This pandemic will long be remembered not for the countless problems it has created, but rather, exposing countless flaws that have already existed – it’s just that COVID-19 painfully ripped off the bandage and let it all fester. We’re mired in this reality now, whether it’s what we’re seeing with our burdened public health systems, inequality, racial relations or supply chains within the food sector and other industries.
Can’t wipe this one under the rug
The impact this pandemic has had on our supply chain reared its head again this week with Clorox announcing that its popular line of cleaning wipes products won’t appear on store shelves – that is, without any hiccups – until at some point in 2021.
That’s a disappointment to consumers who, during this spring, had listened to supply chain experts who said anything having to do with restocking cleaning supplies would get back to normal this month at the latest.
No matter how one may feel about using any cleaning wipes, period (fun fact: the CDC has recommended many cleaning spray products can work just fine, and in a pinch, you can make your own), this is far from a case in which Clorox did anything right or wrong. Six months ago, no one thought we’d be in the midst of such a crisis – though when it comes to long-term planning, some companies as different as Intel and Waffle House would beg to defer.
Global supply chains are the problem, not the solution
But what this pandemic has revealed is how global supply chains have often become the problem, not the solution, especially when a crisis akin to the one we’re experiencing now wreaks havoc. The problem Clorox and its competitors are currently facing is that one of the key raw materials in cleaning wipes, polyester spunlace, is also critical for the manufacture of personal protective equipment (PPE).
Even if that coveted polyester spunlace can be found in other nations, there are other snags that can hit a company’s supply chain, including many companies’ reliance on China for making plastic canisters.
Meanwhile, the manufacturing of paper products such as toilet paper, the shortage of which launched a million memes earlier this year, has largely stabilized in the U.S. – but that’s because most companies in this space rely on pulp sourced from the Americas.
Bottom line: do you want wipes or PPE?
Global supply chain risks have been exposed as open sores on the business landscape as healthcare systems and governments have scrambled to ensure they have adequate supplies of PPE. Countless heads of companies and government agencies have since questioned the conventional wisdom of sourcing such products from abroad – and last month’s flooding that hit much of China added another reminder that it doesn’t take much to disrupt any company’s supply chain.
True, smart companies can pivot quickly during a time like this. They can swap canisters for soft-sided packaging, they can scramble and find different-sized containers, and sure, at a time when consumers aren’t so persnickety, fancy colored tabs and labels can be ditched – no one is going to fuss over the appearance of a roll of wipes.
But once we emerge from this pandemic and settle in for a long debrief over what went wrong and what could have been done to prepare us, there will be room on that list for how companies could have approached their supply chains. A more localized supply chain just isn’t about preparedness in the face of disaster – there are also opportunities to build local communities with good jobs while strengthening their brand reputations. Trust is in short supply now, and it will be invaluable for companies in the long run. Becoming, procuring, and operating more locally will prove to be both a smart and remunerative strategy.
Image credit: Leon Kaye
