea behind HRO is a basic one. Expect the unexpected. An HRO creates a number of operational systems and ways of working that promote consistency and keep the focus on achieving company goals while avoiding major errors. These systems not only make the HRO more nimble, responsive and functional than a non-HRO competitor, but they also deliver more efficiency and most importantly, safety.

Why being an HRO is vital today

The concept of HROs has long been a method of ensuring safety in hazardous industries, but it’s becoming more relevant today in mining and other industries because of a perfect storm of circumstances. The marketplace is changing dynamically. Shifting sands don’t exactly make for solid foundations. A few things happening now:

Natural disasters. We seem to be in a period of increased earthquakes, “storms of the century,” droughts, volcanic eruptions and more. It makes facilities vulnerable to disruption.

Cyber attacks. Another vulnerability. As the industry gets more dependent on technology, the vulnerability to hacking of control systems ratchets up.

Boomer retirements. The impact of this can’t be overstated. Baby Boomers make up nearly a third of the entire U.S. workforce. The U.S. Census Bureau projects that 4.4 million people will turn 65 (retirement age) every year from now through 2027. During the period from 2022 to 2030, 75 million Americans are expected to retire. Called the Silver Tsunami or the Great Retirement, it is the largest surge of retirement age Americans in history.

Loss of institutional knowledge. Those retiring Boomers represent your most experienced, knowledgeable workers. These are the people who have gotten the job done, and done safely, for decades. All of that know-how will walk out the door with them.

Lack of skilled workers. It’s a real problem for many industries, including mining. Talent acquisition and training is on the top of the list of concerns for mining CEOs, because when those Boomers retire, the mining industry needs skilled, experienced people to keep the operation moving.

Doing more with less. In this economy, it is incumbent on companies to do more with less, cut costs, trim staff and extend the lifecycle of equipment while also investing in AI.

All of these things are coalescing into a situation in which the mining industry is experiencing a great potential for increased risk. It’s easy to see why. Experienced people retiring en masse, less experienced people taking up the mantle but not having that deep institutional knowledge you just can’t get in a training course, and the need for constant cost cutting – it all adds up to risk.

And when you’re talking about operations in a mine, risk doesn’t just mean business disruption. It means people’s lives.

HRO core principles

It’s about more than just focusing more on safety. The core principles of HROs, specifically in the mining industry, include:

Preoccupation with failure. It’s vital to anticipate the potential for failure and put measures in place to stop a problem before it starts. Emergency response training, regular equipment inspections and maintenance, failsafe protocols. The goal here is to be ready to spring into action, to have that training kick in, when a potentially disastrous situation arises.

Sensitivity to operations. Everyone’s eyes need to be open, all the time. Much like the “see something, say something” campaign at airports, it means developing a culture of awareness among workers on the front lines and in the front office. Identifying processes and  ways of working that can be optimized; or potential issues or risks that could lead to disruption in the future.

Resilience. The ability to roll with the punches. Redundancies need to be built in. Clear protocols for disruptions or sudden change responses need to be automatic.

Shared understandings. Everyone in the organization needs a shared understanding of HRO principles, the role they themselves play, and are operating with the same road map.

Respect hard-earned expertise. Those Boomers who are retiring? They know how to get the job done. They’re carrying your organization’s institutional knowledge – the part of the job that can’t be taught in a training class. This knowledge needs to be respected, especially when decisions get made.

Why being an HRO matters

Why should mines focus on high reliability? Here are a few of the benefits.

Safety. Since the first canary went down a coal mine, this industry has been implementing safety protocols. It can be dangerous for people working in a mine, period. Anticipating risks and putting safety protocols in place will save lives and reduce accidents and injuries.

Efficiency. The focus on asset management minimizes unscheduled downtime and process disruptions, while getting everyone on the same page streamlines operations. It all works together to increase efficiency.

Equipment lifespan. One of the challenges today is doing more with less, and that means keeping aging equipment on the job. The regular maintenance and inspection of equipment adds to its lifespan.

Hiring and retention. That lack of skilled workers? It’s causing stiff competition for the skilled workers who are out there. Being a High Reliability Organization shows new recruits that you’re committed to safety, value their contributions and knowledge. In short, it’s a powerful recruiting tool.

How USC can help: Anticipate the Unexpected

One of the most vital components of transforming into an HRO is the integration of a solid Management Operating System that breaks down siloes between areas of the organization like engineering, maintenance, procurement and operations.

The end goal: Constantly anticipating the unexpected and executing in a consistent manner.

When USC begins the process, we start with an assessment of current operations. Then we do a deep dive. Some, but by no means all, of the areas we focus on:

Identify operational disconnects. Is everyone on the same page to execute the plan? Are priorities between departments aligned? Has production prepared access to equipment to be maintained? Are shift managers setting work expectations in the same way? How are variances to the plan addressed?

Close the gaps. This is about breaking down silos and getting everyone looking in the same direction, working in the same way, and managing departmental operations with a common vision.

