In the new year, manufacturers are reopening, and getting back to work. While still not completely back to normal, those that have survived are now looking to thrive. Keeping up with demand and finding the right people are very challenging right now for manufacturing companies. There are several key trends these companies are following to find success
This very topic has been discussed more and more in recent weeks. By the end of spring, growth in US manufacturing was slowing down. We started to see real bottlenecks in the supply chain just as consumer demand was skyrocketing. According to the Institute of Supply Management (ISM) “…companies and suppliers continue to struggle to meet increasing rates of demand impacts limiting availability of parts and materials.”
One solution to overcoming these supply chain bottlenecks is finding additional partners to outsource some of their goods and services. At Allis Roller, many of our partners continue to work with us, and even expand some operations (as discussed in our blog about the increased business in Aluminum Canning over that last year.).
One of the key trends to successful manufacturing is maintaining a robust supply chain. A transparent supply chain means you can see all data for each new product across each stage, in real-time. Over the last decade, there has been an explosion in supply chain technology companies that have made supply chain data more readily available and cheaper to acquire.
Due to America finally getting back to work, we are now seeing an increased demand, and with each passing day, things are finally getting back to normal. Companies like Allis Roller have a part to play in getting the Manufacturing industry back on track, and we look forward to doing so.
As demand increases, another major challenge to face is having enough qualified employees. “Before the pandemic, 38% of manufacturers had trouble finding candidates with the right skills and today that number is 54%, said The Workforce Institute at UKG.”
According to their recent survey, recruitment of new workers is increasingly becoming more difficult. Across the board, competition for finding skilled talent is fierce right now. Trends following a staggering decline in frontline shift-work volume that began in March 2020, shift-work activity in the U.S. is hovering at 86.7% as of June 2021 — 13.3% below the 100% pre-pandemic baseline.
“The competition for talent will only continue to grow, so manufacturers absolutely need to do everything they can to widen their pool of potential candidates. This should include actively recruiting capable individuals from non-traditional or alternative sources, which is something the survey found many manufacturers are already doing today. For example, 62% have hired or considered hiring people with disabilities or special needs. Another 56% are targeting retirees, while 52% are considering previously incarcerated or “second-chance” workers as potential employees.” One thing is for sure, companies will need to be at full capacity to be able to compete and grow into 2022 and beyond.
What We Do
Allis Roller is a contract manufacturer of precision machined parts and complex welded assemblies. Our CEO and engineers work closely with customers to understand the complexities of their parts, and then offer suggestions on improved manufacturability and cost, while ensuring industry-leading quality. Using the latest in lean manufacturing technology, Allis Roller employs an arsenal of automated precision welders, lathes, grinders, balancing and hobbing / broaching equipment.