In any manufacturing industry, productivity is always a decisive factor in the success or failure of a business. Productivity in manufacturing is defined as the ratio between output and input, reflecting the ability to use resources efficiently to create products. Improving productivity not only helps reduce costs but also contributes to increasing profits and enhancing the operational efficiency of the business. To achieve this, many methods have been applied, and one of the simple yet extremely effective methods is the 4M Rule. This rule focuses on four basic factors in production: Machinery, Materials, Methods, and Manpower, helping to optimize the process and achieve higher productivity.
In this article, let's explore the 4M rule in manufacturing and how it helps optimize the industry and increase productivity for manufacturing businesses.
1. Machines
Machinery plays an important role in the production process because it directly affects productivity and product quality. An efficient machinery system helps minimize downtime and increase production speed. Therefore, regular maintenance and inspection of machinery are essential to avoid unexpected incidents and ensure that the machinery operates smoothly.
Besides maintaining and improving machinery, the application of new technologies in production is becoming a decisive factor in enhancing efficiency and reducing energy and resource costs. Modern technological solutions such as ERP (Enterprise Resource Planning), IoT (Internet of Things), AI (Artificial Intelligence), and Robots have been making significant strides in the manufacturing industry.
- ERP (Enterprise Resource Planning) is a software solution that helps manage and integrate important business processes, including production, finance, human resources, and warehousing. ERP helps optimize material management, control production processes, and reduce waste, thereby enhancing overall productivity. It helps businesses make decisions based on accurate and timely data, while ensuring synchronization between departments.
- IoT (Internet of Things) connects devices and machinery in factories through the Internet, allowing for real-time monitoring and data collection. This helps managers monitor the condition of machinery, detect issues early, and perform predictive maintenance, thereby minimizing downtime and enhancing operational efficiency.
- AI (Artificial Intelligence) helps optimize the production process by analyzing big data and making accurate predictions. AI can optimize production flow, adjust machine parameters automatically, and improve product quality. By learning from past data, AI can also optimize production strategies, helping to minimize waste and improve product quality.
- Robots are replacing repetitive and dangerous tasks in the production process. Robots automate processes such as assembly, quality inspection, and packaging, helping to reduce production time and minimize human errors. Robots not only help improve efficiency but also reduce labor costs and increase accuracy in critical processes.
These innovations not only help improve productivity but also support businesses in maintaining competitiveness in the market.
Read more: Key trends in the manufacturing industry in 2025
2. Materials
The quality and supply of raw materials are key factors that directly affect production efficiency. When the raw materials do not meet quality standards, the production process will encounter difficulties, prolonging the time and reducing the quality of the final product. Therefore, optimizing the raw material supply process is very important.
Read more: Effective material management in production
One of the outstanding technological applications that helps optimize materials in production is the Smart Inventory Management System. This system uses IoT (Internet of Things) and AI (Artificial Intelligence) technology to monitor and manage the amount of raw materials in the warehouse in real-time.
Read more: Optimize inventory management with the SotaERP Inventory module
Specifically, IoT technology helps monitor the condition of raw materials in the warehouse, providing continuous data on inventory levels, storage conditions, and the location of each material. AI then analyzes this data to forecast future material demand, helping businesses avoid shortages or surpluses. This system has the ability to automatically order raw materials when inventory levels drop below a predetermined threshold, helping to maintain a reasonable amount of stock and reduce storage costs.
Furthermore, optimizing the supply chain and inventory control processes through this technology also helps minimize material waste. For example, AI can analyze the use of materials in production processes and suggest changes to minimize waste, such as adjusting batch sizes, using more efficient substitute materials, or reducing scrap. This not only helps reduce production costs but also contributes to environmental protection by limiting unnecessary resource consumption.
Businesses need to choose reliable suppliers, accurately forecast material demand to avoid shortages or surpluses, and effectively manage inventory. Moreover, using raw materials efficiently will help minimize waste and production costs, while also contributing to environmental protection and increasing profits for the business.
Read more: The application of AI (artificial intelligence) in the manufacturing industry
3. Methods
To enhance productivity, the application of standardized production methods and the optimization of work processes are extremely important. The workflow needs to be synchronized to minimize waiting times, movement, and unnecessary activities.
Methods applied in advanced manufacturing such as Lean, Kaizen, ERP, and Six Sigma have been proven to help optimize work performance.
- Lean helps eliminate waste in every aspect of the production process.
- Kaizen focuses on continuously improving processes, enhancing productivity through small steps.
- Six Sigma mainly focuses on minimizing errors and enhancing product quality.
- ERP resource planning system: ERP is not just a management software, but also an optimal solution that helps automate the entire production process, from planning and coordination to monitoring and quality control.
Read more: Automating production with ERP: The shortest path to efficiency and profit
Automating production with ERP helps businesses save on operating costs, reduce personnel expenses, and avoid material waste. When the process is optimized, labor productivity increases, production time is shortened, and incidental costs are better controlled. This helps the business grow profits while maintaining or reducing production costs. When these methods are applied effectively, production productivity will improve significantly.
4. Manpower
Human resources are an indispensable factor in enhancing production productivity. A highly skilled workforce, well-trained, and motivated will help the company achieve its productivity growth goals. Continuous training and skill development for employees not only help them work more efficiently but also create a creative and progressive work environment. Moreover, encouraging teamwork and good communication between departments will help optimize the production process and quickly resolve issues. Ensuring that employees have all the necessary tools and information is also an important factor, helping them work more efficiently, reducing errors, and increasing productivity.
