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…

ISM Survey: 75% of Companies Report Supply Chain Disruption

Today the Institute for Supply Management (ISM) revealed the first-round results of a survey focused on coronavirus disease 2019 (Covid-19) business and supply chain impacts. Notably, nearly 75 percent of companies report supply chain disruptions in some capacity due to coronavirus-related transportation restrictions, and more than 80 percent believe that their organization will experience some…

Covid-19, components, shipments

Component Makers Don’t Expect a Q2 Recovery From Covid-19

Electronic component manufacturers (OCMs) and their OEM/EMS customers say they don’t have much visibility into their partners’ supply chains. During the coronavirus outbreak, that visibility may determine how quickly the electronics industry bounces back from a prolonged China shutdown. A survey the ECIA conducted on Feb. 7 found a majority of OCMs didn’t know how…

How a Supply Chain Planning System Drives Total Value, Part 2

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…

digital transformation, supply chain, predictions

10 Global Supply Chain Predictions for 2019

The electronics supply chain, for the past year, has been marked by component shortages, lead-time extensions and tariff uncertainties. Nevertheless, it’s been a good year for component manufacturers and distributors—many of which have reported record quarterly sales during 2018. In 2019, IDC projects, the supply chain writ large is poised to transition from a cost…

shortages, warehouse, manufacturing,

U.S. Manufacturing’s Humming—Except for Shortages and Tariffs

U.S. manufacturers that rely on access to electronic components are on the brink of not being able to fulfill their customers’ orders. But manufacturing is still humming: The Institute for Supply Management’s leading factory index, the PMI, increased by 1.4 percent in May to 58.7. However, comments from the computer and electronics sector indicate OEMs…