COVID-19 has hindered many industries across the country and across the world. The coronavirus pandemic was something no one predicted or planned for.
One industry that has been severely affected is the construction industry. Nationwide with record sales and growth as 2020 started, the construction industry has seen its activity at a standstill.
As states are starting to announce the lifting of restrictions and plans for construction to resume, there is no doubt the pandemic will continue to leave marks on the industry as a whole.
Here are 5 ways COVID-19 already has and will affect the construction industry.
1 - The health and safety of employees
This was the first effect of the shutdown. Businesses and communities across the country had to indefinitely cease operations. The term “social distancing” became a part of society's new normal.
While many sites are closed to protect workers completely, some have remained open, and others will be opening again in the coming weeks.
The key to employee safety is education and following the guidelines for distancing. The rule is to stay 6ft apart, as well as smaller, individual groups will be a must moving forward. In most cases, any meetings that were conducted in person have been moved to virtual meetings.
The industry should consider how these guidelines will affect construction lead times due to less workers on the site at a time.
2 - Travel Bans and Quarantines
With workers unable to work due to the implemented quarantines and travel bans, remote work isn’t a possibility. It is hitting hard because not everyone has the ability to work virtually.
This not only affects the worksite and the workers but the suppliers of construction materials who have staff that needs to work home, are furloughed or laid off.
In cases where public meetings are needed, licenses and permits are being issued for certain projects in certain areas through virtual conferencing.
3 - Anxious Clients and Lenders
Times of crisis can make anyone apprehensive to spend money. This is most apparent with clients beginning a project and lenders looking to protect their financial investments. There are many examples of people canceling projects outright, while others are holding off until things become clearer. The money will be harder to come by and could result in higher costs and cancellations.
4 - Delays of Projects and Materials
A lot of projects have been halted now for 6-8 weeks due to the lockdown restrictions. This has led many projects to further delay and has also had effects on the production of materials. Products normally sourced from overseas, especially China, are going to see delays, higher material costs, causing slowdowns and disruptions.
Uncertainty with inventory and pricing will lead contractors to search out new suppliers in order to purchase materials to complete their projects.
According to Steve Levin, Mega Supply Pro’s SVP of Procurement, “Our supply chain is intact. We have a diversified supply chain and Mega Supply Pro is more flexible in this case as we work with a larger number of manufacturers. We are able to source from many of these manufactures rather than a small handful.“
Levin continues, “At Mega, we can still take advantage of this chain to order a customer’s material and store them for our customers if needed, so they can buy now while the products are in stock and available at current prices.”
Another reason for delays will be due to worker layoffs, and workers finding replacement jobs to make ends meet. A number of those workers may not return to their original positions leading to further delays to replace workers with new hires.
Levin adds this, “We have all of our clients still with us. Some are on hold but have not canceled. Our team is still intact, and we are prepared and ready for when our clients have been given the go-ahead to resume working.”
5 - Uncertainty is the only thing that is certain
The only certain thing right now is the level of uncertainty. While the world could not plan for such an event, planning the future has become even more difficult. The longer COVID-19 lockdowns go on, the deeper the effects the industry will have.
Many feel that the greatest effects have yet to be felt.
Construction will continue to see restrictions on work ease and workers return to work. As long as guidelines are followed and safety precautions taken on sites, projects, including new windows, doors, and ongoing construction should move forward without compromising the health and safety of workers.
Still, we must prepare for anything and everything at this point because there is no historical data to look back upon and the industry is newly navigating through this together. Only time will tell where we wind up. Situations will change, but flexibility and awareness will be the key to survival.
If you are experiencing any interruption in your supply chain and would like to discuss how we can help you with that, or assistance in any other areas we’ve discussed, reach out to us at (888) 342-9097, or email us at info@vetrinawindows.com.
