Issuu

Facing the Challenge

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Manufacturers tackle COVID-19 response

Issue 2, Volume 5 â€˘ Fall 2020

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In this issue Prairie Economic Roundup

It was looking like a good year for much of the manufacturing sector, but 2020 soon turned on a dime. Jayson Myers shares numbers and insight into where the impacts hit hardest, and where the sector might see some glimmers of hope.

The Big Pivot

Manufacturers in every sector stepped up to help with the response to the COVID-19 pandemic. Besides changing up their production and distribution worlds, some companies forged new partnerships with suppliers and customers, both within and beyond the ‘usual’ markets.

The Majesty of Botanicals

One Calgarian’s desire for simpler, cleaner skin care products led her to make her own. Feedback from friends, family, and strangers led her into business. Meet the owner of a boutique skin care line with dreams of meeting Beyoncé.

The Makerspace Becomes the Maker

When the market makes waves, the makers move with them. One makerspace found their space and skills were perfect to take on PPE production for Alberta’s healthcare system. Learn how custom fabrication experience was applied to the pandemic response.

Women in Manufacturing: sandwich leadership

When the going gets tough, the tough get going. And by the ‘tough’, we mean women leaders in manufacturing. Guest columnist, Lori Schmidt, shares her insights and tips on how industry leaders can find success in caring for their people both at work and at home.

The Misinformation Crisis

We’ve all seen it, but do we all know what misinformation actually is and what it looks like? Professor, researcher, author, and TV host Timothy Caulfield helps us identify misinformation and shares some tips on how to deal with it.

Next issue Manufacturing: the next generation - In some people’s eyes, manufacturing might be an industry of the, shall we say, wise. Despite this perception, it’s not the reality. We’ll meet some of the bright minds and big hearts who are getting ready to take over as the next generation of Prairie manufacturers. Alberta Manufacturing: Green and Lean - Alberta is more than cattle, oil and mountains. There’s a strong green streak running through the province, and manufacturers in all sectors are leading the way. We’ll uncover manufacturers who are producing their wares in environmentally conscious ways and producing environmentally sustainable goods by ensuring minimal waste. Booking deadline: November 6, 2020 Material due: November 13, 2020

Editor Jeff Baker jeff@prairiemanufacturer.ca Special thank you to our editorial advisory committee. Creative Director Dana Jensen Sales info@prairiemanufacturer.ca © Copyright 2020 Prairie Manufacturer MagazineTM All rights reserved. The contents of this publication may not be reproduced by any means, in whole or in part, without prior written consent of the publisher. Publications mail agreement #43155015 Return undeliverable Canadian addresses to: Prairie Manufacturer Magazine 207 Hugo St. North, Suite 3 Winnipeg, MB R3M 2N1 To change your address, or to be removed from the mail list, email info@prairiemanufacturer.ca. While every effort has been made to ensure the accuracy of the information contained in and the reliability of the source, the publisher in no way guarantees nor warrants the information and is not responsible for errors, omissions or statements made by advertisers. Opinions and recommendations made by contributors or advertisers are not necessarily those of the publisher, its directors, officers or employees. Cover photo courtesy Sleek Advertising Ltd. Proudly printed by Quantum Graphics & Consulting Printed in Canada | 9/2020

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Editor’s Notebook

Nevertheless, you persisted Prairie manufacturers step up to the challenge of COVID-19 By Jeff Baker

ell, here we are. As I write this, it’s just gone mid-August, and it honestly feels like summer has 1) finally settled in for a spell, 2) is quickly speeding its way out the door to make way for fall, or 3) has yet to really begin because there’s no way it’s actually any later than April. Or it’s feeling like all three of those things, and it’s just the tale of the continuing time warp that is 2020. I’m really trying to not rehash all the same phrases that we’ve all heard ad nauseum this year: the new normal, the pandemic times, the weird times, et cetera. Frankly, I’m getting tired of them. But how do we describe what’s happened to our world in the last six months? This sort of global pandemic is literally a once-in-a-century happening, so there’s pretty much no one alive today who experienced the influenza pandemic that began in 1918. We’re walking in a strange new world, and it’s uncomfortable. I don’t think any of us wants to repeat this experience, ever.

You have to breathe You probably noticed the absence of this year’s summer issue of Prairie Manufacturer Magazine. Our team certainly did. We missed getting to learn about and tell the great stories from manufacturers across the Prairies, and we missed being in touch with all of our friends and supporters who help us put together each issue.

We took the last few months to find our footing and just ‘be’ in the pandemic life. All the while, keeping our eyes and ears peeled for the stories that were starting to emerge from the Prairie manufacturing industry.

As the world turns In the conversations we had with members of the Prairie Manufacturer community, we learned about the changes that folks were making in their businesses to maintain their usual operations, shift their businesses to directly respond to the pandemic, or some combination thereof. It proved again that manufacturers are core to our larger world, and when the call goes out, it’s manufacturers – especially Prairie manufacturers – who will respond by jumping into action. To call it inspiring would be an understatement.

Born this way While working on this issue, I’ve had the opportunity to speak with some very interesting and engaging folks across the Prairies, in all sorts of manufacturing contexts. Truly, it’s these conversations that are the best part of my job. I found that so many of the manufacturers featured in this issue had a common thread of modesty and humility. That when their successes in making what is likely the biggest pivot in their careers was called out, the single most common refrain I heard was ‘it’s just what we do as manufacturers.’ I get it. I’m Prairie-born and raised myself. It’s in the blood that’s being driven by the heartbeat of this region.

Plus ça change For the last number of months, we’ve been dealing with the changes in our world in our own individual and collective ways. For some, it’s been a case of working remotely (often from home), getting into sourdough bread, Zoom get-togethers with friends or family, getting around to watching those dozens of

It proved again that manufacturers are core to our larger world, and when the call goes out, it’s manufacturers – especially Prairie manufacturers – who will respond by jumping into action.

Prairie Manufacturer Magazine • Fall 2020

shows on your Netflix or Prime watchlists, or maybe even taking care of those oft-delayed home renovations. Granted, for some, it’s been a time of working as usual, but with more stress, heightened anxiety, increased physical distance, and more protective equipment involved. Either way, we’re spending a lot more time being in close contact with all sorts of manufactured goods in all corners of our lives instead of being in contact with other people. It’s the manufactured items that we’re relying on right now to help us return to some semblance of ‘normal’ existence. They’re keeping us safe and keeping us going.

Finding a stride At the beginning of all this, I think people began to realise that they can’t take manufacturing for granted. It started with paper products and cleaners and moved through a variety of consumer goods; so much so that retailers and analysts were able to ‘see’ the phases of the pandemic through the order list. Now, we’re at the point of getting the larger economy back to business, getting students at all levels back to school, and needing to get people and goods moving again as efficiently and effectively as possible. It’s the manufactured goods that are letting us do all the things that help alleviate some of the discomfort of today. The masks, face coverings, plexiglass barriers, sanitizers, and all the

other ‘regular’ products we use on a daily basis, are supporting us in our efforts to live and find a new way to thrive.

Can’t live without you I guess what I’m trying to say is simply, thank you. Thank you to the manufacturers who have kept going in this challenging time. Thank you to those who have pivoted and helped produce and distribute products outside the ‘norm.’ And thank you to each and every one of your teams that is doing their best and playing their part in whatever response has been needed. I know we’ve barely scratched the surface on the amazing work that companies across the Prairies are doing, and we want to keep uncovering those stories that can inspire others to keep going. If you have a story idea, or simply want to give a shout-out to a fellow manufacturer who has stepped up, please send an email my way: jeff@prairiemanufacturer.ca I sincerely hope to hear from you. Until we chat again, enjoy the read.

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Grow Your Business in Saskatoon When JNE Welding was looking to grow their business, they knew to call SREDA. This full-service fabrication company planned a facility expansion that would add ten fulltime employees to their staff and help boost the local economy. With plans for growth and a mission focused on becoming one of the most diverse custom steel fabricators in Western Canada, JNE Welding applied for a business development incentive offered by the City of Saskatoon and administered by SREDA. “The City of Saskatoon and SREDA’s support through the Business Development Incentive program were key ingredients in determining the viability of our expansion project. The project was a huge success and allowed JNE Welding to create new long-term, high-value employment opportunities for Saskatoon. A win/win for the community and for JNE.”

Adam Logue, JNE Welding CEO C ity of Saskatoon business development incentives are available for new and expanding businesses. These incentives may include exemptions or reductions of city taxes or fees, waiving of utility deposits and down payments on land, and exemptions or reductions of prepaid servicing levies. Designed to facilitate investment and longterm job creation, these incentives help support businesses and strengthen our community. “At SREDA, we know that Saskatoon is a fantastic place to be. Whether you’re starting a new enterprise or expanding in a time of growth, business development incentives can help you. We work with the City of Saskatoon to provide businesses with ﬁnancial incentives to support local economic growth, job creation and investment in our community’s thriving future.”

Alex Fallon, SREDA President and CEO.

Like JNE Welding, many manufacturing, food processing and brewing companies have made use of business development incentives. As these companies grow, their incentives may reduce taxes over a ďŹ ve-year period. A prorated tax abatement is provided on the incremental property tax increase, with businesses creating 100 fulltime equivalent positions, or more, being eligible for further incentives. Since 1999, the business development incentives program has led to the investment of over $651 million dollars in Saskatoon, $9.7M of which was invested in 2019. The program has also prompted signiďŹ cant job growth, with almost 700 full-time equivalent positions added to the economy since 1999. 71 FTEs were added in 2019 alone. The program also aims to recognize Indigenous employment initiatives for participating businesses; 40% of companies receiving incentives in 2019 had Indigenous recruitment policies in place. To be eligible for an incentive, businesses must be involved in energy, oil and gas, mining, manufacturing, processing, technology, transportation and logistics, telecommunications or data processing and invest a minimum of $500,000 in plant, land and/or leasehold improvements. Alongside several other requirements, companies must be able to demonstrate minimum threshold employment opportunities are being created.

