30 ASK THE MANUFACTURER ADAPTING TO CHANGE
Though the industry is now back on sites, Covid-19 has not left it unscarred. Managing director of online appliances retailer
AO.com Anthony Sant speaks to Jack Wooler on how the virus has brought supply chain issues to the fore, and what the company has learned during the pandemic.
A
s in all areas of life, the coron- avirus pandemic has introduced many challenges to the construc-
tion industry during recent months, and has highlighted both strengths and weaknesses across the board. One of the most discussed has been
supply chains, which have been highly disrupted for much of the sector, from landlords, to developers, to housebuilders large and small. “Let’s make no bones about it, the Covid-19 situation has been an extraordi- nary challenge for the entire construction sector,” begins Anthony Sant, managing director of AO Business UK - the B2B arm of online electricals retailer
AO.com. “Suddenly, when lockdown was intro- duced, businesses were told they’d have to stop working; for some companies, it was not as easy as just picking back up where they left off.”
AO.com however was in the very
“fortunate position” of being deemed essential by the government - “you’ve got to have a fridge,” notes the MD, “you need to wash your clothes, you need to cook” - and as such has been open
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throughout the pandemic. It’s this position that Anthony believes has provided the company with a “unique insight” into post-Covid supply. According to Anthony, the experience
has highlighted weaknesses in supply right across the industry - and, as he found out from research with potential B2B clients, the ramifications of this on site can have major implications on entire projects. The pandemic has then worsened this greatly in his view, with many suppliers left unable to keep commitments or gain the momentum necessary to get builders back on track. He tells me that working through such
times has not been easy, but the lessons that this has taught him have been “invaluable,” and it is these lessons he hopes to share.
SNAGS IN THE SUPPLY CHAIN Anthony first explains that after discus- sions with housebuilders, developers, housing professionals and landlords, the company truly began to unravel the extent to which projects rely on speedy supply (even pre-pandemic) – especially
when it comes to the products, he knows best. “Appliances are probably the last thing to go in,” he explains. “While anything can happen during the period from start to completion – and anything will – the one thing that’s immovable is the completion date.” This rings true for landlords just as much as builders, he adds: “If there are tenants due to move in, it’s essential that the appliances promised are specified and delivered on time.” A common issue here that was reported to AO was other suppliers’ inability to be in every postcode every day – it could be a week before the product they need arrives, which means a week’s delay on site. “What you’ve got to remember is that a house being unfinished – missing something as simple as a cooker hood – can hold up the completion of a project that’s worth many hundreds of thousands of pounds,” says Anthony. “And, if a landlord’s got a tenant with a broken appliance, how much rent is at risk while they wait for the appliance to turn up?” Anthony remarks that “as Brits, we’re fairly cynical;” he’s always amazed how
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