12 May Understanding Compliance Issues in Manufacturing
Compliance Issues in Manufacturing: How TME® MES/EAM/CMMS Software Solution Helps Businesses Comply to Regulations
Compliance with regulations and laws lies at the base of any business in the manufacturing industry. It provides the legal framework for ensuring the safety of products for consumers as well as the employees who make them. As such, industries and organizations exist to support and deliver documentation, training, and certifications of compliance.
To maintain certification, it is exceptionally important to have the means for properly tracking all aspects of work-in-process (WIP), data collection, facility maintenance and equipment performance. That is where MASS Group’s Traceability Made Easy® (TME®) MES/EAM/CMMS software solution comes in.
What Is Compliance in Manufacturing?
Compliance is an integral part of every business. Manufacturing compliance includes a broad range of both corporate and regulatory compliance procedures that protect businesses and consumers from risk.
Regulatory vs Corporate Compliance
Regulatory compliance involves following legal mandates and legislation set by governing bodies such as the Environmental Protection Agency (EPA), the Food and Drug Administration (FDA), the Occupational Safety and Health Administration (OSHA), the Securities and Exchange Commission (SEC).
Corporate compliance is when a business follows not only state and federal-level laws, but also internal policies. Often what is acceptable and legal in the United States might not be permitted in Germany; therefore, an international company may adopt the most stringent policies across the board.
Areas of Compliance
Regardless of type, compliance is something all businesses face. The principal areas of compliance in manufacturing are:
- Anti-corruption
- Data Protection
- Employment Law
- Export Controls
- Fair Competition
- Health, Safety, and Environment
- IT Safety and Security
- Product Safety
Every decision/action the company makes must take into account the areas of compliance. Any missteps (even if minor) can have disastrous outcomes.
What is the Problem with Being Non-Compliant?
Companies ignoring compliance and regulation are constantly at risk. Agencies can charge large fines and take away licenses to operate. A compliance breach can severely downgrade potential profits, work efficiency and the company’s reputation. A damaged reputation can cause employees, investors, and customers to leave the business. This is a domino effect that no one wants to get caught up in.
So, the question becomes whether to spend valuable resources on the tools to ensure and manage compliance or on the consequences of non-compliance. It is always more expensive to be reactive than take initiative and stop a problem before it becomes one.
Why is it Important to Address these Issues?
Compliance is a protection system, and the right compliance plan can avoid devastating repercussions. By also providing a company safety, protection, and sustenance, the purpose of compliance is to ensure that the company never stops working and can maintain its customers, stakeholders, employees, and communities.
When a business is compliant focused, it gains the customers’ trust and sources confidence in the employees by minimizing or even eradicating potential risks.
Moreover, it fills the communication gap between employees and the company’s executives. Every individual working for the business has the opportunity to have a clear idea of the regulations and internal policies in place and therefore a common language to talk to management about issues affecting the workplace and the product. This improves the performance of a business, increases sales and promotes a better working environment.
Equip Your Team with the Right Tools
To maintain compliance, businesses need to not only put processes in place, but be able to pass the audits of regulators and certification organizations. Even better, businesses need to be able to extract the necessary data quickly during those audits versus preparing for days or even months ahead of time.
TME® MES/EAM/CMMS software solution is a single, cost-effective platform that enables your business to consolidate and report on complex data while simultaneously coordinating manufacturing processes, equipment and personnel. Track and monitor all components, raw materials, equipment, and tools to ensure compliance with the highest quality, security, and performance guidelines at each step in the manufacturing process. By giving you 24×7 visibility into all facets of your operations and across the entire supply chain, TME® can help you improve operational efficiency, quality output and cost-savings while meeting regulatory compliance and safety standards.
Contact us to learn more about equipping your team with the right tools to reach your organization’s goals.