Fifty-six percent of Healthcare Packaging respondents have not had any layoffs, according to a late-February e-mail survey. A total of 213 professionals responded, a group that included pharmaceutical and medical device manufactures, packaging suppliers and distributors, contract packagers, and design firms.
Twenty-one percent reported that their companies experienced some layoffs, but none affecting the packaging team. Only 17% noted layoffs affecting the packaging team. Perhaps the best news: 5.6% of readers are advertising or interviewing to fill packaging team positions.
Virtually all survey takers noted that their companies continued to focus on outsourcing to weather the current economic storm. Suppliers were cited by 43.7% of respondents as their primary outsourcing providers, followed by contract manufacturers/packagers (39.9%), consultants (17.8%), and systems integrators (7%). (Respondents could select more than one outsourcing provider.)
With a positive vote of confidence for their management teams, the overwhelming majority of respondents, 92.5%, believed their companies were taking the right steps to make it through the economic down cycle.
Fear-mongering?
Personal job security remains worrisome, with 44% of readers saying they are concerned about losing their jobs. It is interesting to note that 56% of respondents indicated they were not worried about their own job security.
Reader comments about the current economic situation ranged from "doom and gloom" to "everything cycles, and the best will weather the crisis."
Quite a few respondents mentioned fear mongering in the press, and a lack of courage by investors. "It is not as bad as the press makes out," was a common theme expressed by respondents. "The media stimulates the current environment with scare tactics and doom and gloom. If the finance industry would just do [its] job and allow capitalism to work, we'd likely be okay," said one respondent.
"It is slow, but will pick up after fears subside," another reader said.
"Business is slowing somewhat - we believe at this point it is out of fear," said another.
A similar opinion came from another reader who noted, "Unfortunately, dread is being flamed by the media...hopefully the effects of the panic induced by the media will not be self-fulfilling."
"Obviously, [it's] a mess," offered a reader. "One of the effects is that companies may be irrationally downsizing more than necessary because of the panic in the market."
Healthcare provides some stability
Another common theme running through the comments was the relative stability of the healthcare sector versus other industries.
"We're in a period of slow-to-negative economic growth," said a survey taker. "All sectors of the economy will be affected, although healthcare will be less so because the purchases are less discretionary."
Another respondent said, "I am fortunate to have made the choice to work in the medical device industry. My situation has not been impacted. However, I know of others who are not so lucky."
"We are a global company, and are feeling the downturn across the world this time, and in nearly all sectors we supply," said another. "Healthcare and medical-related products are fairing the best."
Another respondent's perspective was that the economy was "bad for most sectors, [with] medical weathering it the best, although budgets are being tightened in some areas and hiring only if needed."
Sobering comments
Respondents reporting dismal conditions offered the following sobering comments:
• "It is going to get worse. Housing recovery will drive banking recovery, which will enable the rest of the economy to recover. However, housing will not start recovering for 18 to 24 months."
• "Worst since 1929. Going to get worse for another six months at least. We will survive, but it will be tough to do more than that."
• "Uncertain, discouraging, and scary...unstable, unpredictable."
Perhaps the wisest assessment of all came from a survey respondent who noted that today's economic climate makes it "touchy for efficient organizations, deadly for noneffective organizations, [and] tricky for all."
Twenty-one percent reported that their companies experienced some layoffs, but none affecting the packaging team. Only 17% noted layoffs affecting the packaging team. Perhaps the best news: 5.6% of readers are advertising or interviewing to fill packaging team positions.
Virtually all survey takers noted that their companies continued to focus on outsourcing to weather the current economic storm. Suppliers were cited by 43.7% of respondents as their primary outsourcing providers, followed by contract manufacturers/packagers (39.9%), consultants (17.8%), and systems integrators (7%). (Respondents could select more than one outsourcing provider.)
With a positive vote of confidence for their management teams, the overwhelming majority of respondents, 92.5%, believed their companies were taking the right steps to make it through the economic down cycle.
Fear-mongering?
Personal job security remains worrisome, with 44% of readers saying they are concerned about losing their jobs. It is interesting to note that 56% of respondents indicated they were not worried about their own job security.
Reader comments about the current economic situation ranged from "doom and gloom" to "everything cycles, and the best will weather the crisis."
Quite a few respondents mentioned fear mongering in the press, and a lack of courage by investors. "It is not as bad as the press makes out," was a common theme expressed by respondents. "The media stimulates the current environment with scare tactics and doom and gloom. If the finance industry would just do [its] job and allow capitalism to work, we'd likely be okay," said one respondent.
"It is slow, but will pick up after fears subside," another reader said.
"Business is slowing somewhat - we believe at this point it is out of fear," said another.
A similar opinion came from another reader who noted, "Unfortunately, dread is being flamed by the media...hopefully the effects of the panic induced by the media will not be self-fulfilling."
"Obviously, [it's] a mess," offered a reader. "One of the effects is that companies may be irrationally downsizing more than necessary because of the panic in the market."
Healthcare provides some stability
Another common theme running through the comments was the relative stability of the healthcare sector versus other industries.
"We're in a period of slow-to-negative economic growth," said a survey taker. "All sectors of the economy will be affected, although healthcare will be less so because the purchases are less discretionary."
Another respondent said, "I am fortunate to have made the choice to work in the medical device industry. My situation has not been impacted. However, I know of others who are not so lucky."
"We are a global company, and are feeling the downturn across the world this time, and in nearly all sectors we supply," said another. "Healthcare and medical-related products are fairing the best."
Another respondent's perspective was that the economy was "bad for most sectors, [with] medical weathering it the best, although budgets are being tightened in some areas and hiring only if needed."
Sobering comments
Respondents reporting dismal conditions offered the following sobering comments:
• "It is going to get worse. Housing recovery will drive banking recovery, which will enable the rest of the economy to recover. However, housing will not start recovering for 18 to 24 months."
• "Worst since 1929. Going to get worse for another six months at least. We will survive, but it will be tough to do more than that."
• "Uncertain, discouraging, and scary...unstable, unpredictable."
Perhaps the wisest assessment of all came from a survey respondent who noted that today's economic climate makes it "touchy for efficient organizations, deadly for noneffective organizations, [and] tricky for all."
