As a company grows larger, it evolves into a collection of divisions and departments, and it becomes harder for employees to feel any degree of ownership. Newberry Tanks & Equipment in Arkansas has taken an approach that gives employees more skin in the game. They cross-train their 53 employees and have them operate in workcells. For example, their welders also perform as fabricators and fitters as they take on ownership of each tank they produce. The company also has a Preferred Customer Program which, in addition to benefitting customers, helps manage the variability of demand. Benefits of Newberry’s system include low turnover and an internal culture of sharing knowledge.
Key Takeaways:
- As a company grows, it risks turning into a collection of divisions and departments.
- Newberry Tanks & Equipment in Arkansas cross-trains its employees so welders also perform fabrication and fitting.
- The company’s Preferred Customer Program helps it manage the variability of demand.
“The more quality tanks they fabricate in less time, the more money they make beyond their base salary.”
