Around the world, companies across many industries have begun to manufacture products they’ve never manufactured before in an effort to address dire shortages in personal protective equipment amid the coronavirus pandemic. But chief compliance officers and chief risk officers should be aware that by pivoting into new product lines, companies also face new risks and compliance challenges.
In recent months, there has been no shortage of companies that have announced dramatic shifts in their manufacturing practices in response to PPE shortages—for example, clothing companies now making surgical clothing; footwear and apparel chains making face masks; personal care brands now making hand sanitizers. In another example, a company that normally manufacturers thermometers for home appliances pivoted to make personal disposable forehead thermometers.
