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September 28, 2009
By: CartPro
Category: Business Tips, Future Trends, Manufacturing Industry, Material Handling, Safety and Ergonomics, economy, ergonomics
Hand in hand with the “go green” movement, the “responsibility revolution” is changing the way Americans shop. Everyone from the companies that supply your parts and materials to the end product consumer is watching how corporations use resources and interact — with the local community and the world at large. Ethical consumerism is on the rise and savvy business owners are paying attention.
An outgrowth of our raised consciousness about the interrelationship of environmental systems, people are paying more attention to how companies are interacting socially with their environment. It’s not enough these days to decrease your carbon footprint and lower your energy consumption, people expect a certain level of social responsibility from the companies they buy from and invest in. The marketplace is replete with examples of companies that have suffered for their lack of social consciousness. Nike attacked for unfair overseas labor practices. Wal-Mart boycotted for unfair labor practices at home. Rabid consumer groups have been quick to call attention to practices they find unethical, tarnishing corporate reputations, forcing management changes and even putting companies out of business.
Smart corporations are working to demonstrate to consumers that they care about the planet and the people they share it with. Implementing a strong ergonomic program and switching to ergonomic equipment that protects the health and safety of your workers is one immediate step companies can take to show their concern for others. Many Americans are looking for improvement and changes in their own back yards. Using local suppliers, contracting with local transport firms, supporting local events and charities, improving the lives of the people you hire — both on the job and off — these actions speak louder than words. They show people that you are a responsible corporate partner in their community and an asset in their daily lives.
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August 26, 2009
By: CartPro
Category: Future Trends, Manufacturing Industry, Material Handling
One of the realities brought home by the worldwide recession is the fact that the economy truly has gone global. Manufacturers who fail to adjust their business models and adapt will be unable to compete. Many believe American manufacturing is at a crossroads. Driven by 282,000 small and midsize manufacturers — the backbone of U.S. industry — many of which lack the resources to meet the demands of global competition, American manufacturing must step up to the plate or find itself struck out by better prepared foreign competitors.
In our August 21 post, we talked about six essential next generation strategies identified by the American Small Manufacturers Coalition from a survey of 2,500 U.S. manufacturers. An online article on the Material Handling Industry of America (MHIA) website pointed out several of the most challenging threats to the viability of U.S. manufacturing revealed by the Next Generation Manufacturing Survey.
- Too few manufacturers, only 28%, recognized the importance of global positioning. The days when the U.S. dominated world manufacturing are gone. The torch has passed to China, India and other emerging powerhouses. The reality is that market demand, talent pools and competitive opportunities are growing outside U.S. borders and declining within. The greatest opportunities lay in forming global alliances.
- Too many U.S. manufacturers failed to recognize the growing importance of green operations and sustainable product and process development. Only 16% of survey respondents considered eco-friendliness important to their success with a like percentage denying its relevance. The reality is that consumer demand for green and sustainable products is increasing. Government regulation will mandate change if manufacturers fail to adapt.
- U.S. manufacturers are clinging too tightly to the old management from the top down model. Too few manufacturers are taking competitive advantage of the opportunity to partner with employees, suppliers, even competitors. Less than half of survey respondents engaged employees in improvement efforts; less than a quarter sought supplier input. The reality is that productivity and innovation improve when employees, suppliers and customers are fully engaged. Future success will belong to the collaborators, not the mavericks.
The majority of American manufacturers seem to have stuck their heads in the sand rather than face the challenges of the future. Those who deny the future are apt to be buried by it.
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August 21, 2009
By: CartPro
Category: Future Trends, Manufacturing Industry, Material Handling, economy
Not so long ago some were predicting the death knell of U.S. manufacturing. As the recession brought Detroit’s Big Three to their knees, put the brakes on consumer spending, forced massive layoffs and shuttered cash-strapped plants across the country, American manufacturing seemed to be in its death throes. But as they say, what doesn’t kill us makes us strong. Strong competitors assimilated weak ones. Loose financial and operational practices were tightened. Costs and expenses were pared down. From the assembly line to the board room, American manufacturers are running a tighter ship – and it seems to be paying off. Manufacturing declines have been slowing since December. In July new orders resulted in the biggest production jump in more than two years. Customers are beginning to restock and assembly lines are running again. The light at the end of the tunnel is getting brighter; but there is concern that unless U.S. manufacturers make major changes to their business model, the light could still go out.
A recent national study found U.S. manufacturers distressingly unprepared to compete in an increasingly global economy. Conducted by the American Small Manufacturers Coalition in conjunction with Manufacturing Extension Partnership, the Next Generation Manufacturing Survey polled more than 2,500 U.S. manufacturers. The report identified six essential next generation strategies manufacturers must adopt to compete successfully in global markets:
- Customer-focused innovation
- Talent recruitment, development and retention
- Systemic continuous improvement
- Supply chain management and collaboration
- Sustainable product and process development
- Global engagement
More than 25% of American manufacturers — over 90,000 firms — were considered at risk because of their inability to meet world-class achievement levels in any of the six strategies. Unless U.S. manufacturers are able to adopt next generation strategies, America may not be able to compete in global markets.
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