Quote:
Originally Posted by mcquinn
In my manufacturing experience you don't expand production for a product that may not have a marketplace.
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Are you talking about e-cigs? Sorry, I don't get you on this one.
Machine and tooling needed for e-cigs is minimal. Some parts may even be outsourced if needed. Labor forces can be increased and decreased at the drop of the hat.
Here in the States, starting back in the early 2,000s when the computer bubble popped, manufacturers started leaning more on Temp agencies. This is still practiced by companies such as Dell. They use temps to avoid paying benefits and unemployment. This to me is bad business practice as it treats employees as disposable and reflects on the quality of product. But in doing so, they can increase and decrease production at any given time without the worry of costly expenditures.
I too use Temp agencies for new hires, But our reason is different. We only want to make sure the employee is a good fit and is one that will stay. Once this has been proven to our satisfaction, we will hire them on as full employees and give them all their benefits prorated back to the time of their temp hire. My company has an old fashioned approach to employee relations. We know and recognize the value of our employees. When hard times come, we will do everything possible to avoid layoffs.
We manufacture some really high tech equipment and products, and the manufacturing process is not something that one can be trained for in a few days. Some positions takes more than a year to fully learn. The products we make are subject to so many different variables, we never stop learning. So in our case the value of the trained employee is irreplaceable. I have staffed here at corporate headquarters, employees who have been with the company for over 40 years, with the majority falling into the 20 plus year bracket. We are worldwide and manufacture different products in different places. This is what I do.