What Types of Industries Commonly Use Subcontracting?

In today’s business world, subcontracting has become a popular practice for many companies, allowing them to delegate certain tasks or projects to specialized external firms or individuals. This approach offers numerous benefits such as cost savings, increased flexibility, and access to expertise beyond what is available in-house. In this article, we explore the different types of companies that leverage subcontracts and why they are beneficial for each industry. 

 

What Is Subcontracting?

Subcontracting is the practice of hiring external individuals or companies to perform specific tasks or projects on behalf of a primary contractor. It involves the delegation of certain responsibilities or services to a third party, typically with specialized skills or resources, in order to enhance efficiency and cost-effectiveness in completing a larger project.

 

What Are The Benefits Of Subcontracting?

In today’s competitive business landscape, companies are constantly seeking ways to reduce costs and increase productivity. Subcontracting has emerged as a popular strategy that allows businesses to outsource specific functions to specialized subcontractors, rather than hiring and training in-house employees. Below are some of the key benefits of hiring subcontractors. 

  • Access to specialized skills: Subcontracting allows you to access a pool of specialized skills that may not be available within your own workforce. Whether it’s health and safety contractors, equipment operation, or product assembly, subcontractors have the expertise necessary to deliver high-quality results. 
  • Cost savings: Hiring and training employees for specialized tasks can be expensive and time-consuming. Subcontracting allows you to avoid these costs by outsourcing specific processes to contractors who already have the necessary skills and resources. This can result in significant cost savings for your business, as you only pay for the services you need, without the overhead of hiring and maintaining a full-time workforce.
  • Increased flexibility: Subcontracting provides you with the flexibility to scale your operations up or down based on demand. Instead of being limited by the capacity of your own facilities and employees, you can rely on subcontractors to handle additional orders or projects. This allows you to quickly respond to changes in customer demand and take advantage of new business opportunities without investing in additional resources.
  • Reduced risk: contracts with subcontractors often include performance guarantees and quality control measures. This helps to reduce the risk of defects or delays in your processes, as the subcontractor is responsible for meeting the agreed-upon standards. Additionally, subcontracting can also help mitigate risks associated with fluctuations in demand or changes in market conditions, as you can easily adjust your subcontractor agreements to align with your business needs.
  • Focus on core competencies: As a business owner, your primary focus should be on your core competencies and strategic goals. By subcontracting non-core processes, you can free up your time and resources to concentrate on areas that drive growth and competitiveness. This allows you to streamline your operations and maximize the value you deliver to your customers while leaving the specialized tasks to the experts.

8 must-know solutions for your needs in industrial subcontracting 

 

What Industries Use Subcontracting?

Construction Industry

The construction industry commonly uses subcontracting to efficiently complete large-scale projects. Construction companies often rely on subcontractors to handle various aspects of the project, such as electrical work, plumbing, and painting. By hiring specialized subcontractors, construction companies can ensure that each task is handled by experts in that field, resulting in higher quality work and increased efficiency.

A key reason why subcontracting is common in the construction industry is the need to fulfill government contracts. Many government projects require specific certifications or qualifications, which may not be possessed by the construction company itself. By using specialized subcontractors who meet these requirements, construction companies can ensure compliance and increase their chances of winning government contracts. Subcontractors have the necessary certifications and can provide the required documentation to satisfy government regulations.

Insurance Companies 

Insurance companies have long been established as prime candidates for subcontracting due to the nature of their services. From dealing with government regulations, pharmaceutical companies, and healthcare issuance, insurance companies require more help and support than other industries. They therefore outsource certain roles within the business, such as mailroom management, content management, and data capture which are all regularly carried out by subcontractors in order to streamline processes within the industry.

From customer data systems to general administrative tasks, outsourcing allows insurance companies to free up resources while still maintaining operations at optimal levels. Subcontracting also allows for different experts from various industries to be brought in to help with strategic decision-making, leading to more innovation within the company. It helps reduce costs while improving efficiency throughout the sector – ultimately providing better customer service and higher quality outcomes compared to what could have been achieved solely in-house.

