Pandemic-driven supply chain disruption is a reality that no business can argue. Along with disruption, the pandemic has also spawned myths. If these myths aren’t questioned to separate fact from fiction, companies will find it much harder to successfully move forward.
At Pivot International, our reputation for securely leading our clients through disruption continues to grow. Leveraging the power of strategic partnerships, we help clients bring award-winning products to market in exceptionally challenging times. With nearly a half-century of leadership in supply chain solutions, product development expertise that spans over fourteen industries, and extensive manufacturing capability, we are a premier one-source partner for companies worldwide.
What myths have arisen due to pandemic-driven supply chain disruption, and where does the truth of the matter lie? Let’s take a look.
Disruption has brought market opportunities to an all-time low.
While there’s no disputing that pandemic-driven disruption has introduced new challenges, it has also opened a wealth of new opportunities in consumer, industrial, sports and entertainment, and medical markets. For instance, the demand for virtual communication and collaboration technologies, digital self-services, and IoT-enabled home-fitness products has skyrocketed. The demand for telehealth services and home-care medical devices alone has mushroomed throughout the pandemic to represent a market of $250 billion in U.S. healthcare spending.
Supply chain risk is too high to begin or resume product development.
Companies are rightfully wary of sourcing shortages and delays. Many have shelved their product development plans indefinitely, believing supply chain risks to be too high to proceed securely. While this is understandable, it’s unfortunate.
Proven partners with transparent, diversified, company-owned sourcing networks can provide the level of security companies need for confidently moving their product development forward. At Pivot, even at the peak of COVID-19 supply chain disruption, we were largely able to protect our clients from adverse impact and keep their product development on track.
Cost-effective alternatives to China-based manufacturing are difficult to find.
For companies dependent on security-sensitive or critical components, recent trade regulations mean China-based manufacturing is no longer an option. This has caused many companies to scramble to find alternative sourcing solutions — no small task from a price-point perspective.
But high-quality, cost-effective alternatives do exist. With more than 200,000 square feet of manufacturing capability that spans three continents for serving U.S., European, and Asian markets, Pivot delivers the alternative sourcing solutions that companies desire.
Design needs to take a backseat to more reliable revenue drivers until disruption subsides.
Some degree of disruption and risk are inevitable and are simply the cost of doing business. The question is not whether disruption and risk exist, but whether companies are prepared to innovate their way through it.
Make no mistake, design is a key revenue driver. Design refers to far more than just how a product looks and feels. Design is also intimately related to how a product functions and whether it is optimized for UX and scaleable manufacture. DFM, especially, delivers multiple advantages that result in measurable improvements to ROI.
As the world continues its march toward the next normal, tough challenges remain. But by dispelling supply chain myths, businesses will be better able to move successfully forward to capitalize on emerging opportunities. If you’d like to learn more about how Pivot can help you bring a successful product to market, contact us today for a free consultation. We’re here to help.