3 Ways to Reduce Manufacturing Cost and Increase Profitability



Many manufacturing companies have a high focus on constant growth, especially increasing their profitability. Manufacturing companies are more complex in nature than most organizations. Therefore, there is a need to carefully consider and develop costs for pricing and other decisions. Manufacturing costs include the following elements: direct materials, direct labor, and manufacturing overhead. Here are 3 concrete ways to reduce manufacturing costs while increasing profitability.

1. Cutting Material Losses

Material losses like scrap, spoilage, waste, and defects cause a difference between the input and output quantity. The output ends up reducing due to waste, scrap or spoilage hence reducing profitability. Any form of scrap viewed as a loss needs to be eliminated.

Abnormal waste should be thoroughly investigated and preventative measures should be taken to avoid re-occurrence. Standards need to be maintained by the inspection staff and responsibility for abnormal wastage needs to be understood and acted on by purchasing, storage, and the production departments.

Legitimate administrative and defective scrap should have a cost assigned to it and accountability. Defects are products, which are bad, but not totally destroyed. Therefore, they can be restored to original condition and such products are advisable to be rectified. Normal spoilage is expected by the manufacturing company, but abnormal spoilage needs to be controlled through supervision to prevent inefficiency.

2. Stringent Control Measures on Quality, Material, Inventory, Machine and Delivery

Managers need to check the quality of products through warranty claims, defects in units, and customer complaints. Insensitivity to such matters leads to losing market share and this leads to low profitability. Managers should be quick in resolving such matters when they arise.

Manufacturing companies should focus on higher quality, shorter lead times, and exerting control over scrap. Unreliable and undependable suppliers need to be identified and eliminated through the use of lead time.

Use of automation requires massive investment in equipment and floor space. There is a need to minimize the amount of machine downtime and enhance bottleneck operations. There is also a need to speed up machine setup time, which is very vital because it relates to all equipment. This leads to an increase in throughput and decreases setup time.

Customers want to get quality products on time. The delivery time should be adhered to from the receipt of an order to shipment of finished goods. Reduction of delivery cycle time, throughput time, and the velocity of production. This reduces customer waiting time and creates a competitive advantage over other similar companies. This increases customer loyalty, market share, and profitability. Manufacturing companies should pare away non-value-added activities allowing the products to reach customers more quickly.

3. Elimination of Non-value-added Activities

Activities such as reworking and inspection do not add any value to the customers. This may end up reducing profitability if it gets past the quality control department because it will reduces market share and customer loyalty if the customers don’t perceive the products to be of good quality. They may no longer take the chance and buy your products decreasing your profitability.


There is high competition among similar manufacturing companies and it is of great importance to put into practice the right control measures to manage manufacturing costs and increase profitability.

How else do you reduce your overall manufacturing costs to increase your profitability? We want to know.

Why It’s Important to Build Alliances in Business and Personal Life

I’m going to talk about how to build personal alliances for your business success and success in your personal life.

Didn’t Want to Reach Out For Help

So when I started in business when I started this whole journey 8 years ago I believe that you need to be able to figure everything out by yourself. You need to be able to do it all by yourself. Just figure out a business model, figure out what to do, figure out all the skills, just learn it yourself and be a true entrepreneur. That’s what I thought a true entrepreneur was and I wouldn’t get any help from anyone.

So after that I’ve discovered all these entrepreneurial self-help books and I learned the principle of you become the average of the 5 people who you surround yourself. I then got a mentor and I got results much quicker. Then I discovered there’s a next level there’s a level higher that allows you to get even more success in business. Not just surrounding yourself with peers not just surrounding yourself with mentors but going a step higher.

Find People Who Complement Your Skills

So one principle that I found, one technique that I found is building alliances. Find people in your life and get people in your life that will support you no matter what. Get people in your life find people in your life do whatever it takes to get people in your life who help you to get to where you want to be. Now what do I mean by this? It’s not just getting referrals for a business and it’s not just improving your sales. What I mean is you’re looking for people who you can call at anytime and they will help you. You’re looking for people who will talk behind your back and it will say good things about you. Why is this important?

