$1B Fine and Qualcomm’s China Problem Still Isn’t Over?

What would it take to make Qualcomm Inc.’s China problem go away, permanently? In February, the semiconductor supplier coughed up $975 million to settle charges of anti-monopoly practices in China and agreed to other painful steps that will make local rivals more competitive. Yet these actions haven’t relieved Qualcomm of its China headache. Sales in…

Is Your Supply Chain Truly Agile? Don’t Guess

Stop guessing. Figuring out whether your company’s manufacturing supply chain is agile isn’t that difficult. That is, if you are willing to face the brutal truth that it probably isn’t as flexible as you think – just like the supply chains in operations at many other enterprises. That’s the assessment of a group of researchers…

Disregard Price Benchmarking at your Own Risk

Not benchmarking your electronic component spend? If so, continuing to disregard this critical diagnostic at your own risk. Quick. Name 1 inherently deflationary commodity. A commodity that, apart from the ebbs and flows due to supply and demand, always gets cheaper. The broad answer is electronics; more specifically – an integrated circuit (IC).  This month marks…

PC Market Slump is Good and Bad News for Purchasing

A purchasing professional serving a PC manufacturer today has very little to complain about. Component supplies are plentiful and prices keep trending in one direction: downward. The latest financial results from Intel Corp. and Advanced Micro Devices Inc., the biggest vendors of PC microprocessors, were dismal – for the chipmakers. At Intel, sales in the…

Purchasing: Do you Really Understand Pricing?

Since my company, Lytica Inc., introduced analytics based price prediction for electronic components, many major EMS and OEM companies have saved millions of dollars by applying this technology to their materials spending. As with the disruptive technologies described by Clayton Christenson in The Innovator’s Dilemma, those stuck like deer in the headlights clinging to a…

Lindsley Ruth’s Top Challenges as CEO at Electrocomponents

Electrocomponents PLC must have made Lindsley Ruth an offer he just could not refuse. In addition to the plum job of Group CEO, Electrocomponents must have given Ruth a substantial package to engineer his departure from Future Electronics Inc. But now that the negotiations are over Ruth must soon face the onerous task of fortifying…

Massive $20B Components Waste Haunts Supply Chain

The electronics industry urgently needs an energetic components exchange program to help address an inventory imbalance that is distorting the supply chain and resulting in the wastage of parts valued in excess of $20 billion annually, says a top industry executive. While some companies are implementing programs for helping customers individually address the problem it…

Top 20 Electronics Supply Chain Myths

Electronics manufacturers are used to harsh cyclical downturns often caused by their reliance on unverified assumptions about industry fundamentals. Even the biggest chipmakers, OEMs and other leading supply chain players have fallen victims to these myths, many of which sound quite believable and continue to be propagated by some top industry executives. Bursting any of…

Digi-Key Kicks Global Expansion into High-Gear

Digi-Key Corp. has in recent years reported impressive sales growth of two to three times the industry average, making the electronics component distributor one of the best performing companies in its sector. It’s not slowing down. For 2015, the company projects another double-digit sales expansion, buoyed by surging adoption of its services globally by engineers,…