You’re at the top level of a brand-new manufacturing business. But, as the eager entrepreneur that you are, you’re determined to begin to set the sail without even checking if the ship is seaworthy.  

After the launch, you discover that your organization gets flooded with water. You quickly employed strategies to steer your way through the inefficiencies even though the water kept pouring in. Eventually, as you approached the deeper parts of the sea, the sinking didn’t stop.

Your business becomes increasingly submerged and eventually gets lost in the murky waters of poor business planning. 

With the story of the metaphorically sinking ship up there, you should understand that some inefficiencies could befall your manufacturing shop floor and eat away at your bottom line. Now, this article seems like a lighthouse.

We’ll explore the top three inefficiencies eating away at the bottom line of manufacturing shop floors, as well as the solutions to overcome them. 

Let’s dive into the top 3 manufacturing inefficiencies eating away at your bottom line. 

Lack of Skilled Workers

One of the manufacturing shop floor inefficiencies eating away at your bottom line is the lack of skilled labor. Reports reveal that young people aren’t well-equipped with a clear-cut understanding of the manufacturing industry. And the older workers, on the other hand, are retiring. In fact, the Manufacturing Institute and Deloitte Consulting LLP reported that 22% of workers in the manufacturing industry will now be retiring in the next ten years. 

Solution

The issue of lack of skilled workers shouldn’t continue this way. Managers should employ initiatives to ensure that unskilled workers are trained to discover opportunities. For instance, Soaring Hearts, one of the best Shopify furniture stores, provided scholarship opportunities for anyone interested in studying mental health or business management. 

If you really want to overcome the inefficiencies caused by unskilled labor, partnering with community colleges or offering training programs remains one of the best options. 

Inventory Management

Whether your company is big, small, or mid-sized, investment management remains one of the inefficiencies eating away at your bottom line. In fact, as you continually strive to fulfill your orders, you’ll be faced with problems relating to shop floor management even amidst the chaos of running a business. 

For many, this aspect of the manufacturing shop floor isn’t relevant. But you must stay on top of your inventory management as it significantly and directly impacts your sales and manufacturing orders. 

Solution

Like other key players in the manufacturing industry, you can overcome the problem of inventory and production management when you invest in an ERP system. With a manufacturing ERP system, you can simply automate your inventory management and schedule your deliveries, positively impacting your order fulfillment rate. Instead of this inefficiency eating away at your bottom line, you’ll be able to focus on scaling your business. 

Getting Your Automation Integration Correctly 

Technological advancement has since become the other of the day. And it has continued to increase demands, thus putting more pressure on most manufacturers to fulfill their orders, whether large or small. This seems like a huge concern for manufacturing companies as they compete with large-scale manufacturing companies that can afford to integrate artificial intelligence to streamline their processes for improved efficiency.

Solution

Indeed, companies might be unable to imitate the giant corporation with the capital to overcome their manufacturing inefficiencies with the help of automation. However, this doesn’t rule out the fact that you can get a slice of an automated pie at an affordable price. With a simple ERP system, manufacturing companies can overcome the inefficiencies eating away at their bottom lines and enhance their business process for increased productivity and success. 

 

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Bezlio  has a mobile app offering pre-configured integrations with Epicor ERP to provide users with real-time access to their dashboards. Our pre-build Epicor mobile app solutions provide the opportunity for manufacturing companies to record production data, receive inventory, record finished goods, issue materials, and many more. Contact us today and we can begin customizing a mobile ERP solution to address your business challenges or visit our website’s Resources tab for case studies and blogs about our products and services.