Management is defined as the use of people and other resources to accomplish objectives. Management by necessity involves the creation of an environment in which people can use other resources to reach stated goals of the organization
It also involves the implementation of the functions of management--planning, organizing, leading and controlling. Management is a pervasive aspect of the operation of all organizations. Labor management can be specifically defined as the planning, organizing, and directing of the operative functions of personnel.
In every manufacturing operation, time is money plus productivity. Manufacturers continue to react to pressures to increase market share, improve profitability, enhance productivity, and increase their competitive edge. Frontline labor management solutions address the planning, tracking, and analysis of a company's workforce. A company's workforce is its greatest asset. Tracking and analyzing this workforce can yield tremendous benefits.
Traditional labor management systems have focused on hourly workers, because streamlining this segment of the workforce has yielded the greatest return. Now, through enhancements with this technology, companies can track activities and jobs with both hourly and professional workers.
We are seeing an expansion of the strategy to the entire workforce, where management wants to track and analyze the time and activities of its professional employees.
Labor expense accounts for 50 to 65% of the total cost of your distribution center. How do you reduce your operating cost while maintaining or improving the level of service both you and your customers demand?
Companies in the manufacturing industry face specific challenges when it comes to labor management. Tracking the hours of employees working both in offices and on the production floor often requires two different accounting methods. Assigning specific floor employees to new tasks can also be difficult when one does not know at which station an employee is located at any given time.
The majority of distribution facilities have no automated and reliable way of proactively tracking associate productivity and planning their labor requirements. As a result, those facilities have a significant opportunity for improving their performance.
The backbone of any good performance management program is the use of accurate expectations for objective management. You can drive your labor costs down by empowering your distribution center supervisors with the tool that makes a difference.
Paul
Resources:
Workforce Management Software
Time and Labor Management Tracking Software
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