Fabrication Industry Responds to Supply Chain Risks and Global Slowdown

COLLIN ZIEMERINK| February 05, 2020
FABRICATION INDUSTRY RESPONDS TO SUPPLY CHAIN RISKS AND GLOBAL SLOWDOWN
Fabricators and manufacturers are facing a mixed bag of projections as they look towards 2020 and beyond, with many being impacted by an ongoing and unpredictable trade war, a labor shortage, a new era of protectionism, fluctuating material pricing and a global slowdown. Now is the time for fabricators and manufacturers to reinvest and rethink their supply chain strategies.

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Real-Time Data Collection in Manufacturing: Benefits and Techniques

Article | January 12, 2022

Real-time manufacturing analytics enables the manufacturing base to increase its efficiency and overall productivity in a variety of ways. Production data is an effective means of determining the factory's efficiency and identifying areas where it might be more productive. “Without big data analytics, companies are blind and deaf, wandering out onto the web like deer on a freeway.” – Geoffrey Moore, an American Management Consultant and Author Creating a product-specific data collection may assist you in determining and visualizing what needs to be improved and what is doing well. In this article, we'll look at why manufacturing data collection is vital for your organization and how it may help you improve your operations. Why is Manufacturing Data Collection so Critical? Visibility is the key benefit that every manufacturer gets from manufacturing data collection. By collecting real-time data, or what we refer to as "shop floor data," manufacturers better understand how to assess, comprehend, and improve their plant operations. Manufacturers can make informed decisions based on detailed shop floor data. This is why having precise, real-time production data is critical. “According to Allied Market Research, the worldwide manufacturing analytics market was worth $5,950 million in 2018 and is expected to reach $28,443.7 million by 2026, rising at a 16.5% compound annual growth rate between 2019 and 2026.” For modern manufacturers, the advantages of data collection in manufacturing are numerous. The manufacturing industry benefits from production data and data-driven strategy in the following ways. Substantial reduction in downtime by identifying and addressing the root causes of downtime. It increases manufacturing efficiency and productivity by minimizing production bottlenecks. A more robust maintenance routine that is based on real-time alerts and machine circumstances. Improvements in demand forecasting, supplier scoring, waste reduction, and warehouse optimization reduce supply chain costs. Higher-quality goods that are more in line with customers' wishes and demands depending on how they are utilized in the current world. So, after looking at some of the significant benefits of real-time manufacturing analytics, let’s see what type of data is collected from production data tracking. What Sorts of Data May Be Collected for Production Tracking? Downtime: Operators can record or track downtime for jams, cleaning, minor slowdowns, and stoppages, among other causes, with production tracking software. In the latter scenario, downtime accuracy is optimized by removing rounding, human error, and forgotten downtime occurrences. The software also lets you categorize different types of stops. Changeovers: Changeovers can also be manually recorded. However, changeovers tracked by monitoring software provide valuable data points for analysis, considerably reducing the time required for new configurations. Maintenance Failures: Similar to downtime classification, the program assists in tracking the types of maintenance breakdowns and service orders and their possible causes. This may result in cost savings and enable businesses to implement predictive or prescriptive maintenance strategies based on reliable real-time data. Items of Good Quality: This is a fundamental component of production management. Companies can't fulfill requests for delivery on schedule unless they know what's created first quality. Real-time data collection guarantees that these numbers are accurate and orders are filled efficiently. Scrap: For manufacturers, waste is a significant challenge. However, conventional techniques are prone to overlooking scrap parts or documenting them wrong. The production tracking system can record the number and type of errors, allowing for analysis and improvement. Additionally, it can capture rework, rework time, and associated activities. WIP Inventory: Accurate inventory management is critical in production, yet a significant quantity of material may become "invisible" once it is distributed to the floor. Collecting data on the movement and state of work in progress is critical for determining overall efficiency. Production Schedule: Accurate data collection is essential to managing manufacturing orders and assessing operational progress. Customers' requests may not be fulfilled within the specified lead time if out of stock. Shop floor data gathering provides accurate production histories and helps managers fulfill delivery deadlines. Which Real-time Data Collection Techniques Do Manufacturers Employ? Manufacturers frequently employ a wide range of data collection techniques due to the abundance of data sources. Manual data collection and automated data collection are two of the most common data collection methods. Here are a few examples from both methods: IoT: To provide the appropriate information to the right people at the right time with the correct shop floor insight, IoT (Internet of Things) sensor integration is employed. PLC: The integration of PLC (Programmable Logic Controller) is used to measure and regulate manufacturing operations. HMI: It can provide human context to data by integrating line HMI (Human Machine Interface) systems (such as individual shop terminals like touch screens located on factory floor equipment). SCADA: Overarching management of activities with SCADA (Supervisory Control and Data Acquisition) systems. CNC and Other Machines: Integrating CNC and other machines (both new and older types) to keep tabs on production efficiency and machine well-being is a must these days. Final Words One of the most challenging aspects of shop floor management is determining what to measure and what to overlook. The National Institute of Standards and Technology recently conducted a study on assisting manufacturing operations in determining which data to collect from the shop floor.Additionally, you may utilize the manufacturing data set described above to obtain information from your manufacturing facility and use it strategically to improve operations, productivity, efficiency, and total business revenue in the long term. FAQ What is manufacturing analytics? Manufacturing analytics uses operations and event data and technology in the manufacturing business to assure quality, improve performance and yield, lower costs, and optimize supply chains. How is data collected in manufacturing? Data collection from a manufacturing process can be done through manual methods, paperwork, or a production/process management software system.

