| The Worst Production Mistakes Companies Will Make This Year

Posted in Small Business at 9:00 AM by Loftis Consulting

Running and maintaining a manufacturing company can become a real hassle. You’re always competing with other firms overseas, and you need to produce new products to stay ahead. However, there are many common errors people make time and time again. So, it’s important to learn about them in advance. That way, you should avoid making the same errors and save yourself a lot of time. Nobody wants to waste their profits in 2017, and so it’s vital that you read the information on this page. It could make all the difference. Also, remember that you can always employ the assistance of business advisors if you are unsure about the best ways to proceed.

 

Handling Too Much In-house

Outsourcing is essential when it comes to operating a successful production operation. While you want to manufacture products, that doesn’t mean you need to create the parts. At the end of the day, you will reduce your outgoings by finding a partner to handle that aspect. Just search for the most renowned contract machining specialists in your industry. Ask to see their portfolios and read as many reviews as possible. You need a firm that is going to produce top quality items and ensure deliveries are always on time. Otherwise, outsourcing  could cause more issues than it solves.

 

Failing to Win New Contracts

Just because you have some outstanding contracts at the moment, that doesn’t mean your company is safe. You need to continue growing if you wish to dominate the market and create profit for the future. That means you should always keep on the lookout for new contracts and deals in 2017. Perhaps some new companies would benefit from the items you produce? You’ll need to research each of them and get in touch with the right people. Arrange some meetings, make your pitch, and show them what you can do.

 

Buying New Machinery Outright

When you take on new contracts, you might have to use different machinery to complete your orders. However, buying those tools outright is one of the worst things you can do. You’d end up spending thousands of dollars more than you’ve made during the first few months. That isn’t wise when clients could pull out at any time. It’s better to wait until they place more orders before spending so much cash. Until that date, you can hire the equipment you require and save lots of money. No matter what you need, there are specialists out there who can provide it.

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If you manage to avoid those mistakes, you should find yourself on the path to success in 2017. The road is long, and you will have to work hard to achieve your ambitions. However, you’ll reap the rewards eventually if you have the right levels of motivation. When all’s said and done, you started a business to change your life and make a profit. Stay focused on your goals, seek the best information, and you will get there eventually. If you do happen to fail; dust yourself down and start again. Think of it as a learning curve.

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  1. […] or it suddenly finds a need for a new process, your first thought might be to buy it. But we would recommend holding off on that big decision, to begin with. You need to consider two things. The first is the cost of […]

    Pingback by Loftis Consulting Business Blog » Burning Money Like Gas – Why Your Machine Operating Costs Are So High — January 19, 2017 #

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