How to identify and eliminate low-margin work

The hidden cost of running the wrong jobs

Manufacturers often focus on keeping machines running, assuming that more production equals more profit. But what if some of those jobs are actually costing your business money?

Without the right data, it’s easy to dedicate valuable time and resources to low-margin work: jobs that eat up machine hours but don’t deliver enough return. If you’re not tracking production efficiency and profitability in real time, you might be unknowingly prioritizing the wrong work.

So how can manufacturers identify inefficiencies and refocus their resources on high-value jobs? The answer lies in data.

How to stop wasting resources on low-margin jobs

If you’re not sure whether your factory is spending time on the right jobs, here’s where to start:

1. Track real-time machine utilization.
   Not all machine hours are created equal. A job may run for 10 hours and look productive on the surface, but if it delivers razor-thin margins or consumes excessive setup time, it’s quietly draining profitability. By tracking machine utilization in real time, manufacturers can compare the time invested in each job to the actual return, making it easier to spot which jobs are worth running—and which are simply filling the schedule without contributing to the bottom line.
2. Analyze downtime and bottlenecks.
   Low-margin jobs don’t just hurt profitability—they can slow down your entire operation. If a particular product causes frequent tool changes, long setup times, or maintenance issues, it creates bottlenecks that delay other, more profitable work. When you analyze downtime by job, you’ll often find that the least profitable parts are also the most disruptive. Eliminating or rescheduling those jobs can unlock hidden capacity and smooth out your production flow.
3. Prioritize high-value work.
   Not every job contributes equally to your business goals. High-value work isn’t just about high margins—it’s about efficiency, repeatability, customer relationships, and strategic alignment. By understanding which jobs check all those boxes, you can make smarter scheduling decisions that move the business forward, rather than getting stuck in a loop of low-return production just to stay busy.
4. Automate data collection.
   Manual tracking is too slow and error-prone for today’s manufacturing environment. When operators are expected to fill out paper logs or input data into spreadsheets, it often leads to gaps, inaccuracies, and missed insights. A system like Amper automatically captures machine data in real time, giving you a clear picture of what’s happening on the floor—without adding to anyone’s workload. That visibility makes it easier to spot trends, correct inefficiencies, and shift resources to the work that truly matters.

Example: Aurora Material Solutions’ low-margin trap

Aurora Material Solutions, a specialty plastics manufacturer, faced this exact challenge. They had a broad range of product lines, but no clear way to measure which jobs were actually profitable.

Without automated tracking, they relied on memory and outdated reports to assess performance. As a result, they continued running certain jobs simply because they had always done so—without realizing these jobs were consuming more time and resources than they were worth.

The problem wasn’t just inefficiency. The company was dedicating machine hours and materials to low-margin products when they could have been using those same resources for higher-value work. This opportunity cost was extremely expensive. 

How Aurora uses Amper to focus on profitable work

Once Aurora implemented Amper, everything changed. By tracking machine utilization, downtime, and cycle times automatically, they gained clear visibility into their production efficiency.

With Amper’s data-driven insights, they were able to:

• Save over 1,000 hours annually through automated data collection.
• Reduce rework by 75%, focusing on high-margin products.
• Increase production by 15% through just-in-time manufacturing.
• Enhance safety and efficiency with digital material requests.

The result? Aurora could confidently prioritize the work that mattered most—improving profitability and optimizing their production schedule.

Read the full case study.

Run smarter, not harder

Manufacturing success isn’t just about keeping machines running—it’s about running the right jobs. If your factory is spending time on low-margin work without realizing it, you’re missing a major opportunity to improve profitability.

By leveraging real-time data, manufacturers can make smarter decisions, eliminate inefficiencies, and maximize their bottom line.

Want to see how Amper can help you identify and eliminate low-value work? Let’s talk.

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