As the U.S. manufacturing industry continues to grow, it’s evolving to keep up with demands for quicker turnaround times, better pricing, and quality maintenance. However, ongoing labor challenges continue to be an obstacle to advancement.
While Formic’s “2024 State of U.S. Manufacturing Report” found that hiring more people was a top priority for manufacturing companies last year, manufacturers will still need a whopping 3.8 million new workers by 2033 according to a Deloitte and The Manufacturing Institute report.
As manufacturers continue their journey to Industry 4.0, higher-level skills are required, adding to the skills gap. Additionally, tight labor markets have led to an applicant gap, challenging manufacturers' ability to fill roles across all skill levels.
But it’s not all bad news: there’s a solution to these labor challenges. Industrial automation and robotics offer huge benefits to manufacturing and facility fulfillment and distribution operations.
Manufacturers with tight capital spending budgets, excess downtime due to employee turnover, or trouble keeping up with demand can implement Full Service Robotic Automation Rentals on production floors to serve as reliable and flexible long-term temporary workforces.
How Full Service Robotic Automation Rentals Can Close Production Gaps
With labor gaps an ongoing challenge for manufacturers, here’s how robotic automation can serve as a quick and cost-effective solution:
1. The Cost Is Fixed
Automation rentals allow businesses to adopt industrial robotic solutions without the significant upfront costs of purchasing and maintaining the equipment. Instead, companies pay a fixed rate to employ the exact solution they need.
For example, Formic’s Full Service Palletizer Rentals is an all-inclusive fixed monthly rate with 24/7 technical support, 100% maintenance coverage, and contracted performance rates.
“Formic removes all the anxiety of a traditional equipment purchase,” said Adam Bragg, Cameron’s Technical Director for their Shakopee plant. “We like that they provide the entire solution, including committed uptime and service.”
2. It’s Flexible
Many manufacturers can’t foresee how their business operations and needs will change over the next five or ten years. This makes it especially difficult to invest in automation, as the system may serve current but not future needs.
With automation rentals, companies can shift new systems in and out as needs change, creating a true long-term temp workforce. With Formic’s Full Service Rentals, we shift new equipment in and out at no extra charge and can add additional machines as demand increases.
Mi Rancho, a Formic customer, made a production leap with us using automated stacking to speed up tortilla production time. Since integrating Formic’s six robotic palletizers into their operations, Mi Rancho has eliminated safety risks with end-of-line stacking and increased production efficiency. Plus, the company has added even more machines as demand continues increasing.
3. Works Around the Clock
In industry, 2nd and 3rd shifts are historically hard to fill. Even if they are filled, turnover is significantly higher than for 1st shifts. Full Service Robotic Automation Rentals can work around the clock, filling in those shifts that temp workers don’t often want.
If there’s an urgent customer need, robotic automation rentals can work all night to fulfill it. Plus, if this type of demand increase is only temporary, Formic’s Full Service rentals don’t have to be a permanent fixture in your facility — they can serve as you for as long as you need a long-term temp workforce.
4. One-Time Training
One of the most challenging aspects of using temp labor is the employee retraining required. Every time a new employee starts working on the production floor, they have to be well-versed in safety standards and procedural requirements before getting to work.
With automation rentals, robots are easily programmable and ensure consistency in quality, safety, and output. Plus, Formic does all the programming for you because we know manufacturers have other business needs to prioritize.
One of our customers, Polyscience, turned to Formic for our expertise. “We’re a chemistry company,” said Polysciences’ Executive Director of Manufacturing Sean Moore. “Automation is outside our core competency and outside of what we really want to specialize in.”
5. Change Your Mind? No Problem
Another major benefit of robotic automation rentals is the ability to change your mind. While Formic has a 98% renewal rate, we recognize that needs and wants change. That’s why we have the option to cancel with 30 days' notice whenever you want.
Build a Long-Term Temp Workforce with Formic
You can quickly and easily fill in production gaps with Formic’s Full Service Palletizer Rental program. Here’s the full breakdown:
- Access to four different fully supported turnkey cobot and industrial palletizing systems
- A fixed monthly rate with unlimited equipment usage
- 24/7 technical support
- 100% preventative and protective maintenance coverage
- Contracted performance rates
- Team training
- Equipment swapping at no extra cost
- Shift to longer-term agreements or cancel with 30 days’ notice whenever you want
- Lead times of 10 weeks or less