12 Mar COVID-19 Impact on the Supply Chain
By now, everyone has heard about the coronavirus COVID-19, but not everyone knows what the impact is for their business. We want to share what we are hearing about the effect this virus is having on the supply chain. Zebra and Honeywell have both issued statements to their partners about how they will be handling supply chain impact of COVID-19. As of today, this is what we know.
Zebra’s operational response to the coronavirus
Many customers and partners have asked about how we’re adjusting our operational plan to allow us to move forward in this challenging and dynamic environment. Protecting the health and safety of our employees, customers and channel partners is our top priority, and our hearts go out to all impacted by the coronavirus COVID-19 outbreak.
Zebra is monitoring the situation closely, and we have formed a cross-functional incident response team that is meeting regularly to assess the situation, ensure team member safety and provide guidance and support to all our global stakeholders. We are closely monitoring our supply chain, which was initially impacted by the coronavirus, as we have manufacturing facilities and suppliers in the affected areas of China that were delayed in returning to business following the Chinese New Year.
We have activated our mitigation plans to ensure a smooth supply chain. However, given these unique circumstances, you may see a slight extension in lead times on some products. [AB&R] can confirm current lead times directly with [our] Zebra Account Manager. Your account manager has or will reach out to you to develop a plan to achieve the Q1 revenue targets by prioritizing products that are available to sell now. We appreciate your patience and will keep you updated as more information becomes available.
Working with Our Sales Team
We are taking this outbreak very seriously and aligning our internal travel restrictions with guidance from the relevant government entities around the globe, as well as the World Health Organization (WHO) and the United States Centers for Disease Control and Prevention (CDC). We have enacted restrictions for employee travel to and from high-risk areas (including layovers) to proactively limit the potential for the disease to spread and have encouraged employees to only travel in non-restricted areas to the extent they feel comfortable doing so. We appreciate your patience and flexibility as some regular in-person meetings may transition to virtual meetings in certain situations.
Zebra is offering local team members in impacted areas flexible working arrangements to limit their exposure to public spaces, while our Environmental, Health & Safety (EHS) and Facilities teams constantly assess supplies requirements for Zebra sites including hand sanitizers, etc. We also continue to broadly share these simple tips from the WHO on how to reduce the risk of getting sick.
Keeping Our Customers and Partners Safe
Several of you have asked if the virus can spread through goods imported from China. According to the CDC, it’s extremely unlikely the virus can spread via items shipped from China. Experts say coronaviruses typically do not live very long on surfaces and are unlikely to survive over a period of days or weeks when an item is shipped. Given the time it takes a Zebra product to reach the end user or destination, it is again highly unlikely there would be any transmission of the virus associated with an imported good.
We also encourage thorough disinfection of mobile computers, tablets, printers, scanners and other devices to maintain infection control in workplaces and public spaces. But there is a right and wrong way to do it. Given the rapidly evolving situation, we are receiving a high volume of questions about how our devices should be cleaned in order to best protect the front-line workers using them in hospitals, warehouses, stores, routes and more. We encourage you to read (and share) this blog post for more details.
Our Commitment to You
I want you to know that Zebra is committed to working closely with you during these challenging times. We take great pride in working with you and helping you serve your customers. Should you have questions regarding business continuity, please contact your Zebra Account Manager or email us… and we will respond to you as soon as possible. Thank you for your continued partnership.”
This content is sourced from a Zebra Technologies email sent to partners on 3/11/20 | View Full Statement
Shelter In Place Update on COVID-19 from Honeywell
“Dear Valued Productivity Products Partner,
Given the rapidly changing business environment caused by the emergence of the coronavirus (COVID-19), we are closely monitoring our supply chains for any potential disruptions.
You may have heard that certain states and local counties or municipalities have issued “stay at home” orders to close non-essential businesses for certain periods of time.
While Honeywell Productivity Products operates sites in some of these locations, as of this writing, our sites in areas under such orders are able to continue to operate, as they supply critical products and services to essential critical infrastructure sectors. We have also taken steps at our sites to mandate that our employees follow the latest guidelines including engaging in social distancing.
