Nick worked as the weekend shift leader at the fulfillment center of Lee Valley Tools. in Ottawa. The company operated three shifts—a day and night shift on weekdays and a weekend shift on Saturday and Sunday. Reviewing performance statistics, Nick noted that members of the night shifts in the warehouse seemed to be achieving higher performance in order fulfillment and line item fulfillment. On the other hand, the members of the weekend shifts were more aligned with the performance of members of the day shift, which had to deal with deliveries of incoming items and placing these items in the warehouse. Nick wondered why the weekend shift seemed to lag behind. He also wondered whether these differences were significant and meaningful. Nick found that there appeared to be a lag in the picking and packing processes.
In March 2020, the outbreak of the COVID-19 pandemic disrupted global supply chains. The spread of the SARS-CoV-2 virus affected the entire world, including the scenic Prince Edward County in Eastern Ontario. Three co-owners of the boutique distillery Kinsip House of Fine Spirits (Kinsip) were inspired to contribute to their community’s efforts to limit further spread of the virus. As a distillery, Kinsip was aptly able to produce the principal ingredient of hand sanitizer—ethanol. The other two main ingredients—glycerol and hydrogen peroxide—were generally procured on the open market from North American suppliers. Obtaining the right packaging for the sanitizer as quickly as possible, including both the bottle and the cap, was one of the key challenges the three partners were facing. Another challenge was navigating Health Canada’s approval process. In addition, the partners needed to determine Kinsip’s capacity to supply hand sanitizer to the local region and the production schedule on which it could deliver the product.
In May 2020, the three cofounders of Kinsip House of Fine Spirits (Kinsip), a craft distillery located on a farm in Prince Edward County, Ontario, Canada, felt a great sense of accomplishment. The distillery had a varied product mix that included light and dark spirits, a broad variety of bitters, and cask-aged maple syrup. However, in March of 2020, the business had retooled to produce hand sanitizer in response to the shortages resulting from the outbreak of the COVID-19 pandemic. As a distillery, Kinsip already produced ethanol for its regular products, which was also a key ingredient in the composition of hand sanitizer, and in combining this with their production and bottling expertise, were able to meet the needs of the community quickly and effectively. Before long, Kinsip had added hand sanitizer to its list of products for sale to the public. Should the cofounders make hand sanitizer a regular Kinsip product offering?