Manufacturing Industry

By utilizing subcontracting in the manufacturing industry, businesses can tap into a wide range of expertise and resources that may not be available within their own organization. This can lead to improved productivity, reduced costs, and increased flexibility in meeting customer demands. Here are some common jobs that are assigned to subcontractors in the manufacturing industry:

Subcontracting in the manufacturing industry offers numerous benefits, including access to specialized skills, cost savings, increased flexibility, reduced risk, and the ability to focus on core competencies. By leveraging the expertise and resources of subcontractors, you can optimize your manufacturing processes and drive greater efficiency and profitability for your business.

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Healthcare Industry

By utilizing subcontracting in the healthcare industry, one can tap into specialized expertise and resources that may not be available within their own organization, leading to improved efficiency and cost-effectiveness. Subcontracting allows healthcare organizations to access a wide range of services, such as medical coding, billing, and transcription, which require specific skills and knowledge. By giving these tasks to specialized contractors, healthcare providers can ensure accurate and timely processing, reducing errors and improving overall efficiency.

Another benefit of subcontracting in the healthcare industry is the flexibility it offers in managing workforce needs. Healthcare organizations often experience fluctuations in demand for services, and subcontracting allows them to quickly adjust their staffing levels without the commitments and costs associated with hiring and training full-time employees. By engaging independent contractors, healthcare providers can scale their workforce up or down as needed, ensuring that patient care is not compromised during busy periods or when faced with unexpected challenges.

Marketing and Advertising Industry

The marketing and advertising industry thrives on subcontracting, allowing companies to tap into a vast network of talent and resources to create impactful campaigns and reach their target audiences effectively. Marketing agencies often rely on subcontractors to handle various aspects of their projects, such as graphic design, copywriting, social media management, and market research. By outsourcing these tasks, marketing agencies can focus on their core competencies and deliver high-quality results to their clients.

By subcontracting certain tasks, companies can avoid the need to hire permanent employees and incur the associated business expenses such as labor costs and employee benefits. This flexibility allows businesses to allocate their resources more efficiently and adapt to changing project demands. Moreover, subcontracting enables companies to access specialized expertise on an as-needed basis, eliminating the need for extensive training or the risk of hiring and retaining in-house talent.

Transportation and Logistics Industry

Subcontracting has revolutionized the transportation and logistics industry, as companies look for ways to streamline their operations and improve efficiency. One area where subcontracting is particularly prevalent is in the delivery of goods. Companies rely on third-party logistics providers to transport their products from warehouses to customers. These subcontractors have the expertise and resources to handle the intricacies of transportation, including route planning, scheduling, and managing the delivery process. They also often have access to specialized equipment, such as refrigerated trucks, that may be necessary for transporting perishable goods.

Subcontracting in the transportation and logistics industry also extends to other areas, such as maintenance and repair. Companies often hire subcontractors to service and repair their fleet of vehicles, ensuring that they remain in optimal condition. Additionally, subcontractors may provide services such as commercial vehicle insurance and equipment insurance, which are essential for protecting assets in the transportation and logistics industry. By utilizing subcontractors for these services, companies can avoid the expense and administrative burden of maintaining an in-house team.

Event Planning Industry

In the event planning industry, subcontracting plays a crucial role in ensuring smooth operations and successful events. Many event planners rely on subcontractors who specialize in venue management to handle the logistics of finding and securing the perfect venue for their clients. These subcontractors not only have access to a wide network of venues but also possess the expertise to negotiate contracts, manage bookings, and coordinate with venue staff to ensure a seamless event experience.

Another area where subcontracting is prevalent in event planning is event production. This includes audiovisual services, lighting design, and stage setup. Event planners often subcontract these tasks to production agencies who have the technical knowledge and equipment necessary to create stunning visual displays and immersive audio experiences. By subcontracting event production, planners can focus on the creative aspects of event planning while leaving the technical aspects in the hands of experts.

Film and Entertainment Industry

Subcontracting seamlessly brings together the creative talents of actors, directors, and production crews to produce unforgettable movies and captivating performances. In this industry, subcontracting plays a crucial role in ensuring the smooth execution of projects. One key aspect of the industry which is commonly assigned to subcontractors is the use of talent agencies. Through subcontracting, talent agencies connect the right actors to the right roles, taking into consideration factors like availability, skills, and experience. 