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The Top Five Lean Manufacturing Tools for 2022

Article | December 13, 2021

Lean manufacturing is a growing trend that aims to reduce waste while increasing productivity in manufacturing systems. But, unfortunately, waste doesn't add value to the product, and buyers don't want to pay for it. This unusual method pushed Toyota Motor Corporation's industry to become a leading Toyota Production System (TPS). As a result, they are now efficiently producing some of the world's top cars with the least waste and the quickest turnaround. The majority of manufacturers are now using lean management. According to the 2010 Compensation Data Manufacturing report, 69.7% of manufacturing businesses use Lean Manufacturing Practices. Lean tools are the ones that help you in implementing lean practice in your organization. These lean tools assist in managing people and change while solving problems and monitoring performance. Lean Manufacturing technologies are designed to reduce waste, improve flow, improve quality control, and maximize manufacturing resources. What Are the Five Best Lean Manufacturing Tools and How Do They Work? There are roughly 50 Lean Manufacturing tools available in the market. This post will describe 5 of them and their value to your business and its developments. 5S The 5S system promotes efficiency by organizing and cleaning the workplace. To help increase workplace productivity, the system has five basic guidelines (five S's). The five Ss are Sort, Set, Shine, Standardize, and Sustain. 5S improves workplace efficiency and effectiveness by: Sort: Removing unnecessary material from each work area Set: Set the goal of creating efficient work areas for each individual Shine: Maintaining a clean work area after each shift helps identify and resolve minor concerns Standardize: Documenting changes to make other work areas' applications more accessible Sustain: Repeat each stage for continuous improvement 5S is a lean tool used in manufacturing, software, and healthcare. Kaizen and Kanban can be utilized to produce the most efficient workplace possible. Just-In-Time (JIT) manufacturing Just-in-time manufacturing allows manufacturers to produce products only after a customer requests them. This reduces the risk of overstocking or damaging components or products during storage. Consider JIT if your company can operate on-demand and limit the risk of only carrying inventory as needed. JIT can help manage inventory, but it can also hinder meeting customer demand if the supply chain breaks. Kaizen With Kaizen, you may enhance seven separate areas at once: business culture, leadership, procedures, quality, and safety. Kaizen is a Japanese word, means "improvement for the better" or "constant improvement." “Many companies are not willing to change or think they are done once they make a change. But the truth is technology; consumer demands, the way we work, human needs and much more are constantly changing.” – Michael Walton, Director, Industry Executive at Microsoft The idea behind Kaizen is that everyone in the organization can contribute suggestions for process improvement. Accepting everyone's viewpoints may not result in significant organizational changes, but minor improvements here and there will add up over time to substantial reductions in wasted resources. Kanban Kanban is a visual production method that delivers parts to the production line as needed. This lean tool works by ensuring workers get what they need when they need it. Previously, employees used Kanban cards to request new components, and new parts were not provided until the card asked them to. In recent years, sophisticated software has replaced Kanban cards to signal demand electronically. Using scanned barcodes to signify when new components are needed, the system may automatically request new parts. Kanban allows businesses to manage inventory better, decrease unnecessary stock, and focus on the products that must be stored. To reduce waste and improve efficiency, facilities can react to current needs rather than predict the future. Kanban encourages teams and individuals to improve Kanban solutions and overall production processes like Kaizen. Kanban as a lean tool can be used with Kaizen and 5S. PDCA (Plan, Do, Check, Act) Plan-Do-Check-Act (PDCA) is a scientific strategy for managing change. Dr. W. Edwards Deming invented it in the 1950s; hence, it is called the ‘Deming Cycle.’ The PDCA cycle has four steps: Problem or Opportunity: Determine whether a problem or an opportunity exists Do: Make a small test Examine: Look over the test results Act: Take action depending on results How Nestlé Used the Kaizen Lean Manufacturing Tool Nestlé is the largest food corporation in the world, yet it is also a company that practices Lean principles, particularly the Kaizen method. Nestlé Waters used a technique known as value stream mapping, which is frequently associated with Kaizen. They designed a new bottling factory from scratch to guarantee that operations were as efficient as possible. Nestlé has been aiming to make ongoing changes to their processes to reduce waste and the amount of time and materials that can be wasted during their operations. Final Words Lean manufacturing techniques enable many businesses to solve their manufacturing difficulties and become more productive and customer-centric. In addition, useful lean manufacturing tools assist companies in obtaining the anticipated outcomes and arranging their operations in many excellent ways to meet buyer expectations. Hence, gather a list of the top lean manufacturing tools and choose the best fit for your organization to maximize your ROI and address the performance issue that is causing your outcomes to lag. FAQ What are the standard tools in lean manufacturing? Among the more than 50 lean manufacturing tools, Kaizen, 5S, Kanban, Value Stream Mapping, and PDCA are the most commonly used lean manufacturing tools. How to Select the Best Lean Manufacturing Tools for Your Business? Choosing a lean manufacturing tool begins with identifying the issue or lag in your organization that affects overall productivity and work quality. To select the lean device that best meets your company's needs, you must first grasp each one's benefits and implementation techniques. What is included in a Lean 5S toolkit? The lean 5S toolbox contains some essential items for achieving the goal. It comes with a notepad or tablet, a camera, a high-quality flashlight, a tape measure, and a stopwatch. { "@context": "https://schema.org", "@type": "FAQPage", "mainEntity": [{ "@type": "Question", "name": "What are the standard tools in lean manufacturing?", "acceptedAnswer": { "@type": "Answer", "text": "Among the more than 50 lean manufacturing tools, Kaizen, 5S, Kanban, Value Stream Mapping, and PDCA are the most commonly used lean manufacturing tools." } },{ "@type": "Question", "name": "How to Select the Best Lean Manufacturing Tools for Your Business?", "acceptedAnswer": { "@type": "Answer", "text": "Choosing a lean manufacturing tool begins with identifying the issue or lag in your organization that affects overall productivity and work quality. 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Manufacturing Production Planning and Control: What, Why, and How?

