Operon Resource Management Releases System to Reduce Labor Costs

Lowell, Mass.-based Operon Resource Management has introduced the Operon Gate, a proprietary screening and training process designed to deliver qualified temporary labor that can help manufacturers reduce costs. Such a process could be particularly useful with the impending 2.3 percent medical device excise tax and the corresponding job cuts announced by Stryker Corporation, Zimmer Holdings Inc. and Welch Allyn Inc., among others.

“Trimming costs in areas of quality and compliance is not just an option, so optimizing manufacturing labor is a natural place to start for many companies,” said Steve Sawin, president and CEO of Operon. “Manufacturers today require temporary labor to be thoroughly trained for industry-specific knowledge such as ISO 13485 orientation; compliance with cGMP [current good manufacturing practices] requirements; compliance with ISO 14666; orientation in DMRs [device master records]; Lean-Six Sigma, and other critical areas. The Operon Gate is a rigorous five-step process that ensures that job candidates are performing on day one.”

According to industry experts, the desire to cut high labor costs in light of the tax is forcing companies to augment a smaller permanent staff with a contingent work force when needed. This is a better alternative to moving manufacturing offshore. Temporary labor allows manufacturers to pay only for the work they need based on production. The key, however, is finding temporary labor that is qualified and properly trained so that product quality and compliance is not compromised.

Operon Gate is a customized process. It evaluates and filters candidates through five progressive steps designed to cover all worker requirements, including skill sets, job knowledge, education level, and character traits. Operon claims that in testing, the results consistently have produced lower overall labor costs, a ready pool of temporary workers, a reduced workload for human resources departments and production managers, and overall superior manufacturing productivity.

Operon provides workforce solutions to healthcare product manufacturers.