Thousands of companies across the country are trying to move towards lean manufacturing in 2014 in order to save money on operating costs and much more. The principles of lean manufacturing have always played a significant role in Michigan’s economy, and will continue to do so this year. Leading companies are employing a lot of different factors to turn their operations into lean ones and we discuss them all here in this post.
Reduction of Budgets
A lot of companies are reducing their budgets in order to go lean or ‘green’ in 2014. This includes laying off employees and cutting costs in other areas of the company. When layoffs are performed, the company saves money not only on salaries, but also the benefits it has to pay to those employees while they are employed. It seems as though recovery is occurring within the manufacturing industry right now.
Manufacturing companies have also taken to improving their processes that occur on a daily basis. This helps the company improve its use of existing resources so the company does not waste valuable time or money on processes that just do not get the job done anymore in this high-tech world.
Adding a Green Touch to the Company
Companies all over the country, not just in the manufacturing industry, are going green in an effort to save money and go lean. This includes installing light fixtures that have timers or sensors, reducing waste produced by the company, new package design, better travel plans and much more. Going green is an initiative taken on by millions of companies and individuals each year.
Reducing the Company’s Footprint
Another option for lean manufacturing is for the company to reduce its footprint on the environment. This is a part of going green and it involves the company using less resources. On the other side of things, this is primarily concerning the use of less physical space. Companies are employing the use of a better supply chain management system and inventory management system in order to reduce its footprint on the environment.
The innovations in technology have helped companies move into leaner manufacturing practices. There is software in place now that helps companies monitor processes, supplies, equipment and other aspects of the company. These programs also help to automate and control processes that the company uses on a daily basis. This software can help the company save money in these areas and then put that money to good use in other departments.
When companies move into lean manufacturing, they must put more than one policy into effect in order to be successful.
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