Article | January 3, 2022

Production planning and control are critical components of any manufacturing organization. It helps organizations with the regular and timely delivery of their goods. Furthermore, it allows manufacturing businesses to increase their plant’s efficiency and reduce production costs. Numerous software and tools for production scheduling and planning are available on the market, including Visual Planning, MaxScheduler, and MRPeasy, which assist manufacturing organizations in planning, scheduling, and controlling their production. According to KBV Research, the manufacturing operations management software market is anticipated to reach $14.6 billion by 2025 globally, expanding at a market growth of 10.2 percent CAGR during the forecast period. So, what exactly is production planning and control? Production planning is an administrative process within a manufacturing business. It ensures that sufficient raw materials, personnel, and other necessary items are procured and prepared to produce finished products according to the specified schedule. Scheduling, dispatch, inspection, quality control, inventory management, supply chain management, and equipment management require production planning. Production control makes sure that the production team meets the required production targets, maximizes resource utilization, manages quality, and saves money. “Manufacturing is more than just putting parts together. It’s coming up with ideas, testing principles and perfecting the engineering, as well as final assembly.” – James Dyson In oversize factories, production planning and control are frequently managed by a production planning department, which comprises production controllers and a production control manager. More significant operations are commonly monitored and controlled from a central location, such as a control room, operations room, or operations control center. Why Should You Consider Production Planning? An efficient production process that meets the needs of both customers and the organization can only be achieved through careful planning in the early stages of production. In addition, it streamlines both customer-dependent and customer-independent processes, such as on-time delivery and production cycle time. A well-designed production plan minimizes lead time, the period between placing an order and its completion and delivery. The definition of lead time varies slightly according to the company and the type of production planning required. For example, in supply chain management, lead time refers to the time required for parts to be shipped from a supplier. Steps in Production Planning and Control Routing The first stage of production planning determines the path that raw materials will take from their source to the finished product. You will use this section to determine the equipment, resources, materials, and sequencing used. Scheduling It is necessary to determine when operations will occur during the second stage of production planning. In this case, the objectives may be to increase throughput, reduce lead time, or increase profits, among other things. Numerous strategies can be employed to create the most efficient schedule. Dispatching The third and final production control stage begins when the manufacturing process is initiated. When the scheduling plan is implemented, materials and work orders are released, and work is flowing down the production line, the production line is considered to be running smoothly. Follow-Up The fourth stage of manufacturing control ascertains whether the process has any bottlenecks or inefficiencies. You can use this stage to compare the predicted run hours and quantities with the actual values reported to see if any improvements can be made to the processes. Production Planning Example Though production planning is classified into several categories, including flow, mass production, process, job, and batch, we will look at a batch production planning example here. Manufacturing products in batches is known as "batch production planning." This method allows for close monitoring at each stage of the process, and quick correction since an error discovered in one batch can be corrected in the next batch. However, batch manufacturing can lead to bottlenecks or delays if some equipment can handle more than others, so it's critical to consider capacity at every stage. Example Consider the following example of batch production planning: Jackson's Baked Goods is in the process of developing a production plan for their new cinnamon bread. To begin with, the head baker determines the batch production time required by the recipe. He then adjusts the bakery's weekly ingredient orders to include the necessary supplies and schedules the weekly cinnamon bread bake during staff downtime. Finally, he creates a list of standards for the bakery staff to check at each production stage, allowing them to quickly identify any substandard materials or other batch errors without wasting processing time on subpar cinnamon bread. Final Words Running a smooth and problem-free manufacturing operation relies heavily on a precise production planner. Many large manufacturing companies already have a strong focus on streamlining their processes and making the most of every manufacturing operation, but small manufacturing companies still have work to do in this area. As a result, plan, schedule, and control a production that will enable you to run your business in order to meet its objectives. FAQ What is the difference between planning and scheduling in production? Production planning and scheduling are remarkably similar. But, it is critical to note that planning determines what operations need to be done and scheduling determines when and who will do the operations. What is a production plan? A product or service's production planning is the process of creating a guide for the design and manufacture of a given product or service. Production planning aims to help organizations make their manufacturing processes as productive as possible.

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5 Stats to Reshape Manufacturing Customer Experience in 2022

