When a manufacturing company in your portfolio isn’t performing, is it the company or your expectations that missed the mark? Whether you’ve just acquired a new company that’s missing the mark already or have a perennial “miss,” there are a multitude of barriers that can hinder profitability. But the solutions are less varied.
It comes down to one critical question: By how much can production speed be increased with no significant capital or time investment? Many owners waste time and money chasing gains, buying new equipment, updating the quoting process, adding a robot or slashing budgets and squeezing more than is reasonable. They make changes that do not improve the overall process speed.
But maximizing production speed is the real key to maximizing profit in the shortest time. Increasing speed can:
Reduce labor, inventory, and space
Increase capacity by freeing it from being locked in the wrong places
Shorten the sell process cycle for your new acquisitions
Speeding up your process doesn’t mean working faster, but, rather, doing more in less time. It’s about bringing the work together and eliminating unneeded motion. For many businesses, it’s optimally balancing and combining manual and automatic work – not necessarily eliminating manual work.
I’ve spent my professional life helping business owners implement the right changes so they can generate cash and grow their earnings in months, not years. If you’re wrestling with an underperforming asset and want to know how you can achieve more speed to generate more cash, contact me to learn more.