The COVID-19 Coronavirus crisis has caused worldwide disruption and chaos amongst all sectors of business. At both a social and economic level—leaders have been forced to make expeditious decisions while adapting to challenging circumstances. As a result, much of the business world has vaulted to a temporary standstill for the sake of protecting human lives.
As the outbreak spreads at a global level—foreign and domestic manufacturing abilities continue to be affected in an unforeseen manner. A vast majority of factories and manufacturing facilities have indefinitely seized operations as a protective measure of virus containment. The result has been a supply-chain disruption delaying production of many common household products and goods. Items ranging from shoes to mobile phones have been affected due to current limitations in manufacturing sites.
The beauty of the human race lies in our ability to adapt in the face of adversity. In the midst of chaos, COVID-19 has inadvertently been fueling innovation throughout various aspects of society. Everyday, people are living under the umbrella of a new “normal” and likewise companies are adjusting to a newfound way of doing business.
How Businesses are Being Affected by Coronavirus
As the Coronavirus has spread globally—manufacturing capabilities have come to a grinding halt in several parts of the world. Virus spread has become too much of a liability in open-air environments forcing many factories to shut down. As a result, typical supply-chains have been disrupted creating indefinite delays and inefficiencies.
Products ranging from cellular phones to generators require several intricate components prior to reaching the assembly phase. Delays in a single component can create a trickle down effect impacting full-scale manufacturing of items. While some companies have been able to curtail these limitations with replacement parts—many others have indefinitely suspended operations. No company has been immune to delays, even Apple has experienced manufacturing disruptions effectively hurting supplies and profitability. Adjusting to these confounding variables can be difficult, if not impossible to sustain over time.
Corporations aren’t the only ones feeling the ramifications of the virus—consumers have also felt the consequences of supply-chain limitations. Many customers have lacked the innate ability to purchase common goods. Items may be out of stock or subject to massive cost fluctuations due to supply volatility. Everything from simple fashion pieces to new electronics may be temporarily unavailable or subject to prolonged delivery times. While many companies are struggling to manage limitations—others have attempted to pivot production by aiding in the Coronavirus pandemic crisis.
How Companies are Pivoting to Help deal with Coronavirus
While the COVID-19 crisis has caused massive manufacturing delays across the spectrum—many companies have begun using idle production facilities to aid in fighting the Coronavirus. Recently, the president enacted the Defense Production Act—a Korean War era civil defense initiative aimed at replenishing supplies of mission essential items.
The number of COVID-19 cases in the United States is currently facing an upward trajectory with no clear ending in sight. As a viral infection that impairs respiratory function—COVID-19 attacks the body’s ability to breathe on it’s own. The ventilator has become a life-saving critical piece of medical equipment during these disparaging times. The problem is most companies lack the ability to mass produce these sophisticated medical tools.
While the automotive industry continues to be at a standstill—car companies have pivoted their manufacturing efforts towards constructing medical equipment. As the virus spread continues to exponentially increase—automotive giants General Motors (GM) and Ford have begun preliminary efforts to assist in production of ventilator units.
GM along with ventilator manufacturer Ventec has created Project V in an effort to produce several hundred thousand units over the next few months. Additionally, Ford has been working with Florida-based ventilator company Airon to create a simplistic, electricity-free design. Both automakers will continue to focus on scaling ventilator manufacturing until device demand subsides.
While some companies have stringently been focused on production—others have allocated resources towards research and development efforts. Tesla has gone so far as to engineer ventilators out of existing car parts and supplies. The creativity and feats of these automotive companies prove that challenging circumstances can breed an influx of innovation and creativity.
How AER is Supporting Auto Manufacturers
The widespread implications of COVID-19 goes far beyond the impact of the virus itself. The economic and social ramifications of the virus have caused global disruption and uncertainty. In the midst of chaos, the world has banded together in an effort to fight the deadly virus.
Fueling innovation through preservation—AER technologies provides full-cycle electronics remanufacturing for some of the largest companies on the planet. In support of the fight against COVID-19—AER is continuing to help automotive companies by facilitating widespread medical supply remanufacturing efforts.