by Kelsey H | May 4, 2021 | Industry News
The race to produce an effective vaccine against COVID-19 has been one of the most publicized manufacturing feats of our time. With the virus spreading rapidly across the world, pharmaceutical manufacturers were tasked with producing the vaccines at warp speed once they were approved. Now, with about one-third of all Americans fully vaccinated, it’s safe to say these companies are delivering on their promises. In March, President Biden announced the US will have enough vaccine doses for every American adult by the end of May, a full two months earlier than initially anticipated.
Despite the inherent challenges of trying to mass-produce a brand-new vaccine, these manufacturers have managed to outperform expectations. This accomplishment has shown what is possible in the medical field, but it has also uncovered unique strategies within the manufacturing world. In the future, we expect to see plants start adopting these effective procedures, which we’ll analyze below, to make production as efficient as possible.
Keep communication open across all sites.
During the COVID-19 vaccine production process, we’ve seen an increased need for communication across all manufacturing sites involved. To keep the rollout moving as quickly as possible, much of the process was split up among plants across the country. For example, Pfizer has utilized plants across the US and the world to produce their vaccine. The raw materials are produced in St. Louis, then the mRNA drug substance is created and purified in Massachusetts, and finally the product must be shipped to Michigan to be finished. When the Pfizer vaccine is shipped, it must also be kept at a very low temperature with dry ice and heat monitors to preserve the active ingredients. With these many moving components, it’s been essential for all sites to stay in constant communication to keep their processes coordinated so no critical steps are skipped or mistimed.
Even if your product doesn’t require such strict instructions, your organization should employ open and rapid communication to keep production moving efficiently. When delays or changes happen, updates should be sent swiftly to everyone in the organization who may need to know. The people responsible for the next step in the process can make the needed adjustments to ensure as little time and resources are wasted as possible. Manufacturers that are able to coordinate and react to changes in real time will be well-prepared to meet customer needs and demands in the years to come.
Sacrifice short-term gains for long-term benefits.
In many cases, slowing or stopping manufacturing production for a short period in order to increase production in the future can be a very worthwhile sacrifice. As we look to Pfizer’s vaccine process again, they decided to temporarily pause production at their plant in Belgium to upgrade their factory lines and increase the overall production capacity. This decision will allow Pfizer to produce 2 billion total vaccine doses this year, which is a massive increase from their original estimate of 1.3 billion doses. Even though they had to delay the process upfront, they will ultimately be able to produce a higher yield in less time.
It’s natural for manufacturers to hesitate to disrupt the flow of production, because each second is valuable at any plant. Reducing your facility’s output even for a short period is no small sacrifice. However, if the pause in production will improve efficiency and total product output going forward, this kind of upgrade will be exponentially beneficial for your organization in the long run. If your organization is hesitant to take this approach, use data to find the break-even date, or the amount of time it will take for the increased output to make up for the losses incurred while production was paused. This can help determine if a short-term stoppage is plausible for your plant.
Form mutually beneficial relationships with other manufacturers.
There are a number of manufacturers currently producing the vaccines now, and each organization has been able to scale up production by forming partnerships with other pharmaceutical companies. For example, after receiving approval for their single-dose vaccine, Johnson & Johnson enlisted Merck to help produce a larger supply that can be quickly shipped out to communities. By spreading the work around to other facilities that are equipped to produce vaccines, the brands are able to push their product out faster and the partners are able to get a piece of this valuable work.
Other manufacturers should look to mutually beneficial partnerships as they consider efficient changes to their process. Some may hesitate to outsource production of their own products, but this strategy often helps organizations create more product and save their time. Contract manufacturers are specialty plants that exist solely to produce parts or projects for other brands. Hiring these facilities that are made to handle part of your process can prove to be an important asset in expanding production in the future.
However, when outsourcing your operations, be aware of the increased risk for mistakes. Unfortunately, Johnson & Johnson has faced numerous issues with their vaccine production at Emergent BioSolutions’ plant in Baltimore. When you enter a contract manufacturing partnership, be sure to clearly communicate your expectations, and consider sending some of your own employees to supervise on-site for a period to be sure processes are executed properly.
Making strategic changes doesn’t have to throw off your entire manufacturing process. With advanced manufacturing planning and scheduling software, you can ensure that your plant will continue to run as efficiently as possible. APS software can also help you identify the most beneficial improvements to make. For more information on VirtECS, our planning and scheduling optimization tool that has been helping manufacturers since 1993, download our guide here.
by Kelsey H | Apr 20, 2021 | Process Improvement
There’s a famous saying from the philosopher Heraclitus which says, “Change is the only constant in life.” That still rings true today, even in the manufacturing industry. As technology improves or new challenges appear, manufacturing processes are forced to adapt quickly. When these changes are introduced, though, the outdated and unnecessary processes are often forgotten about and remain in place instead of being eliminated.