Make An Alliance With a Coworker

Let’s use the example of jobs. If you have a job and work in a big corporation and you always walk around and you say I’m so awesome look how much I’ve accomplished I’m so fantastic I’m so great my skills are amazing look how much money I’m making for a company. People are going to hate you. But if you team up with someone and you’re friends, you’re an ally and you talk about each other to other people you always give compliments about this person to other people over and over and over that’s not bragging that’s not frowned upon and what will happen is people will start saying good things about you because someone else says it. Here’s the good thing this applies to business, as well.

If you use is in business and lots of people talk well about you and then someone thinks well I need to have something made and you happen to be a supplier of that then people come to you because you’re the person people talk about. In fact now I believe looking at the way business works right now it’s impossible to get sales almost impossible to get sales unless people are talking well about you. No just one person, but groups of people and once you’re starting to create groups of people that are talking well about you then you’re able to get sales much easier and your business will be able to grow much easier. It will be much easier to find employees and suppliers whatever you need everything just comes to seems to come to you when people talk well about you.

Speak Well About Others and They Speak Well About You

Now this makes your life much easier. This is where you want to get. This is the ultimate type of connection in my opinion that I’ve discovered so far and it’s super super powerful. Imagine if you have hundreds of people talking well about you and saying good things about you too older friends and so on, what will happen?

I’ll give an example, one of my clients found out about my business while he was standing in line at a McDonalds. A couple people were talking in front of him about my business and he became interested. So this happened because someone spoke well about me. If I started speaking in McDonalds and saying stuff about me no one really cares.

So how do you create these alliances? Now you need a level of friendship or people need to look up to you. The best way is to do a one on one and agree that you’ll speak well about them and they’ll speak well about you.

When you go to a marketing seminar, for example, you talk a little about yourself and a lot about your friend. Build each other up. Imagine if you do that with five people at the marketing event you’re going to have people knocking down your door to do business with you. This is human nature, this is how it works, and it works amazingly well.

If you have more techniques to build alliances contact us.

Where we stand at Horry Industrial Alliance

Mid-year Review: Where We Stand

At one of our recent meetings, it was agreed upon with the group to provide you with an update for where we plan to go for the remainder of the fiscal year, and beyond.  The Horry Industrial Alliance is excited about the progress we have made throughout the year, and the promise of the future.  This post will help you understand where we stand.

The First Half of 2018

Since the beginning of the year, Jim Wilmore has been helping us prepare our initiatives for the improvements we have voted on last year.  Some of the improvement Jim is helping us, include:

  • Improvement to infrastructures to remain compliant with new codes and regulations
  • Ensuring the website and other web properties comply with the ADA standards
  • Business process management (BPM) improvements executed across the organization

We feel confident that Jim and his team will be helping to ensure that our properties and processes will be updated and modernized by the end of the fiscal year of 2019.

Remainder of 2018

One of our favorite members, Don Hardwick, has recommended some improvements for improving safety within some of our partners’ sites.  On-site requirements have been changing over the course of the past few years, and we must make corrective changes in order to provide safety and accountability across the board.

Interestingly, Don has found inspiration from unconventional locations.  From his recent trip to Charleston, he found that some centers are procuring disposable shoe covers from e-tailers now more so than traditional outlets (from trade magazines).  Don thinks this is a trend to watch for, and we’re making the appropriate connections in order to ensure the best possible pricing and arrangements for ensuring a healthy business relationship moving forward.

In addition, ideas centered around the use of internet of things (IoT) continuously is brought up, and we’re working with our technology partners for ensuring that we hit the ground running when these advancements in technology provide direct business value for our members.

Don and his team are doing a great job at spearheading these projects, and we’ll be sure to update you once we have solidified the right strategy for us moving forward.

What about 2019?

Though we are several months from ringing in the New Year, that hasn’t dampened our spirits for where we are headed.  Being the last year of the “twenty teens”, this is our opportunity to really make an impact and start the 2020s in style!

We have been in talks with local universities to start a research initiative as well as scholarships to collaborate in new ways to serve the greater good.  We feel that our team is headed in the right direction, and we’re excited about the opportunities to network with local residents, businesses and students to ensure that our alliance remains strong in the coming years.

In a word: technology.  Tech will remain a centralized focus for us as we innovate new strategies and match them to new opportunities to serve our members.  This year has been an exceptional one– with exceptional growth and opportunity– and we anticipate this momentum will carry us on into the next year.

