Unintended consequences of cutting technical head count

摘要

In the automation community, we routinely hear that reducing head count is one of the better ways to cut operational costs in a manufacturing plant. From some perspectives, this assertion makes sense, especially if management is looking for short-term cost reductions to bolster the plant's net operating profits, meet their performance goals, and receive their annual bonus. There is nothing wrong with this approach as long as it is balanced with a longer-range plan for addressing the unintended consequences of cutting head count, particularly if technical resources are the ones facing the ax. Short-term cost reductions are routinely nullified and overwhelmed by reduced operational efficiency and increased project costs when the focus is purely on reducing head count. Let's explore what has been occurring for at least the past 15 years as a result of cutting technical head count.