John Abplanalp, Founder of Tight Lines Advisors, redefines Manufacturing Business Consulting with a proven Holistic Strategy that leverages an Organization’s Internal Assets.
(Stamford, CT – May 2016) The “tried-and-true” approach of many traditional business consultants is to focus solely on the reduction or elimination of costs. While this method may produce bottom line benefits, the aftereffects may adversely impact an organization’s manufacturing performance and workforce efficiency, thereby offsetting the savings anticipated by the process.
In rapidly increasing numbers, today’s business executives have come to the realization that the remedies of the current generation of business consultants lack the ingenuity and tools to sufficiently address the diverse challenges they face today.
Enter the next generation of business prosperity specialists: The Manufacturing Performance Consultant (MPC). A Manufacturing Performance Consultant uses an organization’s resources to drive performance improvements and reduce costs, while improving work efficiency, basically eliminating the need (or drivers) for these costs. This ultimately improves competitive position. An MPC doesn’t hesitate getting his or her hands dirty out on the production floor, engaging with employees (stakeholders) on the front lines, experiencing their challenges, and relaying those insights to corporate leadership.
John Abplanalp, a manufacturing industry leader and former CEO and President of Precision Valve Corporation, modeled this holistic approach with his own unique insights, formed through decades of industry experience, when he founded Tight Lines Advisors (TLA), a manufacturing business consultancy. Unlike traditional “business consultants” who focus on cutting costs by working with top company officials and analyzing reams of data, Abplanalp utilizes a company’s most vital resource, its stakeholders. Who are these “stakeholders?” According to Abplanalp, “They can be anybody or anything that can influence or be influenced by the company. And that includes employees first and foremost, in addition to owners, suppliers, customers, shareholders, creditors, surrounding communities, and the environment.”
All the input from the various stakeholders fuels The Performance AcceleratorSM, TLA’s
five-phase improvement process. It dramatically transforms the profits and competitive position of companies in a broad range of manufacturing industries, including the plastics, packaging, assembly, consumer products sectors, and many others.
The MPC difference
Most companies have unrealized potential and capabilities they are not utilizing to the full benefit of all of its stakeholders. The Performance AcceleratorSM unearths these under-utilized resources, and applies their full capabilities to improve company performance. This holistic ‘inside-to-outside’ approach is helping manufacturing firms face their biggest challenges head on, and with great results.
Does this mean that additional external expenditures such as equipment or outsourced labor are not a valid consideration for organizations? “No,” explains Abplanalp. “But first, we help a company realize and develop their key internal assets before looking outside the organization for solutions. Then, we look at the possibilities to complement more capable internal processes with new external resources.”
Of highest importance to TLA is that improvements in profitability and competitive position are sustainable. Abplanalp continues, “All too often, the ‘slash and burn’ mindset of traditional business consultants, and sometimes even management, leads to short term financial gains, but ultimately hurts the long term health of the company and its culture. Instead, the goal of the organization – especially manufacturing firms – should be short- and long-term prosperity for all the stakeholders.” Tight Lines proves over and over again that a holistic approach leads to sustainable operational performance improvements, and lasting increases in competitive position and gross margin.
SOLVING THE NEED TO OUTSOURCE JOBS
Unfortunately, this holistic approach is routinely neglected as illustrated by today’s business headlines. For instance, we all hear the accounts of companies leaving the U.S. for less expensive labor and lower manufacturing costs overseas. According to the U.S. Bureau of Labor Statistics, the first decade of this century experienced a loss of 5-6 million manufacturing jobs and the closure of more than 55,000 American manufacturing facilities. In essence, these companies chased a simple cost differential, a “low hanging fruit” of sorts. While successful in addressing the short-term labor cost line item, key operational and service aspects usually suffer.
Abplanalp regularly questions this mindset: “What about production times, delivery schedules, quality, and other operational issues? These critical factors didn’t or won’t change, and perhaps they may worsen. So the cost differential that drove a move to Mexico, for example, has become more difficult to achieve, and if achieved, has probably reduced costs less than initial projections.”
We now see jobs that were off-shored returning, especially from regions where manufacturing costs have increased, it is usually still a “cost differential” (or financially driven) issue and not because of driving improved operating performance. Abplanalp explains, “All operations, domestic and foreign, have inherent inefficiencies and challenges. We address those challenges from the inside out to avoid uninformed or knee-jerk companywide decisions that may ultimately damage the long term value of an organization.” It is a paradigm shift from an old school mentality to a new enlightened way of thinking, and Tight Lines Advisors is at the forefront, by considering all the stakeholders of an organization. Accordingly, an MPC attacks the mid line (efficiency) and not just the bottom line, which translates into sustainable value creation.
TIGHT LINE ADVISORS’ RESULTS SPEAK FOR THEMSELVES
TLA clients are experiencing dramatic improvements. One recent TLA client realized a 33% reduction in distribution costs while improving the customer experience. This breakthrough was achieved with no staff reductions or additional capital expenditures. This is typical of the results Tight Lines Advisors clients can achieve when they start to think innovatively about gross margin and stop obsessively scrutinizing costs.
Sadly, far too many US manufacturing operations look solely at output numbers, and ignore efficiency and effectiveness. And yet, output is what’s left when you factor in the inefficiencies. Companies try to manage around the output, and not manage the inefficiencies and performance. They’re simply not equipped to tackle their problems from the inside out. TLA, however, is fully equipped. As Abplanalp concludes, “Fortunately, we’ve developed The Performance Accelerator to do precisely that… Let’s get down to performance and really make a difference.”
