How to Fix a Factory

Repairing a troubled factory is a five-stage process.

At some point, every factory hits rough waters. Problems may accumulate gradually or explode into a crisis. The symptoms of a troubled factory can include an increase in missed delivery dates and customer complaints, a decline in worker engagement or a surge in reactive “hot list” scheduling.

Many leaders try to right the ship with Lean production tools. But Lean principles require a baseline of health. They won’t do much for an enterprise that’s struggling or broken and may even exacerbate problems.

Saving a troubled factory means building a robust, durable platform. Look honestly at the situation, prepare possible solutions and win the support of your workers. Once leaders institute new practices, monitor their progress and adjust activities accordingly. You can implement the fix in five stages.

Stage one: Lay the groundwork.

A turnaround can occur only when everyone – from workers on the floor to top executives – recognizes the need for change.

Motivate your workforce to support the repair effort and accept changes. Take...