This Software Is Matching Labor Capacity with Production Demand [Q&A]

Industrial businesses face various challenges, but many agree that managing talent is one of the biggest.

Veryable, an on-demand marketplace for manufacturing, logistics, and warehousing labor, connects businesses with workers to enable higher productivity and a competitive edge. In December 2022, an OEM using Veryable’s software created 19,980 additional labor hours. When the manufacturer had to cut back to 120 hours in January due to shutdowns, it was able to maintain production with its full-time workforce without any drop-offs.

We recently chatted with Josh Mote, Veryable’s director of partnerships Midwest, about how the company’s platform connects businesses with top talent.

Nolan Beilstein (NB): How would you describe your software to supply chain and manufacturing customers?

Josh Mote (JM): It really can completely change a business’ growth trajectory. This tool allows manufacturers to match their labor capacity with exact production demand.

Traditionally, manufacturers have tried to guess and land on a rough average of how many production hours they will need. This tool lives within operations, not human resources, and gives these operation leaders the ability to add or decrease production hours easily.

NB: Last year, an OEM that implemented Veryable’s software added 19,980 labor hours and also kept its full-time workforce going. How did the company avoid drop-offs in production?

JM: The tool allows businesses to not overstaff. Overstaffing is an issue that is crippling manufacturers across the country, but they feel it’s their only option to meet production schedules and project demands.

By utilizing the Veryable platform, this specific OEM has a company labor pool of over 900 people. They’re tapping into these individuals — who they otherwise wouldn’t be able to touch with traditional hiring processes — when they need additional workers without relying on their own full-time employees for overtime production hours.

A manufacturer (Company A) should have a full-time staff at a minimum level who they can keep busy 40 hours, 52 weeks a year, and use Veryable operators for any of the overages. This prevents layoffs/downtime because the Veryable operators are working in other facilities when Company A doesn’t have the production need.

We have operators from experienced welders, machine operators, and highly skilled lift operators to entry-level production.

NB: How does the software assemble a labor pool?

JM: The labor pool is already built. In our 32 markets, we have more people than we have work opportunities. Our local market teams work with the manufacturer to coach them on using the tool for their specific needs. The manufacturer will bring in workers and see who is a good fit and who is not, with the goal of building their own labor pool specific to their business. These workers are typically a part of four to five business labor pools. The manufacturer can then post their work opportunities out to their specific labor pool.

For instance, red tags for Company A may be welders. So, they’re only posting out to those operators with red tags who have been through their orientation and have worked welding ops. It really allows businesses to customize their own labor pools for their specific needs, and our team coaches them along the way.

The software also has automated processes built in to assist in the labor pool buildout. A manufacturer shouldn’t spend more than three to four minutes per day on this if they’re using it daily.

NB: What problems has your software set out to solve?

JM: Think of this as lean manufacturing but for production hours. When a business can look at its schedule and say, "I need an additional 250 hours on Line A this week and 350 hours in pick & pack,” and then actually get those completed without implementing overtime, it allows the business to grow in ways they’re currently constrained. This includes:

• Unlimited capacity to take on new projects,
• Seasonality peaks without having to mass hire,
• And expansion opportunities without wasting months of no production because you don’t have the people to produce products.

If you go to any manufacturer and ask what their biggest constraint is, the answer is always "people and supply chain.” When you go to their suppliers and ask the same question, it’s the same issue. This platform allows manufacturers to take care of one of their largest constraints, and when they see how impactful it is, many manufacturers will push it down to their suppliers to help alleviate supply chain issues as well.