Managing your suppliers in a food safety conscience world

By Kim Sobotka, Director of Business Development, ASI Food Safety

With food safety as prominent as it is in today’s world, selecting a supplier to work with seems to be much more of a thought out process versus how it was 25 years ago.  It may be tempting to focus on the price and location of a supplier to save money in the short run, but as we have seen in company plants over and over, you get what you pay for. Results may not be right away. You may end up re-paying for better products due to the reduced shelf life or quality of the cheaper product, therefore paying twice.

The biggest focus that we suggest is to stick with suppliers that are stringent on following best practices not only with quality, but safety too. This will reduce the chances for recalls and be a better bang for your buck. 

Here is a list to help guide you down the right selection path, when it comes to choosing your next supplier:

  1. Get an opinion: When it comes to just about anything we buy these days, we are looking for reviews on how the product or company performs, outlasts the competition and the overall ease of customer service. These points are just as important when choosing a partner in your industry. How committed is the company? Are they reliable? And then of course consider cost as a tie breaker between two similar ranking suppliers.
  2. Be the auditor: Before the contact is signed and even after, consider auditing a supplier every step of the way. No one likes surprises and by auditing their processes, you are going to see where they excel and what they lack. Do the pros outweigh the cons? If so, you may have the right supplier for the job. If it is after you are conducting business with them already, you will know exactly where the “weak” trends lie and how to manage or overcompensate for this weakness. These can also be discussed with the supplier. An open line of communication goes a long way for a successful business relationship.
  3. Look at their internal audits: How do they think they run? Do they see themselves as a smooth running business without flaws or in need of any improvement? Do they understand their own processes? You need to find out if they understand where they need improvements when it comes to their outgoing shipment accuracy right down to their documentation.
  4. Have high standards: You have the choice to work with suppliers that work at a certain standard. If you want to work with people that are certified, stick to your plan and hold those standards.This may reduce number of suppliers you have to choose from, but in the long run, it will make your facility shine.
  5. Mutual agreements and true partnership: The best partners know what to expect from each other and hold high standards for one another. This communication, good, bad or indifferent must be laid out from the beginning and mutual trust formed. With a safe, high quality end product in mind, along with happy consumers, a profitable and successful business relationship could last for years to come.

Kim is a registered Safe Quality Food (SQF) system implementation professional and has successfully guided over 230 facilities to SQF certification. She currently works for ASI Food Safety as director of business development. You can contact her at khawk@asifood.com

This blog originally appeared in GFSS News October 19, 2016.

Cybersecurity: Protecting manufacturing technology and innovation

By Pat Toth, NIST Cybersecurity Expert

Recently a segment on my favorite morning news program stopped me in my tracks. The young and attractive hosts (why are they always so young and attractive?) were demonstrating new appliances including a smart refrigerator. The fridge was equipped with all kinds of high-tech features including touch screen displays, a camera inside that allows you to see the contents and Wi-Fi connectivity. You can see inside your fridge while grocery shopping, how convenient! But I must ask, how secure is it?

The Internet of Things (IoT) is revolutionizing everything from home appliances, nanotechnology and cloud computing, to manufacturing. Advancements are enabling manufacturers to become more innovative, productive, efficient and globally competitive. Computers, the internet, and digital devices are positively impacting communication, operations, product developments, and more. As we increase our connectivity we must also be aware of the importance of cybersecurity for manufacturers.

Jared Newman recently wrote in Fast Company, “Smart homes and other connected products won’t just be aimed at home life. They’ll also have a major impact on business. And just like any company that blissfully ignored the Internet at the turn of the century, the ones that dismiss the Internet of Things risk getting left behind.”

The Importance of Cybersecurity for Manufacturers

Technology has evolved and empowered manufacturers in a variety of ways, and companies have become increasingly reliant on computer systems and IT. Because of this, cybersecurity has emerged as such a critical topic in the industry. Strong cybersecurity practices are crucial to:

  • Defending your company’s vital data and information.
  • Preventing theft or damage to your infrastructure, equipment and systems.
  • Avoiding major disruptions to operations and the delivery of products.
  • Protecting your employee’s personal information.
  • Shielding your organization from negative publicity.

Manufacturers are unfortunately a frequent target of hackers and attackers. According to a report from the U.S. Department for Homeland Security, manufacturing is the second highest industry with the most reported cyber attacks, only subsequent to the energy sector. Foxconn, an international manufacturer of electronics, was attacked in 2012 and all of its employee’s login information was released publicly. A Honda breach in 2010 resulted in the disclosure of personal vehicle identification numbers.

