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10 Tips On How To Increase Production Efficiency In 2023

    So, your business operations run smoothly but you believe there’s more to what you can achieve. How do you drastically reduce downtimes and unproductive periods, giving you a competitive edge?

    Simple! By focusing on improving your productivity and learning to become more efficient. The most exceptional business owners or managers continue to strive to master how to reach optimum output while maintaining a high level of quality.

    If you’re interested in learning how to increase production efficiency, this article will reveal strategic gems that you’ll find critical.


    From adopting new tech like the production OEE software (OEE stands for Overall Equipment Effectiveness) to making the customer experience a top priority, keep reading to discover critical knowledge that will boost your level of performance.

    What is Production Efficiency?

    Production Efficiency is an economic situation where the maximum level of production of goods or services has been reached, and further production would lead to the consequential reduction of the number of other goods or services produced.

    In very simple terms, it is the process when an entity is operating at maximum capacity. Production efficiency depends on a production possibility frontier (PPF) and it’s usually measured in terms of OEE.

    OEE is a key performance indicator and metric that identifies the percentage of planned production time that is genuinely productive. Its score of 100% represents a perfect production line, while that of 85% is still world-class by production standards also.

    Stay glued as we unravel some tips to increase production efficiency in 2023.

    → 1. Adopt New Or Latest Technologies

    Technology has almost become the backbone of any business today and adopting new technologies for your business can dramatically boost your operational efficiency.

    While this would likely imply that you would have to invest more funds, adopting new technology will push you several steps ahead of competitors. With the right technology, you can ensure that all your equipment is up to date, safe, and functioning efficiently for your business.

    For example, Strategically introducing technologies such as the production OEE software to monitor the welfare and activities of machinery is advised. The software is also supported by a team of experts who possess a team of experts to help you improve production efficiency.

    In line with this, integrating components like idler rollers in your conveyor systems can significantly enhance the smoothness and longevity of your operations. These rollers play a crucial role in maintaining the efficiency and reliability of your material handling processes, aligning perfectly with your technological upgrades.

    → 2. Time Management is Critical

    Time is essentially a deciding factor when goods and services are being produced and production efficiency is hinged on time management.

    For example, the maximum number of tires manufactured in a tyre-making company is 8 tyres per hour and 192 in a day. If the hourly tyre production rate is reduced to 5, there’ll be a decreased tyre production by a 72-tyre deficit.

    The time wasted when a worker has to walk across the manufacturing space for a certain tool could cause cases such as the above.

    → 3. Identify And Reduce Wastefulness

    Monitoring utilization through careful management of resources, cutting off redundancy at the workplace, and reducing or augmenting labour are ways of eliminating wastefulness.

    Bias amongst staff might induce harmful work habits like nonchalance, insubordination, and uncooperativeness. These human factors could cause poor management of resources and reduce production efficiency.

    Consider hiring an objective third party and adopting the production OEE software to evaluate without bias in your organization’s use of resources.

    → 4. Observe What Is Most Sought After

    Times and climes are essential factors determining the marketability of goods and services. Be ahead of your competitors by improving the production efficiency of such highly-sought after products.

    Employ competent hands or train employees to understand the technicalities required to produce such goods and services.

    → 5. Make Realistic Goals

    Overestimating or underestimating productivity could lead to warped judgments and office dissatisfaction.

    Develop realistic expectations for which each compartment of the organization would work in tandem to achieve. Also, use your progress to show your staff and team what’s possible in the future.

    → 6. Set Up Preventive Maintenance Schemes

    'Prevention is better than cure', so they say. Create a team of experts who would solve issues involving machinery maintenance and attend to problems identified by the production OEE software.

    → 7. Recycle Wastes

    Today, reusing and procuring waste materials is now big business. Several countries have adopted this development to combat the poor disposal of waste to help solve the menace of global waste domination in water bodies and the streets.

    Waste pickers gather waste items ranging from metal scraps to empty cans and bottles and sell them to industries where these wastes can be converted into useful products.

    Using these wastes since they come cheaper, reduces cost, as more money would have been required to purchase new raw materials. The availability of these wastes is a factor that increases production and hence, production efficiency.

    → 8. Organize Your Workplace

    Create a place truly convenient for efficient production by bringing developments such as reducing the gaps between the warehouse and the site of production. Also include a well-structured and strictly obeyed timetable for daily activities, as this would increase production.

    → 9. Motivation To Work Always Translates To Production Efficiency

    The introduction of incentives for impressive members of staff can spur them and others to be more diligent at work. This leads to greater output yield and higher production efficiency.

    Creating a work-friendly environment, and encouraging social interaction between employees are great ways to help resolve conflicts quickly, and are essential to creating a positive and comfortable environment for all to work in.

    → 10. Customer Experience Should Be A Top Priority

    Having customers delighted with the consumption of certain goods or usage of certain services would give feedback that will inspire higher production of such goods and hence, higher production efficiency.


    Ultimately, production efficiency is critical to helping any business determine if they’re reaching the best possible level of productivity with their current resources. As a metric, it can help ascertain their maximum levels, as well as where and what needs to be improved for them to get there.

    The tips listed above can help you easily identify and fix any issues your business may have. As you begin to implement them and track your progress, you should begin to see a noticeable increase in production efficiency.

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