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Why your factory expansion project could be holding back your business growth
8 March 2023
Meet Tony… he is the owner of a food manufacturing business experiencing a period of growth, making the step from being a small regional business to a nationally recognised supplier. Tony has a vision to be the leader in his sector, with a world class food manufacturing facility that he can be proud to show his customers.
With the business taking on larger contracts, including supplying supermarkets, Tony needs to expand his manufacturing capacity and upgrade the standard of the production facilities to continue their growth trajectory and future-proof the success of the business.
However, Tony is extremely worried about the major distraction a factory expansion project could become to the business. He’s put a lot of effort in to get the business to this point and started to experience real growth, but he knows that if they’re not careful they could easily undo the progress they’ve made.
Tony has a good team in place who are managing the running of the business but he acknowledges that they are stretched with their current workload. With an expansion project running alongside this period of growth, there is a real danger that;
- Staff become disenchanted with the additional workload as well as the lack of leadership resulting in them looking for a role elsewhere.
- Customers notice a reduction in the level of service they are receiving and may look to competitors to supply them instead, particularly if the project causes disruption to production resulting in longer lead times.
- The daily distraction of the project will take the focus away from product innovation which will damage your competitive edge.
These combined will have a severe adverse effect on Tony’s bottom line profitability and put the future of the business at risk.
In addition, Tony is still very involved in leading the business, so even if he takes care of the project himself and his team aren’t involved it could still have a serious impact. He can’t ignore the need for expansion, but how can he balance this as well as leading his business through a period of growth?
The planning and delivery of a food factory expansion project is a demanding and time consuming process especially for small and medium sized businesses that don’t have the dedicated resource in-house.
If, like Tony, you’re planning expansion but recognise these challenges; good news – there is another way!
Get in touch with us today to explore whether our turnkey approach to food factory design, build and fit-out could be the answer you’ve been looking for.
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