COVID 19

April 7, 2020

The supply chain broken or operating?

The supply chain broken or operating?

The GGF has received a number of mixed messages regarding the industry’s functionality during the current COVID-19 crisis and it still isn’t absolutely clear if; the industry is in a state of paralysis due to a broken supply chain or if it is still operational to some extent.

The industry at present can be broken down into two main categories; Operating Companies and those Not Operating. It is perhaps worth noting why and how some companies can operate and others can’t in these unprecedented times.  

Operating companies

Companies in the glass and glazing industry are currently operating in the following ways:  

  • Operating with full staff and a full range of product/services
  • Operating but with limited services and products
  • Operating with but with limited number of staff
  • Operating but only carrying out essential or emergency work

All operating companies should be doing so safely and in accordance with the Government Health and social distancing guidelines as well as the Government’s Site Operating Procedures.

At present, the GGF believes there are some companies in every sector (link of the chain) who are in some way operational.

The GGF advises all Members who are still open for business during these times to update their profile page(s) on the GGF website or update the homepage of their websites declaring they are still operational and open for business.  

Not Operating:

  • For health reasons:

Many companies have closed on a temporary basis because they are following Government guidance on health and social distancing. The owners/directors of these companies have taken the sensible decision to close in the interests of the health and safety of their employees and customers.

Worth noting that most of the companies that have decided to close have done so on a temporary basis and many have closed initially for a few weeks and will then review the situation.

Some other companies have closed because they have a shortage of staff due to their employees contracting coronavirus symptoms and, as well as being not fit to work, they have also had to self-isolate under the Government guidance.

  • For supply and demand reasons:

Some companies have had to close temporarily because they can’t get the materials and products they require to continue their work. Others have closed simply because they have not received enough or indeed any orders.

  • For financial reasons:

Though the Government has introduced and is starting to implement fiscal measures to support businesses across the UK, the process is protracted and many small and medium-sized businesses are struggling to maintain a healthy cash flow. This has resulted in many companies deciding to close temporarily to reduce financial risk.

All Member companies who are closed temporarily are advised to make it known on their GGF website profile pages and/or on the homepage of their website.

Considerations:

  1. There is no definite time period for companies either closing or continuing to operate during the COVID-19 crisis
  2. Companies closing does not mean they have gone into liquidation or administration – the closures are only temporary
  3. There is no hard evidence that the supply chain is completely broken, some companies are still buying and selling the products/materials they need to operate
  4. Imports have also affected the overall supply chain
  5. Make your customers aware of your operating situation – whether you are open or temporarily closed for business.
  6. Consider alternative suppliers if your normal suppliers are no longer operational
  7. Keep monitoring information online and in the trade and social media as well as the  mainstream news for signs of improvement and when it is safe to resume life as normal

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