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Doing Less with Less

This article appeared in the July 2019 issue of MiMfg Magazine. Read the full issue and find past issues online.

Manufacturing is constantly challenged by never-ending market pressures and declining budgets. This is even more prevalent as we approach an economic slowdown. The opposite is also true when plants are above stated capacity; hiring is a struggle due to lack of available trained candidates and the push for profits seems to overtake logic.

This “more with less” philosophy ultimately causes increased stress on existing staff. It tends to place more burden on the highest performers who remain. Eventually, these performers become disenchanted with the organization yielding reduced customer satisfaction and potential revenue reduction. Another downside of this decision is valued employees giving up on the company or organization all together and seeking employment elsewhere. This makes a short staff even more strained.

Disconnected leadership propagates this shortsighted vision. Lack of communication either through unrealistic metrics or by hiding behind big oak desks or closed conference rooms leads to worker trust issues. All facilitate a two-class workforce and deficient overall performance.

Consider another way to handle this situation by doing “less with less.” Legacy products and services with declining demand could be considered for elimination thus refocusing the organization on the most important functions and profit-making products. A methodical approach of consolidation of resources, production line optimization, and enhanced metric focus make this transformation possible and fruitful. Forward thinking organizations address this during good times in preparation of the inevitable.

Attacking unprofitable production lines is another option. Every effort should be made to squeeze cost and inefficiency from existing lines. This is done by applying lean production principles such as single piece flow, line balancing, elimination of the cost of non-conformance and error proofing, just to name a few. The application of automation of repetitive functions should be a critical element to this process as this will permit reassigning critical manpower.

Manufacturing organizations also need to be addressed. “Traditional” organization structures must be challenged to free up existing leadership. The new structure must support a culture that continually challenges the norm, allows for greater growth within the organization and enhanced communication with those that truly make money for the company.

This transformation permits new stars to shine. Younger workers want freedom to be creative. This new structure should drive decision making to the lowest levels of the team thus expediting change in a quickly evolving market. This change empowers the workforce thus adding to job fulfillment and employee retention.

Let’s recap. Doing “more with less” eventually gives you less — not more. It might be a near-term improvement but ends up being a longer-term disaster. Doing “less with less” refocuses the organization to maintain or improve customer satisfaction and profitability by narrowing the organizational reach to those things that are truly important. It also facilitates better communication and builds powerful teams to take on the ever-changing markets.

Focus on what the company does best and your customers will be happy. A significant biproduct of this transformation is energized employees.


Premium Associate MemberEDSI Consulting is an MMA Premium Associate Member and has been an MMA member company since January 2013. Visit online: www.edsisolutions.com.

About the Author

Full NameChuck Mouranie CTP is partner & managing director for EDSI Consulting. He may be reached at 313-271-2660.