Emerging from Recession?

Amazingly Manufacturers like You Can Benefit During Tough Times

Manufacturing Emerging from Recession

Manufacturing Emerging from Recession...

Anyone who has survived the recession knows how tough it’s been. But did you know some manufacturers and engineers have actually benefited whilst emerging from recession?

There are a number of specific things you can do to assist your business by making the economic slowdown work for you. Sounds too good to be true? Read on…

Here’s how the most innovative small manufacturers and engineering companies have used the economic slowdown to their advantage...

Tough economic times call for tough measures. Many manufacturing businesses are emerging from recession and are only gradually witnessing increased sales and growth.

Survival for the most enterprising has been greatly assisted by cutting their costs and improving how they work. As a result many are considerably more productive, significantly leaner and much more efficient than before the start of the downtown. But how specifically does this work, you may ask?

Basically this is because they have had to focus on what is really important to survive. They concentrate on value-added activities. Things that actually make a difference to the bottom-line. Waste is removed – the very definition of lean. The best performing small manufacturers use the discipline forced on them by recession to refocus, cut costs and remove waste they simply cannot afford. Now more than ever is the time to perform that lean programme or value analysis activity to cut your manufacturing and product development costs.

Consider this: Successful entrepreneurs and business owners often look for expansion opportunities during recessions. This is because their rivals are distracted and slower to react. Think about it – many competitors are consolidating, selling off assets, stockpiling cash etc, essentially preparing for the worse. Meanwhile forward thinking, ambitious businesses (providing they are financially healthy) are looking to expand their customer base and develop new markets, as well as dramatically improve their internal activities. This last point is where Advice Manufacturing can really make a difference for you and your firm.

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Manufacturing Emerging from Recession...

Emerging form Recession? Here's how to benefit...

Here is a list of how YOU and YOUR company can benefit during tough times. Full explanations are provided below:

• Review company spending and focus on the essential

• Reduce the cost tied up in inefficient processes

• Refine and improve business practices

• Obtain value for money

• Try everything before making staff redundant

• Retrain employees for a more flexible workforce

• Update business continuity plans

• Dramatically reduce costs with suppliers

• Reduce other fixed and variable costs

• Improve communication to get the workforce behind you

• Increase your market share

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Manufacturing Emerging from Recession...

Emerging from Recession? The Importance of Your Employees...

But first let’s look at the most important aspect: the people – you and your staff?

One of the worse aspects of the recession is the job losses. There is nothing worse than good men and women being laid off and often struggling to find engineering jobs elsewhere. Likewise one of the most depressing tasks for any owner-manager has to be calling a colleague in and telling them ‘I’m going to have to let you go’, often knowing there’s a family reliant on that wage.

Depending on the financial health of the company, avoiding this painful decision could yield major benefits. This is because ‘spare’ staff are fundamental to driving through improvements because they know the business inside out. They know how processes can be simplified and how production lead-times can be reduced. They also are aware of assembly and set-up issues that potentially can reduce quality.

What they perhaps don’t have are the tools, mechanisms, empowerment and drive to make the improvements happen. This is where your leadership and organisation come in – with our help. Now is the time to tackle these problems (that are often deferred or simply sorted out during inspection). Concentrate on design improvements, jig and fixture modifications, improved standardised instructions and employee training. Get the ‘spare’ staff active and solving these long standing problems. Develop new products quickly with ‘spare staff’ on cross functional teams.

Importantly when the upturn does come, having skilled staff ready to deliver will be the quickest way to respond rapidly to increased demand. All these activities leave the company fitter, stronger and more competitive for the future.

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Manufacturing Emerging from Recession...

Is Your Business Emerging from Recession? See our Invaluable Practical Guidance...

5 Ways You can Benefit During the Downturn

7 Ways to Prepare Your Firm for Economic Recovery - Emerging from Recession

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