Another key example of subcontracting in the entertainment industry is the hiring of production crews. In the film and entertainment industry, subcontracting is often used to assemble these specialized teams to complete an entire project. Prime contractors, responsible for overseeing the entire production, subcontract different aspects of the project, such as lighting, set decoration, and audio crews to ensure that each component is handled by experts in their respective fields. This allows for efficient resource allocation and ensures that the project is completed to the highest standards.

 

Subcontracting Services

One of the key industries that leverages subcontracting is the manufacturing industry thanks to the increased efficiency and cost savings it affords. At Groupe Hyperforme, we understand the need for high-quality subcontractors which is why we offer reliable end-to-end subcontracting services that can adapt to any manufacturing project.

Our services include:

Our aim is to provide you with effective and efficient solutions for your manufacturing needs, making the entire process as seamless as possible. 

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How Does Industrial Subcontracting Work?

In the fast-paced world of business, companies often find themselves faced with the challenge of balancing their core competencies with the need for specialized services. That’s where industrial subcontracting comes into play. Industrial subcontracting is a strategic approach that allows companies to outsource specific tasks, projects, or processes to external parties, thereby maximizing efficiency and productivity. But how exactly does industrial subcontracting work? In this blog, we explore the ins and outs of this business practice, its benefits, and the key considerations for successful implementation. 

 

What is Industrial Subcontracting?

Industrial subcontracting is a method of outsourcing tasks to specialized companies, allowing businesses to focus on their core competencies and increase efficiency. In the industrial production industry, subcontracting plays a crucial role in completing projects successfully and on time. When a company takes on a project, they often need specific expertise that they may not have in-house. 

By hiring an industrial subcontractor, the main contractor can ensure that each aspect of the project is handled by experts in that particular field. For example, if a company needs a specific type of material for a product, they can hire a subcontractor that has a specialized skill set in handling plastics, or wood, depending on the material they need. This allows the main contractor to focus on other aspects of the project, knowing that the electrical work is being handled by professionals.

Subcontracting also offers flexibility to both clients and contractors. Clients can choose from a pool of experienced subcontractors who’ve proven track records in their respective fields. Contractors, on the other hand, can select subcontractors based on their expertise and availability for specific projects. This arrangement allows for efficient resource allocation and ensures that each task is completed with precision.

 

Benefits of Industrial Subcontracting

Industrial subcontracting offers several benefits for business owners engaged in manufacturing and other industrial sectors. Here are some of the key benefits of subcontracting:

Cost Efficiency

Subcontracting can help companies reduce costs significantly. Instead of investing in specialized equipment, hiring and training additional staff, and managing all aspects of production, subcontracting allows companies to outsource certain tasks to specialized subcontractors who already have the necessary resources and expertise. This can result in cost savings through economies of scale, reduced overhead expenses, and increased efficiency.

Focus on Core Competencies

By subcontracting non-core activities, companies can focus their resources and efforts on their core competencies. This means allocating more time, energy, and resources to activities that directly contribute to the company’s competitive advantage and core business functions. It allows companies to specialize and excel in their primary areas of expertise while leaving non-essential tasks to subcontractors.

Flexibility and Scalability

Subcontracting provides greater flexibility and scalability for companies. They can adjust their production levels and capacity according to market demand without the need to invest in additional infrastructure or human resources. Subcontractors often have the flexibility to scale their operations up or down quickly to accommodate the changing needs of the client company.

Access to Specialized Expertise

Subcontractors are often specialists in their respective fields, possessing specific expertise and knowledge that the primary contractor does not have. By subcontracting certain tasks or processes, companies can gain access to this specialized knowledge and experience without having to develop it in-house. This can result in higher quality outputs and improved efficiency since the subcontractor is likely to have a deep understanding of their specific area of expertise.

Risk Mitigation

Subcontracting can help mitigate certain risks associated with business operations. For example, if a company relies on a single supplier for critical components and that supplier experiences disruptions, it can significantly impact the company’s production capabilities. By subcontracting to multiple suppliers or subcontractors, companies can diversify their supply chain and reduce the risk of disruptions caused by a single point of failure.

Time Savings

Subcontracting can accelerate the production process and reduce time-to-market for products or services. Subcontractors often have established workflows, specialized equipment, and skilled labor that enable them to complete tasks more efficiently. By outsourcing certain processes, companies can save time and meet project deadlines more effectively.

