As the number of confirmed COVID-19 cases continues to rise, authorities across provinces remain on high alert, yet many large supermarkets and pharmacies stay open to ensure public access to essentials. In less affected areas, companies are gradually resuming operations as workers return to cities. Trading companies in some regions are also resuming work one after another, but the epidemic situation remains severe. Therefore, trading companies must implement strict protective guidelines to ensure the health of their employees. -01- How Can Distributors Resume Work Safely During the Epidemic? Regardless of the size of a distributor's business, as long as employees return to work, a relevant protective plan must be formulated. 1. Establish an Emergency Response Team and Prepare Protective Supplies
- To ensure the timely implementation of the plan, the trading company should first establish an emergency response team, with the legal representative as the team leader and department heads as deputy leaders, clarifying responsibilities. Keep phones available 24 hours and respond promptly on WeChat.
- Arrange dedicated personnel to purchase protective supplies, such as masks, disinfectant, hand sanitizer, infrared thermometers, and emergency medicines. 2. Track Employee Movements and Implement Flexible Work Arrangements Department heads should promptly contact employees to understand their specific whereabouts. For those in other regions, contact them promptly to learn about local epidemic conditions and employee health status. If conditions permit, delay the return of out-of-town employees. For local employees, except for essential departments and key positions, home office can be arranged in principle.
- Create an employee contact list.
- If local government notifies a delay in resuming work, the trading company should arrange dedicated personnel for duty and regularly disinfect the office premises.
- If the local market has not resumed operations, arrange for sales staff to continue their leave or work in shifts.
- Sales staff must wear masks when visiting the market; if possible, provide them with hand sanitizer. 3. Wear Masks, Take Temperature on Time, and Disinfect Regularly
- Employees in administration, finance, warehouse management, etc., who need to come to the office must wear masks as required. Set up temperature checkpoints at the main entrance; anyone entering or leaving the company must have their temperature taken and recorded. If an employee has an abnormal temperature, promptly contact the local disease control department and arrange isolation.
- Arrange dedicated personnel to disinfect office areas and warehouse areas, with emphasis on restrooms, pantries, and meeting rooms.
- Disinfect company logistics vehicles at three fixed times: morning, noon, and evening. Vehicles returning from outside must be disinfected in designated areas.
- Ventilate the office daily to ensure air circulation. 4. Stay Updated on Epidemic Developments and Register Visitors Staying updated on the epidemic not only helps understand the situation but also gauge local market and industry trends. In principle, external visits are not accepted. If business meetings are necessary, arrange dedicated personnel to register visitors, take their temperature, and record contact information. Employees are strictly prohibited from dining together or gathering. After work hours, they must return to their residences or dormitories. Participation in large group activities and visits to crowded places are forbidden. The above are the protective measures that distributor trading companies need to implement after resuming work. For distributors, after experiencing an unusual Spring Festival, many remain confused. So what should distributors do after resuming work during the epidemic? -02- What Should Distributors Do After Resuming Work During the Epidemic? 1. Hold Management Meetings
- Before resuming work, distributors should organize meetings with all management levels to understand the problems encountered by each department during the Spring Festival and promptly formulate safety defense rules for the resumption period.
- Brainstorm with management to discuss future development directions, including inventory handling, terminal store goods processing, understanding the company's financial status, and the amount of outstanding receivables.
- Set work schedules and staffing arrangements.
- Prepare for recruitment. 2. Inventory Count
- Arrange warehouse staff to count company inventory, focusing on New Year goods, gift boxes, dairy products, and short-shelf-life foods. Understand the specific quantities and production batches of these products. For near-expiry products, classify them promptly or store them separately.
- Given that terminal operations in many areas have not returned to normal, distributors can refer to pre-Spring Festival orders from terminal stores to understand the stock levels of each store. Identify stores with high inventory and promptly communicate with store owners by phone to understand January sales and assess terminal inventory. Inventory counting allows distributors to have a clearer understanding of the current situation, providing a basis for future promotions and returns to manufacturers. 3. Financial Review
- Arrange finance to review the company's account balances to understand available cash resources. 2) Count the number of unshipped orders from manufacturers. 3) Understand the first-quarter sales tasks from each manufacturer and assess the feasibility of completion. 4) Understand the unredeemed expenses and rebates from manufacturers for 2019. During this special period, financial review is crucial for distributors because when terminals are largely closed, distributors have little or no sales, meaning loss of profits. However, fixed costs such as rent, utilities, and personnel expenses still need to be paid. Understanding the company's account balance promptly can help predict the company's capacity to withstand the crisis and formulate corresponding plans. Additionally, understanding the unredeemed expenses from 2019 and the first-quarter sales tasks for 2020 is a bargaining chip for distributors to negotiate with manufacturers after the epidemic, avoiding situations where tasks are too high to complete. 4. Logistics Arrangements In areas less affected by the epidemic, terminal stores remain open, generating replenishment orders. Distributors need to arrange logistics reasonably, dispatching vehicles in batches. Implement flexible work arrangements while meeting delivery orders. For example, Xi'an's Jiayun City canceled all orders that were not delivered before the Spring Festival due to the epidemic; stores must reorder if they need goods. Additionally, vehicles were arranged from the fifth day of the lunar new year, and deliveries began on the sixth day in order of order placement. 5. Terminal Store Visits For terminal stores that are not open, arrange staff to make phone visits to understand their operational plans and sales data before closure. For stores that are open, arrange sales staff to visit in person (ensure protective measures for sales staff). Terminal visits should focus on sales data for New Year goods, gift boxes, and short-shelf-life products, and conduct quantity and date checks of terminal inventory for each product. Identify products that are selling well recently (e.g., daily chemicals, grain and oil, hygiene products), or products that are selling well but out of stock and not represented by the company. Sales staff should promptly report to the company. For products not represented by the company but demanded by stores, distributors can source through relationships or contact manufacturers directly. 6. Promotional Activities and Pricing Issues Based on store inventory, distributors can conduct promotions at appropriate times. In principle, prioritize clearing store inventory before handling their own. For example, gift boxes can be sold at reduced prices, and dairy products can be offered as buy-one-get-one-free. Distributors with strong capabilities can provide cash or new-date product subsidies to stores, which helps maintain customer relationships. 7. After-Sales Service After the Spring Festival, returns and exchanges from terminal stores increase. With this year's epidemic, distributors will encounter more returns and exchanges, testing their after-sales capabilities. According to contracts signed with stores, products eligible for returns and exchanges should be handled in principle. At the same time, distributors should arrange procurement to promptly contact manufacturers to understand relevant policies. While protecting customer interests, minimize their own losses. After the Spring Festival, a new year begins. Although we are in difficult times, distributors must maintain a positive attitude and trust the government. This epidemic has a significant impact on the FMCG industry, but it will not last long. As spring arrives, consumption will eventually recover. What we need to do is to persist better during this difficult period. To summarize: 1. Establish systems and ensure full protection for all employees. 2. Arrange work plans reasonably. 3. Understand cash flow. 4. Count inventory, including terminal store inventory. 6. Provide good after-sales service. 7. Actively communicate with manufacturers to seek policy support.
