Packaging companies could implement the actions listed below to counteract the effect, sustain themselves through this pandemic and plan for future growth:
- Create a crisis response team to manage the organization in this pandemic situation. The team could manage risks, responses and align all stakeholders
- Prioritize and maintain appropriate communication with all employees, supply chain participants, management and related agencies.
- Provide PPE and establish updated guidelines on the work environment within the facility as recommended by the government.
- Review production schedules and footprint, thereby establishing guidelines on stock availability, requirements and coverage of country-specific demand.
- Understand the supply chain, look for gaps and take action to eliminate them.
- Check evolving consumer sentiments towards particular products and update production capacity according to new demand patterns
- Safeguarding financial flexibility and strength by identifying and moderating downside risks to demand in certain segments and closely monitoring commodity price parameters to protect margins.
- Recovery strategy led by leadership teams
- Analyze financial resiliency, operational capabilities, future market demand potential, and establish strategic moves focused on the consumer
- Identify the packaging categories that are expected to have the greatest growth potential in the future.
- Consider supply chain requirements, establish an appropriate production landscape, and rebalance supply and demand parameters for effective production.
- Review product designs and associated capabilities to address emerging trends such as safety, health issues, production and environmental sustainability, and the growth of e-commerce.
- Assessing and responding to changing consumer demand and maintaining the new normal
- Analyze consumer sentiment and project what trend would prevail during the post-crisis period.
- Incorporate and modify capabilities according to new trends, such as hygiene requirements, e-commerce and resurgent sustainability concerns.
- Update and modify commercial portfolios to adapt to the new normal and ensure stable cash flows and liquidity for future use.
- Undertake strategies such as new product development, reduce or modify the product segment according to the new standard, acquire companies that strengthen the business, and strengthen the supply chain by incorporating diverse supplier groups ranging from component suppliers to raw materials.
0 Comments