 

Types of Tasks and Components Outsourced

Outsourcing tasks and components allows you to delegate specialized responsibilities, access a wider range of expertise, and save valuable resources. In the realm of industrial subcontracting, companies often choose to outsource specific tasks or components that are not part of their core manufacturing operations. By doing so, they can focus on their main areas of expertise while relying on external partners for specialized work. 

Here are some of the most common types of contractors used for various tasks within the industrial manufacturing industry:

  • Electrical and mechanical systems
  • Molding materials
  • Laser and plasma cutting
  • Automation and robotics
  • Water jet cutting
  • Conventional and digital machinery
  • Industrial paint applications
  • Quality control and testing 

8 must-know solutions for your needs in industrial subcontracting

 

Finding and Selecting a Reliable Subcontractor

When looking for reliable subcontracting firms, it’s important to find a partner who can effectively meet your specialized needs and enhance the efficiency of your operations. One crucial aspect to consider is whether the subcontractor has experienced full-time employees who are skilled in the specific tasks or components you need outsourced. Skilled employees will ensure that the work is done efficiently and up to industry standards.

Another key factor to consider when selecting a subcontractor is their compliance with legal requirements such as taxes and compensation insurance. It’s essential to choose a subcontractor who follows all regulations and properly compensates their employees. Additionally, they should have liability insurance in case any accidents or damages occur during the project. This provides protection for both parties involved – the prime contractor and the subcontracting business.

Furthermore, it’s important to assess if the potential subcontractor has experience working on similar projects in the past. A track record of successfully completing projects demonstrates their competence and reliability. You should assess the size of your current project and decide if their workforce can handle a larger project or is better suited to smaller projects. 

 

How To Negotiate Contracts and Agreements With Subcontracting Firms

Negotiating contracts and agreements requires careful consideration of the terms and conditions to ensure a mutually beneficial partnership. When entering into a contractual agreement with a subcontracting company, it’s crucial to clearly define the scope of work, pricing, and delivery schedules.

By outlining these key factors in the contract terms, both parties can establish expectations and minimize potential misunderstandings. Additionally, discussing closure terms upfront can help address any issues that may arise during the subcontracting process, such as subcontractor default or delays.

It is important to remember that there are risks involved in this arrangement that must be addressed during negotiations. Autonomy in terms is an important aspect to consider when negotiating contracts and agreements. It’s essential to strike a balance between giving the subcontractor enough freedom to complete their tasks efficiently while maintaining control over critical aspects of the project.

To ensure a successful partnership, it’s crucial for both parties to communicate openly and honestly throughout the negotiation process. This includes discussing any concerns or potential risks associated with subcontracting. By addressing these issues upfront and incorporating them into the contract terms, both parties can mitigate risks and establish a solid foundation for collaboration.

Professional subcontracting services

 

Managing Relationships with Subcontractors

Establishing a strong and collaborative relationship with subcontractors is crucial for effectively managing projects and maximizing efficiency. When it comes to managing the relationship with subcontractors, communication is key. Regularly check in with your subcontractors to ensure they have a clear understanding of their roles and responsibilities within the project. This will help them stay on track and meet project deadlines. You should also address any key differences between the client and subcontractor in order to ensure communication lines stay open and friendly.

In addition to regular communication, it’s important to provide your subcontractors with all necessary project information upfront. This includes details about the project schedule, any potential risks or challenges they may encounter, as well as updates on any changes that may arise throughout the course of the project. By keeping your subcontractors informed, you can minimize disruptions and keep the project running smoothly.

Another aspect of managing the relationship with subcontractors is setting clear expectations from the start. Clearly communicate your client’s expectations as well as your own business administration requirements to ensure everyone is on the same page. This includes discussing payment terms, quality standards, and any specific deliverables that need to be met. By establishing these expectations early on, you can avoid misunderstandings or conflicts down the line.

Successful subcontracting relies heavily on building and maintaining positive relationships with specialized subcontractors. By prioritizing effective communication, providing comprehensive project information, and setting clear expectations from the beginning, you can foster a collaborative working environment that maximizes efficiency and ensures successful project completion. 

 

Industrial Subcontracting Services

Subcontracting can greatly improve the efficiency of the manufacturing process and ensure your products are being made to the highest possible standard. At Groupe Hyperforme, we offer reliable, end-to-end subcontracting services that are adapted to meet the needs of today’s manufacturers.

