Manufacturing Demand: How to Beat the Competition with Better Service Levels and Quality
By Dan Sullivan
February 20, 2023
Dan Sullivan, TBM Executive Vice President, discusses what demand looks like in today’s high interest rate and high-cost environment and what winning will mean for manufacturing and supply chain operations.
With a softening in demand in 2023, winning will mean being better than the competition. In the video clips below, Dan Sullivan’s operational excellence expertise lends helpful tips to COO and manufacturing and supply chain leaders on how to improve service levels, lead times and quality to ultimately win the customer’s trust and business.
Part 1: How will consumer demand impact manufacturing and supply chain decisions this year?
Part 2
Part 2: How to successfully address demand shifts and win against competitors?
Part 3
Part 3: What should service levels and lead times look like in manufacturing and supplier operations?
Part 4
Part 4: What should be happening in the next 12 – 18 months for long-term improvements in speed, service, and quality?
Part 5
Part 5: Benefits of stress testing scenarios and expected outcomes on operations.
Conclusion
Conclusion: Compare and contrast the current operating environment from the ‘70s and ‘80s and what can we learn from it?
Frequently Asked Questions
Why are service levels and quality critical competitive differentiators in manufacturing?
Service levels and quality are critical differentiators because customers increasingly expect reliable delivery and consistent performance, not just competitive pricing. When manufacturers fail to meet delivery commitments or deliver inconsistent quality, customers experience disruption and often look for alternative suppliers. Strong service and quality performance builds trust, protects margins, and creates a competitive advantage that is difficult for competitors to replicate quickly.
What operational issues most commonly undermine service levels and quality?
Service levels and quality are most often undermined by unstable processes, poor visibility into performance, and weak daily management. Variability in production, long changeovers, quality escapes, and delayed problem escalation all contribute to missed deliveries and rework. Without disciplined management routines and clear accountability, these issues persist and compound over time.
How can manufacturers improve service levels and quality simultaneously?
Manufacturers can improve service levels and quality by focusing on process stability, standard work, and real‑time performance visibility. Implementing strong daily management systems enables teams to identify problems early, address root causes, and prevent recurrence. As quality improves and processes become more predictable, delivery reliability increases naturally, allowing manufacturers to outperform competitors while reducing waste and cost.
Dan Sullivan is an Advisor and serves on the TBM Board of Directors. He is a coach at heart and is passionate about operational excellence, cultural change and results.
