Wednesday, June 19, 2019

The Benefits Of Pilot Plants

By Susan Hayes


Small businesses and individuals that come up with a great idea usually want to sell the end product. They start by creating one at a time, but that can quickly become cumbersome and the need for a larger place to make them faster becomes apparent. The cost of setting up a manufacturing plant is very high and usually out of reach for the small business. Using pilot plants as an in-between method help by saving money and allowing testing or manufacturing to scale up without the large investment that is often required. The time it takes to setup also is lower. There are many benefits to this type of system when growing a business.

The first benefit of this type of setup is moving from creating one at a time. Having a facility set up to produce and test multiple products allows you to know if the product design is going to work. Something that can be made on a small scale cannot always be produced in a larger scale. This setup allows you to test this and figure things out.

Multiple testings can happen at once. There is a lot at stake when time is a factor. Creating a single product and then testing it takes time. Being able to create several and test them at once makes everything go faster. Since the testing is completed faster, you can produce the results more quickly. Many testing facilities have to be scaled up in order to keep investors happy. A middle step allows you to increase production and testing time.

Scaling up for production is tested through the pilot phase. The cost of a huge production facility is not always a good investment when you're still working out the kinks in how a product will be produced. Having a smaller and less expensive facility allows you to test and modify the production setup before investing in the larger production line. When so much is at stake, it is important to get the assembly line and testing systems set up to know that your end product will be exactly what you want. Without this intermediate step, the modifications to a full-scale production line will be extremely costly.

Saving money is always good. The pilot plant phase costs much less than the larger systems. The equipment, employees, and other factors are much smaller in scale and keep the investment smaller in turn. Using the middle step reduces the amount of money needed to get up and running. Once the money is coming in from sales, it is much easier to secure capital for the larger facilities.

Remote destinations may need a modular facility. In some cases, the resources for testing or creating a product are not easily accessible. Being able to build a modular plant allows the company a chance to get the facilities close to the point of origin and reduce shipping or transport costs. The plant can be built on site and even moved at a later date.

The construction time for a smaller system is much less. Since you're not setting up a full-scale operation, the amount of time it takes to get everything built and in place is reduced. Saving time like this helps get the production moving quickly. Sales can happen as soon as the product is ready to hit the market.

Providing a middle ground for small companies to grow is essential to move forward. The smaller plants provide the advantages of a large production facility without all the costs associated with it. Time is saved and things can get moving much faster.




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