Article | November 20, 2021

The manufacturing business has always prioritized providing the excellent and most user-friendly products worldwide to its target consumer groups. However, digitalization and customer interaction approaches have altered the manufacturing industry's traditional business model. Now, manufacturers must prioritize improving the customer experience for their target consumer group and keeping up with new trends daily to flourish and remain competitive in the upgrading market. Because, in the end, the buyer is the one who drives your business and generates money. Manufacturers are committing significant efforts to improve the customer experience in the following years. To assist manufacturers in their sincere efforts to improve the customer experience in the manufacturing industry, we have compiled some key facts that must be understood and executed by the industry's or business-specific needs. Before going into manufacturing customer experience statistics, it's essential to understand why customer experience is so critical in the manufacturing industry. The Importance of Customer Experience in Manufacturing Customer service and experience are critical components of any business, which is true in the manufacturing sector. Customer experience can be described as any activity taken by a business to positively influence a customer's impression and opinion of the business, its products, or services. “You’ve got to start with the Customer Experience and work back toward the technology, not the other way around” – Steve Jobs. Customer experience benefits your business in a variety of ways, including the following, It increases customer retention It increases the customer lifetime value It creates brand loyalty It influences brand reputability It can deliver businesses with a competitive edge. Manufacturing Customer Experience Statistics Make your manufacturing business more customer-centric and reap the benefits that many customer-centric companies, such as Apple, Nissan, and Chick-fil-A, are experiencing. To better understand what the customer and industry have explored regarding the customer experience in 2022, below are some statistics from well-known businesses. #Stat 1 Businesses that prioritize customer experience see an 80% increase in revenue. (Source: Forbes) A positive customer experience increases customer interest in the product and acts as a form of word-of-mouth marketing. This way, the business benefits from increased sales and organic promotion by genuine consumers, critical for any manufacturing organization. # Stat 2 73% of customers say that customer experience influences their purchasing decision. (Source: PWC) Customers are not solely concerned with the product's quality or pricing. Instead, they are interested in the complete experience they get while purchasing a product. Therefore, if customers have a negative experience during the purchasing trip, it is pretty likely that they will leave the purchase process in the middle and hunt for other viable solutions on the market. Whereas, if the purchasing journey and post-purchase service are satisfactory, they will gladly purchase the goods and suggest new clients to your business. # Stat 3 By 2023, AI and machine learning will manage around 40% of all consumer contacts. (Source: Super Office) Manufacturing production and revenue are increasing as a result of technological advances and applications. However, the customer experience is not far behind in implementing cutting-edge technology like AI, VR, and AR. For instance, chat bots are the best example of how artificial intelligence, natural language processing, and machine learning are being used to increase consumer engagement. Virtual interaction is becoming more prevalent in the manufacturing industry daily, and both manufacturers and customers like this digital interaction. “Our interactions with our customers have become much more virtual, which frankly seems to work well for the customer and us.” -Scott Heide, Chief Executive Officer at Engineering Intent Corporation Technology application in manufacturing will be maximized, and businesses intend to automate the customer experience by 2023. # Stat 4 According to 70% of customers, an