Baking & Snack - September 2019 - 77

INDUSTRY INSIGHT
Jim Kline
jkline@theensolgroup.com

As bakeries expand and modernize, they begin to see that future success is often ...

TIED TO WORKFORCE
I recently had the opportunity to work with the owners
of an industrial bakery who intend to transform their
operations. The goals were straightforward - increase
capacity, optimize manufacturing efficiency, improve
yield, minimize non-value-added labor tasks and reduce operating costs. It wasn't the first time I had heard
those goals for a new bakery or modernization program.
However, while their operational goals may be considered common, their strategic objective did take me by
surprise. Their objective is to improve the quality of life
for employees and their families as a catalyst for achieving a sustainable future. They saw their future tied to
meeting the needs of their workforce: line workers, support personnel and management.
Conversations with employees quickly identified
what they saw as important for improving their quality
of life. First, they wanted a regular work week - days
preferable - that would allow them additional time
with their families; second, a reduction in overtime; and
third, improved working conditions.
Beyond enhancing the quality of life for their workforce, the owners wanted to achieve improved and consistent product quality, better service to market, less
turnover in factory workers, lower cost of goods, becoming an employer of choice and reduced downtime.
Looking down from the 20,000-ft level, the objectives
of the employees and owners mesh well.
If there were sufficient capacity to produce the required volume in a 10-hour shift, a single-shift operation
for the majority of employees would become a reality.
This would also substantially reduce cost by eliminating the second shift. In addition, a single-shift operation
would provide sanitation and maintenance with enough
time to keep equipment in top shape, reducing downtime. Lastly, it would save on utilities, eliminate 24/7 su-

pervision and reduce the need for 24/7 support services.
Certain steps could improve efficiency and enhance
the work environment: increase lighting, improve the
workplace environment, create space to safely move ingredients and finished products, and provide "homes"
for supplies, ingredients and finished products.
Other steps contribute to better process consistency
and less labor intervention. These include minimizing
material handling through automated systems; providing controlled environments for fermentation, retarding
and proofing; automating pan and board handling and
rack loading and unloading.
Beyond the capital expenditure is the investment in
the employees themselves. They need to be equipped
with the knowledge and skills to operate new technology, employ new manufacturing methods and operate a disciplined process. A significant percentage of
the workforce will have the opportunity to move from
performing manual tasks to operating machines, which
requires new skills but also provides a higher level of
compensation.
It is also expected, based on the company's experience, that there will be significantly less turnover at the
operator level, saving numerous soft costs associated
with workforce turnover: reduced cost of hiring, financial impact of a vacancy, the onboarding costs of a new
hire and higher process loss as new skills are learned.
The bakery's ownership is making a smart investment, one that directly addresses employee satisfaction
and recognizes their needs. At the same time, the company is providing the necessary return with ongoing
benefits well beyond the investment period. If you were
challenged to improve the quality of life for your workforce, what do you think they would want? Maybe you
should ask them.

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Baking & Snack - September 2019

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