The Cost of Business is Going Up!
"There's no such thing as a free lunch", is something I heard constantly throughout my Math classes in high school. It was a reference used to explain the balance needed on each side of the '=' sign to solving algebra problems. Little did I know in 1992 how applicable this statement would be to 2021.
An economic outlook would be incomplete without discussing the concern of business cost increases. The most obvious increases will come in the form of wage increases, supply cost increases, inflation, and tax increases.
As a Manufacturer your machines and equipment produce revenue. By increasing their efficiency you can increase revenue without increasing the cost of doing business.
Three ways to reduce the cost of doing business:
Increase Machine Utilization - more uptime per shift reduces labor costs associated to a job.
Reduce Unexpected Downtime - being diligent about idle machines ensures they are being productive when expected.
Question Status Quo Processes - constantly looking for process improvements is how manufactures stay competitive.