A.R.E. Manufacturing Inc. is a family-owned contract machine shop located in Newberg, Oregon. What started out of a garage as a two-person business has grown into an established company with nearly 50 employees that specializes in the manufacture of machined components using high precision CNC equipment: vertical machining centers, horizontal machining centers with pallet systems and multi-axis lathes with live tooling. Although the company had been steadily growing and adding employees, it continued to experience high turnover, especially among entry-level employees. A.R.E.’s leadership team knew this situation was not only impacting productivity, quality and employee morale, but it was also preventing the company from building a talent pipeline to sustain the future of the business. After they talked with managers and other employees, it became clear that a gap existed in the company’s training and development program that was preventing up-and-coming employees from developing the skills and knowledge that could help them be more successful in their new roles. The leadership team needed to act quickly to reduce turnover before the impacts on the business worsened. How did they solve for their labor problems?
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