For more information or to apply for an incentive for your new or expanding business, visit sreda.com.

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Leadership

Re-creation and recreation How one company turned their business on a dime... and back again By John Graham

n March 20, 2020, Winkler, Manitoba-based ICON Technologies, a manufacturer of after-market parts for recreational vehicles, decided they needed to quickly pivot their business in response to the hard-hitting effects of the COVID-19 pandemic. Faced with an immediate halt of new orders, current customers deferring delivery of orders or cancelling altogether, and an order book that basically emptied in a matter of days, the company was in crisis. However, they didn’t shutter their operations and there was limited to no reduction in staff count. How did ICON do this? Well, they pivoted their business in only weeks from the usual plastic repair and replacement parts for recreational vehicles that have gone out of production due to model changes or where companies have gone out of business, and the OEM parts to manufacturers in both Canada and the USA. They went full speed ahead in developing, testing, and producing a line of personal protective equipment (PPE) that found an immediate market in the new normal of the COVID-19 pandemic. I spoke with John Loewen, CEO and Owner, and Howard Sawatzky, Production Manager, to learn more about how ICON Technologies weathered the unprecedented economic storm. They also brought in their colleagues, Jordan Martindale, Marketing Manager, and Harv Giesbrecht, Business Development Manager to provide additional comments. John Graham (JG): What happened at ICON when the COVID-19 pandemic hit? John Loewen (JL): In mid-March, orders from existing customers just stopped. Delivery of orders in-hand were either postponed or cancelled, and by April 1, we had no orders and no indications of orders to come. JG: What options did ICON consider? JL: Senior management got together and weighed a number of options, including staff reductions or workshare, building inventory and waiting to see where the downturn would go, working on internal improvement projects, and product development in line with the current business. While layoffs or workshare were on the table, they didn’t get the most consideration. The tone was focused on “things will get better” kinds of initiatives. The greatest goal was to keep our team intact so we could react quickly if/when things turned around again.

Prairie Manufacturer Magazine • Fall 2020

JG: How did you end up deciding to produce PPE? Howard Sawatzky (HS): I have family working in health care, so I knew the needs first-hand. The first question was “can we build ventilators?”. This was the item in demand at that time and seemed most critical. I reached out to CME Manitoba, who connected us with people in the medical device field. As we talked over the idea, it became apparent the technology involved was too proprietary to get into quickly and make a real difference. Face shields, on the other hand, were comparatively simple given our equipment and our supply chain connections, so I decided to explore that more carefully. JG: What support did you receive from senior management? HS: Our structure at ICON is pretty flat. I had a crude prototype ready to go Monday morning and hung it on John Loewen’s office doorknob where he couldn’t miss it when he arrived. Over coffee, his first question was “Is this what I’m going to be wearing now?” He was on the phone right away to our suppliers to see how quickly we could have material delivered, and from there it took off. It set the tone for how quickly we could pivot. All it took was one meeting, and we were in the medical device business. JG: What might have happened if ICON hadn’t pivoted? HS: We were facing immediate layoffs for 90 per cent of our staff within the first few weeks. JL: Government wouldn’t have had a chance to work with local manufacturers and see what we are capable of. They learned what we could do virtually overnight to give them a local source of supply gave them a great degree of comfort. With overseas supply chains strained by global demand, it was good to know what we could do here to meet our health system’s needs. Our material suppliers also had to reopen their facilities, so their employees’ jobs were secured by this, too. JG: Talk me through your first weeks of producing face shields. HS: Once we decided on shields, it was a quick transition. It was easy to quickly involve all our production staff and use all our capacity to produce and market it. After the first crude samples, we continued prototyping and solicited feedback from medical professionals in the community and from Boundary Trails Health Centre.

It’s like a punch in the gut to have a goal and work hard to follow your dreams and make a difference in the world, only to have a market shift disrupt your business.

From there, we went into production and began to refine our processes. We managed to ramp up production to over 6000 units per day within a matter of days. We began to get some media coverage and more web traffic, and we began to get requests to customize our shield. We added shields for use in food processing industry and dental practices. We also developed a portable countertop cough/sneeze guard and even social distancing barriers for golf carts. JG: What obstacles did you overcome? ICON: The biggest obstacle was securing our supply chain. With the whole world trying to secure the same raw materials, demand was huge and competition fierce. Solid business relationships developed through years of working together doing the little things right, like meeting delivery schedules and paying bills on time were critical in this moment. Another challenge was learning about the customer and the market. How many shields would be required? How much raw material do we need? Who might need them? Where are they located? No one had any firm answers to any of these questions, yet they were all critical in being able to secure supply, plan production, and sort out distribution Learning how the Health Canada certification process works was another challenge as many jurisdictions were unable to deal with us if we didn’t have a Medical Device License for our product. This process was made even more complex by rules that seemed to keep shifting as the situation changed JG: How did your ICON team respond? HS: Every department pitched in and contributed their expertise. The team really felt they were making a contribution to our local and larger community in the pandemic response. Workstations were created to optimize flow while still maintaining safe distancing requirements between people. Production staff from our roto-molding and thermoforming divisions were suddenly face shield assemblers and were joined by customer service staff when demand increased. Graphic design and marketing staff created packaging, labels, and even talked our customer service staff into becoming product models for our website. Behind all of this was our production planning team who worked at procuring materials, scheduling production, and figuring out logistics for distribution as orders began to flow. Q. What were the business results? ICON: First and foremost, we were able to make a contribution by supplying governments, organizations, and individuals with PPE.

We were able to connect on a different level with many of our OEM customers to offer them assistance with PPE as they looked for ways to reopen after shutting down their operations. We’ve been able to keep our staff fully intact and fully engaged. As the economy has begun to reopen ICON has been able to focus on handling increased demand without having to deal with the issues of reopening after a shutdown and getting everyone back up to speed. Our transition back to regular production has been seamless. This was a great team building experience as staff from different departments worked together. It kept spirits high during some very tough times, we’re a more unified company as a result. JG: What are the plans for your PPE products? ICON: We’ll continue to make PPE available as long as there is demand. We have raw material and the expertise to begin production overnight if needed. While we’re not PPE experts, the knowledge we’ve gained could be put to use if someone in this area has a need for product with enough volume to start production. JG: What lessons have you learned from this experience? JL: It’s like a punch in the gut to have a goal and work hard to follow your dreams and make a difference in the world, only to have a market shift disrupt your business. Maybe the reason so many CEOs don’t survive financial crises is that their egos kick in and they go into denial. It’s easy to brag about successes, and few would describe a downturn in their business as a blessing in disguise, but that’s what we feel. After going through three market downturns and one global pandemic, we feel we are turnaround experts, not that we want to brag! No leadership book ever has a chapter Manage Change by Pretending It’s Not Happening. I know if our market turns on a dime and chaos ensues, our team will dive into problem solving and adapting our processes to meet the challenge. JG: What final advice can you share with other manufacturers? JL: Every organization is going to be challenged, and when the situation is restored, the business is better and stronger than it was before. In fact, celebrating challenges as much as successes is clever because they are flip sides of the same coin. It’s rewarding to observe chaos and market disruption and know we will not be left out in the cold, because we have the processes and people in place on which we can always depend.

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ECONOMIC ROUNDUP

Destination (and journey) unknown Prairie manufacturers heading into an uncertain recovery By Jayson Myers

he pandemic has really knocked the wind out of Prairie manufacturing – and the western Canadian economy as a whole. Ditto for the situation across Canada. The Canadian economy contracted by 20 per cent between February and April as businesses closed and consumers stopped spending. International demand for Canadian-made goods weakened even further. Canada’s merchandise exports fell by more than one-third over that same period. Statistics Canada reports that 81 per cent of Canadian manufacturers were negatively affected by the COVID-19 crisis. Unfortunately, the agency also reports that only 24 per cent of manufacturers have a recovery plan in place. The impacts came fast and furious. Manufacturing production, which directly contributes 10 per cent of Canada’s gross domestic product (GDP), dropped by one-third in March and April. Output levels fell in every sector as plants shut down or drastically reduced capacity. Every auto assembly plant in North America closed in April, sending shock waves through the entire supply chain. Other equipment producers from aerospace to industrial machinery sectors also saw dramatic drops in output. Food production suffered from the closure of meat processing facilities. Meanwhile, petroleum refining was hit by a triple whammy of global over-supply, falling prices, and lower energy demand. Monthly manufacturing sales plummeted by 35 per cent from $56.2 billion in February to $36.3 billion in April. New orders also shrank by more than a third to

Prairie Manufacturer Magazine • Fall 2020

$37.8 billion. Manufacturers responded by reducing inventories in line with sales and working down unfilled orders. Nevertheless, by April they were, on average, working at only 54 per cent of operating capacity, down from 77 per cent in February. Across Canada, manufacturers laid off 285,000 employees. By April, manufacturing employment had shrunk by more than 16 per cent to 1,438,000. The good news is that both manufacturing production and employment have rebounded sharply since the economy began to re-open in May. Manufacturing sales jumped by 10 per cent that month alone to $40.1 billion. Employment increased in both May and June as 189,000 people were recalled to jobs in the sector. We’ll need to wait a while longer to get the full statistical read on the summer, but early indications are looking good, and it looks like manufacturing is leading the way. The pace of recovery in manufacturing employment has been almost 50 per cent stronger than for the economy as a whole, and much stronger than in previous economic recessions, reflecting the very unusual circumstances of the COVID-19 crisis.

