Factories That Succeed Do These 4 Things

What makes a company successful

Running a factory has never been easy, and entrepreneurs face new challenges in conditions that seemingly change every day. 

As with any evolving industry, the companies that anticipate and adapt to change will write the future’s success stories. However, they need to be tactical and strategic. They need to recognize which trends are flashes in the pan and which ones will legitimately shape the manufacturing landscape for years to come.

Here are four keys that any successful manufacturing company takes seriously.

Prevent Downtime

The hyper-competitive nature of today’s marketplace is making downtime more expensive than ever.

Some estimates put the average cost of downtime of organizations at about $100,000 per half an hour. Of course, the numbers are highly relative and depend on your industry and your output.

The lesson here is simple: it doesn’t matter how efficient your factory is if your website is down and can’t sell products. 

Incorporate Automation the Right Way

Automation is one of the pillars of the industry 4.0 marketplace. However, so far, it hasn’t had the expected result. 

While many feared that machines in factories would eventually replace human employees, in some cases, they have helped create jobs. Automated equipment such as coordinate measuring machines (CMMs) has led to North American factories cutting costs, raising efficiency and becoming more competitive in the global market.

Previously labour-intensive tasks like quality assurance can be automated, putting human employees in higher-value roles. In some cases, human employees work alongside the automated equipment, too.

Contact an experienced dealer to improve your knowledge of CMM equipment and operation so you can maximize the benefit with optimal software and better training for personnel. 

Attract a Millennial Workforce

As the North American manufacturing sector starts to create more jobs, they will need to turn to Millennial-aged workers to fill them. However, this is proving challenging already.

Millennials do not seem to be interested in careers that sustained many baby Boomers and Generation Xers, such as factory work, the skilled trades, or sales. This change is already creating an industry-wide human capital gap, and the companies that position themselves as an attractive workplace for younger employees will thrive.

Focus on Safety

Part of the younger generation’s reluctance to enter factory settings is a perceived lack of workplace safety. Now, more than ever, workplace safety is a competitive advantage. 

The companies with the best safety records won’t have their bottoms lines eroded by the hidden costs of workplace injuries, while they can also use their safe reputation as a recruiting tool.

Workplace safety is invaluable now, as nothing matters more in a pandemic than society’s collective health. Medical experts agree paid sick days are one of the keys to combatting COVID-19, so employees won’t succumb to financial pressure and work when they exhibit one or more symptoms of the virus.

No two businesses are alike in the same sector, never mind different ones. You know your company better than anyone. But if you keep these four approaches in mind, you’ll be starting this decade off on the right foot.

About Mohit Tater

Mohit is the co-founder and editor of Entrepreneurship Life, a place where entrepreneurs, start-ups, and business owners can find wide ranging information, advice, resources, and tools for starting, running, and growing their businesses.