In some industries, most notably healthcare and aerospace, the need for secure, climate-controlled, long-term inventory storage facilities needs no explanation. A typical Boeing 747, for example, will endure approximately 35,000 depressurization cycles — roughly 30 years’ worth of flights — before decommission, while an MRI machine can be continually upgraded and repaired to last as…
The nation’s leading factory index in August contracted for the first time in three years as new orders, production and employment all fell below 50 — the threshold between growth and contraction. The Institute for Supply Management’s PMI dropped to 49.1 percent last month, its lowest reading since 2016. Business confidence has also declined as…
Three of the industry’s biggest distributors – Arrow Electronics Inc., Avnet Inc. and Electrocomponents plc – have withdrawn from the Electronic Components Industry Association (ECIA), marking an historic, structural change in the 9-year-old trade organization. A new group, the Global Electronics Distributor Association (GEDA), will be formed within the next 90 days, according to an…
U.S. factory activity declined for the fourth straight month in July as weakening demand and ongoing trade anxiety weighed on manufacturers. The nation’s leading factory index, the PMI, fell to its lowest point since 2016, dropping by 0.5 percent to a level of 51.2. “This is the fourth straight month of PMI decline without any…
DRAMeXchange, a division of TrendForce, reports that following the Toshiba outage in mid-June, the Japanese government announced that it will be controlling South Korea-bound exports of three key materials used in the manufacturing of semiconductors, smartphones and panels, causing module manufacturers in the memory industry downstream to give higher quotes. However, since DRAM and NAND Flash…
Growth in U.S. manufacturing activity in May slowed to its weakest pace in more than two years as purchasing managers raised concerns about a trade war between the U.S. and China, according to the Institute for Supply Management. The ISM’s monthly factory index, the PMI, registered 52.1 percent in May, a 0.7 percent decrease from…
Editor’s note: This is the second article in a two-part series examining how a supply chain planning system model can improve customer service and drive total value creation. Supply chain complexity has increased exponentially over the past several decades because of globalization, consumer demand for increased product customization and the development of multi-functional business processes…
Industry experts polled in April were slightly more optimistic about electronic component demand, bookings and order cancellations than they were in March. Of roughly 20,000 global respondents to Technology Partners Consultants’ April survey, 29 percent expect a better Q2, versus 23 percent the prior month. “Based on our survey results and conversations with various supply…
Effective inventory management is necessary for any business, but it’s especially critical for electronics manufacturers and their supply chains. Increased efficiency can maximize profits and sales, lower operating costs and introduce better controls and management processes. “When you have control over your inventory, you’re able to provide better customer service,” said Johnny Marx, an account…
The fortunes of the electronics supply chain can change on a dime. Following two years of severe component shortages, demand is weakening, and inventories are too high, a March study found. One global distributor describes the environment as “normalizing” but cautions there’s still a lot of instability in the 2019 forecast. “Based on our survey…