During an economic crisis, as a production manager, how to perform one’s duties well
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The U.S. subprime mortgage crisis has fully erupted, not only triggering global financial turmoil but also beginning to affect the real economy. With the sharp decline in stock markets and the tightening of credit, investor confidence has collapsed, many developed **and some emerging markets** have fallen into recession, and the risk of a stagnation or even recession in the world economy has increased significantly. Benefiting from the positive effects of the economic crisis in the second half of 2007, our company built a new production line with a capacity of 20,000 tons, which came online in October 2008. However, the sudden crisis had an unimaginable impact on companies like ours that rely 60% on exports. Excessive inventory buildup forced us to reduce production levels, which in turn meant lower wages and an increased likelihood of staff turnover. This made production management more difficult, and ensuring quality became even more challenging. Faced with such a situation, we were truly at a loss. . .
What product is 20,000 tons of? Different situations require different solutions; mainly it comes down to employee turnover – the camp may be solid, but the soldiers keep changing. It is precisely at such times that job descriptions and standard operating procedures become particularly important. When people come and go, having someone available to take over immediately ensures that the position remains functional without any problems – and that’s what’s most important.
20,000 tons of zirconium oxychloride is a chemical product; the problem is that new employees take time to get up to speed, and the education level of the workers at the factory is not high – usually just middle school education. As a result, the company’s atmosphere deteriorates due to staff turnover, and when people have nothing to do, various problems arise
With a poor economy, nothing seems to work. Everyone has to support their families; with declining incomes, it is unrealistic to expect them to remain loyal to the company. Only by striving to develop the market can we ensure it is fully utilized. When business performance improves and workers’ incomes increase, everything naturally returns to normal.
Additionally, I have some personal suggestions; I’m not sure if they are feasible. Currently, there are around 300 production workers, and only half of them are working; the same applies to those in fixed positions. Their salaries will be reduced – production workers will earn 1600, while those in non-production roles will earn 800. Additionally, staff will be assigned to assist with equipment maintenance and keeping the workshops clean. Given the high current inventory levels, it will be necessary to decide which production line to use based on shipping demands. There is a difference between the new and old production lines, as customer satisfaction levels for the products produced vary between them
It is difficult to stabilize people’s morale; the main approach is to ensure they leave, and at the same time conduct targeted recruitment from outside
Make every effort to ensure the safe and stable operation of production, prevent accidents, maximize energy savings and reduce consumption, thereby lowering production costs!
At present, China already possesses strong economic strength, and I believe that in the near future it will lead the world; I have great confidence in China. :victory: