Aerospace & Defense Ready to Embrace EMS

It’s no secret that electronics manufacturing services (EMS) providers have been trying to increase their profit margins. Deeper penetration into the aerospace and defense (A&D) markets may provide such an opportunity, Frost & Sullivan reports. “To maximize revenues, EMS providers must respond effectively to changes in the A&D industry,” said Frost & Sullivan Measurement &…

Labor Strife Dampens Year-End Manufacturing Stats

The electronics industry has literally spent decades improving its supply chain. It only takes one glitch, however, to disrupt the entire process. The manufacturing  industry was reminded of this fact in December as a work slowdown in U.S. ports impacted several key manufacturing indices. “The West Coast ports slow-down is really affecting deliveries of our Asian purchases,” said…

distributors

In Distribution, ‘Leverage’ is a Relative Term

If there’s one thing that distribution knows, it’s how to leverage volume. The number of components that passes through the channel every day is mind-boggling, and suppliers, distributors and customers all know that the more you buy, the better deal you can negotiate. But what happens to your leverage if you are not a volume…

Automotive Electronics Prompt New Supply Chain Challenges

The continued growth in the number of components used by automotive manufacturers has spotlighted new opportunities for component distributors. There are many positives to the increased penetration of electronics in automobiles including improved safety, better fuel efficiency, navigation and infotainment. While consumers, semiconductor manufacturers and automotive OEMs stand to benefit from these advancements, these opportunities also…

distributors

The Never-Ending Problem of Component Returns

Component returns aren’t a seasonal problem for the electronics supply chain. Every day, customers that have ordered too much product cancel orders or try to return un-used parts. Most distributors have processes and practices in place to accommodate product returns, and authorized distributors have the right to return a portion of their parts to their…

Buyers: Online Research Essential to Supplier Selection

The 2014 UPS B2B Buyers Insight Study found that buyers consider online research essential to the supplier selection process. Industrial supplies purchasers were asked to identify their preferred method for researching industrial products.  The majority of respondents reported that a supplier’s website (68%) and search engines (52%) are their preferred methods. Similarly, respondents were asked to identify…

Evolving Distribution Models Defy Classification

The electronics distribution industry has evolved to the point that the old monikers used to differentiate companies no longer apply. Distributors that used to print phonebook-sized tomes of component specs now do the bulk of their business online. “Catalog” no longer describes distributors that specialize in low-volume high-mix component orders. Now, “independent,” which was used…

10 Trends That Will Drive Manufacturing in 2015

Manufacturing activity in the U.S. has been steadily growing all year, and capital investment usually accompanies growth. Over the next few years, manufacturers will be leaning more heavily on IT to help them face the challenges of emerging markets; compliance; and increasing efficiency, IDC Manufacturing Insights reports. Connectivity will play a major role in helping…

Is Your Supply Chain Ready for the Avalanche of ‘Things’

High-tech companies focus so much on discovering “the next killer applications” they too often miss tectonic shifts already taking place around us. 2014 has been such a deceptive year. The global economy is tracking sideways and manufacturing pace has slowed down in China, Germany and other key production countries. That doesn’t bode well for end-of-year…

distributors

Can Distributors Capitalize on Service?

 The electronics supply chain has known for some time that only so much growth is available through the sale of hardware such as components and computer systems.  Prices of mature products continue to go down, and new products don’t hold their value for as long as they used to. The next logical step is to…