In an ongoing effort to gauge the needs of the Indiana manufacturing community, the Indiana Manufacturers Association (IMA) is conducting periodic surveys regarding how COVID-19 is affecting all areas of manufacturing, Indiana’s largest economic sector.
The first survey, conducted in May, focused on the impact of the pandemic to finances, supply chains and customers, and their near- and long-term outlooks.
Manufacturers were generally optimistic regarding the long-term health of their businesses (50%), and most manufacturers who responded continued working throughout the quarantine period because of their “essential” status (85%).
Product orders took a hit, with 31% percent reporting a 50% reduction, 23% reporting a 25-50% reduction, and 28% reporting a reduction of 10-25%.
Additionally, 5% of the survey respondents indicated significant supply chain disruptions due to the coronavirus outbreak, 70% responded that the disruptions were manageable, and 25% indicated there were no disruptions to their supply chain.
When asked about the overall financial impact on their company due to the pandemic, 30% indicated they have experienced a significant negative impact, 62% viewed the impact as manageable, and 8% indicated no negative impact.
“The results of this Indiana manufacturing survey are further evidence of the significant negative economic impact being felt by Indiana’s industrial sector. However, the survey respondents indicated increased optimism over the next 6 to 24 months,” said IMA President and CEO Brian Burton. He further added, “Indiana is the most manufacturing intensive state in the country; and our Indiana businesses continue to step up and take on the challenges presented by the current pandemic.”
The Indiana Manufacturers Association has taken several steps to assist businesses. Efforts have included timely webinars with various partners, the promotion of Purdue MEP’s return to work guide, a supply list where manufacturers may purchase personal protective equipment and safety gear, a resource page with links to valuable information and past webinar materials/recordings, and a forum for the exchange of information among forum members.
The IMA’s June Survey will focus on actions Indiana manufacturers are taking to adapt their workplaces in light of the health concerns surrounding the coronavirus, the results of which will be released in July.