Manitoba has fared relatively well Manufacturing output fell in Manitoba as the COVID-19 crisis hit the province in March and April, but by much less than the Canadian average. Overall sales declined by nine per cent. The steepest drops came in the province’s aerospace sector (shipments of transportation equipment plummeted by 39 per cent) and in furniture (where sales were off

by 25 per cent). Those two sectors alone accounted for almost one-fifth of manufacturing production in Manitoba before the pandemic hit. Other sectors have fared much better, especially machinery manufacturing where sales actually increased by 13 per cent over the same period of time. The overall level of employment in Manitoba manufacturing fell by about 10 per cent or 6,000 jobs between February and April. While the downturn in manufacturing output in Manitoba was not as pronounced as elsewhere in Canada, the rebound since April has also been weaker. Manufacturing sales increased by just under seven per cent in May. That month shipments of processed food, chemicals, wood products, and machinery all exceeded February sales levels. Shipments of transportation equipment snapped back to just under six per cent of pre-pandemic levels, but manufacturing employment increased by only 1,500 jobs to 57,700 in July, still nine per cent lower than before the pandemic struck.

Saskatchewan saw deeper downturn, slower rebound Sales for Saskatchewan manufacturers contracted by 22 per cent to $998 million between February and April – not as bad as the Canadian average, but still a far sharper decline for the province than the recession of 2008/2009. Production fell in all sectors except machinery where, as in Manitoba, production levels jumped by more than 12 per cent. Just over 5,000 employees were laid off by Saskatchewan manufacturers, dropping overall employment in the sector to 28,100 in April.

Saskatchewan’s manufacturing recovery was initially slower than the national average, but momentum is growing. Sales rebounded by slightly more than six per cent in May. Around 3,500 jobs reappeared in May through July – an 11 per cent increase which exceeds overall provincial employment growth.

DREAM. GROW. THRIVE.

Alberta faced hardest hit Alberta’s manufacturers shipped 26 per cent less in April than before the pandemic hit in February. Employment dropped by 20,000 jobs to 118,000 that same month. Petroleum refining and chemicals, which together accounted for more than 40 per cent of manufacturing output in the province pre-pandemic, were hardest hit. Refinery sales plummeted by 74 per cent and chemical shipments dipped by just over 10 per cent in two months. Sales in both sectors remained depressed in May. Other manufacturing sectors also suffered. Food production, another major contributor to Alberta’s manufacturing economy, dropped by eight per cent, metal fabricating by 12 per cent, and plastic products by a full 34 per cent. As in other Prairie provinces, machinery manufacturing fared relatively well, recording less than a one per cent decline in shipments value. In May, sales of goods manufactured in Alberta increased by only 2.5 per cent,

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Let’s hope the economy revs up rapidly. But, let’s not assume that it will be a return to business as usual.

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Recession & Recovery in Prairie Manufacturing 15% 10%

10%

Percent Change in Manufacturing Sales

0% -5% -10%

-9%

-15% -20% -25%

-22%

-23%

-26%

-30% -35% -40%

-35% Canada

Prairies Recession

reflecting the much greater hit taken by the province’s oil and gas industry from circumstances ranging far beyond the impact of COVID-19. There has been only marginal growth in other sectors of Alberta manufacturing. Manufacturing employment has also remained depressed, increasing only slightly in July to 119,600.

Where do we go from here? A lot of uncertainty still remains. Western Canadian economies are opening up more rapidly than in the rest of the country, but the threat of another wave of infection is very real. Increasing case numbers in the United States threaten both demand and production activity

Prairie Manufacturer Magazine • Fall 2020

Manitoba

Saskatchewan

Alberta

May Recovery

in our major trading partner. Canadian manufacturers are as much, if not more at risk from supply chain disruptions as they are from faltering customer demand. Understandably, the pandemic has stolen the headlines. As the recovery gets underway, manufacturers are focusing on ensuring safe and healthy workspaces. But, let’s not forget that COVID-19 has aggravated threats and accelerated trends that were already apparent in manufacturing, both in Canada and around the world. Weakening demand in key markets, increasing levels of political risk and trade protection, intense competition, oversupply, falling prices, and rapid rates of technological change were disrupting and reshaping the

business of manufacturing before the pandemic hit. In many ways, the pandemic has been a great reckoning. Those companies with the strongest cash reserves, the most transparent and resilient supply chains, and the best ability to respond quickly to changing business conditions and pivot production rapidly to take advantage of new business opportunities are now best positioned to ride the wave to recovery. There are also new opportunities for Prairie manufacturers. In the shortterm, many companies have turned to producing products – medical and personal protective equipment – critical for fighting the pandemic. Now, with recovery underway, more

opportunities are opening up as supply chain gaps become apparent and more manufacturers are looking to near-shore critical and higher value materials, components, and equipment. However, let’s not forget, in order to take advantage of these opportunities and to support sustainable business, manufacturers need to be globally competitive. Canada is a high cost country in which to do business, and probably more so in the future as we recover from the debt hangover we will inherit from the pandemic. Advanced technologies – digital systems, new materials, machine learning, and smart production systems – will be important tools for manufacturers

determined to compete and grow in a post-pandemic recovery. However, technologies are just that – tools. If manufacturers are going to use them productively – and profitably – then, they need to be able to manage them well. They need to focus on creating value by delivering solutions to their customers, not just products. They need to identify the processes that are critical for doing so, as well as the bottlenecks and nonvalue-adding activities fundamental to process improvement. And, they need to make sure they have the information and management systems, the skill sets, and the supply chains and business partners in place to achieve their business objectives.

Let’s hope the economy revs up rapidly. But, let’s not assume that it will be a return to business as usual. It will be those manufacturers that are best able to manage change – their processes, their technologies, and above all, their people – that will lead the way. Jayson Myers is CEO of Next Generation Manufacturing Canada – the country’s advanced manufacturing supercluster. An award-winning business economist and leading authority on technological change, Myers has counselled Canadian prime ministers and premiers, as well as senior corporate executives and policymakers around the world.

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The Principal Resource

Prairie Manufacturer Magazine â€˘ Fall 2020

Paid Sick Leave: Cost or Investment? By Jeff Palamar

mployers are obliged to ensure, so far as is reasonably practicable, the safety, health and welfare at work of all their workers. This would include ensuring that employees who should not be at work are, in fact, not at work. Due to the pandemic, businesses are being encouraged to have employees review screening information before attending work and stay home if they are experiencing symptoms of COVID-19 (such as cough, fever, runny nose, sore throat, breathing difficulties, etc.) or if they have travelled or been exposed to a case of COVID-19.

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Some employers have chosen to provide paid sick leave to their employees, but in Manitoba, at least, that is not required by law. The closest statutory requirement we have applies to an employee who is expected to be incapable of working for a period of at least two weeks because of a serious injury or illness, who is entitled to unpaid time off. As a result, unless an employer voluntarily chooses to pay for sick leave, an employee must take time off without pay. Employees who respond honestly in the context of COVID-19 screening and so are â€˜rewardedâ€™ by time off without pay might be tempted to hide their true circumstances so as not to lose pay. This puts other employees and customers at risk. It likely is a stretch to conclude that employers are legally required to provide paid sick leave to live up to their duties to maintain a safe workplace. Still, that is something an employer properly should consider, particularly during this period of pandemic. Put another way, is paid sick leave a cost to be avoided, or an investment to be made? Employment standards legislation is by definition a statutory floor of rights providing certain minimums below which employers and employees cannot legally agree to be bound. It is not a one-size-fits-all statute which mandates that everyone must operate at that lowest level. Rather, it provides certain minimum protections or standards which society has determined are required. Provided such minimums are met, it is up to employers to make their own determinations as to how they wish to operate and which expenses they see as worthwhile. As an example, no employer is legally required to pay more than minimum wage, or provide group insurance benefits or pension, or support ongoing education through time off work or by paying for such courses. That said, from a big picture perspective it may make sense to do so. Deciding on whether or not to invest in employees and the business in these ways (or by paid sick leave) should be based on the economics and other market realities at hand. To provide paid sick leave provides an incentive for behaviour the employer wishes to encourage and removes the incentive for behaviour it wishes to discourage. It provides a strong message to the public and the employees that the employer is genuinely concerned about the health of those who work there and those who may choose to attend as customers. We all have choices available to us as either employees or customers. We seek employment with employers who are seen as good employers, who offer fair compensation, benefits and working conditions. As customers we support those businesses which offer products or services we like, at a fair price and are convenient. Often, all things being equal we prefer those who offer an atmosphere or culture that we find welcoming and desirable, worthy of our support. In some cases, however, some of us will even choose to support

Prairie Manufacturer Magazine â€˘ Fall 2020

To provide paid sick leave provides an incentive for behaviour the employer wishes to encourage and removes the incentive for behaviour it wishes to discourage.

businesses which may provide less selection, somewhat higher prices, and are less convenient, simply because of who they are, and the atmosphere or culture offered. Paid sick leave is not necessarily an all or nothing choice. It could be offered to deal only with COVID-19 related absences from the workplace and could be brought in on a trial basis such that if the employer found the system were being misused, it could be ended. The amount of sick pay does not have to be 100 per cent of the regular pay but could be some lesser amount. Perhaps only employees with a certain amount of service qualify, presumably on the logic that by their length of service they have proven themselves to be deserving of this benefit. Some businesses or industries by their very nature will be more or less at risk. It is easier and much less costly for an employer to offer the possibility of paid sick leave when the actual risk of it being used is much lower. Conversely, the more likely someone is going to be taking this paid sick leave, the more it will cost. There obviously will be employers who simply are not in an economic position to provide any paid sick leave at all. Those employers can instead consider allowing employees to access other paid leave such as by taking vacation time, or using banked time which they have accumulated, or borrowing against future earnings. Failing any of those solutions, employees may be required to rely on the public security system we have in place, which at present includes the Canada Emergency Response Benefit, Employment Insurance and/or Canada Pension Plan sick benefits and encouraged through moral suasion to stay at home if need be. What suits a particular workplace is going to depend to a large extent on the people involved and the choices the employer makes. Above all, such choices should be reasoned and thoughtful. Jeff Palamar is a partner with the Winnipeg law firm Taylor McCaffrey LLP, and the leader of its Labour and Employment Law Practice Group. Taylor McCaffrey LLP is the exclusive Manitoba member of the Employment Law Alliance, the world's largest network of labour and employment lawyers. Since 2008 Jeff has been listed in the peer-selected best lawyers in Canada in his field. His practice focuses on helping employers thrive by finding creative and proactive solutions to the challenges they face.