Build in buy in. Like many projects that require change at all levels of the organization, this requires buy in from the corner office to the depths of the mine. In many instances, this requires a culture change, with people being used to doing the job one way now asked to shift their operations.

Make it transparent. Change can’t be foisted on people in a vacuum. The new initiative on transforming into an HRO should be a full team effort, with full transparency from the top.

Implement measures and metrics. It’s also important to implement accurate measurements and targets. Still, one assessment rises above all others: addressing overall organizational health. Organizational health is the softer side of the business that is frequently dismissed because it is often viewed as both difficult to revamp and even more difficult to measure.

HRO Checklist

Do you need to focus on High Reliability Organization? Here’s a quick checklist to help you decide.

• Do you have an organization-wide sense of susceptibility to the unexpected?
• Does everyone feel accountable for organizational reliability?
• Are your leaders paying as much attention to managing unexpected events as they are to achieving formal organization goals?
• Do people at all levels of your organization value quality?
• Have you identified how your activities could potentially harm your organization, employees, other stakeholders and the environment at large?
• Do you pay attention to when and why your employees or other stakeholders might feel angry or disenfranchised?
• Do you have widespread agreement among the organization’s members on what shouldn’t go wrong?

Transforming into a High Reliability Organization doesn’t happen overnight, and many challenges exist in the process. It requires a cultural shift, training for both workers and management, investing in protocols, and commitment from the top.

But, in today’s volatile world, it’s a solid framework the mining industry can use to ramp up safety, increase efficiency, minimize risks and anticipate the unexpected. For help setting up your HRO, contact USC Consulting Group today.

Back to top ↑

Since the industrial revolution, every technological advancement has been viewed through the lens of its effect on jobs. Will I be obsolete? Can a machine do my job better than I can? Are the bots coming for me? If my skills are rendered obsolete, what will I do?

The plain truth is, sometimes machines can do the job better, faster or more efficiently than a human can. Think of the advent of the sewing machine. Even your grandmother’s old Singer model is a whole lot faster, more precise and efficient than she is working with a needle and thread. The art and craft of sewing isn’t lost or obsolete, but for sheer volume and exact replication, you can’t beat the machines.

What’s happening now with artificial intelligence (AI) in manufacturing is a little bit like that. People on all levels of the manufacturing chain want to know if AI is taking over.

The answer is no. Don’t think of it as a takeover. Think of it as more of a transformation. It’s already happening, and it’s not all bad.

AI’s current impact on manufacturing

Artificial intelligence is seeping into the manufacturing workplace in a couple of important ways.

Automation: Much like the sewing machine and indeed all of the industrial revolution, AI has the power to automate repetitive tasks previously done by humans. Operating machinery, tasks on the assembly line, even inspecting products for defects – all of these things are increasingly being automated.

Efficiency: AI can help us optimize processes and procedures, leading to greater efficiency on the line and as a whole.

New job creation. Yes, you read that right. Whereas AI may reduce the amount of jobs focused on repetitive tasks, it is also creating jobs that we haven’t seen before in the manufacturing realm, including specialized programmers, engineers, and technicians. It means companies will need people with different skill sets, and the savvy employers will dig in and train the people they already have to take on these new roles.

Predictive analytics

At USC Consulting Group, we’ve already been using AI with some of our manufacturing clients, specifically in the area of predictive analytics. We spell it all out in our eBook, “AI and Machine Learning: Predicting the Future Through Data Analytics,” but here is the gist of it in a nutshell.

By now, we all know what AI is — computer systems that perform intelligent tasks, like reasoning, learning, problem solving, decision making, and natural language processing, among others.

Machine learning is a subset of AI. It is, technically, a set of algorithms that can learn from data. Instead of having to be programmed, the computer learns on its own based on data.

Predictive analytics is one output of machine learning. It is the ability to forecast future outcomes based on data. It’s like having a crystal ball that’s informed by vast amounts of complex algorithms and data.

You’re already familiar with predictive analytics but may not know it. You know how Amazon suggests an item for you to buy based on past purchases, or Netflix queues up new shows based on what you’ve already watched? That’s predictive analytics in action.

Much like Netflix’s use of predictive analytics created a seismic shift in consumer expectations, this technology also has the potential to transform operating procedures and processes for many industries.

The benefits of using AI in predictive analytics are many, including:

• Greater precision and accuracy. Yes, humans do the programming. But AI can analyze mountains of data and identify complex patterns people might miss.
• AI can analyze vast amounts of data in a snap. This helps companies make decisions faster.
• Increased efficiency. All of this accuracy and speed leads to greater efficiency, output and ultimately, profits.

Bottom line: AI needs us

AI is a powerful tool we’ve used at USCCG to help our clients achieve greater efficiency, productivity, and profits.

But here’s the thing about that. It’s a tool. And it’s only as good as the data we supply. Any variation, and there can be skewed results.

