{"id":27647,"date":"2020-03-12T00:00:00","date_gmt":"2020-03-11T23:00:00","guid":{"rendered":"https:\/\/migrate.psi-network.de\/2020\/03\/12\/corona-crisis-this-is-how-the-industry-is-preparing-itself\/"},"modified":"2022-12-12T15:48:18","modified_gmt":"2022-12-12T14:48:18","slug":"corona-crisis-this-is-how-the-industry-is-preparing-itself","status":"publish","type":"post","link":"https:\/\/psi-network.de\/en\/2020\/03\/12\/corona-crisis-this-is-how-the-industry-is-preparing-itself\/","title":{"rendered":"Corona crisis: This is how the industry is preparing itself"},"content":{"rendered":"\n
\"\"
\u00a9 Kadmy – stock.adobe.com<\/figcaption><\/figure>\n\n\n\n

The corona\npandemic is here. It originated in China which is struggling with the enormous impact\nof the crisis on people, the society and the economy. The economic consequences\nare now being felt worldwide, and fear is also widespread here. What are the\nimplications of the corona crisis for the promotional product industry which is\nconnected in many ways to its most important sourcing country, China? How are\nimporters reacting to the current situation?<\/p>\n\n\n\n

Marcus Sperber, elasto: “We are currently supplying from stock.”<\/strong><\/p>\n\n\n\n

First a few\nfacts: People are slowly returning to the offices after the extended Chinese\nNew Year holidays. Production is running at around 20 percent, and normal worktime\nis planned for the end of the month. WHO and the Robert Koch Institute agree\nthat products are generally not virus carriers. I don’t know of anyone who is travelling\nto China at the moment. New products will not be shown in China until two to\nthree months later. The contamination wave seems to be subsiding in China. Almost\nhalf of those infected are at home again. We are currently supplying from\nstock, but there will be delays in the supply chain. If things change for the\nbetter in China, the problems will remain quite manageable. Plastics production\nat our site here is experiencing a significant increase in demand. So there are\npositive aspects too. One of them is that I currently have a lot more time for\ncustomers and internal business because all trips to China have been cancelled\nfor the next two months.<\/p>\n\n\n\n

Armin Halfar, Halfar System GmbH: “Our capability of supplying is very good as we have high levels of stocks.”<\/strong><\/p>\n\n\n\n

We\ngenerally ensure that we have high stock levels and are currently registering sales\nincreases in stock items. Quite a few orders that would normally have gone to\nAsia as special productions are now being realised with stock items. We work\nclosely with our plants. We are aware of the uncertainty of employees and\ncustomers. Customers and end customers request statements on the supply chain,\nplant reliability and replacement procurement \u2013 this entails additional\neffort. The supply chains were interrupted by the New Year anyway so we are\nroutinely prepared for this with high levels of standard stock items. One or more\nspecial transports will certainly be unavoidable. We are certain that we will\ncontinue to feel the effects of the crisis for a long time to come. But at\nleast China is now reporting fewer new infections and more and more people are\nrecovering. The bottom line is that our capability of supplying is still very good\nwith more than four million bags in stock. Until a few days ago, goods that had\nbeen despatched by sea before the New Year festivities were still arriving\nevery day. We are certain that we will be able to maintain our good supply\ncapability thanks to our good stock levels and gradual start of production in\nmid-March. We also pay great attention to hygiene and the avoidance of risk\nfactors at our sites. We hope that we will be spared having to take restrictive\nmeasures.<\/p>\n\n\n\n

Ralf Oster, PF Concept: “We are delivering according to schedule but are prepared for bottlenecks.”<\/strong><\/p>\n\n\n\n

At PF\nConcept, business is as usual and there is no panic, but we are carefully\nmonitoring and analysing the situation. The order situation is still good and\nwe are delivering on schedule. Nevertheless, we assume that we will have to\nmanage bottlenecks in the next two to three months. Our inventory is sufficient\nand through our on-site organisation we are trying to ensure supply of our top\nsellers. But even if some of our key products are sold out, we can fall back on\nattractive alternatives due to our high stock levels and extensive range. That\nis enough for a long transition period and therefore we can successfully manage\na possible shortage in the customer’s interest. Our advantage is our\nlong-standing personal presence in China and other Asian countries. After the\nreopening of the factories, we enjoy privileged treatment due to long-standing,\nclose relations with suppliers. So far, there have been no delivery delays with\nsuppliers outside of China. Here we benefit from the fact that our parent\ncompany Polyconcept has been successfully establishing supply chains outside of\nChina for several years in order to be able to ensure the usual quality and\nservice. In order to protect our employees, we have created internal national\nemergency plans for each country. We are guided by the hygiene recommendations\nof the Robert Koch Institute and national official institutes. We recommend that\nemployees do not travel, but do not prohibit them. If the situation remains\nunchanged for three to four months, we will have to reassess the situation\nbased on the latest findings.<\/p>\n\n\n\n