5. 4M improvement methods in production
The 4M rule in production (Machines, Materials, Methods, Manpower) is an important tool that helps optimize processes and enhance productivity. To improve these factors, businesses need to apply effective methods to optimize machinery, materials, work processes, and enhance employee capabilities. Below are the methods to improve each factor in the 4M Rule.
Improving Machines
- Investing in new technology: Ensure that machinery and equipment are equipped with modern technology to increase efficiency and minimize errors. Automation systems, sensors, and robots can help reduce human intervention, optimize processes, and enhance accuracy.
- Periodic maintenance: Ensure that equipment always operates at its best through regular maintenance and repairs. Proactive maintenance systems, such as predictive maintenance methods, can help predict failures and minimize machine downtime.
- Automation and digitization: Using automation technologies such as IoT (Internet of Things) to monitor and optimize machine operations, helping to reduce operating and maintenance costs while increasing productivity.
Improve Materials
- Selective and optimize supply sourcing: Choose reliable suppliers of raw materials with good quality and reasonable costs. Use the Just-In-Time (JIT) method to minimize inventory and avoid waste due to damaged or excess raw materials.
- Using materials efficiently: Optimize the process of using materials, minimizing waste at each stage. Applying technology such as ERP (Enterprise Resource Planning) helps track and manage input materials, control inventory, and forecast demand accurately.
- Analysis of raw material quality: Ensure that the materials are quality-checked and have a clear origin to avoid defective products and minimize incidents during the production process.
Improve Methods
- Optimizing the production process: Review the steps in the production process to eliminate unnecessary steps and minimize waiting time. Apply Lean Manufacturing, Kaizen, and Six Sigma methods to minimize waste and continuously improve work processes.
- Standardizing processes: Ensure that all production processes are standardized to help save time and reduce errors. Standardization helps enhance work efficiency and makes quality control easier.
- Applying support technology: Using production management software or ERP solutions helps automate and synchronize processes, thereby enhancing work efficiency and minimizing disruptions in production.
Improving Manpower
- Training and skill development: Training employees in new skills, using advanced technologies, and applying optimal production methods. Improving professional competence will help employees enhance work efficiency and reduce errors.
- Encouraging teamwork spirit: Creating a positive work environment, promoting cooperation between departments in production. Empowering employees in the decision-making process will help them feel more responsible and committed to their work.
- Motivating employees: Implement reward programs and recognize the positive contributions of employees in improving production processes. This not only enhances work motivation but also promotes creativity and proactivity in the workplace.
5. Benefits of applying the 4M rule
Increase labor productivity and production output
Applying the 4M Rule helps businesses optimize factors such as machinery, materials, methods, and manpower. When each of these factors operates efficiently, labor productivity is significantly enhanced, helping to increase production output without the need to invest too many additional resources. Standardization processes and continuous improvements help minimize downtime and enhance the overall efficiency of the production system.
Minimize waste in production
The 4M rule helps businesses identify and eliminate waste factors in the production process. Optimizing machinery, raw materials, work methods, and enhancing the efficiency of the workforce helps reduce waste in terms of time, materials, and resources. Methods such as Lean, Kaizen, or Six Sigma help eliminate unnecessary steps and optimize production processes, thereby saving costs and resources.
Improving product quality and customer satisfaction
When the production process is improved, the quality of the product will also be enhanced. The 4M rule helps ensure that machinery operates stably, high-quality raw materials are carefully selected, production methods are standardized, and personnel are well-trained. This leads to products meeting higher quality standards, minimizing product defects, and ensuring customer satisfaction.
Reduce production costs and maximize profits
By reducing waste, optimizing the use of raw materials and labor, production costs will be significantly reduced. At the same time, improving productivity and product quality helps businesses produce more products at lower costs, thereby maximizing profits. Continuous improvement in the 4M factors not only helps businesses save costs but also creates a competitive advantage in the market.
7. Real-life example of applying the 4M rule
Toyota, one of the largest automotive groups in the world, has applied the 4M Rule to optimize the production process and enhance productivity. The company uses the Toyota Production System (TPS), in which the 4M factors are tightly optimized:
- Machines: Toyota invests in advanced technology and an autonomation maintenance system to ensure machines operate continuously and reduce downtime. The machines automatically detect faults and stop when an error occurs, helping to save time and repair costs.
- Materials: Toyota uses the Just-In-Time (JIT) method to minimize inventory while optimizing the material supply process. This helps reduce storage costs and avoid waste due to damaged or excess materials.
- Methods: Toyota applies the Kaizen (continuous improvement) method throughout the entire production process, thereby enhancing work efficiency, reducing downtime, and optimizing the production process. Employees are encouraged to contribute improvement ideas daily.
- Manpower: Toyota focuses on training and developing skills for employees, encouraging teamwork spirit, and creating a positive work environment. Workers have the right to stop the production line if they detect an issue, which helps enhance proactivity and reduce production errors.
After applying the 4M Rule, Toyota improved productivity, reduced waste, and enhanced customer satisfaction. They have also achieved the goal of reducing production costs and maximizing profits, maintaining their leading position in the global automotive industry.
8. Conclusion
The 4M rule is a simple yet extremely effective method for optimizing production processes and enhancing productivity. By focusing on the four basic elements – Machinery, Materials, Methods, and Manpower – businesses can improve operational efficiency, minimize waste, and enhance product quality. The application of the 4M Rule not only helps enhance productivity but also contributes to maximizing profits and building a sustainable production foundation. With the continuous development of technology, businesses need to continue innovating and improving production processes to maintain a competitive advantage, and the 4M rule is the way to maximize the potential of the applied materials in this production process. Contact us for consultation and to receive free materials on the latest technology applications.