Managing a Successful Temporary Plant Shutdown and Return to Service

Copies of policies and procedures related to credits, returns, warranty claims, etc. Please provide copies of any material correspondence with any regulatory agencies or authorities. Summary of all material regulations applicable to the Target and/or its business. Summary of the Target’s compliance program and copies of all policies, procedures. Copies of all material contracts that are terminable upon a change of control or other corporate transaction. Summary of all permits, licenses, and other authorizations that are required for the Target to conduct its business.

This information should be included in the job plan for each equipment type. Minnesota law requires all employers who must provide notice under WARN to notify DEED’s dislocated worker unit with the names, addresses and occupations of the employees whose jobs will be terminated. Here we briefly touch on the federal and state requirements for layoffs and plant closures under the Worker Adjustment and Retraining Notification Act. To avoid infection, it’s important to ensure employees are freely able to take sick leave when they feel unwell.

MANUFACTURING

Because the layoff was so sudden and quickly carried out, it severely damaged the morale of the survivors for quite some time. Those experiences taught me the right way to close an operation. In my more than 35 years in industry, much of it in turnaround situations, I’ve come to believe that leaders have to use “soft hands” as well as “hard hands” to be successful.

Splitting up A Manufacturing Plant Closure Checklist into groups may help to slow any potential spread; so can creating separate entrances and exits for each group. Businesses can change physical layouts and keep restrictions on who comes in to maintain distancing measures as well. Measures can include temporary barriers, separate areas for essential workers who are asymptomatic, or floor markings to direct traffic or ensure spacing in lines. To ensure social distance, it can also help to stagger lunch times and split employees up into multiple shifts.

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Ask for letters indicating that your bills are paid in full as you pay off each creditor. If you need an employee to help wind up the business, offer the employee a small bonus to stay until the very end. Plan to pay employees their last paychecks on their last day, with the value of accrued, unused vacation days if your state requires it. Note that, if you obtained a coronavirus-related paycheck protection program loan, you may have to pay it all back if you lay off your employees during the eight-week period after obtaining the loan. Notify your customers and deal with any remaining contractual obligations. Remember to return any deposits or payments for goods not delivered or services not rendered.

• When exiting a facility, there are many environmental, social, and governance implications to consider.
• While employees should follow stricter hygiene rules during reopening, the company should also clean and ventilate buildings to decrease the chance of infection.
• DealRoom’s diligence template for manufacturing is designed to help teams have an efficient due diligence process from the beginning.
• Define stages of the process, establish criteria for passing through them, and conduct regular reviews.

Use this facility closure plan template to determine if the organization has prepared everything to be considered before the clean closure of a facility that holds hazardous materials. Adapted from a state’s checklist for closure plans, feel free to edit this facility closure checklist according to your local regulations. Plant shutdowns for scheduled maintenance, cleaning and repairs are not a surprise. But this doesn’t mean they don’t come without costs, challenges and the occasional curveball. Our templates are drafted to provide an inclusive and wide-ranging list of initial due diligence requests. However, the templates, as well as the information contained therein, are not legal advice.

Shutdown Checklist

A manufacturing plant closure has many moving parts that all need addressed by various departments and staff members. This is where a great HR-based manufacturing plant closure checklist can come in handy. Jason Beck is director of Life Sciences with Evergreen EDC, a division of SSOE Group, a global engineering, procurement, and construction management firm. Beck has more than 15 years of experience, which includes managing projects for biopharmaceutical, semiconductor, and retail distribution clients. He has extensive experience identifying needs for new project development as well as project execution and management at multiple-client campuses. His expertise lies in the execution of cGMP and regulated industries projects and encompasses the full project lifecycle from site selection through validation and closeout.

As talk has increased over states opening up, state, interstate, and national plans for rolling back shutdowns have been made public. Additionally, many states such as those in the Midwest and on the West Coast are coordinating as part of larger regions to stop the spread of COVID-19 across borders. Here are four vital areas of consideration for materials transfer – inventory, supplier pricing, supplier lifecycle status and viability.

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Accordingly, the information provided should not be relied upon as a substitute for independent research. Intuit Inc. does not warrant that the material contained herein will continue to be accurate nor that it is completely free of errors when published. Outline startup and shutdown sequences for each piece of equipment and machinery and system that runs in your plant. Make a note of these details ahead of time, for all of the areas affected by the proposed shutdown.

• Note that it’s important to check the laws and updates in your state and locality to ensure you follow local regulations.
• Engaging the lessor and regulatory agency for input and approval in this plan is also recommended so that there are no surprises.
• State clearly why you need to take the plant offline, even if it seems obvious to everyone in the room, and what you expect to achieve as a result.
• Here are some to help you do all the little things necessary for proper project closure.

Are the following pieces of equipment suitable for their purpose? While the checklist is to guide the auditor, is not intended to be a substitute for knowledge of the GMP regulations. The checklist is to be used with a notebook into which detailed entries can be made during the audit. That enable your team, client and other parties to work together and set priorities during the diligence. Description of the Target’s policies and procedures related to backups and/or disaster recovery. Summary of any vendor support or other support services to which the Target is entitled.

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That includes closing all contracts you might have made with internal partners or vendors or any other resources you contracted with. Managing a project isn’t only about tasks and resources, budget and deadlines, it’s an experience you can constantly learn from. While you should have been learning throughout the project, now is a great time to look back without the pressure and distractions that might have dulled your focus. The importance of project closure is more than just signing off on all documentation, fulfilling any contracts with vendors and releasing the team to participate in other projects. It makes sure that the original objectives of the project have been met and ties up any loose ends, such as risk or issues that have remained open.