If you work in manufacturing or distribution, you know this to be true. You live it. You see the impact every day.
The labor environment is more challenging than ever. Wages are going up, and then up even more. Higher than you planned or budgeted for.
And yet, does the workforce perform better? Why does it seem like you’re always shorthanded, hiring and training, running overtime? And why does it seem like it’s getting harder and harder to make your numbers?
We’ve written about low productivity and its impact on operations. But declining productivity doesn’t begin to tell the whole story.
Take a look at this double whammy:
These are the statistics that explain why the current operating environment is so challenging for warehouse managers. Coupled with a growing economy, the decline in productivity is driving the need for more and more workers. While at the same time, wages are shooting up.
Wages and productivity are the two main controllable drivers in your cost structure, and they’re both going the wrong direction.
No wonder you’re feeling like every day is an uphill climb.
Maybe it’s time for a better approach. Insource offers you a partner with resources to help you improve your labor situation. Our Performance Management program features visual training programs, incentive pay plans, and floor-level coaching.
We improve productivity, we reduce labor costs, and we guarantee our results.
Let us show you what an Insource solution can do for your operation. Contact us today for a free labor analysis. Let’s talk.
Redefining workforce performance. People. Process. Results.