Of course, we are always open to new ideas, and we welcome hearing new voices.  We encourage anyone with ideas for improving our alliance to reach out and either Linda or myself would be happy to speak with you in detail.

We look forward to your ideas and cooperation as we prove that 2018 has been a remarkable year for our alliance!

7 Benefits of A Rural Development Program and How to Make Full Use of It

Many communities have rural settlements that are left undeveloped. However, these rural settlements have abundant natural resources that could be beneficial to the community at large. There are talents buried in these rural settlements that if developed, could contribute to the overall GDP of the nation. In this regards, we outline some major benefits of rural development and how to benefit from it.

1. Bright Future for the Children

Education is one of the many legacies that sustain life. Making education a part of the program can expose kids and other children to a bright future. This assists in their mental and cognitive development. Hence, they are prepared for what the future holds and can successfully compete with their mates in the urban settlement.

2. Improved Health of the Citizen

Many rural settlements do not have access to adequate health care facilities. Hence, it is upon the government and various Non-Governmental Organizations to invest in health centers around the rural communities. This will help reduce the stress of rushing to the cities for health care and also increase life expectancy. This can even come in the form of vaccination for kids.

3. Quality Infrastructure

Infrastructure plays a critical role in the development of any settlement. Infrastructure can come in the form of roads, schools, etc. It is a vital component of what makes life better. Also, providing quality infrastructure is a way to improve the development of the community. Good roads, for instance, will aid access to the settlement hence, attract investors.

4. Employment Opportunities

Empowerment program and other employment-oriented rural development ideas are essential to the community. Asides the fact that it will limit the exit of youth out of the community; it will enable the quick development of the urban settlement. Provision of employment generation ventures like farms, sachet water factory etc will improve the community as well.

5. Improved Sanitation Preserves Life

There are many dangers that come with improper sanitation. Asides encouraging the spread of disease or germs, it also reduces life expectancy by leading to the death of people. Hence, when people defecate and urinate in an open place, the spread of cholera and other associated illness is encouraged. As a result, building the public toilet and sensitizing people how to use it is essential for their well-being.

6. Improved Opportunities

By developing and implementing many programs in the rural community, there will be ample opportunity for people. Empowerment program, for instance, can be launched to make people stand alone and make ends meet. Also, an individual can develop their skills and be able to get a sustainable means of livelihood.

7. Empowering the Female Gender

This issue dates back to decades. Usually, women and the female folks have been marginalized. This can be because of the male dominance factor. As a result, when there is rural development, women can feel among as well. Besides, there should be the program that focuses on women empowerment to enable them to become successful in whatever field they find themselves. Without a doubt, there are many benefits that come with rural development. Have in mind that the sole benefit does not go to the individuals and community alone. The government also benefits when the overall GDP improves.

manufacturing repair

Best Innovative Approaches to Improve Your Manufacturing Repair

Manufacturing is undoubtedly one of the most essential processes in industrial production. It is the process of converting completed ideas with every minute detail to develop the best product for their client and customers.  When we talk about details, they should be very accurate– if not, there are chances to build a failed product, and sometimes it becomes challenging to find the place of error.  Manufacturing repair methodologies have become top-of-mind for many professionals as they implement their updated plans.

Especially in mechanical engineering, when there are manufacturing repairs — for example, ballscrew repair requirements — to be made, the process must be strictly followed because they are used in cars, rotating shafts, turbines and more essential products used in various industries.   You must ensure your maintenance process is efficient and delivers cost savings.

Manufacturing Repair Overview

Manufacturers realize that many practices could improve the manufacturing process free of errors like lean methodologies, Six Sigma and much more. There are many problems like limited or no spare parts, the age of the equipment, etc.

When the quality maintenance is given more priority, it will increase the time for productivity, that is the reason why manufacturers prefer quantity over quality.

Here are some ways where you can improve the manufacturing repairs where you can concentrate on quality along with the productivity of operation.

Gather Relevant Data to Reduce Downtime Costs

A lot of data is to be gathered and processed into vital information to reduce the downtime of machines. The report must have many valid data like the mean time for machine failures, usage of technology, time wasted by the technician during manufacturing and so on. With all these pieces of information, one can concentrate on productivity with reduced downtime costs.