In a world where every second of time is valuable, having any superfluous procedures included in production is a misuse of your plant’s time. Reducing even one step of the entire process can exponentially increase your overall efficiency. How can you identify if you have any unnecessary processes? Watch closely for the following signs that will signal when it’s time to eliminate or modify an aspect of your manufacturing procedure.
Wasteful Activities
If you work at a manufacturing plant, you know there’s been an increased focus in our industry on lean manufacturing. Lean manufacturing principles are focused on generating as little waste as possible without losing any productivity. When trying to make processes leaner, many manufacturers will initiate a value stream analysis, which displays the flow of production along with the time and materials needed at each step. This visualization can be helpful for identifying delays or inefficiencies in production that are disproportionally generating waste. Research from the Lean Enterprise Research Centre has indicated that up to 60% of all production activities are “waste,” meaning they add no value to the end customer. If the benefits of these processes don’t outweigh the costs, it will be worth it to devise other ways to accomplish those steps or add more value.
Supply Chain Delays
For some manufacturers, it makes sense to keep a healthy inventory of raw materials on hand in case of supply chain disruptions or emergencies. However, others may find that keeping such a high volume is actually slowing down the flow of their overall supply chain, or even creating quality issues in their day-to-day operations. If you find your team is having to order more raw materials each week, it may be more efficient to make larger bulk orders once a month to eliminate repetitive actions. You might also decide to reduce your inventory to remove extra steps needed to manage such an extensive supply and free up time to be spent on more productive activities.
Defects and Breakdowns
One of the biggest signs it’s time to make a change is ongoing maintenance challenges or product defects. If you’re continually having quality issues with a particular machine or technique, you’re likely regularly spending long periods of time on additional maintenance. In these cases, it may be time to invest in new equipment that will require less time and resources spent on upkeep. Improving the quality and consistency of your products with better equipment can produce a huge ripple effect across your organization. Fewer defects will leave customers feeling more satisfied, you’ll spend less time and money on repairs, and you can better maintain all of your other equipment.
Using Unnecessary Time
While analyzing your plant, it can also be advantageous to look for potential ways to combine two or more steps in the production process. If you’re able to accomplish two steps at once, the payoff from time savings can be huge. For example, instead of blocking out additional time for machine maintenance, find time to clean or repair one machine while others are being used. If these tasks can be finished between runs throughout the day, your plant can eliminate the need for after-hours maintenance work. Removing even one link of this process means you can limit the extra payroll hours or even increase the number of production runs to generate a higher overall yield.
It can be daunting to make a significant change or eliminate a production step altogether. You may be worried that the modifications could throw off your entire production schedule, or that you’ll never find extra time to fit in maintenance throughout the day. However, if your plant uses advanced planning & scheduling software, your team will be able to easily identify changes without reconstructing the entire system.
Our software, VirtECS, uses customizable virtual plant modeling to outline a plant’s physical constraints. The model can be adjusted at any time to reflect updates or test potential improvements. The end goal of VirtECS is to produce an optimized plant schedule that will keep production running as efficiently as possible. For more information on how VirtECS can improve your plant’s efficiency, click here to download our software overview.
by Kelsey H | Apr 5, 2021 | Industry News, Process Improvement
There’s lots of talk about artificial intelligence in the business world. Manufacturers have started to wonder if AI makes sense for their company and what it may mean for their workforce. We’d argue that there’s a new AI that’s more important for the manufacturing industry: augmented intelligence.
While artificial intelligence involves processes that use technology to complete tasks automatically, augmented intelligence is focused on providing human decision makers with more advanced knowledge to make informed decisions. By compiling and sorting through data from daily operations, augmented intelligence can help your employees form a clearer picture of what is happening during production and the causes behind it. From there, your organization can begin making the most productive adjustments. Let’s get into the specific benefits of introducing augmented intelligence into your plant.
Early Detection of Problems
In the normal operations of a manufacturing plant, each process is generating so much data at any given moment that it can be hard for employees to thoroughly review every aspect of production. As such, it’s common for small mistakes or inefficiencies to slip through the cracks. Augmented intelligence can sort through all of this data rapidly and present your employees with the critical data they need in real time, allowing them to identify deviations or other issues quickly.
