The Importance of Having the Right Tools During a Pandemic for Any Local Business
Is your business facing uncertain times during this period of global concern?
Has the COVID-19 pandemic taken a toll on the status of your business?
Just to let you know, we feel your pain, and you’re not alone.
From technology to manufacturing, the coronavirus has hit every sector hard, and businesses around the world are struggling to stay afloat during these turbulent times.
This pandemic has seen a significant rise in job cuts, operational downtime, and forced facility closures.
The good news is that there is light at the end of the tunnel amid the gloom and the fear.
“Drastic times call for drastic measures”
By investing in the right tools, your business will emerge from the pandemic stronger, more resilient, and well-equipped to detect and tackle any future outbreaks.
In this article, we assess the cost of not having the right tools during the pandemic.
To make this an easy read, here’s an outline of what we will cover:
A: The Cost of Not Having the Right Tools
#1: Factory Downtime and Recovery Costs
#2: Employee Self-Isolation Costs
#3: Increased Production Costs
#4: Significant Operational Costs
#5: Higher Insurance Premiums
B: Pandemic Preparedness – Why Investing in the Right Tools is Important
#1: Prevent Forced Shutdowns
#2: Maintain Business Operations
#3: Avoid Employee Layoffs and Pay Cuts
#4: Improve Collaboration
#5: Protect Business Reputation
A: The Cost of Not Having the Right Tools
#1. Factory Downtime and Recovery Costs
Here’s a stat that will shock you! Did you know that every manufacturing plant loses about 5% of productivity due to downtime?
In case you are wondering, downtime is the time lost when a machine is not in operation. With over 800 hours wasted every year, your firm could be staring at huge losses running into millions of dollars.
With the COVID-19 pandemic wreaking havoc in every sector, revenue losses are bound to increase tenfold. Firm owners should expect to experience more losses or higher running costs, with governments enforcing lockdown rules and mandated closures.
According to a survey by the National Manufacturing Association, about 78% of manufacturers are expecting COVID-19 to have a financial impact on their businesses.
To cushion your business against the effects of downtime due to COVID-19, you should invest in equipment that will help enforce social distancing measures while detecting and preventing outbreaks in your facility.
After all, prevention is better than cure. Considering that the cost of recovery is rising every day, you are better off buying the right tools for your business. This will help protect your facility from unplanned shutdowns and curb the spread of this deadly virus.
#2. Employee Self-Isolation Costs
“It is in difficult times that the great times ahead are dreamt and built, brick by brick, with maturity and the hope that comes from wise action.” – Ben Okri
During these unprecedented times, we have become accustomed to new and not so new words, such as quarantine, self-isolation, sanitize, and social distancing. Of these, self-isolation has become the norm as far as curbing the spread of the virus in factory settings is concerned.
As much as self-isolation is an effective way of preventing the spread of COVID-19 in the workplace, it is extraordinarily expensive to enforce this measure. The law states that you have to cater to the basic needs of your employees by paying their regular rate even if they are away in self-quarantine.
Now, imagine if you had a device that could track social interactions and prevent outbreaks before they happen. Wouldn’t that be great? You would save hundreds of dollars in self-isolation costs.
#3. Increased Production Costs
The impact of COVID-19 on the manufacturing sector and the economy, in general, cannot be underestimated. With disrupted supply chains, declining labor, and reduced consumer confidence, manufacturing firms have a hard time managing production costs.
The cost of production depends on the cost of raw materials, labor, production machinery, and other design elements. If the supply of raw materials is inadequate, your firm will face an upsurge in production costs.
Regrettably, there is nothing much that manufacturers can do to prevent supply chain disruptions. However, you have a big say when it comes to controlling the availability of labor. As you know, labor is one of the four factors of production.
By ensuring you have sufficient labor, you can significantly cut down on escalating production costs. The only way to guarantee adequate labor is by ensuring that your workers do not miss work.
But how is this possible during the pandemic?
Well, by investing in a smart gadget like smartspace, you can track interactions between workers and enforce social distancing rules, thus reducing the risk of transmission and ensuring that everyone comes to work!
#4. Significant Operational Costs
With many firms facing layoffs and pay cuts, operational costs are set to reduce drastically as these companies struggle to stay afloat. However, this means lower revenues due to decreased production.
Conversely, if you want to produce the same quantity as before, but with a leaner workforce, you have to spend more money on your operations.
You may have to automate your operations or pay the remaining employees higher wages to maintain at the same production level.
Now, all this costs money, and most firms cannot sustain the high operational costs. In any case, it does not make sense to lay off your staff only to spend more money on your daily operations.
The good news is that this does not have to be you!
You can reduce operational costs easily by investing in devices that will help to ensure that your workers do not miss work due to the threat of COVID-19.
With your workforce intact, your business can sustain itself and operate at normal rates during these turbulent times.
