A quality-first approach will have substantial long-term impacts. Here is our vision of how, by focusing on quality, you can transform quality inspection into a value generator through quality intelligence, performance, connectivity, and data analytics.

While cost reduction is one of your priorities, it is important to think about the strategic reductions you can implement by reflecting on past initiatives and their feedback. What can you do differently this time that will reduce costs while also leading to future growth and success? First, if you are operating under limited production capacity, this is probably the best time to work on operational efficiency. Allow your organization to identify potential savings through process improvements. Second, it is important to remember that lean manufacturing focuses on waste reduction and maximizing productivity.

Therefore, the ultimate goal is to provide optimal value to your customers. Some key elements underlying successful lean manufacturing initiatives are:  Thinking long-term for your businessContinuous improvement Quality first Customer focus Employee trust and involvementCost reduction should always contribute to delivering a better product; otherwise, it will be detrimental to the overall performance of the company in the long run. The best operational improvements are those that reduce costs while better meeting customer expectations. Thus, a good starting point is to carefully review your product requirements and the associated quality specifications to find areas for improvement.

This effort must be transversal within your organization and should also include customers and suppliers.   After this, manufacturers should seek to prevent issues rather than correct them later. Reactive cost reduction is an exponential cost that adds up over time and creates unhappy customers, costing loyalty. Therefore, whenever the cost of quality improvements works, it is like getting unexpected compound interest on a prior investment.

Improving quality to reduce costs

Quality is a strategic priority for all manufacturers aiming to lead their industry. The cost of quality is therefore a significant and relevant cost. Now, the goal is to reallocate the money spent on quality initiatives to provide more value. Transform inspection into a value generator through quality intelligence, performance, connectivity, and data. You control your quality production; there is less variability in control. The power of quality intelligence is that it is a learning system that continuously improves. Visibility in the process, even for remote teams. Integration with the rest of the factory ecosystem (PLC, MES). Quality control is better integrated into the production flow and can interact with it.  Data: How much time does your team spend collecting data and reporting it? Your quality reporting should be fully automated, with statistics becoming the basis for improvements. Inspection reports are generated to enhance traceability. Less time collecting, more time on root cause analysis and problem solving.

Focus on the quality philosophy

Measurement, analysis, and control are key elements of the six sigma management philosophy. By deploying a solution that combines control automation and reporting, you save working time and limit errors. You will be able to improve your team's work by limiting the hassle of data collection. Effectively deploying advanced automation and analytics will require cross-team collaboration, particularly from quality and production teams. They must realize that savings will occur for both business units if the project is carried out successfully. Having a common new tool for quality control will help each team have a shared understanding of critical issues to address. This tool and its subsequent analyses can help different teams collaborate and find solutions based on synergies across the organization. You should gain the support of your customers for such an initiative as it will help them as well. Moreover, the quality of delivered goods is improved and quality audits are streamlined.    

Conclusion

“The crucial priority is not the costs you eliminate, but where you focus resources to drive growth and differentiation - strategic cost reduction. And while technology opens opportunities to enhance operational capabilities and strengthen return on investment, the true keys to successful strategic cost reduction are ambition and the underlying culture of innovation within the organization.”  (PwC)A better quality product leads to higher production and efficiencies. Greater customer satisfaction will help build sustainable long-term business growth. True digital transformation will require work and talent from across your organization as well as partners bringing deep technical expertise and experience. If you are looking to bring efficiency to your quality and production teams, Scortex will be happy to partner with you to define a clear roadmap for quality intelligence. Leverage the time you have now to implement the solution that will bring you long-term efficiency and a competitive edge. Let’s discuss how we can help you improve your quality assurance. 

Schedule your personalized consultation and see our Solution at your production site with our Performance Pack. Contact us at sales@scortex.io or at https://scortex.io/#contactManufacturing in a recessionhttps://projects.cberdata.org/reports/MfgProductivity2013-print.pdfhttps://cebr.com/reports/the-global-manufacturing-recession/ Cost reduction in manufacturinghttps://www.industryweek.com/innovation/product-development/article/22023566/reengineer-to-cut-the-cost-of-manufacturinghttps://vmec.org/cost-reduction-strategies/

To illustrate how AI allows overcoming the limitations of traditional approaches, we explain in detail how to go beyond quality sorting machines with AI in a dedicated article.