Managing Supply Chain Disruption During a Crisis

Reggie Fernandes April 14, 2020

“Let your advance worrying become advanced thinking and planning.” – Winston Churchill

COVID-19 has emerged as the most significant compelling event that your business will encounter in its lifetime. It has forced many small and mid-size companies to carefully re-evaluate their supply chain model.

The full impact of COVID-19 on the supply chain is still being determined, with the most optimistic forecast predicting normalcy in Canada by October 2020. Time will tell. However, one thing is certain, the economic and financial ramifications of this will be felt throughout your supply chain, irrespective of the industry you are in.

Here are some glaring numbers and statistics that are worth considering while developing your supply chain strategies to address this crisis:

  • 75% of companies reported supply chain disruptions due to COVID-19 related transportation restrictions.

  • 57% noticed that the lead time has more than doubled since the end of 2019 and is expected to increase even more in the second quarter of 2020.

  • On average, suppliers are operating at 50% of capacity.

  • One in six companies report adjusting revenue targets downward an average of 5.6% due to COVID-19.

  • More than 44% of respondents do not have a plan in place to address supply disruption.

  • 62% of respondents are experiencing delays receiving orders from China.

*Source: Institute of Supply Management (

These statistics may appear gloomy, scary and pessimistic. Most small businesses are not equipped to handle such unprecedented challenges. It could be a worrying sign and it is easy to feel like ‘the sky is falling’. So, what can you as a small or medium size business do to ensure that there is minimum disruption to the way you do business? What steps can you take to ensure that your business survives this crisis, while laying a strong foundation for your business when the economy improves?

We believe NOW is the best time to re-evaluate your supply chain processes. It’s time to discard the traditional way of managing your supply chain. What works when it’s business as usual, falls flat when the business is in crisis. Tough situations call for innovative and out-of-the-box approaches. Remember, your supply chain is the fuel to accelerate and gear your business to reach the next level.

At ProjectLine, we have worked with thousands of small and medium businesses like yours. We have a good understanding of the challenges, fear and mindset of these businesses. We have put together a guide to help you prepare, plan and execute strategies to weather the storm and build a strong foundation on which to scale your business as the next upturn appears.

To help you journey through these times we are putting a series of blogs that can help you address your supply chain challenges:

Subscribe at the top of the page to get the latest posts straight to your inbox. We do hope this mini-series will help you jump-start your supply chain initiative and prepare you to steer through these challenging times with ease and comfort.

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