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Increasing Productivity in Manufacturing: Which Variables Should We Look at?

Karine Simard
by Karine Simard on Aug 24, 2016 7:00:00 AM

Let’s first ask ourselves, which variables have an impact on productivity?

Below is a list with a quick description of some variables that might impact productivity, if you consider productivity as basically producing as much as possible at the lowest possible cost while at the same time taking into account the fact that the quality of what you produce will also be a part of this equation.

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Cost of raw material

Reducing costs will allow you to show a  
better margin for your product.

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Labor cost

You want to make sure you use just enough labor to do the added value tasks and no more, as labor is expensive this can increase your costs unnecessarily.

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Machine runtime

This is the number of hours the machine producing your parts is running. 


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Quality control

Is extremely important for increasing productivity. There are many different methods to accomplish this, some of them will be discussed later in this eBook.

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Production layout

You want to make sure your production
layout allows the process to flow smoothly.

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Energy consumption

There is no need to spend more on this than the absolute bare minimum, so you want to make sure you keep this low in order to improve your margin.

 

Keep reading this blog for a deep dive on each of the six variables, or download the eBook: Optimizing the Productivity of Existing Equipment.

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Karine Simard
Written by Karine Simard
Karine is a journalism-school graduate turned marketer with a side-step in sales and the addition of an MBA to complete her understanding of business. She has documented, marketed and sold products in the high-tech industry, from power monitors to people counters, enterprise software and telecom testing solutions. She cares about team dynamics, marketing and generating quality leads for her teammates in sales. Her mission is to bring sales and marketing teams together into one happy revenue-generating machine.
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