Over the last three decades, my journey through modular home factories has taken me from the snowy landscapes of Maine to the sunny shores of Alabama, and from the bustling heart of Pennsylvania to the serene fields of Indiana. One striking revelation from these travels is that no two factories are alike. Each has its own unique approach, and this diversity is both fascinating and enlightening.
While most of my visits have been to modular factories, the lessons I’ve learned apply to any facility making any type of off-site-built home or component: high-end modular custom homes, affordable HUD homes, trusses, wall panels and floor cassettes.
One big variable I’ve noticed is efficiency. In some factories, modules are built on cribbing, where the units move only once — straight out the door. Others operate like well-oiled machines, with modules moving systematically from one station to the next until they are complete. The variety doesn’t end there; I’ve seen factories that struggle to produce two modules a week, while others boast the capability to churn out more than thirty.
The equipment and tools used in these factories also vary widely. Some operate without a single crane, constructing modules as they would on a customer’s lot. In stark contrast, other factories are equipped with CNC cutters, multiple large cranes, pneumatic tools, and even automated tables and robotics.
Despite the differences in scale, technology and processes, one question remains top of mind: does the factory’s output sustain a breakeven performance? The answers have been as varied as the factories themselves. Some owners and general managers are hesitant to disclose their production numbers, while others share their modest outputs of two or three units per week with a hint of pride.
But the most telling variable had to do with the workforce. I’m no rocket scientist, but I do know how to read people, and observing the production workers offered a clearer picture of a factory’s health than any official statement. Busy employees with smiles on their faces often indicated a thriving operation more accurately than words from an owner or GM.
A decade ago, I visited a factory where the production floor was littered with scraps of building material, candy wrappers and sawdust. It was evident that cleaning was a low priority, happening only once a week. When I asked a young worker about the mess, he confirmed my suspicion about how well they were doing. Unsurprisingly, this factory didn’t survive the pandemic.
Conversely, I walked into another factory that left a lasting positive impression. Ten minutes before the end of the workday, the children’s “Clean Up” song began playing over the loudspeakers. Instantly, everyone stopped what they were doing, grabbed brooms and started tidying up. There was a sense of camaraderie and pride as they danced and smiled, knowing they were preparing the workspace for the next day.
The takeaway from these experiences is clear: knowing your breakeven numbers, keeping your employees happy and maintaining pride in your production line are crucial. Without these elements, a factory’s longevity is in jeopardy.