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Prairie Manufacturer Magazine â€˘ Fall 2020

PHOTO COURTESY SLEEK ADVERTISING LTD.

The Manufacturers lean into the challenges posed by COVID-19, find theyâ€™re not alone By Jeff Baker

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PHOTO COURTESY SLEEK ADVERTISING LTD.

epending who you ask, 2019 was a year that was particularly challenging for a multitude of reasons, or it was a time of the proverbial wine and roses. Perhaps it was something in the middle. What many of us wouldn’t give to go back to those days after living the last 10 years that has been 2020 so far. Sure, okay… I’ll dial back the pessimism a smidge. Even for me it’s a bit much. Especially when we have no option but to keep calm, stay safe, and carry on. But what can any of us actually do when there’s a global pandemic and no clear path forward or no firm timeline back to the world we used to know? In true Prairie form and in good ol’ manufacturing spirit, companies and leaders across the sector and region have risen to the challenge. They’ve adapted their businesses, engaged with their employees, suppliers, and customers, and identified the opportunities hidden within the haze and uncertainty. But what does this business adaptation look like? How did businesses make the journey from the initial shock of the pandemic, to figuring out which way was up, and to planning a measured and reasonable response – whatever that response would be? That’s been the big question for manufacturers not just across the Prairies, but in every country around the world. It’s been a story of the big pivot.

Wait for the sign? For Regina-based Sleek Advertising (also known as Sleek Signs), their experience with the big pivot was one of necessity. Being in business for 20 years in the large format digital printing business, Sleek has experienced its share of ups and downs, just as any company has. In fact, 2019 was a great year, and the first bit of 2020 was looking fairly positive, too. The company was the principal producer of signage for the Canadian Football League’s Grey Cup events, and has

Prairie Manufacturer Magazine • Fall 2020

done extensive work for Regina Downtown, Mosaic Stadium, and major out-of-home advertising firms with large-format advertising products shipped from coast to coast to coast. As Carl Weger, President and CEO of Sleek explained, “We had just moved into our new facility last summer. We went from 10,000 square feet to around 25,000 square feet, and we were looking to really scale up the business to take advantage of the new space.” Then the COVID-19 pandemic arrived. “It was definitely a hit,” says Weger, “but as a team we quickly looked into how we could potentially help with the local response.”

Doom with a side of hope “We could see the doom and gloom in other parts of the world, so we knew some sort of challenge was coming our way, Weger explains, “but we really didn’t know just what that challenge would be.” Looking at the news coverage beaming in from earlier COVID-19 hotspots including China, Iran, and Italy, the Sleek team could see that face masks and face shields were – and would be – in extremely high demand. “We initially looked into producing face masks,” said Weger, “but they were just going be too difficult to fabricate with our specific skills and equipment.” Face shields, though, were a different story. They could be produced in-house by Sleek, using their own equipment and their own talent.

It’s not all easy peasy Although it was an easy decision for the company to dive into face shields, Weger comments that there were plenty of other not-so-easy parts to the shift. “Materials were evaporating from the market around the world, so we were working on shield designs that wouldn’t require those things already in shortage.”

Weger says, “The design work was the easy part. Trying to get certification from Health Canada and other required government agencies, and even getting through the public sector procurement processes takes a lot of time and energy, but we did get a medical device license in the end.” Despite the hurdles the company has faced in getting their product into government and public sector health agencies, they have found success in other sectors. “We’ve actually had pretty good uptake for our shields in dental offices locally, and we’ve even shipped them as far as Boston where they’re used in seniors’ homes by frontline workers and for at-risk people in the service sector,” says Weger.

Continuous improvement, continuous flexibility

PHOTO COURTESY SLEEK ADVERTISING LTD.

Weger credits his company’s focus on continuous improvement as helping them weather the COVID-19 storm. “We’ve always been strong believers in continuous improvement. It’s given us the flexibility we needed to tackle this change,” says Weger. “We were able to take on lots of input from our team, put these ideas through a flexible but systematic process, and come up with a number of product designs that have been helping our customers – old and new.” “This shift into PPE allowed us to keep almost all our team employed through the pandemic,” Weger says, “and they’ve been totally engaged from the get-go.” Weger admits that he would never have thought the company would be holding a medical device license or selling protective equipment, and he definitely doesn’t see himself selling PPE forever.

However, he says the pivot has allowed Sleek to survive, allowed the team to keep working, albeit in a different way, and they’ve been able to expand their reach into nontraditional clients.

Putting the ‘Win’ in the sails For some manufacturers, the pivot hasn’t necessarily looked as dramatic, and it might not have taken them so far out of their comfort zone. Chris Parker, Manager of Sustainability and Process Improvement with Winpak in Winnipeg, explains that the company’s products were already essential before the COVID-19 pandemic hit. “We primarily make flexible packaging for meats and cheeses at this plant,” says Parker. “Our products are part of the food supply chain, so we have been quite busy.” Nonetheless, there has been a shift in Winpak’s business from the institutional and food service side of the industry to retail. “In terms of production volume, there have been some record or near-record months, but it’s definitely been challenging trying to meet the demand all the while implementing COVID prevention techniques,” explains Parker. “Everything from social distancing and additional cleaning, to having a significant portion of our office staff working from home, we need to keep all our employees safe.”

Protecting food, protecting people In the case of Winpak, it hasn’t been a shift away from their usual business to use up slack capacity, rather they added to

“We’ve always been strong believers in continuous improvement. It’s given us the flexibility we needed to tackle this change.”

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PHOTOS COURTESY WINPAK

their usual business by taking on PPE production, specifically face shields. “There was obviously a requirement for PPE, and the Manitoba government approached CME Manitoba to see if there were companies that could take on production,” says Parker. “We happened to have some material on hand that was suitable and not really in demand at that point. Normally it would be used in semi-rigid food packaging, and we tried to source other material, but some suppliers were quoting lead times of eight to 10 weeks.” “So, we figured we should be able to cut this [material] up to work in a face shield design from Bauer that was available in the public domain,” Parker says. However, with Winpak’s main business continuing at record pace, taking on more manufacturing and assembly wasn’t going to be easy. That's where having a solid network of friends and partners like Sur-Seal, MacDon, and Hillary came in handy.

Coming together for the cause

It’s good to have friends

In Saskatoon, Venables Machine Works has been delivering custom steel manufacturing services to their clients for nearly 90 years, including during the Great Depression and the Second World War. “We started 2020 seeing a lot of promise, like other folks out there,” says Dan Wingerak, Venables’ Shop Manager, who has been with the company for more than 30 years. Family-founded in 1931 and employee-owned today, the company was forced to lay off a portion of their workforce as the initial shock of the COVID-19 pandemic hit.

“We partnered with Sur-Seal Packaging, because they were a company we were using to source various materials, and they were fairly well connected,” says Parker. “They could get the supplies that were needed, and their business had slowed, so they had people they could contribute to the project.” “Our president and MacDon’s president knew each other through business acquaintances, and MacDon said they’d be willing to participate and supply human resources for the assembly. Same with Hillary, who helped us make the rounded corners on the shields,” Parker says. “It was definitely a team effort. Everybody had different capacities and capabilities, but it all came together and worked out in the end.”

Prairie Manufacturer Magazine • Fall 2020

By working together as partners, Winpak, MacDon, Sur-Seal, and Hillary were able to produce 10,000 shields a week for a six-week period. “We were able to supply the government with 60,000 highquality face shields,” says Parker. “We’ve since moved out of that business,” Parker explains, “as there seems to be quite a few other companies that have geared up and perfected their products and production. When asked what Winpak and its people have learned through this process, Parker says that just seeing people step-up and step out of their usual comfort zones is gratifying. “Both internally and externally, seeing the efforts that people put into this to get it done, to see it be successful, it’s just a really good story and a good example of teams coming together.”

Tough times create strong roots

The dark before the dawn “Around March 30, we got together as a shop, and it was probably the most difficult discussion we ever had with our

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Putting the pedal to the… plexi? One of those projects for the Venables team was transparent protective shields for service desks and other customer-facing contact points in their clients’ businesses. For a company used to working on heavy duty steel and other metals, working with plexiglass was definitely a change, but the technology involved was still familiar. Wingerak says that despite most of Venables machinery being heavy industrial in nature, the company’s water jets were perfect for cutting and profiling items like plexiglass screens. “We were offering the screens to our core customers in an effort to help them stay open, and we’re selling them at, basically, breakeven,” says Wingerak.

