As the reality of the coronavirus pandemic becomes clearer to each family, community and business, we all know there is going to be a recovery period where supply chains face unprecedented challenges as they seek the new normal. For many, survival after the pandemic presents a daily battle against the unknown– but it doesn’t have to be that way. Regardless of your industry, we can help you survive in a post COVID-19.
I can assure you that when I started CCO, helping clients survive and bounce back from a global pandemic was not top of mind. But the reasons I did start this business were never more relevant than they are today as Coronavirus is a threat to the health of our people.
When a business struggles with its performance – and often its survival is on the line -- the first step is a turnaround plan. When the pressure is on, that plan needs the insights and experience of consultants who have been there before. What I encourage CCO’s manufacturing clients to ask themselves is: will my consultants give me a great plan, or will they do that AND work elbow-to-elbow with us to fully accomplish the mission – a rapid return to peak performance and profitability?
Any election year is filled with uncertainty, but 2020 should be one for the ages. Against the backdrop of a volatile political environment, this election year is expected to have the most uncertainty for the business environment than ever before.
The concept of time as the most valuable resource isn’t new and struggling businesses should NOT waste another minute of time settling for “advice with no action” from their consultants. I hear from my clients and other business leaders is that it’s time to disrupt and re-define what an effective consulting engagement looks like.
One of our clients, a high-end car dealership, was about to embark on a five-site consolidation into one new facility. Seeking to avoid transferring known inefficiencies from the existing sites, the client engaged us at Cornerstone Consulting Organization (CCO) for assistance.
Site Selection Magazine, a national publication covering corporate real estate and economic development, recently featured Cornerstone Consulting Organization in its latest issue. In their article, “Eyes Wide Open,” the magazine discussed how Cornerstone can support local economic development agencies in their efforts to attract, expand and retain businesses. Click here to read the story.
With antiquated equipment, staffing issues, and increasing demand, our client’s on-time delivery performance was suffering. Changeover times were increasing; unplanned maintenance was crippling overall equipment effectiveness (OEE); and material conversion rates had become highly inefficient. Entropy had consumed the operation. The result was suspended or significantly disrupted vehicle assembly, excessive premium freight charges, high employee turnover (especially in key positions), and a loss of customer confidence.
Volatility in the Manufacturing Industry
We keep hearing that the economy is doing great, so why are so many manufacturers downsizing? Since the Great Recession, the industry has become accustomed to instability. We’ve seen reductions at multiple OEMs in 2019, and now we are beginning to see the downstream impact of these reductions on many Tier 1 manufacturers.
Business Cycles Happen.
The automotive and heavy-duty truck industries are certainly not exceptions to this rule. Don’t get caught off guard by adverse economic circumstances. Pay attention to these key factors to determine how well your business can tolerate an economic or market downturn: