Meeting your customer’s demands for better, faster service and lower prices hinges on getting every bit of productivity possible out of your distribution operation. The challenge is compounded by a shrinking labor market that makes it harder to find and retain the right workers. Yet today’s workforce demands a better working environment, new style of management and equitable and achievable performance standards.
Faced with these challenges, many companies have invested in distribution automation and information systems, but realize there’s still room for improvement in the area of labor productivity. Work processes and performance standards may not align with those new technologies or new customer requirements. Supervisors and associates may be working hard, but struggling to meet expectations. This can lead to a downward spiral that causes service disruptions that impact customer satisfaction and can also impact overall company revenue and profitability.
What is the Solution?
To meet those challenges, companies are implementing Labor Management Software, conducting time studies and developing engineered standards. But that just gets things started. Optimizing labor is about creating a culture of performance where workers are given realistic standards, measured accurately on all activities, and rewarded for per-forming the right activities in the most productive way. It brings together qualitative and quantitative analysis, and a knowledge of best practices to develop processes and standards. Success requires implementing those standards with a pragmatism that comes from years of operations experience. Incentive programs must be designed and implemented to align the needs of both the business and the employees, with specific coaching for leaders who will sustain the program into the future. Most of all, the efforts must bear fruit quickly, with minimal investment of capital.
Fortna Can Help
Fortna’s Labor Optimization Services help you develop and implement programs that transform your organization into a high performing team. We’ll help you:
Prepare the Organization
Set the foundation for organizational readiness. Develop communication strategies and policies. Document baseline performance. Build a business case for change.
Develop Lean Processes
Improve operational processes by incorporating best methods. Update SOPs and ensure associates follow them.
Develop Labor Standards and Systems
Conduct time-and-motion studies. Create multi-variable engineered standards. Evaluate, select and configure Labor Management Software to provide reporting and analysis.
Enhance Leadership Skills
Train engineering staff on program implementation, management and maintenance. Train and coach leaders on how to nurture a performance-based culture. Configure and deliver formal training for specific leadership development needs.
Develop Incentive Structures
Design and implement motivational incentives and programs, including financial and non-financial recognition.
Conduct post-implementation workshops and audits to make sure the programs are sustainable.
Distribution operations are unable to meet performance needs of the business.
Labor productivity below target.
Employees demand a more fulfilling work environment.
Distribution labor practices and technologies are changing rapidly.