Managing Fluctuations in Production Volume

In the low- to mid-volume, high-mix manufacturing (LVHM) market, manufacturing volumes to vary from month to month. To provide an effective manufacturing service, contract manufacturers need to optimize operations to handle such volume fluctuations. At OCM Manufacturing, the following factors help to balance our manufacturing operations:

Manufacturers that assemble products for a wide range of industries and markets are somewhat protected from volume fluctuation. Economic conditions and unpredictable customer demands, however, can still cause large swings in production volume throughout the year.

OCM manufactures products for customers in a range of industry sectors that include consumer, industrial and medical electronics, transportation equipment, communication systems, security products and more. This diversity helps to protect against industry-specific demands that could slow or rapidly increase production needs.

Streamlined workforce
A contract manufacturer needs to ensure that it has access to employees available to work overtime when required and the proper processes in place to handle overtime requirements safely. We’ve also developed a streamlined onboarding process for new employees that allows us to seamlessly increase capacity when it is needed.

These steps help us to deliver more stable and consistent manufacturing operations during both high- and low-production periods.

We also employ a policy that keeps our workforce employed during slow production periods whenever possible. This creates a more stable, satisfied and productive team. By cross-training our operations staff, we give them the skills needed to perform multiple functions and move to (and from) production areas when required.

To learn more about how we prepare for – and manage – swings in volume at OCM Manufacturing, contact us!