As we all know, life is not a data set. Variation is happening all around us, all the time, even in projects where we need great precision.

That’s why the bots are never going to replace humans. They need us as much as we need them. At USCCG, we have more than 50 years of experience making process improvements, finding hidden opportunities for efficiency, creating leaner systems and helping companies thrive. For the next 50, AI will be one tool we use to help achieve that.

Read more about this innovative technology, including a specific case study about how AI works in practice, in our eBook, “AI and Machine Learning: Predicting the Future Through Data Analytics.”

Back to top ↑

In the food processing industry, optimal efficiency is the key to keeping those razor-thin margins in the black. Now, with ongoing challenges like supply chain delays and changing markets, it’s even more important.

Efficient processes lead to reduced operating costs, improved yield and throughput, and more control over your management systems.

The following graphic provides seven ways to improve your efficiency in food processing:

1. Identify loss points

Where are the opportunities for greater efficiency? Look at the equipment, like the grinder, blenders, transfer belts, oven, steamer, even the transportation and logistics. Where can you save time and money? A thorough loss point analysis can uncover key areas where more efficiency can be achieved.

2. Recipe/formula control

The goal here is to ensure accurate measurement of ingredients. To improve processes, use volumetric measuring, metering tools and “right size” recipes to match ingredient containers. It’s about containing costs and promoting formula consistency.

3. Calibrate measuring devices

You won’t get accurate measurements if the measuring devices are not functioning properly. All devices that provide “factual” information must be accurate! It means verifying the calibration of scales, load cells, meters and equipment speeds, temperatures, tolerances and capabilities.

4. Process control

Remember, any knob, dial, meter, switch or button can vary the process. It’s essential to understand what they control and what they reveal. Generate a thorough process run history to define the relationship (or correlation) of each control point to the end product.

5. Measure actual yield vs. plan

Challenge the current paradigms. How does yield loss vary when raw temps vary? How much do you lose if you extend cooking times? Are you batching properly? Focus on maintaining tolerances and capabilities, and monitor the causes of variation. It makes the invisible visible!

6. Audit fill weights

This is about understanding overfills. In the industry, they call it “the giveaway,” which happens when more product is added to a package to compensate for weight loss in processing. Shaving a bit off of each overfill can add up to huge savings.

7. Recovery and resolution

Review, report, resolve! Do a thorough root cause analysis, implement short-term fixes immediately, and seek to eliminate waste completely in the long run. Continuous improvement is the goal! Find opportunities for greater efficiency and help implement them.

It’s about developing a plan to measure performance, and ultimately getting to a “zero-loss based” yield. The more quickly and efficiently you get the job done, the sooner your product can be in the hands of the consumer. Questions? Contact us today.

For more information about how Food & Beverage consultants can significantly reduce your operating costs and improve productivity, read this eBook:

Back to top ↑

The B2B supply chain is changing in this tech-forward world. Like so many other things, if you’re not getting on board with smart business tech, you could be missing out on important successes. That starts with your supply and integrating tech to reduce human error and track things more clearly.

As a B2B business owner, you already know that transactions tend to happen within the supply chain. Whether you’re a wholesaler or retailer, if you’re not using tech to keep track of your supply and your sales, your business might not be able to keep up with those who are integrating different types of tech – including cloud-based technology.

Let’s take a close look at how smart business tech is optimizing the B2B supply chain, and what steps you can take to implement more sophisticated technology into your management strategy.

Why Smart Tech Matters

Tech innovations aren’t just important for manufacturing purposes. They are extremely beneficial for every step in the B2B supply chain. If you’re a supplier, integrating smart tech into your supply chain strategy can help with things like:

• Compliance
• Cash flow
• Efficiency
• Accuracy
• Speed

You’re also reducing the risk of human error throughout the process, especially when it comes to processing and fulfillment. Integrating smart technology as a part of your risk management plan makes it easier to reduce risk and put plans in place for fast recovery if disaster does strike within your supply chain.

Additionally, when you use things like automation and AI, you’ll actually end up freeing up many of your employees so they can focus on other tasks while improving efficiency. Your business can grow, your employees can move up the ladder, and you can move more product safely and quickly.

What You Can Do Today

Although technology is quickly advancing, there is plenty of technology you can start implementing into your B2B supply chain strategy immediately. For example, Enterprise Resource Planning (ERP) software will help you overcome existing challenges you might face within supply chain management, including:

• Customer acquisition
• Retention
• A global shift toward e-commerce
• Time constraints

With this kind of software, you’ll enjoy seamless data transfer from system to system. This offers another opportunity to reduce human error while optimizing your efforts because you won’t have to rely on manual data entry. Instead, you’ll have a consistently-updated clear picture of your efforts.

You’ll also be able to take advantage of automated workflows and accurate shipment tracking while offering greater confidence in fulfilling orders on time.

