Manufacturing downtime can add up to a multi-million dollar impact on businesses. The result of delays to the market can include lost revenue, increased cost of development, and slowdowns that negatively influence other related projects, contributing to the accumulating cost. A partial solution may be as close as an organization's approach to product labeling.
According to industry analysts at VDC Research, a leading technology market intelligence and advisory firm, enterprises are streamlining the flow of products and information across channel, network, and organizational boundaries to create a flexible and competent demand-driven supply chain while also meeting their profitability objectives. 73% of organizations surveyed by VDC cite operations improvement and cost savings as leading barcode technology investment criteria.
Since the operations of many companies are increasingly knit together by their information technology, system downtime now hampers the productivity of almost everyone in the organization, and sidelines a growing percentage of an organization's capacity to get work done. Additionally, inefficient label design and difficulty deploying label changes can adversely affect time to market and impact a company's bottom line.
Eliminating time consuming, costly processes by employing a flexible labeling solution can help reduce time-to-market and produce substantial business value. Since labeling is a mission-critical part of manufacturing, labeling downtime equates with production downtime from a cost/impact perspective. Enterprise-wide labeling efficiency and flexibility can lead to significant time and money saved.
By implementing an enterprise labeling solution, large manufacturers have empowered their business users to create and maintain labels that greatly increase their ability to quickly meet regulatory, customer and country specific market demands. For example, using an intuitive label design tool and leveraging business logic to automate labeling output from their ERP system, corporations have often been able to speed up time-to-market and improve maintenance by reducing thousands of label designs to less than ten. For these manufacturers, this approach has led to millions of dollars worth of savings. When relabeling upon receipt (supplier labeling), third party labeling cost and errors, and counterfeiting and branding errors can be eliminated, significant time and cost savings are the result. These add up to concrete, measurable gains.
Enterprise labeling is a multi-faceted strategy for precisely addressing these types of financial objectives simultaneously, efficiently removing the burden of large amounts of wasted time and resources from the business equation.
Greg Graham, manufacturing industry specialist (Southern Region), Loftware, and Justin Ward, manufacturing industry specialist (Northern Region), Loftware, were additional authors on this blog.