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This event is open for all professionals interested or currently working in Starups in Hanoi, or supply chai professionals in Hanoi, or who are interested in looking for business collaboration for U.S. market through meeting with a delegation of Baylor University (U.S.), Executive Master Program.
Ferguson Global is seeking a Sourcing / Business Development Manager to assist in our Southeast Asia sourcing expansion. This position will report directly to our Regional Manager based in Taiwan and work closely with our staff at Ferguson Enterprises, LLC headquarters in Newport News, VA, USA.
The Project Manager (PMO) is a highly visible role that is responsible for driving the transformation activities for Singapore Replenishment Center (SRC) and 3rd party service providers’ warehouses migration from current location to a new location. This leader will lead cross-functional internal and external resources and has overall accountability of the execution and performance of projects and transformation initiatives.
Manage DC daily operation activities at warehouse facility. To ensure strict execution of the SOP and meet KPIs.
CORONAVIRUS: HOW COMPANIES AROUND THE GLOBE ARE RESPONDING
CORONAVIRUS: HOW COMPANIES AROUND THE GLOBE ARE RESPONDING
The rapidly changing situation around the coronavirus spread is worrying global investors. Our review of nearly 200 conference call transcripts from the last two weeks that mention “coronavirus” or “outbreak” painted a clear picture of what corporate leaders are telling investors. While for most it is too early to provide any statistics on the response, there are some clear trends emerging. We’ve provided some analysis on what companies are doing on the ground in response to this pandemic below.
Broadly, as a conversational topic, coronavirus is now substantially larger than ebola on Twitter. We have plotted mentions of coronavirus vs. ebola vs. SARS.
There is a very notable spike in January 2020 in the number of transcripts that mention “coronavirus”, “corona virus” or “outbreak”
While still early in the filings season, we are seeing an increase in 10-Ks and 10-Qs that mention “coronavirus”
One of the companies with a mention is Starbucks: the company (which has temporarily closed a large number of its Chinese locations) added a new risk factor in its January 28th, 2020, 10-Q related to the virus.
Even the Chairman of the US Securities and Exchanges Commission (SEC) issued coronavirus-related guidance on January 30, 2020, in a broader piece on material disclosures: issuers’ contingency plans could be material to investors even if the immediate effects are unknown.
With all these data points in mind, we dove in to see what has been communicated to date to investors. While every company that was asked about its China operations said upfront that the staff safety is their number one priority, some gave more details: whether it is shipping masks or staying in touch daily.
Signify NV (fka Philips Lighting)
“We know exactly where all our people are located. Most of them are still at home. They are being reached individually on a daily basis. They were sent some protective equipment, masks, with very — with different grades of filtering. They were also sent some soap and gel for their hands, for them and their families. And we are very happy to report at this point in time that we have not recorded any case of infection.”
WestRock Co. (paper and packaging)
“We're supporting our employees. We've shipped masks there, and I think we're just monitoring that situation pretty carefully.”
I'm going to have to take away anything to do with the coronavirus obviously in the answer because that's got an impact that I don't yet know how to predict, specifically for China. I mean we, as a company, have, on that particular topic, we've actually given our employees 2 extra weeks to work from home using that ability so that we try and help them manage their own families and their own situation in a way that's responsible for them.
Medical and other essentials companies are discussing what they have been going to help: including staff currently working in the affected areas, servicing equipment.
General Electric (diversified industrials)
As you might imagine, our Healthcare team is really in the smack in the middle of this in Wuhan and elsewhere, servicing our equipment, certainly prioritizing new equipment deliveries, particularly to the Wuhan hospitals. We made a significant donation of patient monitors and ultrasound equipment to help the care providers there. So there's a lot going on. And fortunately, we can be part of the solution there in China, but itself, a real tragedy.
Becton Dickinson (medical supplies)
Our people are safe and creating contingency plans and working with the Chinese government. In addition, we're working with them because we have an instrument called BD MAX, which I mentioned in my remarks, and the Chinese government has taken advantage of the flexibility of that instrument to create a diagnostic test for coronavirus. So we're actually sending some instruments to China to help them with the diagnosis. We're also looking at whether we have to start thinking about all around the globe right now as this evolves in terms of how do we work with agencies to make sure the right products are in the right place, that our people are protected, not just in China but around the globe. So all of those efforts are very early on, and we'll have more to say about them as the situation evolves.
3M Co. (diversified industrials)
And China, in particular, before we got to the last couple of weeks with the coronavirus really becoming the focus, we were looking at a sluggish start to China in first quarter really based on automotive, and the build rates expected to be down mid-single digits and maybe even high single digits. And so it's — that was kind of our pacing. Now coronavirus, it's kind of changing things as we go. And we're seeing what you're seeing. We're seeing increased demand for our respiratory protection products, and we're ramping up our production worldwide, in China, around the world to meet that demand. At the same time, we're seeing what everybody else is seeing, that there's — the businesses are shutting down, extending their shutdown beyond Lunar New Year. So we're really watching day to day what that's going to mean for our outlook for China.