Integrating ERP software into your existing system should be just the beginning when it comes to what you’ll be able to do in the future with smart business tech. As you continue to grow, take advantage of existing technology that is becoming more widely available to small businesses and enterprises alike.

Preparing for the Future

As our globe becomes inundated with fossil fuels, every business needs to do its part in reducing its footprint to succeed in the future. Luckily, our world has combined the power of technology and sustainability, and nowhere is that more evident than in solar power technology. In the last decade alone, the limits of solar technology have broken down significantly. Today, solar power has been used for a variety of purposes, including transportation, military defense, and even space exploration.

When it comes to harnessing solar power for your B2B supply chain, it can be utilized almost anywhere you’re currently relying on traditional forms of energy. You can take advantage of solar energy-powered transportation by integrating it into your fleet. Not only will it help to reduce your overall reliance on fossil fuels and reduce your budget for fuel, but it can shed a positive light on your business practices and help with client acquisition

In addition to solar technology, you should also be looking into 5G for the future of your supply chain. Integrating 5G into your existing supply chain tech will help to reduce disruptions and improve optimization efforts. Things like smart sensors can be placed on your fleet trucks to track product location or determine the cause(s) of delays in real time. Shipments can be tracked electronically to prevent cargo from getting lost. Again, the risk of human error will be greatly reduced this way. 5G makes it much easier to implement AI and automation into your strategy without having to worry about network lags or lapses in connection.

Many people look at the supply chain industry and automatically assume it’s outdated. Others think if it’s not “broken,” it shouldn’t be fixed. But, smart technology is already optimizing the B2B supply chain, and the businesses that don’t jump on board will experience greater losses, delays, and burnt-out employees for years to come. Consider some of the tech solutions you can implement now and in the future, and you’re likely to see greater success and more streamlined production.

*This article is written by Ainsley Lawrence. View more of Ainsley’s articles here.

Back to top ↑

We’re celebrating a milestone here at USC Consulting Group — 55 years partnering with businesses around the globe empowering their performance. Our goal is to help our clients drive operating excellence, increase throughput, become more efficient and boost their bottom lines.

We got our start in 1968 when founders Tom Rice and Pat Price founded a fully-engaged operations management consulting firm that strives to impart positive, impactful change to our clients. Back then, we were Universal Scheduling Company, communicating with clients over mimeograph and analyzing their schedules. We’ve grown quite a bit since those early days. Over the years, we expanded into other industries like mining & metals, food & beverage, life sciences, transportation & logistics and more. Our reach opened up to serve companies all around the globe. In 2001, we changed our name to USC Consulting Group to better reflect the breadth of our services and a few years later, relocated to Tampa, where our corporate headquarters is today.

That’s a tremendous growth story that we’re incredibly proud of.

During our half-century-plus in this business, we’ve seen a lot of changes come down the pike. The ups and downs of the economy, employment markets that wax or wane, the ongoing challenges brought on by the pandemic, technology advancements in machinery and tools for businesses we serve, and a whole host of other factors that ebb and flow during the passage of time.

We’ve rolled with it all and learned some valuable lessons along the way.

What has 55 years of consulting taught us?

Here are some of the top things we’ve learned during our 55 years in this business.

Experience matters, but every challenge we tackle for our clients is different. Many consulting firms dole out cookie-cutter solutions. But we’ve learned there is no such thing if you want to find sustainable results. Even if two businesses are in the same industry, they are not the same. We understand companies have unique processes, procedures, management styles, cultures, machinery, employees — you name it. So we go into every project with fresh eyes, knowing that what worked for others may not work again. There are too many variables to apply cookie-cutter solutions. That’s why we start by listening rather than talking to learn each client’s challenges before implementing improvements.

Upper management walking the shop floor is vital. We can recommend operations changes all day long, but the meat of the action happens day-to-day on the front lines, no matter the industry you’re in. If you’re a manager or in the C-suite, it’s so important to get down into the nitty-gritty of how their work gets done. You’ll get a better understanding of your operations, spot trouble sooner and also spot diamonds in the rough for promotion. You’ll hear great ideas to improve operations from the people who are actually doing the job, and when those employees are engaged, it leads to ultimate business success. Read more about it in “How to Increase Employee Engagement and Training to Improve Retention.”

Getting people onboard at the outset is a key element of success. Over the years, we’ve learned not everyone in a company is excited about process or operations improvements. Consultants can be viewed with skeptical eyes. That’s why we encourage engagement with employees at all levels, getting people on board early so employees understand they’re part of the solution, not part of the problem.

Going beyond Lean Six Sigma… Lean, which has been around forever and has recently migrated from the manufacturing floor into other industries (they’re even talking about Lean HR methods) and Six Sigma, a newer technique, are two methodologies for improving processes. Two sides of the same coin, Lean looks at making processes more efficient and reducing lead times, while Six Sigma focuses on cutting down on defects. The combination of the two produces powerful results. They’ve joined to become one methodology in some circles: Lean Six Sigma, or LSS, which aims to cut defects and shorten lead times. Striking the perfect balance between the two is tricky. It requires training and certification in the techniques. At USCCG, Dr. Frank Esposto is our Lean Six Sigma Master Black Belt and Senior Director of Quality. He is also a certified LSS instructor. Read more about it in our eBook, Lean Six Sigma: Do You Really Know These Methodologies?

