Companies save $ 2.5 million on their productivity

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A group of 25 Guatemalan companies have managed to save at least $ 2.5 million in operating costs, only the first 6 months after the implementation of the program "Total Productivity Management" created by AGEXPORT.

Companies from the food, plastics, ornamental plants, manufacturing, services, furniture, among others, now have a committed team, focusing on improving business productivity; there is a greater and better generation of ideas, also the reduction of cost of waste as well as the importance of supervising the corporate management.

The "Program for Total Productivity Management" TPmgt was implemented more than 4 years ago by AGEXPORT in order to develop the Guatemalan Business Competitiveness.

The implementation of "The methodology of Total Productivity Management began in Guatemala in 2007, when the productivity unit of AGEXPORT was created. The motivation to create it, begun with a diagnosis made by manufacturing goods on the productivity of companies from various manufacturing sectors," said the Productivity Unit Coordinator, Pablo Suazo.

Suazo explains that the methodology is essentially intended to reduce costs on business without having to make a cut among the workers, perceiving tangible and intangible benefits in financial, production, administrative and costs areas, it seeks to reduce the prices of products and production time without affecting their quality, which is an integral process of companies.

“In 2006, AGEXPORT made a benchmarking study with the Mexican industry, and it revealed that one of the main weaknesses of the guatemalan companies was precisely the low level of productivity," said Suazo.

Suazo points out that the main objective of AGEXPORT´S Productivity Unit is to establish a National Productivity Centre and in order to reach this objective, each participating company in the program TPmgt, provides the first indicator using a special software that measures the productivity and defines the down points that the company needs to improve following this process the companies will be monitor for a year period in order to obtain the results and benefits.

This new technique will be implemented in a fifth phase, which will begin in March 2010. Thru this year is expected to implement this methodology into two groups, given that until now it had been implemented only into one group per year.

AGEXPORT´S Productivity Program is based on the philosophy of Dr. David J Sumanth, considered the Guru of productivity, whose productivity cycle covers four aspects: measuring, evaluating, planning and improve. This program offers a 32-hour training, the software for measuring productivity indexes and an 80 hour personalized assistance to transfer the model. The basic requirements for implementing the methodology are: 1.) Companies with a formal accounting system 2. A management structure that will support the methodology implementation and 3.) Company’s commitment to fully participate and execute the implementation plans. For companies interested in learning more about this program, PLEASE contact Mr. Pablo Suazo pablo.suazo(at)agexport(dot)org.gt

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Mariangel Ruiz

502 2422-3400 3429
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Pablo Suazo

502 2422-3400 3606
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