UPS and FedEx Manage Capacity for Peak Vaccine Shipping

UPS and FedEx Manage Capacity for Peak Vaccine Shipping

April 4, 2021
Lisa M. Spencer

UPS and FedEx are planning to increase vaccine delivery capacity threefold by May.

As of February 2021, the two companies were delivering about 14 million doses per week.  UPS in particular believes it can still prioritize timely vaccine delivery when increased production by multiple manufacturers allows triple the volume in May 2021.

Video Spotlight: 

This post is based on the Bloomberg article, UPS expects 40% jump in vaccine doses next week, peak in May, by Thomas Black,  February 25, 2021, and the YouTube video in the Spotlight. Image source: FG Trade/Getty Images

Discussion Questions:

1. How have distribution points grown since the start of 2021?

Guidance: Distribution points are becoming increasingly varied as local and state governments open up stadiums, arenas, amusement parks, and other large-scale venues in addition to smaller outlets like pharmacy and grocery chains.  Whereas there were about 14,000 distribution points in the vaccine supply chain when UPS and FedEx began deliveries, there were 100,000 as of late February 2021, with that number increasing rapidly.  As distribution points open up, more delivery capacity is needed Continue reading →

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Airlines Analyze Summer Capacity

Airlines Analyze Summer Capacity

March 7, 2021
Lisa M. Spencer

European airlines must soon make critical decisions about summer flight schedules, but with the pandemic still raging and a slower-than-expected vaccine rollout schedules are being made and scrapped at a dizzying pace.

Consumers, unsure of what the future holds, now favor last-minute bookings, making it difficult for airlines to forecast or identify patterns to help them plan summer schedules.

Video Spotlight: 

This post is based on the WTVB article, Airlines flying blind into summer capacity sweepstake, by Laurence Frost and Sarah Young, February 2, 2021, and the YouTube videos in the Spotlight. Image source: Fly View Productions/E+/Getty Images

Discussion Questions:

1.  How serious a mismatch was there last summer between forecasted and actual demand, and how did this affect final scheduling?

Guidance: Airlines planned summer flight availability in early spring of 2020.  As the first lockdowns started, plans drastically changed.  Of the 755 million seats originally scheduled for flights in Western Europe last summer, some 72 percent were cut.

2.  Continue reading →

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How GOJO Increased Capacity for Purell

How GOJO Increased Capacity for Purell

February 24, 2021
Anita Lee-Post, Ph.D.

GOJO, the maker of the Purell hand sanitizers, is making investments to increase its capacity for current and future demand.

The COVID-19 pandemic has changed consumer attitudes towards higher hygiene expectations.  There is also a need for a safe environment to work and socialize when society re-opens.  The result is a 150% increase in demand for sanitizers.

Video Spotlight: 

This post is based on the National Health Executive article, How GOJO is keeping pace with the changing landscape, by Matt Roberts, January 27, 2021, and the YouTube video in the Spotlight. Image Source: Shutterstock / bluedog studio

Discussion Questions:

1.  How is GOJO responding to the surge in hand sanitizer demand from a product design perspective?

Guidance: GOJO has changed its packaging. The formulation hasn’t changed, Purell still kill 99.99% of harmful germs, including coronavirus, but its sanitizers are now being sold in round bottles instead of its iconic square bottles.

2.  How is GOJO responding to the surge in hand sanitizer demand from a capacity planning perspective.

Guidance: GOJO increased its output capacity by shortening its supply lines, Continue reading →

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