A Business Leader’s Guide to Material Handling Systems
Most processing plants have been expanded year after year without formal structure or tracking of additions, and often lack proper documentation of what has been done. When planning to increase capacity, companies are left to make a plan each time, and frequently struggle to pinpoint bottlenecks or understand how the various process flows integrate. This lack of structure creates an opportunity for business leaders to approach engineering decisions more strategically.
Making Smart Engineering Decisions Without an Engineering Degree
In manufacturing and distribution environments, the right material handling system can dramatically boost throughput, reduce labor costs, and improve workplace safety. For operations leaders without engineering backgrounds, navigating technical proposals and evaluating solutions can be daunting. At EDC, we help business leaders confidently make these decisions, ensuring they deliver measurable ROI.
The Hidden Costs of Engineering Decisions
Many operations experience what we call “engineering regret”—realising too late that a system was over-engineered, poorly specified, or improperly implemented. Our analysis of manufacturing clients reveals:
- 68% of material handling projects exceed initial budgets by 15-30%
- Nearly half of all systems require significant modifications within the first year
- Companies frequently overspend on unnecessary automation when simpler solutions would suffice
These decisions impact not just initial costs but also ongoing maintenance, operational flexibility, and workforce morale when systems underperform.
Key Decision Points for Non-Engineers
Knowing when to invest in engineering expertise is critical. Unlike marketing or IT investments, engineering infrastructure represents a long-term commitment. To make these decisions strategically, you need to understand:
- The production volume thresholds that justify automation
- Warning signs that existing systems are limiting growth
- How to phase implementations to manage cash flow
- When to leverage temporary engineering resources versus hiring in-house
Evaluating Competing Engineering Solutions
For non-engineers, comparing proposals can feel overwhelming. Focus on these business-oriented metrics to guide your decision-making:
- Total cost of ownership (not just purchase price)
- Implementation timeline and potential production disruptions
- Adaptability to changes in product mixes
- Maintenance requirements and availability of spare parts
- Training needs for existing staff
Material Handling Optimisation: Where to Start
The most effective engineering improvements often begin with simple changes, such as:
- Flow analysis to identify current bottlenecks and inefficiencies
- Modular approaches that allow for incremental improvements
- Standardisation of components to reduce maintenance complexity
- Strategic automation focusing on high-volume, repetitive processes
Our clients consistently find that targeted improvements outperform “rip and replace” approaches, delivering faster ROI with minimal disruption.
Practical Engineering Decision-Making
One of our manufacturing clients faced capacity constraints, initial proposals suggested a $1.2 million (R22,000,000) conveyor system replacement. By applying EDC’s evaluation framework, they instead:
- Identified three specific bottlenecks in their existing system
- Implemented targeted modifications for $280,000 (R5,360,000)
- Achieved 85% of the proposed capacity increase
- Maintained full operations during the implementation
- Preserved capital for other strategic investments
This pragmatic approach delivered the desired business outcomes without unnecessary complexity.
Strengthen Your Engineering Decision-Making
At EDC, our Resource Center provides operations leaders with practical tools for making smarter engineering decisions. Our approach translates technical concepts into business language, helping you:
- Compare engineering options based on business outcomes
- Avoid common and costly implementation pitfalls
- Structure vendor relationships to align incentives
- Develop internal capacity for ongoing system optimization
Take the Next Step with EDC
Don’t navigate complex engineering decisions alone. Schedule a complimentary Material Handling Assessment with our team to identify your highest-impact improvement opportunities. During this 30-minute virtual consultation, we’ll:
- Review your current material handling challenges
- Identify quick-win optimisation opportunities
- Outline a strategic approach to long-term improvements
- Provide a framework for evaluating engineering proposals
Schedule Your Free Assessment →
Or call us directly at 010 824 6784 to speak with an EDC engineering advisor.
