Situation Summary:
A 150-employee manufacturing company struggled with an unstable, under-performing workforce which resulted in serious production and quality. Despite running 21 shifts per week, re-work, waste, and production shutdowns prevented them from meeting promises to their clients.
The Old Story:
There’s no way we can compete with local competition for talent. All we can do is figure out how to do our best with a sub-par workforce, even if it means we’re hiring new employees every week.
The New Story:
We changed the story by improving the employee experience, making expectations greater rather than settling for mediocrity, and implementing an incentive system that made financial sense for everyone.
Outcomes:
- Reduced absenteeism by 42%
- Eliminated six weekend overtime shifts, reducing overtime dollars by 32%
- Reached all-time high production and quality metrics (productivity increase 22%, rework reduction 4.3%)
- Improved on-time delivery to 99.4%.
- Increased company valuation by over $20 M in two years
- Total ROI in < 5 months