One notable example of the effectiveness of augmented intelligence comes from a clinical study on cancer cells, discussed in a recent IBM report. The study found an artificial intelligence-based system had a 7.5% error rate in identifying lymph node cancer cells, while human scientists had an error rate of 3.5%. However, when the scientists combined system data with their own findings, the error rate fell to just 0.5%. With added knowledge from augmented intelligence, your workforce can successfully make adjustments and relieve some of the strain on your overall manufacturing system.
Closely Monitor Processes
Another beneficial factor of augmented intelligence is the ability to provide round-the-clock monitoring of all production activities. This technology can gather a remarkable amount of data, while also organizing the information to make it easier for your team to analyze. Employees can then make more timely and accurate calculations to recommend potential improvements in product quality, plant optimization and other areas. Augmented intelligence will not make any real decisions for your plant. Instead, it presents all the necessary data and relies on your team to make the best decision accordingly.
Over time, this data can also help your organization learn when various machines or systems will need maintenance to prevent breakdowns or inefficiencies. Getting ahead of potential delays will save both time and money in the long run, and keeping machines running smoothly can also reduce your plant’s overall operating costs. According to predictions from Gartner, augmentation will generate nearly $3 trillion in value in 2021, making it more valuable than any other form of AI. By 2025, it may be twice as valuable as other virtual agents.
Learn How to Adapt and Scale
Manufacturers that utilize augmented intelligence are able to combine data from processes throughout the entire plant. With a more connected system, your team is able to more easily and quickly work around bottlenecks. Previously, these challenges may have complicated new product introductions, variations or personalization. By implementing these changes, your plant can run more efficiently and also allow you to offer a stronger overall customer experience. As demand for product increases, augmented intelligence can also provide the information needed to successfully scale up production to meet growing consumer needs.
Our advanced manufacturing planning and scheduling software, VirtECS, has been utilizing augmented intelligence since our company was founded back in 1993. VirtECS relies on augmented intelligence to continuously learn about a plant’s unique planning and scheduling challenges and discover optimized solutions. As such, our VirtECS technology is able to advance on a regular basis. If you’re interested in learning more about how augmented intelligence and advanced software can improve your manufacturing operations, click here to view our VirtECS Overview.
by Kelsey H | Mar 25, 2021 | Process Improvement
Many manufacturers thought they were prepared for any challenge that came their way…and then the COVID-19 pandemic hit. In 2020, just 13% of manufacturers said their supply chain was able to adapt with no issues during the pandemic, according to Statista. Some plants were forced to halt production while waiting for delayed materials, and others failed to keep up with increasing demand. The businesses that were able to quickly pivot to different schedules, products, or raw material suppliers earned a huge competitive advantage last year.
There are countless aspects of manufacturing plants are already inflexible – there are regulations that must be followed, limitations on how equipment can be used, and critical employees needed on site to perform their jobs. With so many constraints that cannot adapt, it’s important to make the most of the areas that do allow for flexibility. Below, we’ll go through our best tips for manufacturers to add value through adaptability.
Monitor the Market
In order for your plant to adapt to changes, you must have a thorough understanding of what’s going on in the industry and the wider world around you. Before March of last year, the toilet paper industry had likely never imagined a healthcare issue would affect their supply chain so severely. Having a pulse on new innovations or developing situations will give you more time to think through any needed adjustments and adapt to the changes before they catch you off guard. To keep up with the news, start by dedicating a small portion of your day to monitoring the market, checking in with suppliers, and analyzing customer data for emerging trends. This effort does not have to be time-consuming, but it will help your business function more proactively and keep a leg up on the competition.
Consult Employees
Your employees are your number one resource for discovering the triumphs and pain points of everyday life at the plant. Asking for your team’s feedback will give you a clearer picture of which processes need improvements and where you should start looking for more adaptable solutions. You might start by asking employees in your department about their experiences, especially their biggest challenges through the pandemic, to gain their perspective in a more conversational setting. If you want to dig deeper, consider setting up a formal review system to give employees across your organization the opportunity to share their thoughts and recommendations. Then, prioritize adapting to their most-cited pain points going forward.
Implement Helpful Tools
In an environment of uncertainty, give your employees the tools they need to make their work more efficient and precise. If your team frequently spends their time performing laborious or tedious tasks, arm them with technological tools that will help them identify problems more quickly. Using software for smaller, time-consuming tasks will ensure all outcomes are accurate and allow employees to spend more time finding solutions to obstacles down the road. Even though you’re automating more processes, your team will retain overall control and be able to make manual adjustments as necessary.
Prepare for Schedule Changes
The ultimate success in manufacturing adaptability comes from the ability to shift production to reflect changing conditions in real time. If you are able to switch product lines or swap out raw materials without a significant delay, your plant will be well-positioned to weather most crises. However, attempting to make major adjustments manually often results in bottlenecks or eventual increased downtime, which means your processes aren’t adapting efficiently. Plus, if you don’t have data to back up your decisions, it can be difficult to justify taking a risk into the unknown.
