Navigating Unprecedented Challenges:
How Integrity Building’s Products Managed Supply During COVID.
Strategic supply chain management was integral to Integrity Building Product’s ability to manage through the volatile markets during COVID. The pandemic resulted in parallel forces impacting the home building market – reduced production and increased demand. Abrupt shutdowns initially pushed companies to curtail production while market interruptions and disruptive health regulations also impeded operations. This occurred at the same time as an increased demand for new homes and home renovations as consumers looked for ways to expand and upgrade their living spaces. Historically low interest rates and a flow of easy monetary policies also fed the demand for new homes.
The home building industry in the Calgary area was challenged to keep up with demand. Ensuring builders had access to the supply of materials they needed at a price that made business sense was a significant challenge. “It was a challenging time for the home building industry,” explains Scott Myer, Chief Operations Officer for the Integrity Group and business unit leader for Integrity Building Products. “Prices and inventory were extremely turbulent, to say the least. Price adjustments were constant, product availability was not guaranteed, and the home builders were finding it difficult to fulfill their obligations to their customers. Integrity needed to do our part to help.”
"Our team performed brilliantly. Under volatile, tight market conditions we were able to effectively manage inventory levels when other suppliers couldn’t."
Integrity adopted a multi-prong approach to inventory management. Working closely with site supervisors and home-building crews, Integrity began to optimize its delivery schedule and adopted a Just-in-Time delivery strategy to ensure that products delivered to sites were utilized immediately. The Integrity team’s goal was to ensure no product was going to waste on-site, and that the customers who could use the product immediately received their product.
The Integrity team also collaborated closely with the home builders’ design teams, helping them develop home plans that used materials more efficiently, and looking for opportunities to use alternative materials based on availability. During COVID products such as LVL were difficult to source. Integrity worked with their suppliers to establish a contracted supply of LSL, which there was a higher supply of, to supplement the orders for LVL. The collaborative approach allowed Integrity’s homebuilding partners to not only meet their current obligations but also to expand their output.
Taking a team approach with the homebuilders and adopting a few key strategies, Integrity took proactive measures to ensure a resilient and responsive supply chain. “Our team performed brilliantly. Under volatile, tight market conditions we were able to effectively manage inventory levels when other suppliers couldn’t. The pandemic allowed Integrity to demonstrate how our team is a leader in the industry and we are committed to getting our partners their product when they need it, even in the most adverse market conditions,” states Scott.