As a result, these facilities will remain open and we currently do not anticipate any significant impact from these orders on our ability serve our customers.
Our cross-functional teams will continue to monitor our operations and to leverage Honeywell’s global supply chains to mitigate any challenges that arise from the unprecedented actions being taken to impede the spread of COVID-19.
We remain ready to serve your business during these challenging times and as the global economy recovers.”
VP Marketing, Productivity Products”
This content is sourced from a Honeywell Safety and Productivity Solutions email sent to partners on 3/27/20
Honeywell COVID-19 Update
“We know many of our valued customers and partners such as yourself are assessing the impact and the disruptions caused by the COVID-19 coronavirus. Our thoughts are with your employees and their families at this very difficult time.
We want to inform you of the efforts Honeywell is taking to continue serving you today and in the future.
Like other companies, we are making some adjustments to accommodate local mandates and precautions against COVID-19 and some of our employees are working from home.
Despite this, your Honeywell contacts are available and our sales representatives are actively working and serving our customers and inquiries. Business-critical travel is being supported at this time, but we are encouraging our sales and support personnel to engage virtually as much as possible. Please continue to reach out to them as you normally would.
If for any reason you cannot reach your regular representative and want to connect with Honeywell, we have included our Customer Service contact information below.
As for our ability to supply you with the services and products you need, we are pleased to say that our teams have done a terrific job mitigating most impact from COVID-19 to our production operations and that the vast majority of our manufacturing and service sites are online. Where appropriate, we have added production shifts and our employees are working overtime to fulfill the demand for our products and solutions.
In some cases, however, we are seeing delays in supplier deliveries or logistic flows. Our teams are working hard to minimize these delivery impacts as much as possible. As needed, we are notifying affected customers of delays and as new information comes available.
In cases where we are working on our customers’ sites, we are taking steps to ensure that our employees and subcontractors are safe and able to be productive. Our project managers remain the experts on-site to handle situations as they evolve, and any delays or issues will be discussed directly with your team. We appreciate your understanding in this rapidly shifting environment.
Honeywell has activated its global, cross-functional Incident Management Team (IMT), including our Honeywell medical team, several weeks ago. Our IMT meets daily and provides guidance for our businesses and employees in response to the latest COVID-19 news and local/regional directives. All Honeywell sites have plans in place with specific roles and responsibilities relating to this health crisis.
The safety of our employees and customers is our top priority, and we continue to monitor the COVID-19 situation globally. As circumstances change, we may reach out with more information or an update. In the meantime, please know that we appreciate your continued support of Honeywell and your business.
President and CEO, Honeywell Safety and Productivity Solutions
President, Honeywell Productivity Products”
This content is sourced from a Honeywell Safety and Productivity Solutions email sent to partners on 3/18/20
Effects of the COVID-19 Coronavirus on Our Supply Chain
“Dear Valued Partner,
We wanted to update you regarding the effects of the COVID-19 coronavirus on our supply chain.
The mandatory quarantines and a general enterprise shutdown issued by the Chinese government caused some minor delays in production and lead times. As of this week, all of Honeywell’s manufacturing sites and suppliers are back online and near normal production levels.
Delivery and lead time impacts will vary by order based on inventory levels and location of manufacturing for the specific products. If you have questions about any specific product or order, please contact your Honeywell customer service representative or your preferred Honeywell authorized distributor directly.
Despite the volatility, Honeywell’s robust supply chain has a production plan that will deliver all open orders and currently forecasted demand by the end of March, resuming to normal lead times within the next two to four weeks.
Placing orders early will help Honeywell better optimize our production and provide priority to those customers placing firm orders. This is especially important if you have a business-critical rollout with deployment deadlines. While we are working to accelerate capacity, there is a backlog for demand and Honeywell uses a First In, First Out order allocation. Placing your order early with Honeywell or your preferred authorized distributor ensures we can support your customer requirements for Honeywell offerings.
We will continue to monitor the COVID-19 situation and will update you as necessary. Honeywell is committed to offering you best-in-class products and services to help you better serve your customers.”
This content is sourced from a Honeywell Safety and Productivity Solutions email sent to partners on 3/5/20 | View Full Statement