…but we don’t just set it and forget it. Dr. Esposto says: “When we employ the Lean Six Sigma methodology to help our clients’ operations, we don’t simply do it for them. We train clients in these techniques so they can employ them long after we leave.” That goes for any process changes we help our clients make. It’s not about giving them a fish. It’s about teaching them to fish. That’s how lasting change happens and it’s a key differentiator between us and other consultants out there.

We could go on forever about lessons learned in a half-century plus. But the bottom line is, putting our customers’ needs squarely in the forefront of every engagement, understanding the marketplace and challenges the business faces, and focusing on people and processes will help your business reach a state of operational excellence.

Contact us today and let USC put our experience to work for you.

Back to top ↑

A little goes a long way. It’s an old adage, but one we’ve seen play out, day after day, during our 55-plus years in the consulting business. It’s the notion that what may seem like small changes actually produce big results. At USC Consulting Group, one of our specialties is the “detective work” we do to find hidden opportunities for greater efficiency. Acting on those opportunities can create great change.

Here are some ways a “little” can go a long way for our clients.

Outage management

Most industries that have 24/7 operations — manufacturing, mining & metals, and others — need to do planned outages, or work stoppages, for regular maintenance. It’s a practice we enthusiastically recommend. Planned outages prevent unplanned crises when a machine breaks down unexpectedly. Managing planned outages correctly is vital, because any time the operation is shut down for maintenance, that time is money.

Intricate detail and planning go into planned outages. That was the case with one of our recent clients in the mining industry. They approached USC to assist in planning and executing an upcoming plant-wide outage. Because of cost and schedule overruns year in and year out, the plant was given an ultimatum from its parent company — make the upcoming outage successful or close the plant down.

Through careful planning and execution, we shaved one day off of their planned outage. You might be thinking, just one day? That “small” improvement saved the company upwards of $1 million. The outage was successful, and the plant stayed open.

Food processing

The commercial food industry has a tough nut to crack (pardon the pun) when it comes to processing and bagging their product to send to grocery stores or other end-clients that sell to consumers. Getting the most of their raw materials is all about improving yield, but it’s not easy to achieve the right balance. Let’s take the beef industry for an example. In processing beef into burger, there is a loss of moisture. That’s why when you start off with a pound of beef you don’t get a pound of burger. But, as a consumer, when you’re buying what is labeled a pound of burger, you can expect a pound — by law. To achieve that, the industry compensates for the loss of moisture and adds more ground beef into each unit. Better to pack a little too much than too little, right? It’s what the industry calls “the giveaway.” It’s essentially overpacking.

Just a little more? How big a problem is this, really? If a company is processing, say, 30,000 pounds of ground beef into burger every day, adding a smidge more into each package can be a very big problem indeed. One recent client of USC came to us when they realized they were giving away over 1.5 million pounds of beef yearly.

With process improvements, equipment fixes and increased speed and throughput, we were able to help our client strike the right balance, decreasing that overpack from 2% to 1%. Just a 1% savings? That’s a pretty small number on the face of it… until you see it resulted in a savings of $84,000 per month. That’s huge.

Change management

Not every “small” change can produce hard numbers like the examples above, but we see the benefits time and time again when we’re helping clients with change management.

We’ve learned that we can effect all the change we can muster — make the line more efficient, increase throughput, get the operation lean and mean, whatever else is needed — but none of it will stick without managing the change correctly. This part of the job isn’t about numbers, planning or complex methods. It’s about people.

Whatever the change you’re making, it’s going to involve people behaving and working in a different way. So at its core, effective change management requires helping people transform their behavior. As we all know, people don’t necessarily love that, especially if they’ve been getting the job done one way for the duration. Research shows 62% of people don’t like leaving their comfort zone.

We find that small changes really go a long way here. It’s about the CEO taking some time to walk the shop floor and talk with frontline workers about the changes that are coming down the pike. It’s about us involving those workers in the process of change from the get-go, asking for their ideas for improvements, their thoughts about what the problems are that need solving. That way, the change that we’re implementing won’t be happening to them. They will be a part of it, champion it, and make that change stick every day on the line.

One other bonus to this tactic? It creates employee engagement and loyalty. Just 36% of U.S. employees are engaged at work, and 74% are actively looking for new jobs, according to a Gallup survey. 94% of employees say they’d stay at a company longer if it invested in their career development, LinkedIn reports. With manufacturing looking at 1 million unfulfilled jobs and the cost of replacing an employee as much as twice their annual salary, those small changes can mean big numbers on your balance sheets.