Understand Your Operational Variables

When you make calculations for projecting the productivity you must assess the savings from maintenance operation from operational variables. Some of the factors are handling of critical spares, improving the speed of technician response and also dealing with the work order system.

Use Technology as an Added Advantage

When there are already reliable sources that would aid the manufacturing process, it would be wise to read and implement actions that could be feasible for your company. Make sure your company has an automated maintenance monitoring system which would help you with every complex information for reducing the production time and also balance on the quality.

Schedule Your Preventative Maintenance

With an automated maintenance system, supervise the assets in operation and track every critical spare that must be needed for a continual process. With a computerized system, you could also create a planning function over tie and provide more agile maintenance. With a tight schedule to follow, it would reduce the downtime for the machines and also not ruin the quality of the machines and the tools along with it.

Outsource Your Technicians When Required

To reach out for the best standards, there is a requirement for highly skilled technicians. It would be better to hire technicians outside your company to get a better perspective and improve the intercultural look of your company.

You would be able to understand many other different techniques suitable to your company standards and improve them along with time because production is a learning process and developments must be made continually for increased productivity.

When it comes to huge manufacturers, precision is always on their mind which could be attained through sheer discipline and with much commitment. The productivity is not a single man show and must involve the entire company to achieve the best standards. The right balance for a manufacturing company would be having the right resources of information, technicians for the job and technology always on your side. With all these, your manufacturing repair time can be reduced for improved productivity.

Do you have other ideas?  Feel free to contact us and let us know!

How the Industrial Revolution Has Impacted Your Life

An Industrial revolution is the process of manufacturing products through technological machines rather human beings exercising the whole process using hand production methods. Evolvement of industrial production has brought along great economic impacts as discussed below.

It has led to the end of monopolies as the cost production was cut down due to adoption of new and effective technologies which led to industrialization thus many countries were able to venture in. It has led to increased innovation and invention by humans in the production industry thus improvement of end products. This is due to the fact that more people have developed a thirst for more knowledge.

It has led to effective scientific research thus resulting in new proofs and inventions and enhancement of health sector. People have now access to affordable medical treatment in terms of effective drugs and operations which was earlier unaffordable due to high prices and lack of effective machines to diagnose the major illness and carry out their operations.
It has led o increased mechanization in production thus cutting down the cost of production and manufacturing as machines are quite faster than human beings. This has eased human beings of their daily hard chores.

It has made the production easier through division of labor and specialization thus making production faster and more economical compared to hand methods of production. This has in turn increased daily productions thus increasing companies profit margin.
It has improved peoples standards of living due to the fact that more people have access to jobs and business opportunities. This has greatly had effect on accessibility of quality education and health services.

It has led to improved infrastructure which has greatly had effect on improved communication, transportation modes and construction of modern housing.
It has led to urbanization thus a major drive to environmental growth as government work on improving living standards of their people.

It has led to stabilization of economic market due to increased demand of good and services as they are easily available in good qualities and desired quantities all over the world.
It has enhanced political stability as different countries emerge together and form trade ties as they engage in signing of contracts thus enhancing overall peace in the world. This has also enhanced development of aids to trade thus a positive impact to the surrounding community.

It has also reduced tribal enmity in various communities as people work together toward achieving a common goal thus improving peaceful coexistence .This has also led to intermarriages which in turn has contributed to adoption of different cultures, traditions and societal norms.

In conclusion, Industrial Revolution has greatly affected not only industrial but social economic sectors in the world at large. It has greatly improved living standards in terms of health, education and security thus increasing overall human lifespan at large. It has led to increased competition in production of goods and services thus resulting to qualitative and quantitative outcomes. It has greatly had a positive effect on the overall development of Third World Countries.

Top 5 Places To Get Certified Forklift Training

In order to maintain safety in the work environment, employers need to employ people who have certified forklift training. A slight error with those big machines can cause serious property damages and also injuries to both the operator and other workers. Employers who comply with the industry rules must always hire trained and skilled workforce.

Benefits of undergoing forklift training

– Certified forklift operators save a lot of time transporting all kinds of goods carefully and steadily using minimal time. This enables faster business growth by using less time to get maximum profits. Fines relating to workers’ injuries are reduced with the money invested in other areas of the business

– Trained operators maintain the machines in a good condition to work all year. This is done by making sure the machines are used in their proper manner without any mishandling.

