Imagine the world records that can be broken in 2013 if companies reduce their labor cost by more than double the best-in-class average.
Charlotte, NC (PRWEB) August 27, 2012
When the entire world tuned into the Summer Olympics, they watched an unprecedented number of world records be broken by dedicated athletes. Just as the Olympic team coaches prepared for competition on a world stage, U.S. executives are looking towards 2013 with hopes of achieving new records in revenues, profits and customer loyalty.
With the current global economy, U.S. executives must continually evaluate their results against international standards. Just as Olympians knew their goals of time, heights, and scores, companies need a reference point in order to reduce costs and improve productivity. A recent Aberdeen Study* provides crucial benchmark data for manufacturing and distribution by looking at what internationally Best-in-Class companies are accomplishing when it comes to labor costs and quality improvements and how the “Best” compares to “Average” and “Laggards”.
While the metrics in the provided chart offers an overview of what it takes to become one of the “best” in the world, the column to the far right provides the record breaking results that U.S companies are achieving by implementing today’s best-in-class methods, such as an nGROUP’s performance partnership.
To be considered “Best-in-Class,” a company needs to reduce their labor cost annually by 2.4%. Imagine the world records that can be broken in 2013 if companies reduce their labor cost by more than double the best-in-class average. Below are actual results of leading U.S. manufacturing and distribution companies utilizing the nGROUP performance strategy.
An international fresh fruit processor yielded a 5% labor cost reduction in one area and 50% labor cost reduction in a second area.
A global consumer electronics facility yielded 30% labor cost reduction in year one.
A garment processing facility yielded a 21% labor cost reduction in year one.
A major 3PL facility yielded a 14% labor cost reduction in year one.
“CFO’s, Industrial Engineers and HR executives are often the most skeptical and the most surprised,” says David Hair, nGROUP President and CEO. “They have done all the right productivity studies, implemented labor management technologies and HR training and incentive programs, and think they are doing great until they see what they can achieve with nGROUP.”
“Partnership is the key to achieving breakthroughs. Trust and shared goals allow us to achieve new levels of efficiency, performance and cost reduction for our clients,” says Hair.
To learn more about nGROUP’s record setting results, visit http://www.ngroup.biz . For a brief three minute overview of how nGROUP achieves these results watch http://www.ngroup.biz/movie.
*To read the entire Aberdeen Study, “Best Practices in Labor Management for Manufacturing, Warehouse and Store Operations: US and International Trends” click here.