Karin Pfrommer, nestler-matho: “Intact supply chain, well-stocked warehouse, hesitant customers.”<\/strong><\/p>\n\n\n\n

At the very\nbeginning of the Corona outbreak, worried customers wanted to know whether\nChinese products pose a risk. According to unanimous expert opinion, we were able\nto give the all-clear. Our supply chains have so far been intact, especially as\nwe have no suppliers in the crisis region, with one exception. However, in the\ncase of this supplier there is a delay in delivery. As usual, this year we also\nmade sure that goods were despatched before the New Year to ensure that our warehouse\nis well stocked. So there are no restrictions. Most workers are back and\nproduction has started up again in many places. We are in daily contact with our\nsuppliers and pass on information to our customers. We have cancelled our trips\nand assume that we will not be visiting any trade shows again until October. Our\nsales department and sales reps have noticed a rather hesitant buying behaviour:\nSome sectors such as tourism, transport and catering are anxiously waiting to see\nhow the situation develops. Everyone in our company is cautious, but we remain\nrelaxed.<\/p>\n\n\n\n

Meinhard Mombauer, reflects: “We are reacting with expertise and prudent action.”<\/strong><\/p>\n\n\n\n

In the case\nof our customers, you can clearly see that the initial uncertainty is increasingly\ngiving way to prudence. I am glad that the momentum of reliability is obviously\nstill firmly anchored in the market. Where only the price has ruled, the\nclimate is certainly worse. It is the job of an entrepreneur to look for\nopportunities even in times of crisis. We are doing that and moving even closer\nto our customers. We are also checking suppliers and supply chains. Basically,\nhowever, we feel that we are well positioned to deal with this issue because we\nhave been well connected locally in Asia for many years and also in this\ncountry. That is why our delivery routes are also running smoothly, albeit\nsomewhat slower with more effort and with small volume reductions here and\nthere. We certainly have to deal with the issue of the corona virus carefully\nand with the utmost caution. We also do that in the company. But the way various\nmedia, especially in Germany, treat the topic is irresponsible. There is no\nfactual information, but rather fear is raised to ensure that clicks, ratings\nand circulations increase. We have to counter this with expertise and prudent\naction \u2013 and that is exactly what our customers can count on.<\/p>\n\n\n\n

Dolf Blomhert, Giving Europe: “We are well positioned through our network”<\/strong><\/p>\n\n\n\n

Even though\nthe corona virus dominates the headlines in the international media, we cannot\nsee any crisis or noteworthy changes compared to previous months in terms of\nbusiness operations. Our large stocks are also designed for deliveries at short\nnotice. We are in close contact with our customers regarding their obligations\nin order to be able to supply them as well as possible in the medium term. Our\nstocks are also sufficient for this. We are currently not feeling any major\nchanges in the supply chain, apart from the fact that day-to-day business with China\nis affected. We very much hope that our operational business with China will be\nup and running again in the coming weeks. However, it is impossible to estimate\nhow long the current situation will last. We are in daily contact with our\nsuppliers to keep an eye on possible developments. Over the past 55 years, we\nhave created an extensive network of suppliers and production sites around the\nworld. If we feel that the pressure on products from China is growing, we can\nimmediately fall back on other sites that are less affected by this crisis. In\nany case, we will do everything we can to serve our customers as best we can. <\/p>\n\n\n\n

Sascha Thielen, TLN Trade Company GmbH: “Entire impact is not foreseeable” <\/strong><\/p>\n\n\n\n

For the most part, our production facilities have been\nrunning again since 28 February 2020, but minor restrictions still exist. We\ncurrently have a large number of USB sticks, power banks and RFID cards in\nstock or have increased our inventory. Although we assume that production will\nnormalise from mid-March to the end of March, we also cannot rule out the\npossibility of long-term delivery bottlenecks. It is difficult to predict the\nfurther course of the year, but we anticipate a rather difficult situation overall,\nwith declines and a weakening economy. The complete impact of the corona virus\non the entire economy will probably not be seen until May\/June.<\/p>\n","protected":false},"excerpt":{"rendered":"

The corona pandemic is here. It originated in China which is struggling with the enormous impact of the crisis on people, the society and the economy. The economic consequences are now being felt worldwide, and fear is also widespread here. What are the implications of the corona crisis for the promotional product industry which is […]<\/p>\n","protected":false},"author":18,"featured_media":3197,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","_members_access_role":[],"_members_access_error":""},"categories":[26],"tags":[],"class_list":["post-27647","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-promotional"],"acf":[],"yoast_head":"\nCorona crisis: This is how the industry is preparing itself - PSI Network<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/psi-network.de\/en\/2020\/03\/12\/corona-crisis-this-is-how-the-industry-is-preparing-itself\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Corona crisis: This is how the industry is preparing itself - PSI Network\" \/>\n<meta property=\"og:description\" content=\"The corona pandemic is here. 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