Our services include:

Whatever the needs of your company, we are dedicated to ensuring your manufacturing process is as efficient and cost-effective as possible!

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What Are The Risks Associated With Industrial Subcontracting?

In this article, we delve into the various risks associated with industrial subcontracting and how they can affect your business. In addition, we explore strategies to mitigate them so that you can safeguard your company’s success in the ever-changing landscape of subcontracting.

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Quality Management: A Challenge for the Industrial Subcontracting Sector

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Quality management is a complex task within the organizational process. Needless to say, ensuring comprehensive and effective risk management within the industrial subcontracting sector is undoubtedly a real challenge. Indeed, the latter may prove to be complex at different points, and the slightest fault could lead to a production problem and a failure to fulfil company’s contractual obligations.

Hence, a quality control specialist is mandatory to ensure the quality of industrial subcontracting projects. This team member must have perfect command of the achievement context as well as a thorough understanding of the required skills and performance criteria as indicated in the contract documents. To succeed, he needs to have several key skills, of which the three most important ones are:

 

1- Understanding of the Technical and Regulatory Requirements:

In order to properly perform the tasks according to the desired requirements, the quality manager must recognize all technical aspects of the project. He must also be able to provide an accurate interpretation of the requirements and procedures described in the project specification and of the turnaround times of each phase of the industrial subcontracting project. Moreover, he needs to carefully review all documentation related to good manufacturing practices and the applicable regulations, especially in the case of an export product, for which quality requirements are becoming increasingly stringent.

That’s not it. He must also ensure that the internal procedures of the company for which the final product is intended are rigorously applied, and that the appendices of such procedures are well-defined, leaving little room to uncertainty, even less to improvisation.

 

2- Professional Interaction:

The quality manager must own technical and methodological knowledge, yet he also needs to build interpersonal relationships by acting accordingly depending on the people he/she is interacting with, as well as the situations, while being able to listen, to help, to motivate, and to coach the staff in charge of the execution of the various operations. Thus, his role is to maintain a clear and effective communication between employees, while using the appropriate terminology, both orally and in writing. He also has the duty to clearly define the role and responsibility of each team member in order to ensure effective coordination between them, hence, promoting spirit of collaboration and professional growth.

Indeed, work-related stress experienced by workers in the manufacturing sector is high. Yet, it is even intensified in the event of a communication failure. The contribution of the quality manager is therefore very important within the team: a valuable input in terms of providing a fair and precise assessment of all situations as well as making prompt and sound decisions.

 

 3- Samples Analysis and Review of the Inspection Reports: 

Based on the guidelines and standardized test protocols, the quality manager must be able to perform physical and / or chemical analyzes (on some projects) in order to ensure the compliance of the product quality with the technical requirements indicated in the project specification. Let’s say, for instance, the quality control related to the welding department is under concern, the person in charge must have specific expertise in welding supervision as well as in drafting quality monitoring and follow-up reports, such as welding reports, manufacturer’s auditing procedures, operating procedures, the detailed analysis, and the final manufacturing report.

Inspection must be performed with care, precision, and above all, great objectivity. Results of the inspection are then verified, processed and compared with the expected ones. Next, the quality manager drafts an inspection report that is meant to be sent to the Director of Operations. The latter performs a thorough review of the current methods of execution in relation to the product specifications, with the aim of ensuring the best possible success for the industrial subcontracting project.

 

What is the Hyperform Group?

The Hyperform Group is a team specialized in outsourcing services to manufacturers, with a unique offer in Quebec, Canada and worldwide.

Hyperform Group is your best ally to improve the quality of your products and to find new innovative ideas. Please feel free to contact us to discuss your upcoming projects, and score great business deals.

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8 must-know solutions for your needs in industrial subcontracting

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Subcontracting is a key element for any company wishing to compete effectively within the industrial production sector; it affords you the external know-how and additional production capacity essential to your growth. However, with the wide range of services available, it may be difficult to identify which one best suits your needs. In order to assist you, we have listed 8 industrial subcontracting services that you absolutely must know to keep your business competitive.

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Four Essential Documents to Succeed your Industrial Subcontracting Project

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In the manufacturing sector, a growing number of businesses make use of subcontracting in order to reduce their production costs, offer high-quality products, and fulfill all their orders.

