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Historically, we have seen the toll a national or global crisis—such as war or acts of terrorism—can have on our economy. In 2020, we are facing a global pandemic that has forced many businesses to shut down operations and has left millions unemployed. The Bureau of Labor Statistics reports that within two months of the coronavirus outbreak, the United States saw an approximate 11% increase in the unemployment rate.   

The unexpected can happen in an instant – are you prepared to act with a moment’s notice? Prevention is key to maintaining productivity and operations; a proactive approach will ensure you are able to satisfy increasing demands, even in the midst of a crisis. Cultivating supply chain resilience can mean the difference between surviving a global crisis and shutting down operations. Ensure flexibility in your supply chain with these three fundamentals: 

Survival time

Survival time relates to how long a company can withstand poor market conditions and satisfy consumer demands in the midst of a crisis. You may measure survival time by reflecting on the following:

  • How much product do we have in-stock?
  • How much money/credit do we have on-hand?
  • How many suppliers do we have? How many units can they supply, and how quickly can they do so?
  • How many distributors do we have? How many units can they deliver, and how quickly can they do so?
  • How would we approach working remotely, if necessary?

Damage assessment

When faced with crises, it is important that you are able to assess the resulting damage in order to develop a recovery plan. What is the magnitude of damage inflicted on the company and its supply chain? Consider revenue, products, facilities, employees, and customers. Once you have considered all of these factors, you may develop a plan to get your team back on track – answer the 5W’s (who, what, when, where, and why).


Don’t wait for a crisis to test your team’s competency. We recommend performing a periodic stress-test to ensure your supply chain can withstand and recover from poor market conditions. This simulation can show you what future outcomes may be if your company is faced with a true crisis.

If your company is lacking in crisis preparedness, let’s talk! The professionals at Floro Business Strategies can craft a strategy for your specific needs and guide you to success through crisis. Schedule a call to discuss supply chain resilience today!

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