Bending the curve with help Even with the company’s early successes in manufacturing the plexiglass shields, the Venables team found themselves a bit behind the curve when it came to sourcing materials. “We knew our limitations, and this project was outside our usual expertise, but we knew of a smaller local company who was doing work in this area, too, and had machinery more suited to the material,” Wingerak says. “We approached them and said we wanted to partner in order to best serve all our customers.” Asked if this were a partnership that would have happened without the impetus of the COVID-19 pandemic, Wingerak says it wouldn’t have necessarily been the case. “COVID was definitely the catalyst,” according to Wingerak.

“We knew our limitations, and this project was outside our usual expertise, but we knew of a smaller local company who was doing work in this area, too, and had machinery more suited to the material.”

Prairie Manufacturer Magazine • Fall 2020

It’s about who you know The other company in the project partnership with Venables was Saskatoon Bag & Case (SBC), a manufacturer and distributor of high-performance and custom built hard- and soft-shell cases and foam inserts for a variety of sectors, including transportation and logistics. Trevor Sonstelie, President and Owner of SBC says the partnership with Venables was a good fit for his company. “We’ve known each other through business and events, and Dan [Wingerak] asked if we’d be able to cut some of the plastic materials for them,” says Sonstelie. “We had the capacity and the expertise, so it just gelled, and we’ve been working together now for the last couple months.”

It’s not unusual… Similar to Venables, SBC has been fortunate through the pandemic so far, thanks to a fair share of their customer base being other essential businesses. “Business did slow down a bit, and we did have to lay off a couple of people. But I was able to bring one of them back already,” says Sonstelie. “We did lose a bit of traction – don’t get me wrong – and the sales of face shields, masks, and barriers did help fill some voids, for sure.” “We never actually left our ‘usual’ business,” Sonstelie says, “but we did add [PPE] into the mix and it will be a part of our business as long as there’s demand for it.”

Complacency breeds contempt When asked what he’s learned so far since the COVID-19 pandemic blew up the world, Sonstelie says “I’ve been in business long enough to have learned that you can’t take anything for granted. You can lose it all in a heartbeat.” “If you’re not continuously diversifying and thinking well ahead, you’ll become complacent, and you’ll be left behind,” says Sonstelie. “You never want to waste a good crisis, and you want to make sure you know how to jump when that day comes.”

PHOTOS COURTESY VENABLES MACHINE WORKS

team,” Wingerak says. “We were going to lay off 23 people, despite being an essential service.” “In my 33 years with Venables, we’ve had the odd layoff, but there’s never been anything so substantial,” says Wingerak. Fortunately, the layoffs for many of those employees were relatively short-lived. The company has since been able to bring back more than half of those people, and there is the possibility that the remainder could be recalled. “We’re just trying to stay busy with lots of different projects, and we’re holding our own right now, which is a really good thing,” Wingerak explains.

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Canada’s Supply Chain Conundrum

ur supply chains need to be reinvented. Over the past decades, many Canadian manufacturers have shifted their focus to overseas supply chains. Price per part is often cheaper when compared to Canadian and other North American suppliers. Shipping routes are quite predictable and often quite efficient. The decision to source overseas supplies is usually made with little consideration to overall costs until financial risks become too much. The ongoing pressures of propping up eroding margins, dealing with staff shortages, or lacking local supply chain infrastructure have been among some of the drivers leading manufacturers to chase lower piece prices with overseas goods. In many ways we have become complacent with the reliability and stability of modern transport and freight. This works as a short-term strategy, but

Prairie Manufacturer Magazine • Fall 2020

if the coronavirus pandemic has taught us anything, it’s that we need to keep local raw goods suppliers as healthy as possible. It is not a question of either/or, but rather both! This new appreciation for the importance of local access to supplies is showing us we need to act! Now, more than ever, it is time to be lean and agile within our supply chains. Industry cannot wait for someone to come up with an alternative to the status quo (or for a government program to help reduce the risk, for that matter). Canadian manufacturers need to do what they do best: Find a way to make it better! The solution for these issues lays within us all. Staff members have to be developed and become more than procurement specialists, buyers, or account managers. They need to be supply chain experts trained to see the

big picture and able to imagine hidden possibilities. They need to be mentored, which turns them into coaches and will allow them to ask the right questions. We need a deeper understanding of the overall cost of supplies, not just the price per piece plus freight. Other key components to consider are the risk of breakdowns in flow, the cost of quality, and the cost holding more inventory. When our supply chain experts are equipped with that knowledge and develop a keen eye toward recognizing opportunities and growth, real change within organizations can be achieved. In a training session I recently attended, Robert Martichenko said that “relative to onshoring, organizations need to have a guiding principle of lead time reduction versus piece parts cost reduction. When we take this new view, we will realize that total cost will be reduced, and many of

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our products should in fact be sourced locally.” I couldn’t agree more. So, what can you do? What MUST you do to help the Canadian supply chain discussions become more engaging, challenging, and sophisticated? One of the actions you can take that will put you in the right direction is to reach out – to industry associations, training organizations, and your manufacturing peers. Opportunities for learning and networking abound through these groups, and sometimes it just takes a conversation or coffee meeting to get your mind going and opened up to the possibilities. Regardless where the learning shift happens, the starting point is always with you! Remember that the solution resides with the people you work with! If you are a director, CEO, or business owner, you need to ask yourself if your vision of protecting your core values is a crucial component to the success of your business. This includes strategies to diversify your supply chain through the

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development of your staff’s thinking. Is it good enough? If not, maybe you need to rethink your approach. COVID-19 has changed the way we conduct business. It has forced us to be more creative, experiment with new ideas, and, in many cases, even take leaps of faith! We are now accustomed to challenging the status quo and look for new and creative ways to serve our customers. In just a few short months, COVID-19 has taught us that it is simply

not enough to refine our processes; we also need to rethink them entirely! So, hold onto the momentum, and take advantage of your staff’s confidence. This will allow you to ask bold questions and build a future of an improved supply chain! John Chaput Director of Business Development CME Manitoba

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The Majesty of Botanicals Seeing yourself in the business is just as important as finding yourself in business By J.D. Baldwin

hen Adrianna Cooper took on a purge of her medicine cabinet and makeup bag, she soon realised just how many skin care products she’d gathered over the years. Products old and new; some multi-purpose, some single purpose; some she recognized and some she didn’t were taking up valuable space and started her thinking about what she was using and why. Cooper read the ingredients lists of many of these products and began to ask herself just what these ingredients were for, what they might be doing to her skin, and what might or might not be actually ending up in her body. It was a wake-up call that set her looking for products that were better suited to her personal ethic. It wasn’t long after that Cooper ended up finding a shop that offered the basic ingredients for making her own skin care and cosmetic products. “To say my jaw dropped would’ve been an understatement,” says Cooper. “I knew that I could make my own products and know exactly what I was putting on my skin.”

The business finds the entrepreneur As Cooper experimented with her own skin care products and started using them daily, people around her began to notice. “People at work and my friends and family – and even strangers – started

telling me I smelled amazing, that my skin was looking so beautiful,” Cooper says. “It was a bit strange.” Cooper let the people around her try some of her concoctions, and the feedback was beyond positive. “They would be asking ‘How much is this?’ and ‘Where can I get some?’,” says Cooper. That's when Cooper realized there was a business in the making; she just had to take on the challenge.

The long and winding journey Now Owner and CEO of her company, Majestic Botanicals, Cooper wasn’t necessarily looking to become a skin care entrepreneur. “I’ve been a hairdresser for 19 years, so I’ve always been around the larger beauty industry,” explains Cooper. “It’s just something I’ve been ‘into’ as long as I can remember.” Ten years ago, Cooper headed back to school and became a social worker, a field in which she’s worked ever since. “I always wanted to help people,” says Cooper. “It comes from a place of wanting to help people feel good about themselves on the inside, from the inside out, and I know how much that matters in addition to the outside part of people, too.” “Looking and feeling your best really contributes to your overall sense of wellbeing,” Cooper says. “It’s not the be all and end all, but it’s part of the equation.”

“When you have a community of people who are rallying behind you and your idea, it really helps boost your energy and helps you do some pretty amazing things.”

Prairie Manufacturer Magazine • Fall 2020

Knowing what you know, and who you know As Cooper’s pet project blossomed into a full-on business, she soon realized that there was plenty that she didn’t know about launching a new company and product line into the market. Luckily, she found herself surrounded by a community of people who believed in her and who were more than happy to contribute to her success. “When I started talking about the business, a lot of my friends said ‘Oh, I can help you with marketing,’ ‘I can help you with branding,’ or ‘I can help you with this or that’,” says Cooper. “I’m still learning tons, and I’m having so much fun!”

The ‘isms’ are real As a Black female business owner in the beauty and skincare industry, Cooper says that racism has been, and continues to be an issue. “The makeup and skincare products I used growing up would look so great on my friends, but they often wouldn’t look as good on my skin. The selection of colours was limited and a lot of them just wouldn’t work on Black skin,” says Cooper. “Even in the images portrayed in the media and in advertising, you just don’t see many people of colour. If you’re a young person growing up, and you can’t see yourself in the world, then it really has a negative impact on your self-esteem and self-image.” Asked if she’s personally experienced any of the ‘isms’ – racism, sexism, et cetera – in her entrepreneurial and manufacturing journey to date, Cooper answers frankly, “Not yet. But I feel it might be coming.”

PHOTO COURTESY JESSICA COOPER

“Maybe there have been opportunities I haven’t been able to take advantage of, or that weren’t presented because of my skin colour, but I haven’t been aware of them directly,” says Cooper. “And it’s not always about race, or only about race. It can be about race, gender, or pretty much anything.”

