Successful manufacturing companies share a number of attributes.
Firstly, they tend to have savvy, experienced management.
Secondly, they have respectable pay and benefits.
Thirdly, related to this is that they mostly have low staff turnover and positive employee engagement.
The fourth shared characteristic is a comprehensive employee training program and a focus on continuing education.
Finally, successful manufacturing companies have a company culture that emphasises open information flow and innovation.
- The role of good management in a successful business cannot be overemphasised. Strong management has an intimate knowledge of the dynamics of their industry. Effective management knows how to identify, recruit and promote capable staff, as well as when to delegate. Strong management is also forward-looking and seeks to optimally balance resources between current production needs and innovation in future process and product improvement.
- Almost all successful manufacturing companies have reasonably generous pay and benefit policies. This, of course, leads to higher employee job satisfaction, which in turn leads to a happier and more productive workplace environment.
- Successful manufacturing companies also tend to have high employee satisfaction ratings as well as low employee turnover. This is certainly related to the good pay and benefits, but it also relates to a pleasant, productive work environment and feeling valued as an employee.
- A focus on training is typical of successful small manufacturing companies. Comprehensive training not only helps employees do their jobs better, but leads to overall higher productivity and improved employee morale.
- A company culture that emphasises open information flow between departments and between management and employees is typical of successful manufacturing companies and when directed correctly will develop innovation from this culture of open information flow.
As the CEO of Campbell’s Soup once said: “To win in the marketplace, you must first win in the workplace.”
Mark Goldby is Chair of the Nottingham Manufacturing Network and the NMB Manufacturing Interest Group. He is also Managing Director of SMS Electronics, which has a strong commitment to manufacturing excellence in Nottingham and Nottinghamshire.