The western world may have already rung in the beginning of the new decade with champagne and fireworks, but another celebration is underway on the other side of the globe. Chinese employees from just about every industry will be taking time away from work to celebrate Lunar New year with their families. Here is a look at some of what takes place over the holiday. (more…)
When it comes to manufacturing electronics, there is one thing that steadily remains true: things are constantly changing. Abrupt shifts in demand levels, component life cycle changes (obsolescence), and miscalculations during the ordering process by a procurement team are all possible factors that can lead to excess inventory challenges. It can happen to any company, regardless of size.
About a year ago, Nissan ran a tv ad which ended by boldly stating that the most exciting tech you own could be in your driveway. After taking a just a brief glimpse at what’s in store for the near future of the automotive industry, that doesn’t seem so far-fetched.
Fake Parts, Real Problems
The electronic component supply chain has been infiltrated by counterfeit parts. As a result of a massive influx in demand for components due to new innovations in technology, the problem continues to grow daily.
We are living in a world that demands instant gratification. The good news is that thanks to an explosion of innovation and creativity over the past 2 decades, we have the ability to meet those demands using hand-held (and even more recently hands-free) smart devices. This surge of new technology and applications has generated unprecedented demand across manufacturer supply chains. As companies rush to put out the next big thing year after year, shortages, obsolescence and end of life components are becoming increasingly worrisome factors for OEM’s.
Limited 5G deployments have already begun in some markets. Widespread rollout is expected to take place throughout the 2020s which is right around the corner. Couple 5G with the massive capabilities of IOT innovations, and the way we communicate and connect as a society will change as we know it.
The procurement industry is experiencing significant change. Advancements in technology, business practices, and consumer demands are driving this change and transforming the supply chain process as we know it. The industry will always be disruptive in one way or another. It’s the nature of the business.
A new year is a chance to take a step back and put things into perspective so that you can plan out your new goals and prospects. For many in the electronic components industry, as well as many other industries that rely heavily on Chinese manufacturing, this down time quickly shifts into a scramble to secure as many orders as they can before they are hit by an annual freeze in the supply chain. (more…)
