Best Practices

“Change before you have to.”
– Jack Welch, Former CEO of General Electric

Best practices have long been a tremendous resource to learn from others and to then apply to your organization.

The OpX Leadership Network was founded back in 2009 when Steve Perry and Steve Schlegel launched a not-for-profit service business focused on bringing “best practices” to benefit consumer products manufacturers of all sizes.

PMMI, the leading trade association serving the needs of the consumer products industry, embraced this concept and fully funded the creation and support of the OpX Leadership Network. Today, the OpX Leadership Network has impacted nearly a thousand companies (manufacturers and suppliers) and more than 5,000 industry practitioners.

The following page provides you with an insight to the most often downloaded documents.

These are free and can be applied by your team (do-it-yourself) or seek guidance. The FSO Institute’s team of coaches have and continue to be active contributors and facilitators of updating and developing new best practices for manufacturers.

OpX Leadership Network logo
FSO logo

PMMI’s OpX Leadership Network has produced more than 20 manufacturing process improvement documents for CPGs and OEMs. The FSO Institute has facilitated the adoption and implementation of these documents. CPGs are using OpX and FSO documents to improve their overall manufacturing health and collaboration with OEMs and other suppliers. As noted in ProFood World, an industry trade publication.

Workforce Engagement

The Framework and Roadmap for building an engaged workforce – from the factory floor to HQ

Your Challenge: Our workforce is changing; too much turnover, ambivalent performance, little teamwork, absenteeism, and more. Our customer and business performance are lacking.

Target User:
Corporate and Plant Leadership

CREATING A PLATFORM FOR SUCCESS

The 2013 Gallup State of the American Workplace Report revealed that engagement continues to hover at incredibly low levels with only 30% of the workforce actively engaged. The study indicated that 52% of the workforce was disengaged and 18% were actively disengaged. The number of engaged manufacturing and production workers was even lower than the average at a meager 24%. Gallup estimated that actively disengaged employees alone cost the U.S. $450-$550 billion annually in lost productivity. As written by Greg Flickinger (then VP Manufacturing) in 2015 introduction to this document.

2021 update on Gallup’s numbers:

Disturbing trends graphic

Total Cost of Ownership (TCO)

The industry guidance on understanding acquisition and operating costs of capital equipment.

Your Challenge: There had been a lack of clarity in TCO resulting in unmet expectations for too many stakeholders when engaging in the commercial transactions for capital equipment.

Target User: 
Engineering, Manufacturing, Finance, Purchasing

One of the most significant challenges facing consumer packaged goods manufacturers (CPGs) and original equipment manufacturers (OEMs) today is determining the initial equipment purchase price versus the long-term cost of owning the equipment. The need for an industry norm for Total Cost of Ownership (TCO), specifically written for the CPG industry, has become increasingly apparent to these and other stakeholders involved in the purchase/sale of capital equipment.

The TCO Solutions Group, OpX Leadership Network, 2020

Overall Equipment Effectiveness (OEE)

The industry guidance and formula on calculating OEE for consumer products manufacturers.

Your Challenge: Too often OEE is not measured consistently or correctly. Therefore, without confidence in the data, the opportunities for true improvement are lacking. When there is improvement, it is not sustainable.

Target User:
Corporate and Plant Leadership, Operations

Consumer packaged goods (CPG) companies and their suppliers have been steadfast in their pursuit of continuously improving their bottom line while delivering high-quality products to customers. In support of these goals, operational measurement and reporting enables CPG companies to discern the best value opportunities, to assign accountability, and to track progress. Since necessity is the mother of invention, and there has been no single authorizing group to set guidelines, operations measurement has sprung up with a variety of approaches. Lack of standard terminology and definitions has hampered efforts to make comparisons between plants and industries, and leant confusion to discussions between vendors and suppliers.

The OEE Solutions Group, OpX Leadership Network, 2012

Why Focus on OEE? OEE performance has a pervasive impact on key success factors for automated manufacturers including:

  • Customer service and delivery
  • Quality variation and defect loss
  • Raw material scrap and waste
  • Labor efficiency
  • Equipment repair and maintenance expense
  • Overhead spending and absorption

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