One of the major things that people often overlook when discussing downtime ultimately comes down to the human costs associated with it. That is to say, those factors that may not necessarily be obvious like an urgent repair but that can cost a company just as much money if officials aren’t careful.
Case in point: too much downtime almost always creates the need for overtime at the worst possible moment. If a critical piece of equipment suddenly goes down and you were only able to produce 50 parts per hour over the last eight hours when you really needed to produce 100, the needs of your client don’t change. The parameters of the original order aren’t thrown out the window. That client still needs 400 additional parts and they need them as quickly as possible – which means that your skilled workers are going to need to stay longer to make sure the job gets done.
The Human Impact of Too Much Downtime
More often than not, overtime is incredibly expensive for companies – creating a situation that further harms their profits beyond simply making them deal with lost profits. If you’re forced to work overtime and still can’t quite close the gap on those 400 parts, you’re also going to harm the relationship between your business and that client, too.
But with downtime tracking, these are exactly the types of situations you’ll be able to avoid. Rather than guessing as to the cause of a particular downtime incident, you’ll know beyond the shadow of a doubt. You’ll know if it came down to operator inefficiency or maintenance issues with core equipment or shift changes that took too long or something else entirely. You’ll be able to allocate funds for additional training or identify poor performance equipment so that you can prioritize maintenance in a more intelligent way.
You’ll know why the downtime is happening so that you can put a stop to it as soon as possible – thus removing the need for all that overtime to begin with.
If you know exactly what steps you need to take to unlock the true potential of both your equipment and your employees, you’ll be operating at peak efficiency at all times. At that point, you won’t have to worry about overtime because it would never be needed – you’re already making the most of every hour of the day as it is.
That creates more than just a situation where your business is operating more profitably than ever. It will absolutely impact the quality of the work you’re able to do in a positive way, too – which will go a long way towards creating a genuine competitive advantage for yourself at the exact same time.
If you’d like to find out even more information about how the right downtime tracking software can help you cut overtime and more, or if you’d just like to discuss your own needs with someone in a bit more detail, please don’t delay – contact Thrive today.