A Kaspersky Lab Survey of IT managers published in Virus News also found that “21 percent of manufacturers suffered a loss of intellectual property (IP) within the past year.” The most commonly cited reason was malware (computer viruses, spyware, etc.), although a host of related issues including software susceptibilities and misplaced or stolen mobile devices were listed as causes as well.

Three Tips for Improving Cybersecurity

Cybersecurity is a complex issue and there are no “quick fixes” to address it. IoT has made security an even more difficult challenge. However, there are things you can do to improve your cybersecurity posture. Here are three important factors to consider:

  1. Be proactive about prioritizing cybersecurity initiatives: Lapses in cybersecurity are very costly. An IndustryWeek article, “Cyber Security on the Factory Floor,” highlighted studies showing that “the average cybersecurity data breach costs more than $3 million.” Don’t wait to get hit.
  2. Prepare for the worst: In a Manufacturing Business Technology article highlighting the 2016 biggest cybersecurity issues facing manufacturers, cybersecurity professional Andrew Ginter, said, “The biggest mistake I see routinely is an overemphasis on vulnerabilities in cyber-risk assessments, rather than attacks.” Don’t just focus on the short-term—your organization needs a developed contingency plan in the event of an attack. Conducting a simulation of an attack has been beneficial for manufacturers looking to develop a comprehensive plan.
  3. Communicate with employees and vendors: Human error occurs, which is why everyone from the CEO and down should be trained about cybersecurity and data protection. Include policies in your employee manuals and regularly have your staff trained on best practices.

Digital Manufacturing Pilot

NIST MEP is working to improve cybersecurity for small- and medium-sized manufacturers across the U.S. We have partnered with the Digital Manufacturing and Design Innovation Institute (DMDII) to operate a joint Digital Manufacturing Pilot. This pilot will address technical opportunities and challenges and also assist manufacturers with a basic understanding and implementation of digital manufacturing approaches.

In addition to improving cybersecurity, the partnership will address specific topics under the digital manufacturing umbrella, including innovative engineering approaches and improved supply chains operations.

As the Internet of Things evolves and becomes a fixture in manufacturing, cybersecurity will continue to be an issue that small manufacturers must address. As you connect more and more devices to the internet, ask yourself, “how secure is it?”

 

Pat is a Computer Scientist at NIST MEP and serves as the Cybersecurity Program Manager. Pat has over 30 years of experience in Cybersecurity and worked on various NIST Cybersecurity guidance documents including “NISTIR 7621 Small Business Information Security: The Fundamentals”.

 

This post originally appeared in the Manufacturing Innovation Blog on April 14, 2017

Weekly tip: How many internal audits do I need to do?

By Paul Harbath, Quality Management Consultant

Internal auditing has been a fundamental part of quality system standards since Mil-Std-9858 in the 1950’s. Along with corrective action and management review internal auditing creates what I refer to as: “The Big Three”. If you do the “Big Three” well your quality system will be very robust. “The Big Three” are so important that every time your registrar comes in to audit (even on surveillance audits which is a partial audit of your system) they will audit “The Big Three”.

In clause “9.2.1 Internal Audit” of AS9100D the requirements are you must have an audit program and it must be planned which usually means a schedule of some kind. It is also required that you qualify your auditors and assure their  independence when performing internal audits.

Now the question: “How many internal audits do I need to do?”.

The AS9100D standard requires that you conduct internal audits at planned intervals. The frequency must be defined in your audit schedule. Other than those requirements it is up to you how often and what areas you audit.

My recommendation would be to perform a full set of internal audits annually. You can do those audits all with-in one month or an audit a month to spread the time required over the year. Just be done with the audits prior to completing your annual management review.

You must define the scope and I would suggest that you audit all the requirements of your quality system. Remember an audit is a “sample only” so auditing the entire system does not mean you have to audit every shall in the AS9100D standard. But you must just select a few “shalls” from all the “shalls” (requirements) in the standard. I have found that a simple audit schedule in Excel that defines the AS9100D clauses being considered for each audit works fine. Here is an example of what that might look like:

Audit Sched Example

The number of audits and title of the audits is up to you. I would suggest that the audit names represent your companies functions. For example an audit name may be “Receiving/Incoming Inspection”. In other words you can create the schedule to make sense for you organization.