Danaher (medical technology)
We have businesses, by the way, Tycho, that are actively involved in taking on this challenge. Both Cepheid and IDT are engaged in — with outside parties on a global basis, both public and private, including the CDC, to support their efforts — particularly at CDC, supporting the CDC efforts around releasing just in the last couple of days a panel of 2 PCR probes and primers that are designed specifically to detect the virus. So we are in the fight here. But the impact of this, both in terms of the overall Chinese market, our business and any of our specific businesses, it's just far too early to tell.
Berry Global (packaging and specialty materials)
We've got 15 facilities within what I would describe as the affected areas of China and Thailand. Those regions represent about 5% of our overall sales. I am frankly very proud of our Berry team in China. We are actually prioritizing the manufacture of materials, nonwovens, specifically for the health care market. We have them working with local authorities to maximize 24/7 the production of surgical grade face mask materials, N95 respirators as well as surgical gowns and drapes for the protection of airborne and blood-borne pathogens in the region. Our plan is continue to operate. We continue to work closely with the relevant health authorities, with the priority of making certain our people are safe. But similarly, consistent with our mission of always advancing to protect what's important, we're providing products on the nonwoven side to support what is a growing crisis around the world, with protective solutions specific to face masks, gowns and in the United States, the protection of disinfectant wipes for surgical [suites] and other regions. So the business is very active relative to that, and we are prioritizing the health care and medical portfolio across all of our sites, specifically in our Nanhai facility in China.
Over the last few weeks, Illumina has been engaged in a number of ways to help manage the coronavirus outbreak. Scientists have already used Illumina sequencers to identify and publish the genomic profile of the coronavirus into the public databases, which is a critical first step to enable the development of diagnostic tests and ultimately, potential vaccine. Our team is actively working with Chinese CDC labs to prepare coronavirus NGS testing protocols and provide the necessary training. We're also working with our supply chain team to ensure that systems and consumables are delivered to labs, working with novel coronavirus as quickly as possible. We plan to share these NGS testing protocols with customers to support the global infectious disease community as it mobilizes to address this threat. Further, we're exploring philanthropic programs and collaborations to ensure novel coronavirus sequencing is available by providing sequencing and consumables to those who need it to fight this epidemic.
And then what's burning our result is the outbreak of the coronavirus. So what do we know about the coronavirus and the impact for KONE? First of all, we have 2 principal objectives at KONE when it comes to dealing with this situation. First, naturally, the health and welfare of our employees. We have about 20,000 employees in China. So that is our first priority. But clearly, also a priority to make sure that we can continue to serve our customers. In this situation, we have a lot of hospitals and other similar buildings that we are servicing. They're, of course, critical as they continue to work. So we are, of course, giving instructions, helping our people locally how to deal with this to stay healthy and safe.
There were plenty of questions regarding the supply chain effects across industries.
I'll talk about supply chain and customer demand some to give you some color. With respect to the supply chain, we do have some suppliers in the Wuhan area. All of these suppliers, there are alternate sources, and we're obviously working on mitigation plans to make up any expected production loss. We factored our best thinking in the guidance that we provided you. With respect to supply sources that are outside the Wuhan area, the impact is less clear at this time. The reopening of those factories after Chinese New Year has been moved from the end of this month to February 10, depending upon the supplier location. And we've attempted to account for this delayed start-up through our larger range of outcomes that Luca mentioned earlier.
From a supply side, most of our product is coming out of Vietnam. So we haven't seen, at this point, any disruption from a supply side issue. As I said, we have put in an element around the demand related to China and restrictions in China. As I also said, it's still very early. So it's really hard to know where this is going to go and how it's going to end up. But at this point, with the majority of our supply coming out of Vietnam, from a supply issue, we're in good shape, but we'll see how things develop.
We are also in the early stages of understanding if and to what extent we may be temporarily impacted by the coronavirus. At this point, we're expecting a 1- to 1.5-week delay in the ramp of Shanghai-built Model 3 due to a government-required factory shutdown. This may slightly impact profitability for the quarter but is limited as the profit contribution from Model 3 Shanghai remains in the early stages. We are also closely monitoring whether there'll be interruptions in the supply chain for cars built in Fremont. So far, we're not aware of anything material, but it's important to caveat that this is an evolving story. However, we have more than sufficient cash to continue our expansion plans while further strengthening the balance sheet.
H&M (apparel retail)
Well, I mean we are following, of course, what happens there and sticking to the recommendations from the local authorities. We have a number of stores closed. It's affecting the selling negatively now at the end of the month. So it's very hard to say. We don't know what will happen. We have a lot of sourcing from China. But we also have a very flexible supply chain. So today, it's having a marginal effect. We have backup plans and we'll just see what happens. But for now, we have the supply chain and we have a good plan for that.
We have not estimated a material impact, [but if] the coronavirus becomes more significant, which is already impacting aviation, in particular, flight hours, and could also have a broader negative impact on supply chains in the economy as was experienced with the SARS outbreak.
