How to Improve Machine and Labor Utilization Through Dashboards

Can Performance Management Be Inhibited by Lack of Business Intelligence?

As a portfolio company of a private equity firm, Elgin Fastener Group (EFG) was encouraged to roll out a business intelligence solution to better measure and manage performance against their value-creation plan. The company faced several challenges with their existing reporting infrastructure:

Limited ERP Reporting Prior to engaging BMI, EFG used their ERP, Epicor 10, to run reports for their quoting and sales processes. This provided helpful insight but often required further ad hoc reporting and manual analysis.

Cumbersome Excel-Based Processes Critical reports like Efficiency and Utilization tracking were maintained in complex Excel workbooks that were time-consuming to update and difficult to share across the organization.

Retrospective vs. Real-Time Visibility Monthly retrospective reporting prevented supervisors from addressing efficiency issues proactively, limiting their ability to optimize labor and machine utilization in real-time.

Fragmented Data Visibility Information about backlog, sales projections, on-time delivery, and inventory was scattered across multiple reports, making it difficult to get a holistic view of operations.

Shop Floor Information Gap Front-line workers lacked visibility into upcoming fulfillment timelines, preventing proactive planning and resource allocation on the manufacturing floor.

Daily Reports Help Supervisors Manage Staff & Increase Efficiency

The implementation delivered significant operational improvements across EFG’s manufacturing operations:

Real-Time Production Insight Replaced monthly retrospectives with real-time insight into production, enabling proactive management rather than reactive problem-solving.

Empowered Supervision Empowered supervisors to drive greater labor and machine utilization through daily visibility into efficiency metrics and performance trends.

Manufacturing Department Transformation According to Jim Pastor, VP of Information Systems, the greatest impact has been on the manufacturing department. Supervisors review the Efficiency and Utilization report every morning to determine which technicians would benefit from more training, identify points of constraint, and pinpoint where they could combine two operations into one to increase efficiency.

Shop Floor Engagement Improved production through shop floor dashboards that give front-line workers visibility into upcoming workload and fulfillment timelines.

Training and Development Insights Daily reporting enables supervisors to identify skill gaps and training opportunities, ensuring continuous workforce development and improved efficiency.

Process Optimization Real-time visibility into operations revealed opportunities to combine operations and eliminate bottlenecks, directly improving throughput and resource utilization.

Key Takeaways: From Retrospective to Real-Time Manufacturing Intelligence

By partnering with Blue Margin, Elgin Fastener Group transformed their manufacturing operations from monthly retrospectives to daily real-time management. The success of this project demonstrates:

• Replaced Monthly Retrospectives with Real-Time Insight: Daily visibility enables proactive management and faster response to efficiency opportunities
• Empowered Supervisors: Morning review of Efficiency and Utilization reports drives greater labor and machine utilization
• Improved Production: Shop floor dashboards provide front-line workers with the information they need to stay ahead of fulfillment timelines
• Consultative Partnership: Methodical approach and focus on business needs ensured solutions addressed real operational challenges
• Value Creation Alignment: Business intelligence capabilities support PE sponsor’s value-creation plan objectives