Just be sure that your schedule shows that you cover all the requirements in your system with your internal audits. The requirements include AS9100D along with any other standards that you may be required to meet. Also don’t forget that your audit program must include auditing your own internal procedures.

Paul Harbath is an industry expert with over 30 years of hands on experience in helping small manufacturers understand/implement quality management systems and lean/6-Sigma. Paul has a demonstrated ability to connect with the value adding employees by simplifying complex technical issues. Connect with him on LinkedIn.

Helping Utah’s manufacturers: The University of Utah Manufacturing Extension Partnership (MEP) Center

By Salt Lake City Department of Economic Development Staff

April 25, 2017

The University of Utah Manufacturing Extension Partnership Center (MEP Center) is part of the nationwide NIST MEP network and the only public-private partnership dedicated to serving small and medium-sized manufacturers. We work directly with Utah manufacturers and contribute to the growth of well-paying jobs, dynamic manufacturing communities, American innovation, and global competitiveness.

Their mission is to strengthen the Utah manufacturing industry and create lasting economic impact by providing subsidized services to all Utah manufacturers, regardless of location, size, or output production.

Recently, the MEP Center worked with a company called OTW Safety (based in Salt Lake City). The OTW Safety manufactures plastic barricades and safety equipment for use in multiple industries, including protecting roadway construction crews, warning pilots of airfield hazards, security barriers, crowd control, and delineating spaces at public events. They have been in business since 1989 and employ seven people. You can find OTW barriers at major airports, including SLC, ATL, BOS, SAN, LAX, and at sports stadiums of the New York Knicks, Miami Heat, and Detroit Red Wings among others.

OTW Safety was looking for best-practices to apply to their supply chain management, so they could spend more time focusing on strategic business growth. As a result of working with the MEP Center, the company was able to develop a robust company strategy and vision, and strengthen their supply chain.

OTW Safety’s VP of Operations, Eric Stevens, says, “Connecting with the MEP Center has provided a valuable and qualified third-party viewpoint that has given us confidence in our current vision and direction. We strongly feel that the impact on our company will continue in a positive direction as we move into more tactical initiatives. In the long term, we see the result of this partnership being one of critical advantage to our small business and the spring board to fast-tracking our expansion and efficiency goals. “

The University of Utah MEP Center offers services in the following areas:

  • Operational Excellence: Assists manufacturing businesses in addressing challenges related to operational and business process optimization.
  • Workforce Training: Provides a complete suite of training services, custom courses, workshops, and technology and business training.
  • Advanced Manufacturing: Helps “bridge the gap” between high-tech and the work floor of Utah’s manufacturers by helping implement advanced manufacturing technology.
  • Innovation: Together with their partners, they provide services that include product and process innovation, business and market analytics.
  • Investment Access: Together with their partners, they connect manufacturers with investment resources and grant opportunities.

Originally appeared in Salt Lake City Department of Economic Development blog. Read original blog post.

Jones Shirts & Signs saved $20,000 per year by implementing lean principles

Jones Shirts & Signs is a family-owned and operated company, located in Ogden, Utah, which employs eight people, and has been in business for 17 years. They offer embroidery, signs, stickers, screen printing, transfers, promotional items, gifts, and banners. You can find their work in small and large companies, and in local sports teams and organizations throughout Utah. They strive to create the best products at competitive prices and provide personal, hands-on assistance to each customer.

Project scope: Jones Shirts & Signs wanted to improve product process and flow, work and customer order standardization, and overall operational efficiency.

Solution: Theresa Drulard, Director of the University of Utah Manufacturing Extension Partnership Center (UUMEP), met with Jones Shirts & Signs to identify company needs and methods most critical to achieving their goals. The UUMEP Center engaged one of its partners, Brent Huffaker from BCH Group, to implement a lean continuous improvement project, lead the staff training and value stream mapping, and create the visual indicators for improved product and work flow and overall operational efficiency.

