Today we dive into part 2 of our 5 Part series discussing McKinsey’s Richard Sellschop’s insightful interview with Manufacturing Digital on how manufacturers can break free from stagnant productivity and thrive amid disruption.
Sellschop emphasizes that organizational culture—shaped by shared principles and behaviors—is key to fostering innovation and trust. In manufacturing, a culture built on respect and continuous improvement drives engagement and operational excellence.
Principles and Behaviors: Building a Culture of Trust and Innovation
Culture as the Foundation of Excellence
Principles and behaviors shape a company’s culture, influencing how employees work, solve problems, and embrace innovation. In manufacturing, fostering trust and empowering employees to innovate creates an environment where continuous improvement becomes second nature.
Case Study: Heavy Equipment Manufacturer Sparks Innovation
A heavy industrial equipment manufacturer struggled with stagnant productivity and low employee engagement. Leadership introduced the principle of “Empowered Ownership,” encouraging teams to take initiative in solving production challenges.
One production line employee identified a bottleneck caused by inefficient tool placement. After using technology to track the current movement of tools and then implementing and tracking her proposed layout changes, the company saw a 12% productivity boost. This success inspired others to contribute ideas, sparking a wave of innovations across departments.
Tego Inc.’s IIoT solution fosters this kind of culture by giving employees analytics to hidden activities and insights into their work, empowering them to identify inefficiencies and implement meaningful improvements.
