August 2007 Edition

THE LAST WORD

MAN

Employee Assets

There’s a lot of lip service given to the phrase“our employees are our greatest asset,” yet few companies use that resource. It’s time to see how employees can contribute more than just their hourly work.

When asked,“What type of business do you want to operate,” most members of upper management would likely answer,“a profitable one.”

Certainly, profitability is a goal in any company, but how management shapes its decision-making process can be among the key factors in building a better business.

Should it function as a top-down decision-maker or an employee-centric one?

It depends on whom you ask and what is deemed best for a given business environment. In today’s business environment, there seems to be distinct trend toward the latter.

For example, instead of managers falling prey to the old parental adage,“Do as I say, not as I do,” now managers tend to get employees involved in decisions about the business.

That can be a very good thing.

Floor Walking

Consider this: What if taking time to shift some of the decision making from your desk to the plant floor could be the best, most productive time you or other members of management spend every week? And what if that shift empowered your employees to be even more successful at their respective jobs?

Employee-involvement programs are based on the philosophy of continuous improvement, and they are as much a process as anything that occurs on the shop floor. Unfortunately, many of these programs fail before they even get off the ground.

One reason for failure is lack of commitment on the behalf of the management team. An employee-involvement program takes a lot of time and energy from the management team and office staff, but the efforts required in the first few months offer great payback once the program is up and running. Simply put, employees become less dependent on support resources, which allows management more time to focus on other facets of the business.

Remember, success breeds success. Have employees begin with small projects that allow them to learn to be successful. As employees take on increasingly bigger projects, also keep in mind that they may not be as initially successful because of a lack of experience managing multiple resources. That will change as time goes on.

To begin your program, identify areas of potential improvement in the manufacturing process. Does safety need to improve? Efficiency? Quality? Determine the top priority and share it with employees. Allow small groups a designated amount of time during the week, say an hour or two, to brainstorm ideas that can improve processes.

Guided Independence

Know that all programs need guidelines. Employees should submit projects for approval and don’t assume that just because you started a program that employees can start making all of their own decisions.

Empower employees to develop a list of projects. Review the list and help determine the validity of each project and whether it meets the established program guidelines. You may need to assist with some of the projects, so be available during improvement time to help with issues your employees may encounter.

Then beware.

Employees come with all types of personalities. There may be friction among team members, whether due to frustration over a rejected idea or a perceived agenda among the more dominant employees in the group.

You need to be prepared to weather these storms. You also need to have the sense to know when to intervene, but to do it in a manner that won’t embarrass your employees.

Instead, allow them the opportunity to manage conflict among their own team or between their team and others, as much as possible. Allow them to make mistakes. It may take time to resolve a conflict, and other problems may arise in the future, but it’s worth it.

Empower Employees

Employee involvement encourages analytical thinking and improves communication. It empowers employees to have ownership of their portion of the manufacturing process, and gives management time to address other areas of improvement within the company.

Remember: be patient. Understand that involving employees in the decision-making process is just that – a process.

It builds character. It builds trust. It builds a better business, not just in terms of a better bottom line. Sure, we all want to operate a more profitable company. But who doesn’t also want more time and better relationships?

Lee Van Boxtel is the general manager of Weldcraft, a manufacturer of TIG torches and accessories, located in Appleton, WI.

What do you think?
Will the information in this article increase efficiency or save time, money, or effort? Let us know by e-mail from our website at www.ModernApplicationsNews.com or e-mail the editor at pnofel@nelsonpub.com.

Industry News

Blue-collar Jobs Lead Employment Decline
According to information released by the National Council for Advanced Manufacturing – NACFAM – seasonally adjusted manufacturing employment was reported at 13.4 million by the Bureau of Labor Statistics in September.

NTMA and PMA Join to Strengthen Industry Advocacy
The Precision Metalforming Association, Independence, OH, and the National Tooling and Machining Association, Fort Washington, MD, are combining their federal government advocacy programs to promote the U.S. government to ensure a strong manufacturing sector.

Unemployment Trend by State
According to the Economic Policy Institute, since the economic downturn began in December 2007, the U.S. has lost more than 600,000 jobs, and the national unemployment rate has risen to a five-year high of 6.1 percent.

Manufacturing Technology Consumption Falls in July
July U.S. manufacturing technology consumption totaled $303.44 million, according to the American Machine Tool Distributors’ Association and the Association For Manufacturing Technology. This total, as reported by companies participating in the U.S. Manufacturing Technology Consumption – USMTC – program, was down 21.5 percent from June but up 5.7 percent from the total of $287 million reported for July 2007.

GE Fanuc Backs MTConnect
GE Fanuc Intelligent Platforms, a unit of GE Enterprise Solutions, Japan, announced its support of MTConnect, a new communication protocol to link machine tools from varying suppliers around the world.

Flow Executes Definitive Agreement in Omax Merger
Flow International Corp., Kent, WA, a developer and manufacturer of industrial waterjet machines, executed a definitive agreement to merge with OMAX Corp., Kent, WA. OMAX was a privately-held provider of waterjet systems.

Dimension 3D Printing Provides $400,000 in Grants to Schools
The Dimension 3D Printing Group, Minneapolis, a business unit of Stratasys, Inc., gave more than $400,000 to schools across the nation to underwrite the purchase of 3D printing systems for the 2008-09 school year.

PennEngineering and Peninsula Components Announce Patent Fight Agreement
The patent infringement suit brought by PennEngineering & Manufacturing Corp., Danboro, PA, against Peninsula Components, Inc., San Carlos, CA, was settled.

Shuttle Follow-on Builder Chooses PLM Software
Siemens PLM Software, Plano, TX, announced Space Exploration Technologies – SpaceX – a privately-held leading space launch vehicle developer and services provider, standardized on Siemens’ NX and Teamcenter software for product design, simulation, and product data management.

Lincoln Electric Opens Automation Center
The Lincoln Electric Co., arc welding products manufacturer, opened its Automation Center of Excellence on October 23, adjacent to its Cleveland headquarters. The 100,000 ft2 facility showcases the company’s robotic welding solutions.

Association For Manufacturing Technology Elects New Board of Directors
The Association for Manufacturing Technology – AMT – elected its 2008-2009 officers and directors at its 2008 Annual Meeting in Austin, TX.

Some Good News in a Sour Economy
There may be at least three silver linings in the dark cloud of global economic crisis, according to a Fabricators & Manufacturers Association, Rockford, IL, economic consultant.