– Forklift training improves ones’ career opportunities in an already crowded job industry. Employers prefer certified and skilled workers over their uncertified counterparts because they want to reduce hazards at workplace and increase their productivity. Thus, a better pay for the certified forklift operator.

– Forklift trained professionals will have a better idea of what they are supposed to do. They prioritize safety, health and time in their workplace. This leads to improved morale to other workers and lower stress levels. Therefore increased production and services is realized in this kind of workplace.

– Trained forklift operators are less likely to cause accidents in their workplace. In case an accident occurs, the employer’s insurer will cover for the medical expenses. This is made easier if the operator has undergone certified forklift training and safety reducing the eventual compensation to the worker.

Here are some of the top 5 places for people aspiring to get forklift certification.

1. New Wave Training School

New Wave Training School in the United Kingdom offers a wide range of forklift training. They offer professional forklift training including reach truck, counterbalance, very narrow aisle and multi directional.

2. Forklift Training USA
Located in Clinton Township, Michigan, the institute offers students hands on training. They offer training in forklifts and aerial lifts in a professional and safe manner. Forklift Training USA complies with the rules and safety standards of OSHA.

3. Torcan Lift Equipment (USA)
Located in Toronto. 115 Rivalda Road. Torcan Lift Equipment offers training in safety related programs that meet professional standards as well as the Occupational Health and Safety Act regulations. They offer training in material and personnel lifting equipment. Once the training is complete, a certificate card and a manual with all materials undertaken in training are offered.

4. Forklift USA
Forklift USA is located in 2410 Kinmor Industrial pkwy NW. They offer forklift training in compliance with the rules and standards set by the OSHA law. Training can take less than 2 hours with the student offered a provisional certificate as well as an operator card immediately after completing the training class and passing the test given.

5. Raymond Corporation
Located in 22 South Canal Street, Green in NY, Raymond corporation offers e-Learning modules, Classroom classes, Virtual Reality Simulator Experience and, Hands-on demonstrations and instructions. They also offer training in forklift maintenance in compliance with the OSHA law.

Therefore. undergoing certified forklift training is very essential in many ways. Not only to the individual but also, the employer and other workers get to benefit from the expertise gained.

Rise of Carport Trend Across the Region

Carport picture

It came to our attention quite recently by member, John Flemming, that the rise of carports in the southern region is becoming quite remarkable.  Over the past 5 years, according to Google Trends, “carport” searches and purchases are reaching all-time highs.

In the South, we can see this trend taking shape.  For example, if you venture on the route to Charleston from Summerville, you will come across a variety of carports– and this is just from firsthand experience.  Beyond this locality, in South Carolina, carports are being purchased more and more as baby boomers are retiring and seeking shelter for their vehicles.

There are lots of varieties of carports– they come in all shapes and sizes.  For example, metal utility carports can be purchased as custom-built or bought in kits for self-assembly.  Carports can be found in, both, urban areas and rural areas, too.  Some offer steel garage buildings which are offered in a variety of styles and colors.

When we asked Tom Carol about the reason for his recent carport purchase, he said:

My wife and I just bought property on the countryside, and we have a camper.  With her having two vehicles, my truck, and the camper, we knew we needed something to protect us from the (sometimes) harsh weather we get here in the area.

I was looking at options online, and at first, I was actually thinking about constructing my own barn to be used to house our vehicles.  Then as I did more research, and speak with my would-be construction manager, we decided to go a different route.  Though, we might’ve saved a little money building our own carport, it just wouldn’t have been the same.  Plus, being that we’re retired, and in our later years in life, it seemed more suitable for us to get the carport done professionally, as the resale value (for our property) would be higher than if we would’ve built the carport on our own.  It came down to what was the most cost-effective, really.

According to the US Census Data, about 76% of households in the United States have some type of shelter for their vehicles (whether it’s a carport, garage, etc).  It is striking, to say the least, of the popularity of these shelter units across our Sate.  By looking the data, we can see that it’s not just in our State– it’s nationwide– and it’s a growing trend in our culture.

Carports aren’t just a fad anymore.  They are becoming common place, and it’s a trend you can’t deny.