University of Utah MEP Center
Project before photos
University of Utah MEP Center
Project after photos

Results: With the help of the UUMEP Center and its partner BCH Group, Jones Shirts & Signs was able to:

  • Develop standard work instructions, which led to a 1200% increase in standardized work, and which reduced employee inefficiency by over 104 hours.
  • Identify over 35 ideas and implement 16 to increase sales and cash flow
  • Implement a new layout and visual indicators for the product development process, which increased employee efficiency by 36%.
  • Eliminate five safety issues.
  • Train 100% of their staff in lean principles

Impact: Jones Shirts & Signs now benefits from:

  • Created cost savings of $20,000
  • Streamlined production and work flow process
  • Improved operational efficiency and organization
  • Robust employee work standards

Client testimonial

“Having my team and Brent from BCH Group work creatively together to resolve the requests of our customers, and to come up with solutions to save time and cost was very productive and informative. Together, we were able to implement some new operational guidelines, organize our work flow, brainstorm ideas to cut costs, and get our staff on the same page. Each person was able to input their ideas and issues to troubleshoot, and then make the best decision for the group as a whole. I would definitely do it again!”

— Jenice Jones, Owner

Download PDF of success story

 

 

OTW Safety improved company strategy & strengthened their supply chain

OTW Safety is a company based in Salt Lake City, Utah, that manufactures plastic barricades and safety equipment for use in multiple industries, including protecting roadway construction crews, warning pilots of airfield hazards, security barriers, crowd control, and delineating spaces at public events. They have been in business since 1989 and employ seven people. You can find OTW barriers at major airports, including SLC, ATL, BOS, SAN, LAX, and at sports stadiums of the New York Knicks, Miami Heat, and Detroit Red Wings among others. OTW Safety prides themselves in manufacturing barriers in the USA, working with their customers to understand their needs, and providing tailored solutions.

OTWWarehousePhotos

Project scope

OTW Safety was looking for best-practices to apply to their supply chain management, so they could spend more time focusing on strategic business growth.

Solution

Theresa Drulard, Director of the University of Utah Manufacturing Extension Partnership Center (UUMEP), met with OTW Safety management to identify the supply chain methods most critical to achieving their business goals. Being an experienced business coach, Theresa provided the most appropriate tools for their leadership to support setting and implementing a company vision.

Results

As a result of UUMEP’s assistance, OTW Safety has:

  • Developed a robust company strategy and vision.
  • Implemented improved supplier agreements to protect their interests, and strengthened their supply chain.

Impact

OTW Safety now benefits from:

  • A clear business plan and vision on how to grow revenues.
  • Streamlined interactions with the supply-chain, including improved quality assurance and accountability.

Client testimonial

“Teaming with Theresa Drulard and the entire team at the UUMEP Center has been a phenomenal experience. Despite our company being well established, we recognized the need to get an

Eric Stevens, VP of Operations

outside, independent, organization to help evaluate goals and modernize our processes. The UUMEP staff carefully listened to what we were trying to achieve and captured the overarching themes. Instead of the boilerplate checklists one might find with other consulting groups, they took the time to fully comprehend the nuances of our company. Collectively, we identified the need to further evaluate our key offerings and reinforce foundational tenets, thus expanding our competitive advantage.

By leveraging best practices, their cumulative decades of industry experience, and their expansive resource network, the UUMEP team significantly improved our operational and strategic initiatives, and helped to validate our key areas of focus. Furthermore, they offered critical feedback and tailored solutions to help a small company like ours navigate the potential pitfalls associated with larger manufacturing partners, supply chain challenges, and future manufacturing integration.

Connecting with the UUMEP Center has provided a valuable and qualified third-party viewpoint that has given us confidence in our current vision and direction. We strongly feel that the impact on our company will continue in a positive direction as we move into more tactical initiatives. In the long term, we see the result of this partnership being one of critical advantage to our small business and the spring board to fast-tracking our expansion and efficiency goals. “

Download PDF of success story

Meet one of our partners, University of Utah Professional Education

By Denis Peterson

The University of Utah Professional Education (PROED) is thrilled to partner with the University of Utah Manufacturing Extension Partnership (UUMEP) Center to provide exceptional training for Utah manufacturing companies. Our goal is to build manufacturing professionals, and we do this using our EDGE process, where we Examine client needs, Deliver powerful training and consulting, Guide teams and personnel through implementation, and Empower teams to sustain positive changes. Together with the UUMEP Center, we have over 140 trainers and consultants who can apply their skills towards helping you improve your abilities in the following areas:

  • Lean Manufacturing
  • Leadership and Management
  • Project Management
  • Supply Chain Management
  • Maintenance
  • Quality
  • Safety

We are both dedicated to helping you and your manufacturing company grow. Contact UUMEP with your workforce training needs and questions today!