We can do better Cooper says that there are things that industry and individual companies can do to help address the negative impacts of all sorts of discrimination against people and communities of colour. “It’s about cultural competency, understanding different cultures, ethnicities, and backgrounds” explains Cooper. “Just really listen to other voices.” “As a Black woman, I can’t speak for someone who is South Asian, East Asian, or Indigenous,” Cooper says. “We all have different experiences in both business and our everyday lives.” As for what individuals (and this also applies for businesses) can do to help address discrimination in the industry,

Cooper says that it really comes down to how they spend their money. “Spending your money in companies owned by members of the Black, Indigenous, and Persons of Colour communities is a great way to build up those communities and their businesses,” Cooper explains. “The dollars that we can spend in our own communities are going to stay there a lot longer, especially if it’s in a business owned by a member of that community.” It’s a concept that we all know about, usually in the guise of the ‘local dollar’, but it’s applied in a slightly different way here, as the Black dollar. While not dictating that consumers’ spending should happen solely in Blackowned businesses, it’s about having your dollar make the most impact and be a proxy for what you want to see in the world.

Simple wisdom Cooper offers one piece of advice to other Black, Indigenous, and Persons of Colour entrepreneurs: “Just do it!”

“Believe in yourself, and believe it when others believe in you,” says Cooper. “When you have a community of people who are rallying behind you and your idea, it really helps boost your energy and helps you do some pretty amazing things.” Where she sees Majestic Botanicals going into the future, Cooper says she wants to see her products on the shelves of stores – big and small – across Canada, and not just specialty cosmetic shops either. “I want to have my creams in Whole Foods, Save on Foods, Co-op; really any store that helps support local.” Cooper says you have to speak things into existence. “One of my earliest customers called me after purchasing some of the Goddess product, and she said ‘My feet feel like what Beyoncé’s feet must feel like! So silky and smooth.’” “I put it out there that, one day, Beyoncé is going to wear my creams, and I truly believe it’s going to happen. I can do it.”

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To our friends in the manufacturing community, The Dream Factory exists to make things just a little bit easier for families in our community with children battling life-threatening illnesses. We exist to bring dreams to life. It’s our job to remind kids what it means to be kids, to give families an opportunity to spend quality time together, and to encourage kids to get carried away.

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That job has become a little tougher over the last few months. Though we cannot make dreams come true the way we usually do right now — there is still so much we can do to support our families, create memories, and encourage sick kids to keep dreaming BIG - but we need your help. We’re asking for your help today to keep kids dreaming during this challenging and uncertain time. By making a donation, either online or over the phone at (204) 989-4010, you will provide immediate support to kids and families in our community battling lifethreatening illnesses in one of the most important ways you can: by creating more smiles and laughter during this scary time.

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PHOTO COURTESY FUSE33

Prairie Manufacturer Magazine â€¢ Fall 2020

The makerspace becomes the maker COVID-19 the impetus for Calgary maker community to dive into PPE By David Quinn

algary makerspace Fuse33 was faced with a number of difficult decisions in the last year while trying to keep their proverbial head above water. Do they shut down completely? Do they refresh their business model? Do they just keep going and hope for the best? When the full impact of the COVID-19 pandemic hit in March, Fuse33 stepped up to the challenge with typical entrepreneurial and Prairie gusto.

Makerspace... what’s that? Makerspaces are usually places for people with shared interests – especially in computing, technology, and ‘making’ – to gather to work on projects while sharing ideas, equipment, and knowledge. In the case of Fuse 33, they shifted their makerspace into the role of maker of protective equipment for the local market. Shannon Hoover, Founder and Managing Director of Fuse 33 says the company’s greatest advantage so far has been its agility. “We switched paths and started manufacturing, and it’s been a kind of recovery strategy for us,” says Hoover. “We’re actually doing more fabrication work ourselves, instead of just being a space for our maker community to do their manufacturing.”

Shifting gears “We originally started Fuse33 with the intention of having people come in and build stuff, and we’d offer training courses for the equipment and techniques,” Hoover explains. “But we discovered it wasn’t quite enough, so in addition to the workshops and helping people use the space, we needed to get into fabrication work.” “We actually go out into the community and seek out projects that might seem a bit ‘weird’, but we’re really good at doing these sorts of things,” says Hoover. Fuse33 has manufactured five-foot-tall pieces of fruit for grocery store openings, sheds and fences for businesses and homeowners, and even the simple but extremely useful (especially in the time of COVID-19) items like aluminum foot pulls for doors, and pocket-sized metal devices for a keychain that can be used to pull open doors or push elevator buttons.

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With challenge comes opportunity In terms of COVID-19-related protective gear, the community at Fuse33 has come together and produced two varieties: cloth face coverings and plastic face shields. Hoover says the biggest PPE project was an order for 15,000 face shields for Alberta Health Services, the provincewide integrated health system. “The order wasn’t very many when you think about the sheer size of the health care system, but they were looking to add to the overall reserves of PPE and work with local companies to ensure they had a robust supply system,” says Hoover. “They really wanted to build relationships and do some test projects with manufacturers here.”

Pandemic partnerships PHOTOS COURTESY FUSE33

Despite securing the order from the health system, Hoover says that there were – and still are – big barriers to participating in the health sector for smaller players. “We didn’t – and couldn’t – get a medical device license from the government as quickly as we needed, so

Prairie Manufacturer Magazine • Fall 2020

“We switched paths and started manufacturing, and it’s been a kind of recovery strategy for us.”

we ended up partnering with a company who already is a Class 1 Medical Device License holder,” says Hoover. “We delivered all our shield products to them, and they did the testing and inspections. If you bought the product through them, you were getting a certified medical device, but if you bought it directly from us, it was only a personal use device without a medical certification,” Hoover explains. “The biggest thing for us was to make sure that were ticking all the boxes from a regulation perspective,” explains Hoover. “I’m not saying it’s a bad thing, but it would sure be nice if the environment was friendlier to the smaller local producers and products.” “I think what we've all discovered during this time is that the local supply chains and local manufacturers are very useful, and we can help mitigate the risks of being at the mercy of the big producers abroad,” Hoover says. www.prairiemanufacturer.ca

COVID -19

Refining the layers of prevention: adding masks, customizing toolboxes An infectious disease specialist explains why masks are only part of the COVID-19 response By Dr. Robyn Harrison

owever diverse the experiences, every business and industry has been impacted in some way by the COVID-19 pandemic. Its corona has spared no one. Despite this, Canadians are coming together in novel ways, across specialties and disciplines, and industries are ready to meet this challenge. In light of today’s rapid global information sharing, this is a moment for leaders to ask themselves how they might choose to hit media headlines in the event that this should occur. Certainly no one strives to be portrayed as an industry plagued by outbreak, but some may see opportunity to be portrayed as the business driving the tailored layers of prevention. Businesses ready to excel and adapt through the pandemic as leaders in prevention will, of course, stand to gain more than just favourable publicity and good health. Exposure to a single COVID-19 case (even without further outbreak), can lead to a significant number of quarantines (by law) and operational and financial impacts, affecting both individuals and businesses.

Prairie Manufacturer Magazine • Fall 2020

It has become evident through science that people infected with SARS-CoV-2 (the virus that causes COVID-19) are most contagious in the first few days of their sickness or even just before they recognize symptoms from COVID-19. Furthermore, while COVID-19 can be astonishingly mild for some, it can be deadly for others. Therefore, tailored-to-setting prevention measures are certainly high yield.

How should it be done? The key is to work in layers by combining practical and specific onsite knowledge (think floor plans, work or production schedules, break room spaces, etc.) with the more general expert guidance being issued by Canadian and provincial public health officials. A tour of published outbreaks from around the world reveals trends, illuminates areas of risk, and confirms one thing unequivocally: this virus has not gone away. SARS-CoV-2 resurfaces when a guard is let down. Knowledge of this, combined with analysis of the virus and its spread, help to hone present day public health and infection prevention messages. This

also underscores why no single prevention measure stands alone. Frontline and management teams are advised to avoid what global experts have dubbed the ‘Three Cs’: crowded spaces, confined spaces, and close person-toperson contacts. This applies when on the job, at break times, and in the community. Translated, this means that risk of the disease spreading from one person to another is lower:  outdoors;  when hand washing is routinely and correctly done (20 seconds with alcohol-based hand rubs or soap and water will work)  when people are spaced two metres apart (physical distancing);  when fewer individuals mix in-person (virtual is the way to go when possible);  when anyone sick is supported to speak honestly and stay home from work (preventing importation of infection into the workplace); and  when those ill have access to COVID-19 testing and tracing (so that others can be placed on quarantine when applicable to prevent outbreak); and  when masks are worn by everyone.

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Some have implied that ‘masking for all’ as a lone prevention measure will suffice. Not so. No single prevention measure stands alone at this stage.

The new kid on the block in the prevention toolkit is ‘masking for all.’ Wearing a three-layer (ideally with a polypropylene layer) cloth mask is recommended. Personal protective equipment such as a mask is certainly not new to industry, but its placement in break room settings or at business meetings or during travel is novel to some.

Why does adding masks to existing measures make sense? Masks work in part by containing the wearer’s respiratory droplets. Droplets carrying virus can emerge from speaking, shouting, or singing. Physical distancing (spacing two metres apart from others at meetings, during breaks or mealtimes, or in work areas) can also help minimize the spread of a person’s droplets. With key points about how the virus spreads in mind, it is easier to understand how an ‘everyone in’ approach to masking and physical distancing can protect. Some have implied that ‘masking for all’ as a lone prevention measure will suffice. Not so. No single prevention measure stands alone at this stage.

Masking is simply an addition to the prevention pyramid - the ‘hierarchy of controls. Analogous to a mask itself, industry needs layers of protection for the frontline. The hazard – in this case a virus – has not gone away.