Career Opportunities in Manufacturing









If you’re looking down the road for jobs that pay well and are in high demand manufacturing is what you want to go into. Manufacturing is a very growing industry and we need a skilled work force to help support us and it’s not just production levels and production jobs that we need the growth we need engineers we need administrative support we need finance we need a technology folks to support our business. There are so many opportunities within the industry I see. This is just an exciting time for the young folks in the schools and the opportunities I think that the manufacturing sector that can provide students with just valuable careers where they can work with their hands, work with their minds, and problem solve.

Pays Well

Manufacturing is growing in this region. It pays well and it’s one of those jobs where it’s something that is always going be there. There’s always going to be new things being made, new things being created, new advancements and they’re always looking for people so as long as you can get in, learn what you’re doing, know how to do it right, you’re always guaranteed a job at a fairly decent wage.

There are wonderful opportunities in manufacturing. We have higher than average wages, in fact, if you look at the wages of regular jobs compared to manufacturing jobs they’re almost 70% higher on the median wage level. I think as long as you have a strong work ethic than you’ll be successful in this industry no matter what field you choose and you’ll be paid well for it.


As far as manufacturing and technology that exists it’s not the old post drills and the old medieval looking shops most everything that happens now in manufacturing is computer numeric controlled (CNC). The technology in our machining centers and businesses is very much state-of-the-art. Everything is computer based. All those machines are essentially a laptop computer. You have to know what the X, Y, Z axes are and G code. Manufacturing spans from the programming area all the way into the area where the guys are putting the stuff up on the table for cutting.

Technology Changing At A Mind-Boggling Rate

Manufacturing technology today is something we did not even think about even 20 years ago and I can’t imagine where it’s going to be in another 10 to 15 years. I love working in manufacturing. There hasn’t been one day that I woke up in the morning and haven’t been excited to come to work. I get to work with automation equipment every day and the variety or equipment is astounding. I’ve always enjoyed working with my hands since I was little. Working with my hands and working with things has been in my blood and it’s the perfect field for me. The technology in this field is growing at such an exponential rate that what the future brings for technology like this is just going to be mind-boggling. It’s going to create more jobs and there’s definitely going to be more opportunities for more people to get involved. It’s expanding at an unbelievable rate.

Where we Stand

I just wanted to provide an update for people who are wondering about the status of the Horry Industrial Alliance.   Horry County is a wonderful area and that’s why more and more people are gravitating towards residing in the area and growing a family.  That’s why here at the Horry Industrial Alliance, we are very aware of what it takes to keep good people staying here and coming here to start living in the great state of South Carolina!

By leveraging collaborative resources, we can provide our members with the right resources they need for new and existing Industries within the area.  By promoting enhanced environmental concerns and serving as an advocate for local and state and federal issues, the Horry Industrial Alliance is intuitively aware of all the comings and goings as it relates to repair services and the area and abroad.  Horry Industrial Alliance has always been aware of all the repair service men and women across the area that are entitled to having their company promoted across our membership.

We do a thorough complete job to ensure that all qualified service providers are assessed on a variety of factors to ensure that our members are given the most updated information about how they may be able to serve them.  Working alongside of variety of service repair companies we, are uniquely provided with information and resources to handle all to all of our members and adjoining partners.

The alliance serves in a variety of functions, but we can help you find the right qualified personnel and capable companies when it comes to repair services across the county.

The Horry Industrial Alliance started with humble roots, as you may be aware. The alliance was formed out of a necessity when a variety of members came across the idea that the industrial and repair industry desperately needed a voice in local and Federal jurisdictions.  The alliance came to be when a variety of founding members came across the idea for the alliance of all repair services needing to find capable personnel to join forces and provide the county with an alliance that is tied with brotherhood, prosperity, progress and unique features with benefits that provide all members and adjoining partners to help the residents of Horry County and supporting counties across the great state of South Carolina.

We do this so that we may be able to provide transparent information and resources to those people that are seeking qualified and respected repair services for nearly any type of repair job in the area.  The Horry Industrial Alliance is always seeking new and Innovative approaches and welcomes new perspectives to helping our members partners and Global Citizens approach their existing problems in a new way.  We hope that you will stay tuned two more enhancements to our website as a Horry Industrial Alliance moose forward in the next year.