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History has a way of teaching those who are willing to listen. Observing how others are dealing with and reacting to events provides data to ensure that the best decisions are made in real-time when faced with uncertainty. Establishing a strong core foundation ensures security in troubling times. All these factors have aligned when reviewing how FRAMOS reacted and managed during the first wave of COVID-19 pandemic and how its strategy, moving forward, are looking positive.
This article will review how the FRAMOS team anticipated the global reaction to this pandemic in advance for each region, managed their office areas, employees and customers while in lock-down, and are planning for the aftermath once lock-downs are released and business recovers. Having a strong management team with broad experiences, utilizing both a diplomatic and sympathetic approach to decision making while leveraging strong core values were all integral in FRAMOS’s success throughout this ordeal.
Anticipating Lock-down Mode
When news started coming out of Wuhan, China, about a mysterious illness affecting its population, the world mostly watched from the sidelines not anticipating the seriousness of what was about to come. It was not until this virus reached Europe that it became apparent how infectious it was and how difficult it was to contain. And, it was around this time, in January 2020, that the team at FRAMOS was starting to see how the worldwide supply chains were being affected and started making plans to mitigate its effects on its customers’ orders. With the help from strong partners like Vimos, they were able to source and acquire products out of Asia quickly before borders closed and caused shipment delays. A COVID-19 response team was formed to decipher the changing global situation and its impact on all aspects of the company, and to start executing plans for the arrival of the virus.
Lifeless Canale Grande—Venice. (Image courtesy of FRAMOS
“The team and our core values, specifically our Fail Forward value, helped with trying ideas in specific regions to see how they worked and using that knowledge to apply them in other regions. Plans that worked in Italy were then applied to the other European and NA offices.”says FRAMOS CEO, Andreas Franz.
Leveraging its global workforce and strong core values allowed us to test plans locally which could then be used globally. Information was freely shared around the company as to how each region was dealing with effects of the virus and lock-downs to help others prepare, anticipate, and plan for the virus’ ultimate arrival in their regions.
Stocked up inventory. (Image courtesy of FRAMOS.)
It was decided to build up inventories to ensure adequate supplies for customers should a prolonged lock-down cause severe supply chain delays. All hands were on deck working with clients to understand their short term and midterm needs and, in some cases, acquire parts at much higher costs to maintain supplies and ensure that their production lines stayed running. Many of these additional costs, for example, purchasing items in high demand, carrying higher than normal inventories, and protection equipment were absorbed and not passed along to their customers. It was important to maintain our strong relationships with clients globally by supporting existing commitments in these trying times.
Managing While in Lock-down
As each office was hit by the pandemic and began lock-down procedures, FRAMOS’s COVID-19 team was already in action preparing each location for social distancing and working from home. Little did they know at the time that much of their planning had been done years ago.
The empty FRAMOS office after lock-down.
The first step in the checklist was to ensure that everyone was able to work safely, wherever they needed to be. The primary focus was to keep as many people working from home as possible. This was achieved easily through an advanced corporate IT infrastructure. It had been decided several years ago to move all servers, data, and tools to cloud based versions whenever possible. Tools like Microsoft 365, especially MS Teams, allowed for easy collaboration and data sharing between offices and personnel while on the road but were now being leveraged to enable home offices and keep work flowing during the lock-down. This was enough for most employees to continue working and stay in contact with others in the company. With a simple headset, people were able to make and receive phone calls from customers and suppliers in the comfort of their homes without the external world knowing that anything had changed. More meetings were moved online with people being more aware of their office backgrounds, pets, and kids. It was a human side that was not as visible as before but a welcome change as everyone adjusted to the ever-changing situation.
Engineering work bench—home edition.
The company focused on coordinating shipping and receiving to further minimize the spread of COVID-19.
Most surprising was that many of the customers were deemed essential and thus were able to continue operations. Camera development worldwide was still being done which meant they needed both supplies and continued support to maintain project timescales for completion. Every effort was made to ensure that these customers had what they needed to maintain their production lines between shifts. Ron Low, Director of Sales in NA, “We are still experiencing a positive book to bill while business levels continue in an upward direction after strong performance in Q1’20.” This positive news shows the Vision Market is still strong despite many worldwide markets dropping during the global pandemic. It also confirms that current downturns may be short lived and will recover more quickly once quarantine measures are lifted.
The Path to Recovery
Many signs seen prior to and during the lock-down are suggesting that the recovery might come sooner for those companies working in the various Vision and Imaging Markets. History shows that during past pandemics, markets crashed while people were dealing with illnesses. As herd immunity increased and people showed signs of recovery pushing markets up temporarily until the next wave of infections hit, crashing markets again. However, in each instance, markets rebounded more than ever once people were immune and the infections were no longer spreading. It is hard to predict if this pattern will repeat but it appears to be tracking along a similar course. The race to create a vaccine against COVID-19 will be key to how quickly markets, companies and people recover, and things got somewhat back to normal. Lorenzo Cassano, CEO with Mavis Imaging, says “Customer survival will be dependent on their financial capabilities and how innovative and receptive they are to adapting and accepting change. They need to be adaptable, flexible while having a strong innovative DNA.”
Given this, the short-term path will focus on existing customers who have immediate needs. Part of this strategy will be to “to find and retain longer lasting customers and bolstering our tech skills to support them will ensure that we continue to stay strong moving forward”, proclaimed Mr. Franz. Vision is still a large market and is still growing exponentially so the opportunities are out there. This cannot be said for other markets as it could be 2-3 years before they see recovery to past levels. At this time, FRAMOS’s day-to-day has not really been impacted by the pandemic. As Chris Barrett, Chief Product Officer, points out “… FRAMOS is in a market that is well diversified so is less impacted by the pandemic. Business will continue as it has historically.”
A set up of their video conference call from home. (Image courtesy of FRAMOS.)
Conclusion
The COVID-19 pandemic was felt worldwide and hit without discretion. Companies needed to prepare and execute quickly to ensure that their staff was safe while maintaining business continuity. Those who will recover more quickly will have solid action plans on getting their people working effectively again in the new environment while respecting local and global restrictions put in place to curb the spread of the virus. Having a strong foundation, built on good core values and a democratic management style have benefited FRAMOS in their management of this crisis and their recovery plans. Their outlook post-pandemic is positive with plans for continued growth and larger global reach moving forward. Their “Fail Forward” and “Customer First” core values were exemplified on numerous occasions during the time leading into and during the lock-downs which allowed both their staff to quickly react and ensure timely deliveries of products and supplies to their customers while maintaining business levels and commitments to both our suppliers and partners globally. For these reasons, it appears that they are prepared for the next phase in the pandemic and will do whatever it takes to ensure that they continue our work and service.