Labor costs likely make up one of your plant’s largest expenses. While many of the activities that drive labor costs are unavoidable, organizations frequently struggle with inefficiencies that push them up even further. Maintenance activities represent a particularly common pain point.  

One of the most effective ways to reduce labor costs and boost productivity involves rethinking how you manage master data. Great master data management (MDM) protocols pave the way for proactive maintenance, less waste and better efficiency. You can save a bundle on labor costs in the process, too. Here’s what you need to know. 

The Hidden Costs of Poor MDM 

Poor master data management can lead to major inefficiencies throughout your operations. One of the most common problems involves time wasted by maintenance workers searching for the right parts or equipment information.  

If your master data hasn’t been organized properly, team members are going to waste time looking for parts in the system. Suppose that your maintenance team gets called in on a weekend to replace a bearing in a critical piece of equipment. They are already earning call-out pay, which places an extra burden on your labor expenses.  

Ordinarily, the job would only take a couple of hours to complete. However, they have to sift through hundreds of records to find the right part because it wasn’t cataloged properly. This extra time just doubled your call-out labor costs. 

If this becomes a recurring problem, it could translate to tens of thousands of dollars in avoidable expenses over the course of a year. The good news is that you can resolve the issue by simply improving the way you manage data.  

How to Boost Productivity Through Better Data 

There are a few ways that MDM can cut back on labor costs. Through effective data management, you can: 

• Streamline Parts Management 

Start by making sure that all of your spare parts are properly cataloged in your system using standardized nomenclature and detailed descriptions. In the example above, the maintenance team could have saved hours of labor time had they been able to quickly and easily find the parts they needed.  

Improving parts management allows you to get more done with your existing workforce. It could even help reduce the need to bring in more staff members.  

• Pre-Plan Maintenance Activities 

Pre-planned maintenance reduces the need for last-minute searches and improves the efficiency of your maintenance processes. Use your master data to pre-plan activities and ensure that your team has all the parts they need before work begins.  

• Reduce Travel Time 

When your team has all of the tools and supplies they need, they will spend less time traveling between the repair location and the maintenance shop. As a result, they will be able to devote more of their day to productive tasks, meaning you are getting a whole lot more bang for your labor buck.  

Turn MDM Into Your Greatest Strength 

Effective master data management is a powerful tool for reducing labor costs and boosting productivity in industrial operations. Turn your data into a powerful catalyst for cost savings and increased profitability.