6 Overlooked Ways to Improve Manufacturing Efficiency

Unplanned equipment stops are more than just delays. For many manufacturers, each minute out of service can cost hundreds of dollars. If a key press line pauses unexpectedly, losses quickly accumulate.

In response, leading manufacturers are pursuing more in-depth strategies rather than surface-level improvements. Here are six evidence-based methods designed to enhance production efficiency, resilience and cost effectiveness.

#1: Leverage predictive maintenance with real‑time asset insights.

Predictive maintenance allows manufacturers to forecast equipment failures before they occur by using IIoT (Industrial Internet of Things) sensors and AI. A Siemens study reported an 85% improvement in downtime forecasting and a 50% reduction in unplanned downtime after implementing predictive maintenance.

Steps for deployment

1. Pilot a critical machine with vibration or temperature sensors. Take baseline data for 30 days.
2. Apply anomaly‑detection models. These provide more thorough insight into your processes.
3. Integrate alerts into maintenance scheduling so interventions occur during planned low‑production periods.
4. Measure impact using OEE, downtime statistics and maintenance expense trends.

ROI and operational value

• Systems often pay for themselves within months.
• Equipment lifespan may increase by up to 20%.
• Safety improves as catastrophic failures become less likely.

#2: Reduce changeover time using SMED

Lengthy production changeovers erode capacity. Single‑Minute Exchange of Die (SMED) reduces this time to under 10 minutes by analyzing tasks to see if they can be adjusted, moved or eliminated.

Implementation best practices

• Observe and map each setup step, categorizing tasks as internal or external.
• Move tools, fixtures and adjustments off‑line to transform internal tasks into external ones.
• Use jigs, visual aids and quick‑release fixtures to standardize operations.
• Deploy two‑person teams to perform parallel actions.
• Iterate with time studies to embed improvements.

Efficiency gains

• OEE gains of 5-10% through reduced downtime.
• Smaller batches and more flexible scheduling reduce inventory carrying costs.
• Setup quality improves and errors decrease.

#3: Implement flexible production using leagile strategies

Adopting both lean and agile approaches enables manufacturers to blend efficiency with flexibility. Known as the leagile model, this strategy allocates resources to high-volume, stable products while maintaining agile production cells for custom orders.

How to adopt leagile in a mid-sized plant

• Identify product segments with stable demand versus variable demand.
• Apply lean flow methods for predictable products. Use agile cells where demand spikes or customization is common.
• Integrate ERP, supplier data and shop-floor systems to coordinate lean and agile workflows.
• Design modular workstations that can be repurposed quickly for agile tasks.

Efficiency and business outcomes

• Lean flow cuts routine waste such as idle time, overproduction and excess inventory.
• Agile cells handle changing orders without disrupting overall workflow.
• Performance improves across lead time, inventory turns and customer satisfaction.

Implementing leagile allows mid-sized manufacturers to maintain lean efficiency in stable areas while providing the flexibility to respond swiftly to customer needs. This balance reduces inefficiencies without sacrificing speed or service quality.

#4: Optimize energy and resource use through smart IoT systems

IoT-based energy monitoring systems deliver real-time visibility into energy use, enabling manufacturers to identify inefficiencies and reduce consumption. A 2025 framework from Cornell University showed an 18% reduction in energy use, 22% less downtime, and 15% improved resource efficiency through IoT-smart manufacturing.

Key steps to implement energy monitoring

1. Install energy meters and sensors at machine and line levels.
2. Use edge analytics to flag idle equipment, peak-load usage and waste.
3. Set automated controls to reduce power during idle times and avoid peak-rate windows.
4. Build dashboards to display real-time energy use for operators and managers.
5. Measure savings in cost, carbon emissions and ROI.

Benefits for mid-sized plants

• First-year energy savings often range from 12-22%, improving margins and supporting ESG goals.
• Automated controls reduce peak-demand charges.
• Improved machine health and indoor climate help extend asset life.

Smart energy systems deliver fast ROI, reduce operational waste and align local energy usage with corporate sustainability goals. This positions your operation for long-term efficiency and cost leadership.

More efficient processes also tend to make your employees feel more engaged and satisfied with their work. And that translates to better numbers for your business. Gallup research shows that engaged production teams have 14% higher productivity and are 23% more profitable than disengaged teams.

#5: Engagement tactics tailored for mid‑sized operations

• Implement a simple suggestion system that gathers ideas from all teams, reviewed in regular meetings.
• Introduce cross‑training programs so workers can swap tasks and support one another.
• Share real‑time metrics on performance, quality and downtime to increase ownership.
• Recognize successful ideas and individual contributions in weekly shift briefings.

Outcomes you can expect

• Fewer defects result in less rework and lower scrap rates.
• Higher morale supports retention in markets with skilled labor shortages.
• A safer workplace fosters reliability and reduces absenteeism.

Engaged teams solve problems proactively. This level of ownership boosts efficiency and secures operational stability.

#6: Improve capacity use with ERP-led analytics

ERP systems offer strong visibility into production schedules, capacity and resource allocation. Plants can easily run at just part of their capacity due to scheduling gaps, unplanned downtime or worker misalignment.

Using ERP to optimize capacity

• Track real‑time capacity across machines and shifts with interactive dashboards.
• Run planning simulations to understand the impact of order changes on capacity.
• Use alerts to address underused equipment or scheduling conflicts.
• Tie ERP to demand forecasting tools to align production with market needs.

Efficiency improvements

• Achieve 85-90% machine utilization without added shifts.
• Reduce idle time and avoid overtime costs.
• Strengthen customer delivery performance through reliable scheduling.

Manufacturers that use ERP analytics for capacity planning optimize asset use, meet demand reliably and raise financial returns through higher utilization.

What’s Next?

The methods we’ve discussed form a coherent framework for efficiency on your production floor. Each component builds operational strength and together they drive significant gains in uptime, quality and profitability.

Contact a James Moore professional to assess your manufacturing operation and develop a bespoke efficiency plan. Our Manufacturing Services team applies deep insight and data-backed strategies to elevate production and secure long‑term growth.

All content provided in this article is for informational purposes only. Matters discussed in this article are subject to change. For up-to-date information on this subject please contact a James Moore professional. James Moore will not be held responsible for any claim, loss, damage or inconvenience caused as a result of any information within these pages or any information accessed through this site.