#5. Higher Insurance Premiums
Look! You are likely to pay higher insurance premiums during this time if you do not have the right equipment and machinery to protect your workforce and fight the upsurge of COVID-19 in your business.
Why is this the case?
Well, the reason for this is that insurance companies calculate your premiums based on the risks involved. If you do not have the right protective tools, such as PPEs and contact-tracing devices, the risk of contracting COVID-19 at work is higher. This raises the cost of your monthly premiums.
According to a recent survey, up to 65% of the respondents expected insurance rates to increase in the coming year.
With many manufacturers already facing financial challenges during this time, it is only logical that you take action by investing in hi-tech tools like smartspace.
This will show your company’s resolve in reducing the risk posed to your employees. Therefore, your insurer may opt to maintain the same insurance rates you were paying before the pandemic.
In any case:
“Success is not always guaranteed, but inaction will guarantee failure.” – Ken Poirot
B: Pandemic Preparedness – Why Investing in the Right Tools is Important
Would you rather shut down your firm during the pandemic or invest in the right tools and stay afloat?
Any serious business executive will opt for the latter rather than the former. In any case, you stand to gain a lot in terms of ROI when your business stays open, despite the hard times and numerous challenges you have to face.
Moreover, buying pandemic preparedness tools is a one-time investment that will protect your business, your employees, and your reputation in the long-term.
Here are a few reasons why investing in the right tools is essential for any business.
- Prevent Forced Shutdowns
Shutdowns have become the norm in recent times, with many firms facing temporary closures as the impact of COVID-19 escalates. Some firms have closed shop completely with no hope of recovery.
One of the reasons for state-mandated business closures is non-compliance with the set COVID-19 guidelines. Some businesses continue to operate with a total disregard for government directives, subsequently compromising workers’ safety and that of the communities around them.
To comply with lockdown rules, firms must invest in the necessary COVID-19 tools and equipment to help curb the spread and ensure that workers are safe from the pandemic.
- Maintain Business Operations
According to a survey by Gartner, close to 88% of companies were not prepared for the Coronavirus pandemic. Only 12% of the respondents demonstrated the capacity to respond to the COVID-19 outbreak.
What does this tell us?
It means many businesses are facing “extinction” if the Coronavirus situation does not improve in the coming weeks.
Another report by FEMA shows that over 40% of businesses will not reopen post-COVID-19.
To avoid becoming a victim of these shocking statistics, you should invest in the right tools to keep your business afloat post-Coronavirus.
- Avoid Employee Layoffs & Pay Cuts
The majority of companies are laying off their workers as the effects of COVID-19 starts to take a toll on finances. Businesses that have managed to stay afloat are urging their employees to take pay cuts in line with the reducing revenues.
However, by setting up the ideal business continuity strategy and investing in the right tools, you do not need to lay off your workers or ask them to take pay cuts.
These tools and strategies will ensure that your business operates as normal by shielding your firm from the effects of COVID-19.
- Improve Collaboration
Collaboration between different departments has become a huge challenge for most firms following the outbreak of the Coronavirus.
With social distancing measures in place, it has become increasingly difficult for stakeholders to interact conveniently. Virtual meetings have now become the standard way of communicating.
However, the cost of setting up virtual meetings can sometimes be overwhelming for businesses that are just starting. That’s why we recommend gadgets like smartspace as a convenient alternative.
This smart device tracks physical interactions and triggers a warning if you get too close to your colleagues. This makes physical interactions possible while adhering to social distancing rules.
- Protect Business Reputation
Your response to COVID-19 or any other pandemic can go a long way in determining how potential customers view your brand. You risk tarnishing the reputation of your business if you do not have clear strategies and tools to fight the pandemic.
If your firm has numerous cases of employee infections or you’ve been forced to shut down, customers have every right to assume that you are insensitive and ill-prepared to attend to their needs.
What is smartspace, and How Can It Help in Pandemic Preparedness?
smartspace is a hi-tech device designed to curb the spread of COVID-19 and ensure maximum safety during this time of global concern.
The gadget comes in handy to track and monitor interactions in various controlled settings, such as factories, construction sites, schools, health centers, and retirement homes.
As the world turns to science and technology for solutions, gadgets like smartspace can make the difference in ensuring that your firm does not shut down during this crisis.
The device will help detect and prevent an outbreak before it happens by enforcing social distancing and triggering an alarm in case of any breach. It also provides real-time data that you can use to mitigate risk.
Even better, the device is not a COVID-19/pandemic-only product. You can use it for traceability purposes, ensuring that your workforce remains safe throughout the year.
Ready to Reap the Rewards of smartspace?
Now that you know how to secure your facility from the effects of COVID-19, it is up to you to take a step in the right direction. smartspace provides considerable benefits that are not available anywhere else.
The best part is that you can use smartspace for years to come to detect and prevent future outbreaks not necessarily related to COVID-19.
“Great things happen to those who don’t stop believing, trying, learning and being grateful – Roy T. Bennett”