This is one part of our process that doesn’t take advanced degrees, engineers or Lean Six Sigma black belts to achieve. It just takes a little time and some people skills.

Get in touch today if you’d like to talk about how USC can help your company become more efficient and effective. One small conversation can go a long way to improving your operations.

Back to top ↑

In most business settings, time is measured by hours and days — how long will it take to receive a proposal, mockup sheet or important presentation. But in the manufacturing world, time is measured in product cycles. From sourcing materials to testing to packaging, how long will it take to get one product from conception to full completion?

That is the essence of manufacturing cycle time.

Not to be confused with lead time, cycle time is how long it takes to complete a unit of product, from the beginning of the manufacturing process until the product is ready to ship. In this article we will detail how to calculate cycle times, and the ways you can improve it in your organization.

How to calculate cycle time

The manufacturing cycle time is different for every organization and every product run, and it’s important to constantly check on this variable to ensure productivity benchmarks are being met. The formula to determine cycle time is actually fairly simple:

Total amount of goods produced / Time of production = Cycle time

Once a baseline is determined, manufacturers can try a number of different things to decrease cycle time and increase profitability.

Knocking a few seconds from key areas of your cycle time can have a dramatic impact on productivity.

How to improve cycle time

There are a number of ways that a manufacturer can decrease cycle time, such as:

Streamline production process as a whole

By identifying and eliminating any bottlenecks or inefficiencies during the production process, manufacturers can reduce cycle time by improving the system as a whole.

Take a detailed look at your operations — are there issues associated with the production layout of your floor? Are there certain tasks that could be automated or otherwise simplified? Is there an opportunity for you to implement lean manufacturing principles? Evaluating your operations is a great way to identify inefficiencies in your organization.

The key is to reduce the time required in order to increase overall capacity, all while ensuring that nothing gets missed, as shortcuts can lead to quality control issues and dissatisfied customers.

Improve equipment and systems

Is your equipment up to date? Or are you using outdated machinery and legacy technologies?

The more outdated the equipment a manufacturer works with, the greater opportunity for preventable delays in operation. Take an assessment of physical equipment and the software your businesses utilizes on a daily basis. If you find that your systems are more than five or ten years old, it may be time to set aside profits to update your manufacturing facility.

Invest in employee training

Well-trained employees are more likely to work efficiently, produce high-quality results and create ways to optimize operations.

Develop a culture of employee development and make sure they feel comfortable giving suggestions. Doing so can increase morale — leading to higher retention rates, a growing concern of manufacturers — and improve the quality of operations as a whole. The more high-quality employees a manufacturer has, the more efficient the business will run.

Utilize analytics

Manufacturers should take an even deeper look at operations, utilizing analytics to alert them to any inefficiencies in the process.

On the surface, production could seem to be running smoothly, but perhaps there is an area of production, for example, that is taking 20% longer than expected. Create and gather data points wherever possible, because you never know what inefficiencies may be lurking under a normal-looking production cycle.

At USC Consulting Group, we can help your manufacturing business decrease manufacturing cycle time and increase efficiency and productivity. Contact us to find out more.

Back to top ↑

Knowledge is power, right? The problem? Most working professionals learn the majority of what they will ever know about their chosen profession between the ages of 18-22. They’re kids still, at that age, not even legally allowed to rent a car.

Sure, they’ll learn more on the job. Arguably, they’ll learn everything that really matters at work. But those pedagogical skills. The theory and tech that goes into professional life — that’s typically learned in the more formal classroom setting.

Without upskilling, your staff can wind up in professional limbo. Fortunately, there are many ways to continue developing professionally, even after school is out.

In this article, we take a look at how upskilling your employees can help create a stronger organization.

What is Upskilling?

As the name suggests, upskilling is simply the process of teaching your staff new skills. They learn more about how things work around your organization and perhaps gain the capacity to fulfill other responsibilities somewhere along the line. Kind of like a professional cross-fit program.

Instead of an inordinate amount of leg days, you have team members learning about new technologies or embracing business concepts that might otherwise be outside their job description.

Usually, upskilling is framed as being optional — professional development opportunities that, while not compulsory, may improve the employee’s overall standing within the organization somewhere down the line.

Not everyone will be interested in upskilling, but those who are will learn valuable skills.

Identifying the Go-getters

One of the most obvious benefits of upskilling your employees is that it helps to identify the go-getters. With this, you find out quickly who is interested in growing professionally, and who is more or less coasting on the job. When it comes time to decide who winds up taking on leadership roles, your upskilled staff will often be a great first place to look.

Filling Gaps

Upskilled professionals may also be better equipped to fill gaps within your organization. This is a problem that business leaders all over the world are still dealing with. They have jobs to fill, but they can’t quite find the people willing or qualified to take them on.

You definitely don’t want to rely on your best employees to pick up all the slack, but you can use them here and there to handle additional responsibilities when the moment requires it. Just make sure you reward them accordingly. Short-staffed businesses often experience very high levels of turnover because the work becomes more stressful for the people who remain.

