“It may be possible that a long-term recession might help to remedy this issue,” Kanaris says. “This issue has put a strain on our manufacturing plant operations. VDG has expanded its manufacturing automation and invested further in new robotic technologies to overcome the workforce shortage.”
Operational outlook
The challenges of 2022 forced companies to think outside the box and find new ways to meet their goals.
Russ Burns, sales director at Terex MPS, says this is exactly what his company did this year. He expects Terex MPS to carry that mindset into next year.
“It’s likely in 2023 we will continue to experience situations that require our new and experienced team members to help provide viable solutions,” Burns says. “Many of those team members contributed fresh ideas [this year] that made an immediate impact on our business. Overall, we’ve seen an improvement in hiring qualified personnel in all areas of our business.”
Should supply chain and pricing issues continue into next year, Burns says Terex MPS has a plan in place to keep operations moving.
“Supply chain disruptions, inflation and logistics are ongoing challenges and will likely continue,” Burns says. “We’ve targeted higher inventory levels and sourcing initiatives to help combat many of these issues. We are analyzing feedback from our customers and distributors to improve our forecasting and drive greater availability for parts and machines.”
VDG has also increased part and equipment availability. Kanaris says this step has paid off as the company growth in sales in 2022.
“Our advanced planning to significantly increase the necessary stock of raw materials has reduced the effect of these challenges on our manufacturing,” he says. “These proactive steps have paid off in ensuring our short delivery and keeping the cost of our products stable.”
Garrison, meanwhile, says Superior is experiencing fewer issues of late.
“Currently, we’re experiencing weekly relief in the cost of shipping and receiving our goods,” Garrison says. “Plus, lead times from many of our vendors have started to soften. These were very significant challenges in 2022, especially during the first half of the year. While some businesses outside our industry have started announcing workforce reductions, we still have a strong number of production positions that we want to fill. I expect building out our manufacturing teams will continue to be a strong focus for us in 2023.”