How far can the current layers of prevention and protection take us? This is the time to shine a spotlight on how each business is optimally tailoring the bundle of measures to their setting. Bringing industries across the Prairies back up to full speed involves refining the layers of protection for the frontline. This is not a ‘one mask solves all’ scenario, rather a time to place the masks as ‘cherry on top.’ Accomplishing this will pave secure paths forward. Dr. Robyn Harrison is an Infectious Disease Specialist who works in Edmonton, Alberta and a Clinical Professor at the University of Alberta. She is also a Communicable Disease Consultant for the province-wide Alberta Health Services Workplace Health and Safety Program.

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WOMEN IN MANUFACTURING INDUSTRY Prairie Manufacturer Magazine welcomes Lori Schmidt as guest columnist for this edition of Women in Manufacturing.

The Caregiver Sandwich Leading, and caring, in the midst of a crisis By Lori Schmidt

s we work to get the COVID-19 pandemic under control and get our economies moving, we see almost every aspect of our lives has

Prairie Manufacturer Magazine â€˘ Fall 2020

been impacted; from how we work and communicate, to how and what we buy, to how we live, and even how we manage our roles as leaders and caregivers.

In this extraordinary new reality, the massive changes in behaviour have put leaders, especially women leaders, in challenging positions. Suddenly they find

The intensity of the demands that work and home bring at this time is not sustainable unless youâ€™re able to take a break.

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The shift to working from home, or remote work, added to the complexity. Strong leadership in all areas of life is suddenly in even higher demand.

themselves trying to manage their own stress levels and support others, adapting to daily changes to what was “normal” routine, and helping others navigate similar stressors and changes. For the woman leader suddenly managing a remote workforce, new plant safety adjustments, and supply chain structure changes – and who, in the past, had time to adjust and build rhythm into work and home practices as her career progressed – the new pressures have been intense. Women, especially, have had to simultaneously focus on what matters most and execute multiple initiatives well. This means, first and foremost, they must lead with purpose by taking care of their people, their customers, their families, their parents, and their communities. At the same time, they must focus on three horizons to shape the way forward: navigate the now, plan for recovery, and lead in the next normal – or what I call our ‘restart.’

Great change requires great leadership The shift to working from home, or remote work, added to the complexity. Strong leadership in all areas of life is suddenly in even higher demand. To not just cope, but to thrive and continue maintaining a healthy life balance in the many demanding roles as leader, teacher, parent, partner, and elder supporter – just to name a few – there are a few approaches and strategies that can help us get through this time. Years ago, I decided to start my own business. I was excited to be able to lead my own venture and have the flexibility to start a family. My husband had very unpredictable hours with his own business. We needed to learn some

Prairie Manufacturer Magazine • Fall 2020

skills to plan and manage accordingly, so we could both be successful business owners and parents and care givers to our parents. The difference is we had time to plan, communicate, adjust, and prepare. But this past March, we didn’t have this luxury when many of us were suddenly shifted to remote work, schooling our children at home, and caring for others in our lives under daily changing dynamics and stress.

Frequent, thorough communication One of the most important things I learned – and continue to apply – is to take time to communicate clearly what you know, the areas you are working to address, and things you have not yet addressed. People will appreciate hearing clear communication. It’s important to control your fear as much as possible, as others are watching you. This doesn’t mean that you don’t feel what you feel, but you work through and share your feelings with your partner or someone close that you trust – not those looking to you for calm and direction. At work, take time to communicate frequently, allowing others to ask questions and express their concerns. Work through the issues you can address and keep a parking lot of those you cannot yet answer but need to monitor. Ensure you communicate the standards for safety and health within which you’re working based on your province’s guidelines. At home, take time to communicate clearly with your partner, your children, and those you are caring for – the same goes for them. Listen to their concerns, be specific about what the challenges are and what you and they can do to stay safe. Allow them to help with problem solving and be part of the solution. Things

like – as you might at work – putting up instructions near sinks on hand washing and at your doors to outside to remind of the wearing of masks. Designing these signs can be a great activity for your children or grandchildren. Help encourage your children and those you are caring for identify creative ways to connect with others. Beyond phone calls and video chats, sending a letter or scanning a picture and sending to friends and relatives can be a meaningful experience for all. Try to limit social media during this time, or at least limit the information you are consuming to validated and factbased information sources.

Organize and plan Always important to me, and a mainstay of any leader, is to organize and have a clear plan. Even with things changing day to day, daily plans that eventually extend into weekly routines will help you manage through and keep moving the business and home forward. These plans include work-from-home resources, new processes and procedures for those working within business operations, as well as routines for longterm human resource adjustments. For work, there are components of the situation that COVID-19 has put us in that we actually can control. Map out goals for the day and week with your team; help them set and meet theirs. This will provide stability through some structure, some control around what is controllable, and build team support. For home, set clear time allocations with your family for activities and a clear understanding of the purpose of each time block. A starting point is figuring out work schedules with your partner if you have one. Alternate work blocks, so that one of you can work and one can take on

care giving, household management, or online schooling oversight. Once you work through the schedule with your partner, work through the schedule with your children and/or those you are caring for. Help them understand the activities. They, too, will appreciate routine and feel more secure knowing that they have availability they can count on. Availability times will need to be reinforced, and you may need to make adjustments as you see what demands you need to meet each day. This is a great time to teach your kids about work and project management. There are many apps available that you can introduce to your work and home environment that can make this educational and fun. Create rituals, brainstorm and build daily activity lists with your family and those you are caring for. Set timers – don’t rely on calendar blocks. Timers are more definitive. Consider walking calls. It’s great exercise, and you think differently and more creatively when you have a change of scenery and oxygen intake.

Time for yourself The most important of the suggested approaches to leading through this time, and probably one that I learned latest in my

career, is taking time to breathe and renew. The intensity of the demands that work and home bring at this time is not sustainable unless you’re able to take a break. Perhaps wake up early for some “me” time. Do something that switches gears during your day, that gives your brain and body a change. In your scheduling both for work and home activities, build in time to stretch, go for a walk, play a game, read something different, give a family member a hug. There are some great online tools from meditation moments and motivational talks to online yoga and exercise programs. The key is to block the time for you. When your working day is done, shut down the computer, turn off your phone, and mentally check out. Building in boundaries around your schedule of work and outside life is imperative.

You’re not alone If you are one of the millions of women leaders who have traded the corner office for the home office due to the COVID-19 outbreak, you are probably finding it challenging to navigate the changes to your daily routine and workflow. Working from home has its benefits: you save on your daily commute, you

get more flexibility to take care of your kids and others and to do certain tasks around the home and run errands, but it also offers its own set of challenges. Minimizing distractions, taking care of children who are now at home all day, providing care for parents and others, running your business and managing your employees’ expectations, and creating a ‘wall’ between workspace and living space are all challenges that people across the world are facing right now. While this new reality is overwhelming, especially for working women leaders, remember, you are not alone, and we’re re-writing the rules as we go. Take it a day at a time and find what works for you. Lori Schmidt is President of Loral Management Group, an Edmonton-based competitiveness and executive advisory firm. Prior to this she was CEO of GO Productivity, a not-for-profit productivity and innovation service provider. Her career has included work in manufacturing, economic development, and strategic planning and innovation implementation for SMEs and non-profit organizations.

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Don’t Pass It On How to stop the harm of misinformation from spreading

e’ve all probably seen something online, in print, or on television that didn’t seem quite right, or it seemed to go against all the evidence and accepted science at hand. Sometimes it’s simply a mistake or error, but other times – and increasingly so in today’s virtual world – it’s much worse: it’s misinformation. To learn more about misinformation and its effect, Prairie Manufacturer’s editor, Jeff Baker, spoke with Timothy Caulfield, a Canada Research Chair in Health Law and Policy, a Professor in the Faculty of Law and the School of Public Health, and Research Director of the Health Law Institute at the University of Alberta. In addition to publishing more

Prairie Manufacturer Magazine • Fall 2020

than 350 academic articles and winning numerous academic and writing awards, Timothy is also host and co-producer of Netflix’s A User’s Guide to Cheating Death and author of Is Gwyneth Paltrow Wrong About Everything?: When Celebrity Culture and Science Clash.

Jeff Baker: What is misinformation and what can it look like? Timothy Caulfield: Misinformation is really the umbrella term that captures a broader phenomenon that includes everything from disinformation (intentionally pushing

things that you know are not true) to conspiracy theories, to inadvertently embracing and spreading untruths. The term captures this broader cultural phenomenon that has really become an incredible challenge for all of us.

JB: How did we get to this point? Is it really as bad as it seems? TC: It really is bad. I can't keep up with all the misinformation that is blowing from every corner of pop culture right now. I've been studying misinformation for decades and I've never seen anything like it. It really has accelerated. Donald Trump obviously is part of the story, but then we had the acceleration in misinformation around things like climate change, GMOs, and vaccination. Now we're in the ‘infodemic’ era where we have all this misinformation about the pandemic, and what’s interesting is people are taking greater notice of the problem of misinformation. Groups like the United Nations, the World Health Organization, research institutions, and governments are all taking note of the harm that misinformation can do.

JB: Speaking of harm, what harm can come from sharing this type of content with our circles, regardless of how big they are? TC: Some people recognize the existence of misinformation, but they might not think about the harm. And the harm is real. There’s physical harm, where people have died as a result of misinformation or acting on misinformation. People have also been injured and even poisoned. Misinformation has increased stigma and discrimination in the world. It also has an adverse impact on health and science policy, and the hydroxychloroquine debacle is a good example of that. It just adds to the chaotic information environment, and I think that’s often overlooked. It creates more noise and makes it more difficult for people to tease out what's real from what's not real. It makes it more difficult to make informed decisions about how to live a healthy lifestyle. It’s also more difficult even for clinicians and policymakers to make decisions and have the public act on those decisions.

