Lean Practices Aid Manufacturers in Recovery

For more information, contact:
Michelle Willis
(800) 300-9570

Lean Practices Aid Manufacturers in Recovery

Kansas City, Kan.— September 1, 2011 — Rebounding from the recession has proven to be a daunting task for manufacturers and distributors, as many are still trying to keep production levels up, despite smaller workforces and thinly stretched budgets. Lean manufacturing practices are aiding employers in accomplishing this goal by streamlining the production process, making it more efficient and cost effective. The 2011 Compensation Data Manufacturing & Distribution results found 71.6 percent of companies currently use lean manufacturing practices.

5S programs are used most among employers, as it is currently utilized by 70.2 percent of manufacturers and distributors surveyed. Kaizen follows at 58.4 percent, with Six Sigma being reported at 58.2 percent of companies surveyed. Takt Time Analysis is used the least among manufacturers and distributors, 25.9 percent.

“Using lean practices is the most effective way to keep production on the manufacturing floor fluid,” said Amy Kaminski, director of marketing for Compdata Surveys, the nation’s leading pay and benefits survey data provider. “By cutting waste and streamlining production in the most effective way possible, manufacturers are ensuring they get the biggest bang for their buck.”

Obtaining ISO 9000 certification is a popular option among manufacturers and distributors as 76.7 percent of metal manufacturing companies have made efforts to attain it. Nearly 71 percent of chemical and pharmaceutical manufacturers have obtained certification, compared to 65.9 percent of plastic and rubber manufacturers. Distribution and warehouse employers have obtained ISO 9000 certification at a rate of 24.8 percent.

Many companies offer incentives to encourage safe practices among their employees. Fifty one percent of organizations offer gift certificates, rewards and merchandise, while 44.3 percent use safety awards or certificates. Bonuses are used at 29.3 percent of manufacturing and distribution companies. Only 8.6 percent of companies report using safety bingo as an incentive to keep employees safe.

About the Survey
Compensation Data 2011 Manufacturing & Distribution surveyed more than 100 industry-specific job titles and 350 benchmark titles ranging from entry-level to top executives. Data was collected from nearly 1,100 manufacturing and distribution employers reporting on more than 9,500 locations across the country. The results provide a comprehensive summary of pay data, benefit information and pay practices with an effective date of February 1, 2011.

Compdata Surveys is the nation’s leading compensation and benefits survey data provider. Thousands of U.S. organizations provide data each year ensuring the reliability of our results. Compdata Surveys has been providing comprehensive data at affordable prices to organizations from coast to coast since 1988. For further information about their compensation and benefit surveys, contact Michelle Willis at (800) 300-9570.