Subcontracting also accelerate their business growth and increase their income, but it must be carefully planned. An exhaustive description of the technical work to be carried out is therefore mandatory to ensure the qualitative success of each project. Here are the four documents you need to succeed your subcontracting project: Read more

Discover the hidden advantages of waterjet cutting

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Waterjet cutting is a surprising process! If we were to look at the machines working under a microscope, we could see that it is a mechanical process that rips through the material, which is a unique process.

And because the waterjet is very precise, the cutting process can be used to cut a variety of materials used in many industries. In fact, this process is used throughout the world, in fields such as aerospace, transportation, scientific research, the agri-food and other industries.

Sharing her expertise with us is Annie Caouette, Vice-President with Hydro Coupe, who speaks about the benefits of this multi-faceted technology.

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SHEDDING LIGHT ON THE «14 LEAN MANAGEMENT PRINCIPLES»

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Inspired by Toyota’s management method, the 14 Lean Management Principles enable an organization to become more effective and efficient. Based on the respect for people and continuous improvement, the 14 Lean Management Principles are grouped into 4 sections.

To explain it in more depth, Claude Robichaud, a partner of Groupe Hyperforme, discusses some of the advantages of applying these management processes in his industry.

 

LONG-TERM PHILOSOPHY

  1. Think in the long-term:

This first process explains that it is important to base your management decisions on a long-term philosophy, even at the expense of short-term financial goals.

 

THE RIGHT PROCESS WILL PRODUCE THE RIGHT RESULTS

  1. Flow:

This involves creating a continuous process flow to bring problems to the surface. For example, this can reduce waste.

  1. Pull flow:

Use “pull” systems to avoid overproduction and adjust according to true demand.

“A pull system organizes work in stations rather than on a production chain. It is especially useful for assembly factories. It identifies bottlenecks and helps avoid waste of time, energy and inventory,” explains Claude Robichaud.

  1. Level out the workload (heijunka):

This fourth point requires levelling out the workload and maintaining production pace. When a factory can operate this way, it is much easier for employees to complete their tasks.

  1. Automation and human touch:

This method targets building a culture of stopping to fix problems, to get quality right the first time. In Mr. Robichaud’s case, this includes an analysis of initial waste. In other words, before beginning production of a given piece, he conducts a series of tests and analyzes the ‘rejects’ to avoid any errors.

  1. Standardized tasks:

Standardized tasks and processes are the foundation for continuous improvement and employee empowerment. The concept requires the introduction of a minimum of rules and procedures to facilitate the execution of tasks.

  1. Visual controls:

This requires using visual controls so no problems are hidden. According to Mr. Robichaud, you don’t need high-technology equipment to apply this procedure successfully.

“We use tables that everyone has access to. This makes tracking easier for everyone,” he explains.

  1. Reliable technologies and methods:

The objective is to integrate only reliable, thoroughly tested technology that serves your people and processes.

For example, Mr. Robichaud explains that at Falpaco, they rely on PPAP (Pre-production Approval Part). This includes documents issued to customers that contain all of the test plans conducted before beginning production.

 

ADD VALUE TO THE ORGANIZATION BY DEVELOPING YOUR PEOPLE

  1. Grow leaders:

This method includes identifying those in a group who grasp the work and your philosophy and who can transmit it to others.

To succeed, Mr. Robichaud insists on the importance of giving employees the chance to discover their strengths and bring them to the company.

  1. Develop exceptional people:

This means developing exceptional people and teams who follow your company’s philosophy.

Mr. Robichaud explains that this process has nothing to do with a company’s hierarchy, but with the strengths of an individual. For example, a person who was formerly a plant director at Falpaco would be better as a coach helping their colleagues advance by passing on their management skills.

“The idea is to have as many people in the team who utilise their best talents,” explains Claude Robichaud.

  1. Consideration and respect for partners:

This approach is based on respecting your extended network of partners and suppliers by challenging them and helping them improve.

To apply this successfully, Claude Robichaud integrates many values such as respect, attention and collaboration. This enables him to maintain successful relationships where everyone gives their best for the customer.  

