This is an original article written by Elliot Forsyth, Vice President of Business Operations at the Michigan Manufacturing Technology Center (The Center), part of the MEP National Network.
When I was leading Organizational Development strategies at my former company, we used to call it the “getting hit by a bus” scenario. Then someone decided that was too morbid so it was rephrased to the “winning the lottery” scenario. In either case, we used the scenario to help the C suite and other senior leaders to think through who would replace their most critical employees if they no longer worked at the company. If your best and brightest employee won the lottery one evening and didn’t show up for work the next day, how would operations continue with minimal disruption to employees, customers, and stakeholders?
Originally written by Calumet Area Industrial Commission.
In January of 2017, Calumet Area Industrial Commission (CAIC) accepted the call to action from IMEC and the Illinois Department of Labor to administer America's Promise Grant (APG) to underemployed and low-income individuals, plus recent high school grads. Since then, APG has helped further CAIC’s mission in leading industrial expansion and retention in Chicagoland and Northwestern Indiana.
This is an original article written by Dan Brown, President of DB Performance Solutions.
Why Risk Matters
In business ”RISK” is a scary word. We have risks if we move forward and risks if we remain still. No matter what industry you are in, you are guaranteed to run into risks. As a business leader, how do you know when to take a risk and when not to take a risk? The answer is pretty straight forward - analyze and then manage your risks - which is certainly easier said than done!
WASHINGTON D.C. –
A recent study by the W.E. Upjohn Institute found the National Institute of Standards and Technology’s (NIST) Manufacturing Extension Partnership (MEP) Program generates a substantial economic and financial return of 14.4:1 for the $140 million annually invested by the federal government.
The Manufacturing Extension Partnership (MEP) is a federal public-private partnership that provides small and medium-sized manufacturers (SMMs) technology-based services these firms need to grow and thrive in today’s economy and create well-paying manufacturing jobs. The MEP Program is managed by NIST and the U.S. Department of Commerce and is implemented through a network of 51 MEP Centers located in every state and Puerto Rico. These MEP Centers are not-for-profit organizations that employ a network of more than 1,300 industry experts who work directly with manufacturers to improve productivity and enhance U.S. competitiveness.
Using the national REMI® model, along with the results from the FY 2018 NIST MEP client impact survey conducted by Fors Marsh, the W.E. Upjohn Institute for Employment Research study finds that economic returns are substantially higher than previously reported by the MEP Program due largely to broader economic effects. Every quarter, an independent firm surveys manufacturers six months after they receive MEP assistance to measure the impact they have achieved from MEP Center services. In FY18, MEP clients reported $16.0 billion new and retained sales and the creation or retention of 121,042 jobs.
The Upjohn study reports that the $140 million invested in MEP during FY 2018 generated a 14.4 to 1 increase in federal personal income tax ($2.02B/$140M federal investment). The study looked solely at personal income tax and not business taxes and provided a conservative estimate of the return.
The Upjohn study finds more jobs were generated by the MEP Program than directly reported by its clients. In addition, the study notes that more than 238,000 additional jobs existed in the U.S because of MEP Center projects last year than would have without the Program. This estimate includes direct, indirect, and induced jobs generated by MEP projects. These jobs support additional manufacturing employment critical to U.S. supply chains and jobs outside of manufacturing. Lastly, the Upjohn study also examined additional areas of economic impact not previously reported by the MEP Program; personal income is $15 billion higher and GDP is $24.9 billion larger, translating to an increase of $2.02 billion in personal income tax revenue to the federal government than would be reported without the Program.
“Another year with extraordinary results! MEP centers across the country are undoubtedly fulfilling their duties in helping small and mid-sized manufacturers create competitive futures by empowering them to excel,” said Dave Boulay, PhD, President of the Illinois Manufacturing Excellence Center and Chair of the American Small Manufacturers Coalition. “As highlighted on this report, the impacts these organizations are contributing and the benefits to our economy are not just impressive - they are imperative to the sustainability of manufacturing.”
To view the study in its entirety, please visit: https://research.upjohn.org/reports/239/
Companies that purchase a new manufacturing information system do so to better manage the business, cut costs, and improve customer relationships – i.e. the “strategy”. However, when it comes to implementing the system – the “art of execution” – many companies settle for a less than fully-functional solution. An audit, or gap analysis, of your existing system may yield substantial opportunities for improvement, especially if your company:
- Does not have an IT manager or other personnel intimately familiar with the system.
- Is upgrading an existing system but wants to pinpoint the potential benefits first.
- Experiences disruptions because of underutilized or incapable systems.
- Is in an industry where customer requirements or regulations change frequently.
- Is on a lean journey.
- Has concerns about system fault-tolerance and/or disaster recovery.
- Is experiencing very large year-over-year growth patterns.
- Customer or supplier information exchange interfaces have changed.
Global competition, OEM pricing, delivery and quality demands, and other threats to a profitable market position require more strategic marketing plans that focus on the right products and services reaching the right customers in the right way at the right time. Without planning, success can be a result of luck.
Companies need to have a balanced distribution of profitable customers, products and sales methods focused on value to the customer, and a position in the marketplace that supports their strategic plan.