Advanced planning and scheduling software can allow your plant to make production adjustments quickly and easily. This software creates a detailed model of your plant and automatically performs calculations to help you find efficient production schedules, even when you’re facing unstable conditions. If you find yourself dealing with resource shortages, dips in demand or other disruptions, these tools can readjust your schedule accordingly in minutes.
We’ve spent more than 25 years developing VirtECS, our own advanced planning and scheduling software solution. VirtECS can provide the tools your plant needs to customize its production schedule adaptive, real-time, or ahead-of-time fashion. With a schedule produced by VirtECS, you can move forward with confidence that it can be executed in your unique plant, and that it can be updated or modified as needed to deal with any uncertainties. If you’re interested in finding out how to implement VirtECS into your manufacturing facility, click here to download our whitepaper.
by Kelsey H | Mar 9, 2021 | Supply Chain
From delayed shipments to constant fluctuations in demand, the early challenges of COVID-19 left many manufacturers in chaos for months. Business intelligence firm Creditsafe estimates that the pandemic caused nearly a $400 billion decline in manufacturing revenue in the US in 2020. Now that we’re more than a year into the pandemic, there’s a growing sense among businesses to reevaluate their processes to better prepare for future disasters.
In order to safeguard their business, manufacturers must figure out how to limit the impact of disruptions without sacrificing service or quality to end users. Consumers will still need your product even during an emergency, and if your facility isn’t equipped to meet their needs, you risk losing their business to a competitor. Here are the ways we believe manufacturers can adapt to best satisfy customers while protecting their business from potential disruptions.
Find Additional Value-Adds
One way manufacturers can enhance the customer experience is by revisiting the product itself. When businesses analyze each step in their supply chain, they often find opportunities to improve their process or add value to their end products. For example, could there be another supplier of the raw materials you need that offers more benefits your customers care about? Making these kinds of small changes can create a big impact on customers’ eventual satisfaction.
To provide the best customer service, it’s also become critical to prevent inevitable supply chain disruptions from interrupting the rest of your production process. Though consumers may now be more accustomed to waiting on restocks for items they need, companies that can prove they are consistent and dependable will earn a leg up. As reliability and increased quality continue to become more important, it may also be worth considering switching to domestic supply chain partners. We saw last spring how quickly global emergencies can disrupt countries’ abilities to ship and trade overseas. In general, domestic transactions will be less likely to be impacted long-term by major world events.
Listen to Customer Needs
Past and potential customers are the people who ultimately drive your business each day. As such, their needs should be a major factor in each manufacturing decision you make. The more in tune you are with their needs, the more appealing your products will be. This includes both giving them the quality product they’re looking for, and keeping an appropriate amount of inventory in stock.
One area manufacturers can focus on to meet customer demand is variations in their product lines. Running smaller batches of differentiated products made from various raw materials can lift your business’ reliance on one resource without dramatically altering overall production. If product variation A runs out of a necessary material, you can quickly pivot to product variation B, which uses a different resource that is readily available. This strategy allows your business to continue reaching customers and meeting their needs despite supply chain challenges.
Lower Costs
At the end of the day, sometimes the most attractive feature of a product is its price point. In many industries, customers make buying decisions primarily based on the lowest cost they can find. Of course, in order to offer products at a lower price, your business has to find ways to decrease costs throughout the entire supply chain.
One of the biggest cost savings for manufacturers comes from buying raw materials in bulk whenever possible. When your cost to create the product goes down, you can pass the price savings down to your customers. Keeping a larger inventory of materials on hand can also help avoid delays if the supply chain is disrupted and it becomes difficult to restock all needed resources. If you can create the same amount of product in less time, you’re able to either produce a higher volume or keep equipment shut off for longer periods, which can save you significant energy and operating costs. Bottlenecks are typically the culprit of lagging production times, and solving them can be an incredibly complicated process. However, with the right technology, equipment can be debottlenecked and begin running as efficiently as possible.
To account for these supply chain adjustments and manage your changing production schedule, we recommend an advanced planning and scheduling system for manufacturing plants. Over the past 25 years, our company has worked with a number of global companies to create planning and scheduling solutions to complex manufacturing processes. Our software, VirtECS, creates a virtual model of an individual plant in order to add value to the facility and solve costly problems, such as debottlenecking, capacity analysis and crisis recovery. To find out more about how VirtECS can improve your manufacturing processes, download our whitepaper here.