ideal customer experience should be quick, convenient, and cooperative, as well as friendly. (Source: Adobe) Customer service is a skill, and it's always a good idea to put yourself in your clients' shoes. According to an Adobe study, 70% of customers want a quick and convenient service that saves them time. In addition, they anticipate full collaboration throughout the purchasing process, including post-purchase servicing. # Stat 5 72% of customers with a good consumer experience will tell six or more people about it. (Source: Nice Reply) In the first statistic, we discussed word-of-mouth marketing. You will always receive referrals for the excellent products or services you provide to your target consumer group. Customers that have a positive experience will always bring you two additional potential customers, and this number will grow exponentially with each pleasant experience delivered by your organization. How did MacDonald's plan to increase revenue simply by improving the customer experience? When McDonald's revenues started to decline, they focused on the customer experience rather than marketing strategies. They began by listening to their clients and giving them a more streamlined experience. Customers told McDonald's to simplify the menu, increase order accuracy, and use higher-quality ingredients. McDonald's also improved store interiors and introduced digital self-order kiosks and table service, reducing customer wait times. BTIG predicted a 4.1% increase in revenues as these modifications were made. As a result, McDonald's may outperform competitors by improving total customer service. Final Words Customer experience is crucial in manufacturing, and manufacturers must leverage digital customer experience trends to improve their reputation. These a fore mentioned customer experience statistics can assist you in shaping a compelling client experience for 2022 and propelling your organization to new heights of success. FAQ Why should a manufacturing company invest in customer experience? Client experience improves customer retention, builds brand reputation, and gives companies a competitive edge. So manufacturers must invest in the consumer experience. What is the difference between customer service and customer experience? Customer service is one aspect of the customer journey, whereas consumer experience is the sum of all customer encounters with the brand. What does a customer experience include? Customer experience is the overall perception of your business or brand. It is the consequence of a customer's engagement with your website, customer service, and the product they purchase. So, it is the aggregate of all elements from browsing to buying to the product experience. { "@context": "https://schema.org", "@type": "FAQPage", "mainEntity": [{ "@type": "Question", "name": "Why should a manufacturing company invest in customer experience?", "acceptedAnswer": { "@type": "Answer", "text": "Client experience improves customer retention, builds brand reputation, and gives companies a competitive edge. So manufacturers must invest in the consumer experience." } },{ "@type": "Question", "name": "What is the difference between customer service and customer experience?", "acceptedAnswer": { "@type": "Answer", "text": "Customer service is one aspect of the customer journey, whereas consumer experience is the sum of all customer encounters with the brand." } },{ "@type": "Question", "name": "What does a customer experience include?", "acceptedAnswer": { "@type": "Answer", "text": "Customer experience is the overall perception of your business or brand. It is the consequence of a customer's engagement with your website, customer service, and the product they purchase. So, it is the aggregate of all elements from browsing to buying to the product experience." } }] }

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Berry Global

Berry is committed to its mission of Always Advancing to Protect What’s Important, and proudly partners with its customers to provide them with value-added customized protection solutions. The Company’s products include engineered materials, nonwoven specialty materials, and consumer packaging.

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