You certainly don’t want to drive away you’re A-team, so call in the favors sparingly and make sure that your incentives are on point.

Avoid Efficiency Lags

As staff members age they inevitably fall out of touch with the most modern business practices. How could they not? Things change constantly, both in terms of what is considered best practices, and based on things like what technology is being used now.

If you’re twenty years out of college, you might not have your finger on the pulse of the latest industry trends. Upskilling is a great way to stay refreshed on what is going on in your chosen profession.

A Downside to Upskilling?

There are downsides and risks associated with upskilling your employees. Perhaps the most straightforward of these is that it takes time, and, by extension, money to teach people new things. Depending on your current resources, that might not be in the cards.

There’s also just the risk of alienating your staff. People work hard. They don’t really like being asked to work harder. You can edge around that particular issue by making professional development optional, but even then you run a bit of a risk. Yeah, you don’t have to do it but…you have to do it, right?
Read the room. There are times to upskill, and times to leave things be. As a decision-maker, it’s your responsibility to take an analytic view of the situation and go from there.

It’s also important to keep in mind that upskilling, or any other form of professional development is not a one-time thing. Technology will continue to change. Strategies will change along with it, and it will be time to refresh your staff’s knowledge all over again.

Learning and progress are important elements of growth, but remember that slow and steady can win the race here. You want to encourage your staff and help them grow. Not bombard them with new responsibilities.

*This article is written by Andrew Deen. Andrew has been a consultant for startups in almost every industry from retail to medical devices and everything in between. He implements lean methodology and is currently writing a book about scaling up business. You can follow him on Twitter @AndrewDeen14.

Back to top ↑

In the modern era, being aware of the latest technology can provide unique benefits for your business, no matter your industry. When it comes to warehouse management, utilizing an Enterprise Resource Planning (ERP) system can help boost productivity so your processes are as efficient as possible. Here’s more about the benefits of using an ERP and why your facility should implement it as soon as possible.

What Is an ERP?

ERP software is a complete organizational solution that allows you to manage essential business aspects like supply chain operations, accounting, and other processes in one place. An ERP program allows your team to seamlessly manage your warehouse, as every kind of data you need works together more efficiently.

Rather than rely on traditional methods like maintaining physical document files, an ERP allows you to take an informed, digital approach to warehouse operations. These systems can transform your warehouse’s productivity levels so you can complete the essential components of your business faster.

Explore a few productivity benefits of ERP systems, all of which lead to subsequent advantages like better company reputation and improved client relationships.

1. Automation

Likely the most notable selling point of an ERP system is the ability to automate tedious job duties. Almost every role can include some form of automation, which allows employees to direct their skills and attention to more complex tasks. Thanks to automation, teams can be more productive in the areas of their work that matter most.

For example, instead of having your customer service team personally respond to every inquiry, ERP software can help reduce the number of interactions needed to resolve an issue. Therefore, the system can provide information on straightforward problems, allowing employees to meaningfully connect with people who have more complex issues. This increases customer satisfaction, which is extremely advantageous to your company.

Other areas for potential automation through an ERP platform include customer data management, inventory management, and purchase orders.

2. Accessibility

ERP software keeps your company’s data in a single, accessible digital space. All the information your team needs to successfully manage your warehouse is readily available whenever and wherever they need it.

This way, the right people can access the information they need to complete their job duties without having to ask a co-worker and wait for a response. Further, the platform’s accessibility means departments can easily communicate and collaborate, reducing typical warehouse issues that stem from a disorganized system.

3. Mobility

ERP systems are also completely mobile, which is especially advantageous today. No matter the size of your warehouse or whether you have one or a dozen facilities to manage, your team is likely in a few different places throughout the week. Reducing communication issues that come with a spread-out team is easy with ERP software.

Every approved and connected employee can access the ERP platform from their smartphones, laptops, or tablets, whether in the warehouse or off-site. Therefore, your team no longer needs to wait until the right person is at their desk to approve a document — it can all happen on the go, keeping productivity levels high.

4. Forecasting and Integration

No one can accurately predict the future, but you can forecast trends to have at least a small idea of what is to come. ERP software can navigate supply chain issues and other disruptions in your warehouse. That makes you better equipped to create sales reports and generate additional crucial information to circumvent sudden delays and high demand.

Similarly, ERP platforms are ideal for supply chain management integration. These features allow you to see the full view of your warehouse’s operations, including an in-depth look at your distribution channels. If you manage more than one facility, you use the system to view details regarding all of them in one location.

5. Data Security

A data breach can set your team’s efficiency back tenfold as they work to correct the error, increase protections, and manage your company’s reputation. Switching to an ERP platform lets you better protect your data from attacks, as software improvements and updates continuously happen for today’s ERP systems.

