Shortages & Prices Slow U.S. Manufacturing Activity

U.S. manufacturing activity slowed in October as record-long materials lead times, shipping bottlenecks and component shortages took their toll on factories. The Institute for Supply Management’s PMI dipped 0.3 percent to 60.8. last month although long-term demand signals remain robust. “New order levels remain expansive and low-customer inventories are positive for future production,” said Tim…

Reshoring Success Stories in a Challenging Environment

The last two years have touched almost every supply chain imaginable.  Even before the pandemic started in earnest, American manufacturers were already interested in reshoring. Back in 2019, manufacturers wanted to reduce their dependence on foreign markets and cut their carbon footprints.  But now as demand for components continues to outpace supply — some analysts…

The Medical Supply Chain of the Future: Consistencies and Changes

Supply chain disruptions have widespread ripple effects in many industries, but in healthcare they can be critical. Shortages, delays, and other unforeseen events in medical supply chains can result in patients not having the medication they need or insufficiently equipped hospitals. Such disruptions are a problem in any sector, but in medicine, it can be…

Can Procurement Departments Keep Up with AI’s Evolution?

As artificial intelligence (AI) capabilities mature, an increasing number of businesses are investing in AI initiatives and leveraging automation in their daily business operations. This once leading-edge technology is becoming more ubiquitous and is quickly becoming an imperative to long-term success. In fact, analysts project the global AI market to grow from $47.5 billion in…

How Flexible is Your Bill of Materials?

High-quality, highly reliable electronic products are realized through many devices and services coming together consistently and efficiently. One item is components; the individual parts that, together, comprise a bill of materials (BOM). Ideally, a BOM would be frozen once the engineering and purchasing departments have agreed on the parts and suppliers, respectively, needed to build…

How China Plus One Diversifies Supply Chain Risk

Trade wars, tariffs and geopolitical concerns have spurred global electronics manufacturers to reassess their strategies regarding China. But rather than abandon the nation entirely, China Plus One is taking hold as a way to diversify supply chain risks. “Trade dynamics with China have changed,” said Vipul Kumar, manager, procurement and supply chain intelligence for business…

double ordering

U.S. Factories Power Though Supply Chain Constraints

For 16 months the U.S. manufacturing sector has expanded in spite of – rather than thanks to – the global supply chain. The U.S. PMI in September increased by 1.2 percent to 61.1, according to the Institute for Supply Management. However, concern regarding the semiconductor shortage reached its highest level so far this year, said…

Will Supply Chains Ever Go Autonomous?

Some of 2020’s challenges were keenly felt throughout supply chains, and many could result in lasting changes to workflows and processes. Reducing uncertainties while boosting efficiency and shrinking turnaround times requires a set of modern supply chain and logistics tools. That means leveraging automation. Recent events helped drive home the need for a more resilient…

Component Sales Forecast: Stable as She Goes

Several research firms describe the electronics market environment as “stable” entering the all-important calendar Q4. Lead times, for example, have leveled out, according to LevaData and the ECIA, and demand shows no sign of abating. However, logistics experts continue to point to seemingly endless backups at international seaports and retailers are bracing for holiday shipping…

Electronics Component Shortage: A Tale of Two Decades

In 2001, there was so much excess component inventory in the supply chain that more than $13 billion worth of semiconductors alone was written down or off by component makers, distributors and customers. People still wince at the memory. In 2021, there’s such a severe shortage of semiconductors that the automotive industry is set to…