We are concerned about what's happening in China around coronavirus and so on. And not just the impact in China, but really the impact on the global industrial production because these are global supply chains. So I think you have to look beyond just China.
Companies with exposure to Chinese consumer discretionary spending were frank about the current and expected hits, including an 80% drop in travel to Macau casinos.
Las Vegas Sands (casinos)
They are 2 different markets, Macao and Singapore. As you know, Macao visitation based on public reports is down as much as 80%. It's not nearly as dire in Singapore. There has been some adverse impacts but nowhere near the same level of problem in Singapore as Macao [has] there. As to our operating, you know our business is revenue dependent. There's no way to hide from the fact we employ tens of thousands of people in these markets. And it's an expensive business to operate. And in the same way operating leverage swings your direction when volumes are good, it swings again too at times like this. And we're going to do our best. We'll do all the paid time off, all things we can do to mitigate but I think it would be silly to think that we can make a material impact on operating costs. They're real. And they — and that's the problem with these businesses when this kind of thing hits. Having said that, we've been — just before, we've been through a lot of years of problems in Macao and Singapore and Las Vegas when things like this happen. And this storm will pass. We don't know when. We do know at best is we'll be first in line in each of our markets to be the biggest investor, most aggressed in Macao. We've shown our strength in [our things of that] market, extraordinary market. When it returns, we'll return with it and do very, very well and keep investing. But I think it would be foolhardy to think we can reduce costs enough to offset what's happening in the — if this 80% decline continues. That's a real problem for any operator.
Unilever (consumer products)
We're monitoring the effects of coronavirus, most importantly, on our people, but we're also mindful that it's likely to affect our businesses. It's too early to quantify, but we already know, for example, that it will have a commercial impact, about 1/5 of our business in China's professional foodservice, and that's likely to be significantly impacted by a drop in out-of-home consumption.
Dow Inc (chemicals)
On the coronavirus. I had the experience to live there during the SARS epidemic, and it feels like to me, what we went through during the SARS time period, you're seeing an impact on tourism. People staying at home, people not going to restaurants. The service industry gets hit a little bit. People may be making a run at the grocery store to stock up on things. You're seeing some pull on demand on things like materials that are going into household cleaners or disinfectants, nonwovens that are going into masks or wipes. So we're seeing some of that pull on demand. And I know our counterparts at DuPont are also seeing that, for example, on pull on some of their nonwovens and their surgical masks and things as well.
Levi Strauss (apparel retail)
It is really unfortunate how the outbreak of the recent virus has been impacting people's lives, especially during the Chinese New Year. We're taking this seriously and responsibly with our top priority being our people and our business partners. As a result, we temporarily closed roughly 50% of our fleet and have stopped all employee travel in and out of China. While this will put a damper on our growth in China in the near term, we are continuing to execute on our strategies there, and we will update you on the impact to our business when we provide our first quarter results.
Remy Cointreau (spirits)
But the potential coronavirus impact, clearly, if any, will be significant for our business. No scenarios, but we are exposed to China. It is really booming at this moment. I don't think it will be an impact on Chinese New Year in terms of shipment because it's tomorrow, so the shipment's there. But if there will be an on-trade impact because of the coronavirus fear or a measure to be taken will be translating in a slower replenishment by our distributor for the indirect part, also partially on the direct channel, translating in a potential slowdown in the coming months.
Air travel has been severely impacted: given the fast changes there, we are including only one quote.
Hawaiian Holdings (airline)
And I think you have seen in the last 48 hours, the response of global airline serving China to that to rapidly reduce in a number of cases, eliminate capacity to China. So clearly, that's an acute impact in the here and now.
Commodity demand has been affected negatively, given China’s outsized consumption.
We assume that the extended business closures announced by the Chinese government of approximately 10 days beyond the Lunar New Year holidays will have an impact on methanol demand.
Teck Resources (mining)
Coronavirus can affect things for a while.
Education providers are moving classes online.
TAL Education Group
And in the second place, I think right after this happened, we have quickly made some changes. We have tried to recommend more students moving from off-line to online offerings. Thanks to our investment in our teams in the past few years, we have successfully built our strong capability in online perspective, we have both Peiyou live team and Xueersi online school team, so we have online capability in almost every city. So we will — in Wuhan area, we have already recommended students moving from off-line to online. And considering our Peiyou live offer has very good reputations in Wuhan area, where it is widely accepted by the students and parents, so we are seeing the transition is quite good.
E-commerce is impacted, too.
There's — that said, there's definitely going to be impact. I mean when planes are being halted both in and out of China, and you're probably reading as we are that companies are telling their employees to stay home, so even for the e-commerce world, employees are staying home, who's picking — and who's picking goods and shipping them? So I think, for sure, there'll be some impacts, and — but we'll have to see how pronounced it gets and how long it goes. I'm not in the predicting game for it at the moment.
At Sentieo, we wish for a fast resolution of the situation and rapid recovery to all affected, and we will continue to monitor the situation closely.