How companies are changing their track to fight COVID-19:From perfumes to hand sanitizers, from TVs to masks.
- Companies are reworking on their production lines to join the fight against COVID-19.
- Examples like LVMH changed from producing perfume to hand sanitizer, manufacturing companies making face masks and luxury hotels becoming quarantine centers.
- Companies must overcome different levels of challenges involved as they make these changes
- The COVID-19 outbreak causes challenges to businesses, governments, and societies around the world. Companies are reacting in different ways to ensure business and their supply chain.
A major challenge in the current crisis is the spike in daily demand for basic consumables such as masks, gloves and sanitizers.The study says that a demand surge of about 1’600 percent for masks in this scenario.
Motivation for changing their purpose
One of the main goals for most businesses in the COVID-19 era is to protect their own employees while keeping operations going as long as possible. In several cases especially for manufacturing companies ,these two goals require workers to protect themselves by wearing masks and the their use of disinfectants.
However, changing their purpose not only help companies to protect their own workforce and serving the greater good. It also helps them to keep production lines up and running in times of low demand, generate minimum revenues, and positively impact their reputation.
Levels of complexity
Several manufacturing companies have begun to evaluate capacity for their current company and the suitability to repurpose manufacturing components. The emphasis is on repurposing raw materials and parts, manpower, manufacturing processes and facilities, as well as the manufacturing site and its environment.
It is comparably easy and can be done rapidly to develop capacity and capabilities to manufacture easy hygiene and safety products such as masks and disinfectants. We have seen businesses converting into dust-free plants-for example, research and development sites-as well as installing related equipment, completing the requisite R&D, and obtaining a certificate to enable face masks to be developed within days.
How to repurpose quickly
In the times of pandemic, coronavirus-related medical supply is facing shortage. Activities that normally take months must now be executed in weeks or even days. The only way to achieve this is to improve efficiency for effectiveness.
This involves a clear, five-step approach: evaluating current solutions, identifying specifications, product and supply chain design, product creation, and production ramp-up. It is not necessary to sequentially follow the steps, but the trade-off of not following the sequence carries an increased risk of both re-work and unintended consequences. Activities requiring risk control, cross-functional experience and a common decision-making authority are critical.
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