Moving Forward With an ERP Solution

If your team is interested in incorporating an ERP solution to better manage your warehouse’s productivity, consider doing so with the help of a consulting firm that understands the full spectrum of ERP. ERP software is advantageous in many ways for warehouses. Still, it can be a complicated system to configure, especially when you currently rely on an outdated management process that will take skill and time to convert.

Maximize your warehouse’s productivity by partnering with a reliable team to make implementing and understanding your new ERP software simple. This way, you can discover the best features of your new software without sacrificing any efficiency to learn it. Your warehouse will be reaping the rewards of this solution in no time.

* This article is written by Devin Partida. Devin is a tech writer with an interest in the IIoT and manufacturing. She is also the Editor-in-Chief of ReHack.com.

Back to top ↑

With a potential recession looming, inflation and interest rates rising, and the post-pandemic surge in consumer confidence slowing, productivity is stepping into the spotlight. Amid all of this economic uncertainty, manufacturers are turning their focus toward their own operations and processes, making sure everything is running like the proverbial well-oiled machine. Lean and mean. As efficient as possible.

We get it. At USC Consulting Group, we’ve been helping manufacturers become more efficient and productive for 50+ years. Process improvement is our wheelhouse. We can’t do anything about the economy, but we can help our clients increase their productivity so their companies can be at their fighting best to withstand any economic headwinds that come their way.

In the end, it’s about striking that delicate balance between increasing throughput and maintaining quality. Too much speed on the line can indeed increase throughput, but quality could suffer. So, finding that sweet spot between optimal throughput and optimal quality is the key.

Here’s some of the advice we’ve been giving to our clients to do just that.

Focus on the Five M’s

One of the first steps we take when evaluating process improvements in manufacturing companies is to focus on the Five M’s. Many times we find it all starts and ends with this. It’s a tried-and-true management tool — with some debate as to where and when it originated. And now, people put their own spin on the M’s, as they relate to their own operation. At USC, we call them Machines, Methods, Materials, Measurements and Man and Woman power.

1. Machines. Evaluate your machines on the line. Do they need maintenance? Do you perform regular maintenance or wait until something is “broke” before you fix it?
2. Methods. This step involves evaluating the process of getting the job done. Are there any opportunities to make the workflow more efficient?
3. Materials. This is a big headache for manufacturing today — supply chain issues are messing with the ability to have enough material to get the job done when it needs to get done.
4. Measurements. Are your metrics and measurements for success and profitability on target?
5. Man and Woman power. Do you have the right people in the right jobs? That’s the ideal. But increasingly the question is: Do you have enough skilled people to get the job done, or enough people, period?

Focusing on these five elements of your operation can illuminate a host of opportunities for improvement. Let’s look at some of those in more detail.

Schedule regular maintenance

The old adage “if it ain’t broke, don’t fix it” does not serve manufacturing very well. We recommend regular maintenance. Yes, it causes a work stoppage, but it doesn’t take you by surprise. You’ll know the line will be stopped for a certain amount of time on a certain day rather than having things grind to a halt unexpectedly because of an unknown problem you’ll have to ferret out and fix. It’s also important to talk to your people on the line about the troubleshooting they’ve been using when things go wrong. It could be they’re on to something.

Look at the 7 Deadly Wastes

It sounds rather dramatic, but this is a concept initially pioneered by the Toyota Lean manufacturing model. It’s aimed at identifying and eliminating waste in manufacturing operations. We’ve added one additional “waste” to that list. Here they are in detail.

• Overproduction. It leaves you with unused product.
• Waiting. Waiting on the shop floor between steps on the line, or waiting on supply or even equipment.
• Transporting. Excessive movement of inventory, causing the possibility of damage, or even excessive movement within the manufacturing process itself.
• Processing. Do you have extra, unnecessary steps in the manufacturing process?
• Inventory. Too much stock on hand.
• Excess motion. Extra walking, lifting, reaching.
• Defects. Defects in product happen to the best of us.
• People. This is the eighth waste we thought was important to add. It is about taking a close look at the untapped potential of your people.

Examining all of these areas of “wastes” in your operation will help you become more efficient and ultimately more profitable.

→ For more information about Lean, download our free eBook, Lean Six Sigma: Do You Really Know These Methodologies?

Upskill Your People

About that eighth “waste.” There may well be hidden potential working on your lines every day that is being underutilized. We see it all the time in talking to frontline workers, who usually know more about the ins-and-outs of the day-to-day than their supervisors do. Is anyone on the line ready to move up? It might take some classes in management training, but so be it. Promotion from within is a powerful motivator for your workforce and in this market, where retaining good people is so difficult, it can be a lifesaver. There’s also another part to this. It’s about not being able to find skilled workers to do the job. This is a big problem for manufacturing industrywide. The solution just might be to invest in training courses for new hires to get them the skills they need.

At USC Consulting Group, we’re committed to helping manufacturing companies improve their processes to become as efficient and productive as possible. In this economy, it’s a must. Give us a call to find out more.

Back to top ↑