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Manufacturing Audit Services as Improver's of Bottom Line

Manufacturing Audit Services as Improver's of Bottom Line


Manufacturing Audit is a manufacturing service which industries today employ to check their efficiency levels. Manufacturing Audits detail the losses happening in manufacturing and paves the way for manufacturing. These audits trace the flow of material from in' to out' and will analyze where the material waits. This waiting is the symptom of the losses which happen directly or indirectly.

In order to measure and improve the losses, it's necessary to trace them down at every stage during the manufacturing cycle. From in' to out', the entire manufacturing cycle can be divided into several stages and symptoms at these stages can be apportioned to a loss. As an example, when raw material comes in the factory and raw material store has more than required inventory levels, then it is a symptom of improper planning. The same can be applicable on the other side of supply chain where there is always a situation of crisis for some inventory and excess of others in the dispatch store area. These two extremes when not balanced reflect improper planning. This was just an example of supply chain deficiencies leading to losses which can only be measured using audits as manufacturing services.

Manufacturing Audit have pre-defined or prescribed measures of improving such losses by preparing indices which helps them reflect the current situation and then attacking on issues which hurt the manufacturing most. For example, indices of supply chain will have throughput as a key indicator. Parts per million (PPM) will be key indicators of quality systems, customer satisfaction index (CSI) as an index for how well customers perceive your business, attrition rates (AR) reflect how well employees perceive your business and financial ratios (FR) are a good indices of how investors perceive your business.


There are globally approved benchmarks for the above indices. Manufacturing audit services map the existing state of affairs in a manufacturing setup and then create a road map to take the existing score to global benchmark levels. This is an exhaustive exercise and when companies follow this path with dedication, they can be sure of increasing bottom lines and improving cultures.

All these have an effect on the bottom line of the company and the role of manufacturing services is to improve the above. People in these companies have specialized skills and generally have domain knowledge in their respective skills and are equipped with tools which can help companies in raising the bar and thus improving bottom lines.
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