Business

All You Need To Know About Setting Up And Running A Manufacturing Company

Manufacturing Industry

With any new retail or product opportunity comes the opportunities that open alongside them. Manufacturing is one of them. If you spot a market where people could use better sources for their goods,  you could stand to make quite the secure business. However, starting any business isn’t easy. Manufacturing companies in particular have a lot of unique challenges to fact. The right preparation and philosophies to running your manufacturing process could remove a lot of the risk. Start your research here and go on to make your business one that provides a service to your area for years to come.

Location

Location, location, location. It’s a key to many businesses, but with manufacturing, it comes with a few unique factors to be considered. How close are you going to be to any of the raw materials you need? Is it economic for your delivery services or the services you hire? How available is power? Water? Most importantly, is it a reasonable commute for any of the labour you’re going to need running it? There are a lot of questions to ask, so it’s important to research your choice of location carefully.

http://bpimm.weebly.com/the-7-location-factors-for-manufacturing.html

Hiring the right staff

Once you’ve got your factory set up in a place close enough to get your labour, now it’s time to start hiring. Between administration, line assembly labourers and engineers, you’re going to need quite the team. But how do you make sure you’re hiring the right people? Taking an active step in recruitment is a great way to make sure you hire people with the right skills. Take your offers to job fairs and universities. Be prepared to spot good talent wherever you go.

http://saveourpostoffice.com/497/5-helpful-hiring-tips-for-your-manufacturing-business.html

The admin side

You might already have a grasp of how to run a factory when you’re talking about the practical side. But what about when it comes running administrative and information systems? You’re going to need a combination of the right staff and the right software. For most administrative work, Microsoft Office is a good candidate for filling your needs. However, if that doesn’t do the trick for you, you may need the help of a consultant. They can help you identify parts of your business where the right IT solution could be a tremendous help.

http://www.wtffinance.com/2016/03/does-your-business-need-office-365/
Safety

It’s no secret that factories can be one of the more dangerous kinds of workplaces. Make sure that you start with your safety regulations by your side at every step. Not only are you reducing the risk of workplace accidents, but you’re keeping yourself legally covered, too. Assess your safety risks and the equipment often. Keep training updated and repeated. It might bore your employees, but the more you drill it in, the more it becomes a natural part of the work environment.

http://cerasis.com/2014/01/17/manufacturing-safety/

The right gear

For a lot of factory owners, there are important distinctions to make in the kind of equipment you get. In some cases, it might be a good idea to buy your own. For example, an air compressor is a vital part of providing a central power source. In other cases, it may make more sense financially to outsource other companies’ equipment for the time being. As time goes on, you will want to own every aspect of your manufacturing line, but don’t be afraid to borrow in the meantime.

http://www.htetechnologies.com/products/view/OIL-FREE%20COMPRESSORS

Partnering up

It’s important for any business to partner up when the opportunity strikes. For a manufacturing company, that importance becomes essential to the health of your business. Find partners through things like conferences and business events. Join online groups to offer your services to other local businesses. Build a range of long and short term partnerships. Don’t place too much importance on any one partnership. This way the others can sustain you if one falls apart or sours. It is the business world, so expect them to do that occasionally.

http://chiefexecutive.net/partnerships-strong-corporate-cultures-will-be-key-to-the-next-manufacturing-boom/

Eliminating waste

There’s a lot of waste that accumulates in manufacturing businesses that you need to clear up. System complexity. Lead time. Transport. Space. Inventory. Human effort. Packaging. These are the places that waste can build, removing efficiency and losing you time and money. When you’re planning changes or improvements, focus on these aspects in particular. It can help you pinpoint the parts of the business that are you holding you up and help you develop solutions for more efficiency.

https://leancor.com/blog/eliminate-supply-chain-waste-so-that-only-the-value-remains/

Make every member of staff an expert

It’s not likely that you’re going to have a team full of people who can see every aspect of the business from top to bottom. However, with the right development strategies, you can take a step in that direction. Make use of cross training, moving your staff from one part of the factory to the other. Train them to recognise the key elements of how it all fits together. This can make them an expert in understanding their role as well as the business in general. It can also diversify their abilities in their own role.

http://www.areadevelopment.com/laborEducation/Q1-2013/implementing-cross-training-hot-back-ups-37372612.shtml

Going green

Being environmentally aware is growing to be a big part of the business. The chances are that it’s only going to get bigger, too. From choosing a location to the methods of production, it’s a good idea to start taking some green considerations already. If you have recyclable waste, find how to make use of it. There are a lot of incentives and penalties related to eco-friendly manufacturing, so always keep it in mind.

http://www.wastecare.com/Articles/Waste_Reduction_Recycling_Tips_Manufacturing.htm

Cutting costs

There are times when you need to streamline business. Sometimes it’s in pursuit of more money to make that upgrade. Sometimes it’s in relation to losing clientele. The answer is often in streamlining your factory process. That mean eliminating waste as we’ve said before. It can mean getting rid of machines that don’t pull their weight as much as others. It can even mean reducing your labour. You need to know the most effective ways of cutting costs no matter the scenario. Otherwise you could start losing money faster than you think.

http://smallbusiness.chron.com/ideas-costreduction-manufacturing-59401.html