Perhaps the proliferation of warehouse management systems and other manufacturing technology is partially the reason, but the U.S. manufacturing industry is rising at its fastest pace in two-and-a-half years, according to The Associated Press. Numbers from Institute for Supply Management showed a manufacturing index that rose to 56.2 in September of this year, the highest it has been since April 2011. This is up from 55.7 a month prior and is the fourth increase of the index in a row.
A big reason for this has been increased production and more additions to the manufacturing job sector. The strong figures suggest the growth rate could be higher than forecasts by about 2 percent for the July to September period of time, which has potential for growth moving into the final quarter of the year.
"Another stronger than expected showing," Jim O'Sullivan, chief U.S. economist at High Frequency Economics, said. "The data unambiguously point to a pick-up in the trend in manufacturing output growth."
Bringing in the right processes for streamlining
Industry professional Bob Vormittag wrote on Manufacturing Business Technology that business should look to streamline their processes for the best possible results in the manufacturing industry. Improving quality, keeping all teams in sync and minimizing wasted time and materials are the three best practices he's found, but organizations will also need to have the right quality program in place.
By adopting a system for warehouse inventory management, companies can see validation of routing, improved timing and decreased waste. Time trackers and other similar tools can also be utilized to help make sure the communication between teams is where it needs to be for the organization to thrive.
"Through regular synchronized communications, the sales, production and engineering teams can continue to improve products and get new products to market faster than ever before," Vormittag wrote on the website. "These teams need to spot trends and buying patterns, understand which items are selling briskly versus those that are stagnant and be able to quickly determine where forecasts could potentially go off track."
Other processes he suggested include:
– Mining production history data to be able to see how they have done in the past and how this can be improved upon
– Utilizing more mobile devices and tools
– Putting big data to work to better plan for the future
Learn more about the benefits of automated time collection by downloading the free white paper entitled "Justifying the Switch to Automated Time Collection" from DMS today.