 

Denis has worked as an Army officer, contractor, entrepreneur, and educator for the past 23 years.  He has provided consulting and training services in many different industries throughout the world.  He is currently serving as Director of the Professional Education Department at the University of Utah.  Follow PROED on Twitter or Facebook.

University of Utah Professional Education

 

Six things I wish I’d known at the start of my lean journey

By Brittany Garza

Before moving into my current role, I had no idea what lean was. Lean meant being thin. A green belt and a black belt were visual representations of your skill level in the martial art of Karate. Six Sigma was possibly a fraternity? I knew nothing about the world of lean before jumping in, but I’ve learned a lot these past four years and have loved it. Below are some of the things I wish I’d have known when I started:

  1. Changing culture is hard and takes time. There are moments when you are going to feel like you haven’t made a difference, and you don’t know what to do next. Find support. Go to conferences. Find a mentor. Inside or outside of your company, finding support will help you get through those down times. The lean community is full of people who are very willing to share and teach what they have learned.
  2. Customize the tools to fit your company. Not every lean tool will be applicable to your company. Find the tools that fit, and systematically make them part of your company’s culture. As I’ve toured many companies, I’ve learned that no two tools are exactly alike. What works for one company, may not work for another, but the principles are the same. Learn from others, and adapt the tools to fit your needs.   
  3. Don’t try to learn everything all at once. One of the first things I did after starting as the lean specialist, was to try to train everyone in the company on the list of lean tools and principles we had determined we needed in our organization. In the end, it was too much to train on and too much to learn all at once. Learn and train others as you take the incremental steps to improve your understanding.     
  4. The best way to learn is to try. You can watch webinars, read books, attend training, but there is no substitute for experimenting and trying things out yourself. Holding events was scary at first, but now it’s one of the best parts of my job. I love learning about and facilitating improvement on all the processes that make my company operate, and getting to know all the people who help my company be successful. When I use the tools in an event or within my own work processes, I am able to draw from my experiences and increased understanding to use when training others.
  5. It’s OK to make mistakes. There is a saying one of the lean leaders use, and I use it, especially when I am second-guessing the results of an event: “An improvement is an improvement.”  We learn through making mistakes. Every event I hold, every training I give, and every time I deploy a new tool in the company, I learn something new.  It’s not about getting it right every time. It’s about trying new things, learning, and improving. 
  6. Don’t give up! It won’t always be easy to get upper management, middle management, and front-line employees on board. John Maxwell says, “The only guarantee for failure is to stop trying.” Lean is a constant journey in continuous improvement. Don’t give up! 

Mostly what I’ve learned is that change is hard, it takes time to learn, and you’ll make mistakes along the way, but in the end the results are worth it; not only for your organization, but for yourself.

Useful tools and information:
Lean Enterprise Institute
The Karen Martin Group
Lean Pop-Up SLC
Shmula.com

Lean

Brittany Garza is a Professional Engineer and Lean Specialist with WesTech Engineering Inc.  Her passion for continuous improvement, problem solving, and connecting with others drove her to start the Salt Lake City Lean Pop Up group.  Brittany hopes to create a local Lean community that can connect others no matter where they are at on their Lean journey.

 

Senator Hatch’s statement on signing of new MEP partnership

Posted on December 6, 2016

WASHINGTON, DC–Senator Orrin Hatch, R-Utah, the senior Republican in the United States Senate, issued the following statement following the announcement of the University of Utah’s new contract with the Manufacturing Extension Partnership:

“After years of concerted effort working alongside the Governor’s Office of Economic Development and the University of Utah, I’m thrilled with today’s announcement. Utah’s MEP program will help grow Utah businesses by expanding customer bases, developing new markets, and creating new products while also helping our nation maintain a competitive edge in the global marketplace.  This federal investment is a prime example of how local solutions are the principal drivers of economic development.”

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Utah’s Manufacturing: Sharing successes & growth

Manf Blog

Published in Manufacturing Innovation Blog on January 9, 2017, by Tab Wilkins

Recently I accompanied our Director Carroll Thomas to the University of Utah Manufacturing Extension Partnership’s (UUMEP) open house announcing a new MEP center in Salt Lake City. After the open house we joined two roundtables, which validated how significant manufacturing is in Utah and how they successfully compete on a global scale.

Utah is recognized as a business friendly state by Forbes Magazine and CNBC, has a current unemployment rate of just over 3%, and a very strong and active Governor’s Office of Economic Development. The event drew close to 40 people from around the state and celebrated the thriving manufacturing community.

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