 

CONTINUOUSLY SOLVING ROOT PROBLEMS DRIVES ORGANIZATIONAL LEARNING

  1. The importance of going and seeing for yourself to thoroughly understand the situation (genchi genbutsu):

The purpose of this principle is to promote face-to-face discussion between the manager and the operator. However, these discussions are shorter and allow both parties to express themselves and listen to each other on the spot.

  1. Make decisions slowly by consensus, thoroughly considering all options; implement decisions rapidly:

The president of Falpaco adds that it is important to invest in autonomy. If a person has the power to make a decision to have a project advance, they must not hesitate to take action!  

  1. Become an organization that learns to learn better:

This approach requires becoming a learning organization that focuses both on relentless reflection (hansei) and continuous improvement (kaizen). For example, it can be by developing new skills or learning new techniques.

 

In conclusion

The Lean process is being increasingly adopted by organizations around the world. According to Mr. Robichaud, this provides several concrete advantages:

  • A process for continuous improvement;
  • A sense of belonging (both on projects and with the organization).

However, to complete the transition successfully, he suggests being properly informed, notably by a coach who will know how to provide the tools and methods adapted to your needs. Mr. Robichaud feels that it is a process that he will never regret.

 

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3 Benefits of an American and Canadian Industrial Subcontractors Partnership

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Canada, thanks to its geographical proximity, is the natural partner of the United States, even though many experts said a few years ago that the future of the United States is in China. Some of them even advocated a total relocation of American manufacturing activity to China in order to reduce production costs and trade deficits. Despite this, the volume of trade between manufacturing companies on both sides of the border continues to grow, offering a variety of business opportunities, especially for US manufacturers and their subcontractors. Here are 3 reasons why:

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4 Effective ways to Fill Your Order Book in the Manufacturing Sector

Filling an order book is a technical endeavor that leaves no room for improvisation, especially in the manufacturing sector where competition is fierce.
Indeed, this economic sector faces the challenges of globalization of markets, fluctuations of currency and competition against emerging countries, forcing many manufacturers to continuously invest in machinery, equipment, innovation, research, and business development. Haplessly, the human and financial resources required are beyond the reach of many small and medium-sized manufacturing companies. By this premise, they are compelled to ceaselessly reinvent themselves if aspiring to stand out from the competition, and impose themselves on the market.

Here are 4 key points to achieve this goal: 

1- Market Knowledge

When filling an order book, the process must be upheld by the knowledge of the marketplace, the economic context in which the company operates from, and sector forecasts of the upcoming five years. As technological advancements transform markets in a gleam of time, the manufacturing company must be prepared to anticipate all possible changes. And thanks to an acute and ready to target prospective clients sales strategy, it can position itself very quickly in the market.

2- Branding: The Art of Standing Out

With globalization and current competition, there is no place for a still and quiet manufacturer company, since communication absorbs new markets and guarantees, thus, prosperity and sustainability. Today is the day of the communicative company, first about itself, then about its products, its resources, and experiences of customers. This effective communication can strengthen its notoriety, and create an environment of confidence and sympathy that are favorable to its growth.

3- Smart Business Development

A loyal clientele delivers the flow of orders, but if the manufacturing company aspires to increase its revenues, or position itself strategically for development and growth, it needs strong development skills oriented towards the manufacturing industry. The particularity of this industry requires reading precise data indispensable to the promotion of the company in strategical areas. And the resort to experts’ help in industrial business development is one of the most effective ways to increase revenues while saving the costs of planning and implementing the sales strategy.

4- Business Combination

To handle the demands of a very competitive market, several manufacturing companies are making great efforts to increase their earnings and pursue their growth, trouble-free. By investing in new machines and technologically advanced equipment, they can increase their productivity. However, this is still insufficient to generate more profits. Indeed, in addition to production and operating costs, the charges to explore new markets are becoming increasingly difficult to meet, especially for small businesses. For this reason, some of them choose to be part of a business combination that provides its members with opportunities for strategic partnerships while providing them with a well-structured network and direct access to new markets.

Who Is Groupe Hyperforme?

Groupe Hyperforme is a cluster that offers a unique service in business development, to boost your sales and increase your income. Moreover, with their global industrial subcontracting solution, they aim to increase the productivity and performance of your company, while respecting high quality standards.

Contact Groupe Hyperforme for a free, no-commitment evaluation of your project.
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