JB: What can individuals do to combat the misinformation that they encounter? TC: Individuals just need to do their best not to pass on misinformation. Yes, there are entities out there - the super-spreaders, like some celebrities, politicians, and other prominent individuals and entities - that spread misinformation, but much of the spread is by individuals on social media. Whether you're talking about Facebook, Twitter, Instagram, or TikTok, it's spread on there. One of my colleagues, Dr. Gordon Pennycook at the University of Regina, is doing research that's finding that Canadians want to be accurate; they don't have some nefarious goal. If you can invite people to pause and just think [about accuracy] before they share, we can all have a tangible impact on the spread of misinformation. We've partnered with Media Smarts on a public health campaign that encouraged people to do exactly that: Check First. Share After. It sounds ridiculously simple but there's evidence to back it up. Another thing people can do is use good, trustworthy sources of science in order to counter misinformation they see. They can also report misinformation to regulators. If it's a health product or a health care provider, there are regulatory bodies that people can turn to, and I encourage people to do that.

JB: Can we actually solve this issue, given it seems to be a game of whack-a-mole? TC: I like to be optimistic that we can do something about this. The good news is so many people are taking this very seriously. We have more research on misinformation, more tools at our disposal to fight misinformation, and regulators seem to be taking it more seriously, too. It’s going to be tough, though, because there are so many sources of misinformation, and it’s spreading so fast. I think our strongest tool is empowering individual Canadians to try to fight misinformation, and the best way they can do that is to not spread it themselves.

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Prairie Manufacturer Magazine â€˘ Fall 2020

Manufacturing Safely with COVID-19 Helpful tips to keep your people and plant safe By Nathan Rasmussen

uring the initial phase of the pandemic, we have learned some hard lessons about this virus. The most important component in the fight against the spread of SARS-CoV-2 comes down to two words that are often not clear in their intent: Physical Distancing. Since we know the virus is primarily transmitted through respiratory droplets, this needs to be the focus of our prevention efforts. It can also be picked up through indirect transfer on contaminated surfaces, but the main route of transmission is close contact and â€˜breathing on each other.â€™ Coughing, laughing, sneezing, singing, talking, and breathing are all activities that when performed within two metres of another person carry increased risk of transmitting the virus. To protect our people

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and operations, we as manufacturers need to identify where in our processes the physical distancing breaks down, and either reduce the exposure or mitigate the impact.

Creating a culture where it’s not only acceptable, but expected, that workers stay home when sick will be a challenge, but with consistency and transparency it is possible.

The Impacts of a Positive Test When a person tests positive for COVID-19 the local health authorities will begin contact tracing for the infected person. This process identifies the individuals that the infected person had close contact with during the period of time when they were infectious. Each of those individuals would then be required to self-isolate for 14 days or until at least 24 hours after their last symptoms are gone. How many people are we in contact with each day? In two days? Or three days? It’s possible to be contagious for three days before showing symptoms, when pre-symptomatic, or perhaps the ill worker won’t show any symptoms at all. Consider how many others those folks could come into contact with. In very short order we can go from one positive test result to dozens of employees under isolation orders. Since contract tracing and isolation is unavoidable after a positive test, we need to focus on changing how that process impacts our business.

If you only do three things, do these First, we need to make every effort to keep ill and symptomatic people out of our buildings. This needs a layered approach which would include a policy requiring ‘…sick people stay home…’ (both employees and visitors), signs, emails, and multiple other types of communication for both employees and visitors explaining the new expectations and what to do when they do get sick instead of coming to your building. Creating a culture where it’s not only acceptable, but expected, that workers stay home when sick will be a challenge, but with consistency and transparency it is possible.

Prairie Manufacturer Magazine • Fall 2020

Second, look for opportunities to eliminate instances of your team being within that two-metre bubble. If they absolutely have to be inside that bubble, can a physical barrier be installed in between them? The options for physical barriers run from fancy plexiglass sheets to simply mounting two posts and wrapping clingwrap around to create an inexpensive (though perhaps not stylish) separation between workers and workstations. Any solid object will reduce the amount of virus an individual is exposed to. If a barrier won’t work for the operation, then requiring face coverings or masks be worn and limiting the amount of time that close contact occurs would be the last resort. Pay special attention to the workers who move from department to department (e.g. supervisors, maintenance staff, etc.). Third, your COVID-19 preparedness program should include as much cross training as you can accomplish. Develop a training matrix; identify your mission critical jobs and how many operators you have qualified to perform each; and then determine how many operators you want trained as back-up. Canadian manufacturers have done amazing work reacting to this pandemic. Taking that agility and applying it to planning for the upcoming respiratory illness season during the realities of the pandemic will be important to maintain the momentum the sector has made over the last quarter. Nathan Rasmussen is an Advisor with Made Safe. He's part of a team that provides Manitoba manufacturers with a comprehensive suite of training and practical solutions for real world safety challenges. Visit www.madesafe.ca to learn more.

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Where to focus your manufacturing company: 5 considerations to build a post-COVID-19 growth strategy

s we start passing through the recovery stage of the COVID-19 pandemic and start thinking about growth strategies for the manufacturing and distribution sector, a few areas immediately surface as top-of-mind focus. Being an industry that was hit especially hard by market disruptions, manufacturers have been rethinking a number of considerations: What needs to change in order to survive? What does success look like? Where do shifts need to be made in order to stay competitive? Supply chain disruptions and increasing costs are eroding competitiveness. Those that build and execute a plan to address these issues will be able to maintain and increase market share without sacrificing margin. The BDO manufacturing team has identified five areas of focus to start building a growth strategy for your manufacturing business in order to capitalize on opportunities.

1. Supply chain disruptions Traditional supply chains—both direct material supply and product sales—have been disrupted by the pandemic. And they’ll continue to be disrupted for some time. Moreover, costs have increased. To remain competitive, businesses need to find new supply channels while minimizing these additional cost increases. To combat the disrupted sales channels, manufacturers must either find new sources of revenue or expand on existing ones. This might mean new geographies, new products, or new channel partnerships. How can you get started with incorporating this into your growth strategy? Build and execute a plan to review and adjust material supply sources to improve resilience, manage costs, and adjust inventory-carrying policies. Further, you should review go-to-market options, think about diversifying your product portfolio, and prepare to expand into new sales channels.

2. Margin erosion Another consideration is reduced margins for the foreseeable future. This is simply a reality that needs to be dealt with as we recover and revive business back to its usual pace. You want your manufacturing business to remain competitive, maintain or increase market share, and improve margins. That’s why your growth strategy must address the fact that direct material costs have increased while some costs have remained fixed. On top of that, in most cases revenues have declined along with productivity. In order to start developing a plan, you need to incorporate reductions in direct material costs and fixed costs, while increasing revenue and productivity. This might include automating production lines, retooling parts of the company, and retraining staff accordingly. If it’s a possibility, completely pivoting what’s being produced may be a solution. We’ve seen a number of manufacturers do this successfully. Staying on top of financial forecasting to respond to the current and future landscape is imperative in managing costs and cash flow. BDO teams across Canada specialize in this type of future-proofing for a number of scenarios you might encounter.

3. Workforce management It’s vital to protect an organization’s workforce in order to maintain productivity and plan for the future. This is especially true of the manufacturing and distribution sector, as so much of it is reliant on skilled labour. Unprecedented challenges have strained the HR capabilities of many manufacturing businesses. Many have had to lay off staff as production lines were halted. Or they were faced with a labour shortage caused by the closing of borders keeping foreign workers from being able to do their jobs. What might the next steps towards a solution be? We recommend consulting our HR advisory team about options surrounding return-to-work programs, HR policy updates, leadership and management support, and a staff communications strategy.

4. Business continuity planning It’s important for an organization to have a robust business continuity plan to minimize risk of disruptions as conditions change. Most manufacturing businesses don’t have a plan like this in place, making them that much more susceptible to changes in the market. As conditions in the manufacturing landscape change, your business needs to be ready to change with them—coming out stronger every time. As part of your growth strategy, we advise building, testing, and deploying a business continuity plan to minimize business disruptions as conditions change. This would include preserving business continuity, managing cash flow, rethinking budgets, maintaining important vendor and stakeholder relationships, and leveraging technology to help keep your various platforms running. It’s never been so important to plan for the future with resiliency being top of mind.

5. Cash flow and working capital management The ability to dynamically re-forecast as conditions change allows businesses to maximize their use of working capital and avoid cash flow stress. Traditional budgeting and cash flow planning processes don’t allow for frequent re-planning, making you more vulnerable as conditions keep evolving. Budgeting and cash flow planning processes should enable re-planning as needed. You should be able to pivot business at any given point and react quickly to change. Every business will suffer losses one way or another, in line with the economic downturn. That stresses the importance of managing liquidity and cash flow now—taking uncertainties into account for future planning. Mike Gillespie, David Linton, and Harry Lake are partners with BDO Canada and have extensive experience working with clients in the manufacturing and distribution sector. They understand the challenges manufacturers are facing in the wake of COVID-19 and can help you build and execute growth plans to emerge from the disruption stronger and better positioned for future change. Contact them for more information. This article was originally published by BDO Canada LLP.

Supporting Manufacturers through Recovery and Growth across the Prairies In spite of significant business challenges, opportunities still exist for manufacturing companies looking to pivot and innovate. From acquisitions to optimizing supply chains to improving inventory management systems, BDOâ€™s Manufacturing and Distribution team combines accounting, tax, and advisory services to guide your business operations through recovery and towards growth. In the Prairies, our BDO locations include: X X X

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