March 11, 2024

Success in Manufacturing Today Means Maximizing Talent

Written by: Laura LaManna, Vice President of Delivery and Operations, Strategic Accounts

Reducing Turnover & Focusing on Quality Are Key to Success for Manufacturers Competing in a High Wage Environment

I just finished launching a project for a client who wanted to leverage Eastridge's services to ramp up manufacturing at their facility in Cleveland, Ohio. The client was moving new manufacturing capacity to the area and needed to reach full production capacity quickly.

But they faced a number of challenges that I think are shared by many manufacturers across the country. While manufacturing output has seen a contraction in recent months, orders have actually increased. The reality is that many manufacturing facilities are operating at a fraction of their capacity because, like our client in Cleveland, they are finding it difficult to find talent and, perhaps more importantly, keep talent. This is the barrier to reaching full capacity and realizing the full potential of demand in the economy. To put it simply, many manufacturers are paying more for labor than ever before while also seeing lower productivity. And these factors are converging at exactly the point of time when they need to operate efficiently.

To help our client overcome these challenges, the Eastridge team implemented a three-phase approach. First, target candidates for a job fair more effectively. We did this through a detailed analysis of job search terms in the area, adjusting outreach as much as possible. We also looked at the job and facility descriptions used in ads to ensure that messaging aligns with key job search phrases and also promoted the idea that manufacturing work might be more appealing to similar paying jobs in the service sector.

This initial outreach produced some significant results. While the client had job fairs in the past, the Eastridge team was able to generate five times the number of attendees. But getting people to show up for a job fair was only the beginning.

We also conducted a tour of the facility and our team explained in detail not just how the facility operated but what they would be producing. For many people attending, the job fair was their first time in a manufacturing facility. The tour and background of the company, its products and mission were critical to both attracting applicants and also keep them once they’re hired.

Retention is the final phase from the Eastridge team in making this project truly successful. The company had not been able to move past 78% capacity because of the high turnover of staff. The pre-work during the hiring process was vital, but ongoing, onsite management of contingent labor will be vital.

Eastridge has leveraged onsite managers before with some incredible results. For some clients, onsite managers have reduced turnover by 42% or higher. The results at this particular site have been significant. The Eastridge team was able to achieve a 97% show-up rate, 93% retention and quickly brought the client to 91% staffing capacity. The Eastridge onsite will ensure that the program continues to thrive and the client gets closer to 100% capacity in the near future.

Manufacturing, overall, may have seen a contraction in recent months, but it’s not because demand is shrinking; high wages and high turnover lead to lower production. While some companies may look at these as unchangeable factors out of their control, our project in places like Cleveland is telling a different story. Manufacturers can employ strategies that attract talent and leverage partnerships to keep that talent. That may be the winning combination for success in manufacturing today.

This was an exciting project to lead and I’m excited to move on to other similar projects. There are some great manufacturing opportunities waiting to be matched to a great talent pool. Our team feels invigorated to be part of solving a major challenge to growing the economy today.

Summary
How Eastridge Helped One Manufacturer Maximize Efficiency Through Innovative Onsite Recruiting and Management

Challenges