October 24, 2013 
Editor's Note 
BarbaraJorgensenWelcome to the first edition of Electronics Purchasing Strategies Distribution Dispatch monthly newsletter.  The editors at EPS understand the distribution channel touches every supplier and manufacturer in the electronics supply chain and is a huge resource for buyers. In addition to the daily news you will find at EPS regarding new products and franchise announcements, we will be taking an in-depth look at many of the key players in distribution; their strategies for customer service; and the challenges the supply chain faces as it continues to expand across the globe. For example, just as EPS was officially launching in September, a key player in the independent distribution market announced it was allocating memory products. We examine this story from all angles in Severe DRAM Allocation? Reality Suggests Differently  and Update: Plant Fire at SK Hynix May Impact Supply, Pricing. Avnet Electronics Marketing Global President Gerry Fay shared his views on the event in Avnet's Fay: Hynix Fire Exposes Supply Chain Vulnerability Allocation was a real challenge in the industry's heyday of the late 1990s, and we look back on some of the bad habits formed back then in  Things Every Buyer Should Know.
 OEMs are increasingly relying on distributors to assist them in making key component selections for their product designs. What customers may not know about this process is the kind of work and investment that distributors and suppliers have to make in order to provide this level of help. EPS delves into this topic in Linking Design, Distribution and Purchasing; we hope you find it enlightening.
In the past few months, we've also spent some time talking to distributors about the issues they are focusing on. Globalization continues to be a key issue, as Mark Burr-Lonnon tells us in  Mouser Electronics: Small Orders; Big Presence. IP&E specialist TTI is expanding in its own way, as Michael Knight explains in TTI's Knight: Mouser, Sager Complement Global Strategy. A small company named Jameco has its own unique way of approaching distribution; and the industry's largest low-volume high-mix distributor talks about the production business in Digi-Key Ventures Deeper into Supply Chain.
We know the market is changing and buyers are changing with it. We'd like to know more about that, and we'd  like to enlist your assistance with a survey EPS has launched as part of our efforts to gain a better understanding of the electronics purchasing and procurement community. If you buy or specify components for a manufacturer, we would like to hear from you. The survey won't take more than 15 minutes and we will provide an executive summary of the reports to respondents in addition to entering them into a drawing to win one of two mini iPads.


Simply click on the following link to get started: Be assured that all answers are completely confidential and will be used only in combination with others we receive. Your candid response is critical to the success of this research.


Of course, we'd like to hear from you about the stories we've run and topics that you'd be interested in. One of our charters at EPS is to help buyers do their job better. Let me know how I can help at


Barbara Jorgensen

Managing editor  
Featured Articles
Delph: Avnet Aims to be Even Bigger in IP&E
Avnet Inc. prides itself on being a broadline distributor that's able to supply all the components needed by its thousands of customers globally. Link
 What RoH2 Man For Buyers and the Channel
Now that the EU's Restriction on Hazardous Substances (RoHS) has been around awhile, manufacturers have a pretty good idea what's necessary to comply with the directive.Link

Military, Aviation Market More Vulnerable to Counterfeiting
The global aviation and military markets have become even more vulnerable to counterfeiting challenges today as companies channel higher portions of their product development resources to the consumer electronics segment, leaving lower volume sectors to utilize unsafe channels for filling urgent and difficult component procurement needs, industry sources said. Link

 NKK Expands its Reach to Customers

NKK Switches, a maker of highly engineered switch products, wants to make its products available to as many customers as possible. The Japan-based component maker, which already sells about 75 percent of its volume through the channel, is increasing that level to reach more product development teams, consolidate market information and ensure the right NKK inventory is in place for its customers. Link  
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Severe DRAM Allocation? Reality Suggests Differently

Spot prices for DRAMs have shot up 19 percent since a recent fire at a SK Hynix plant in China halted production at the industry's second-largest memory supplier's facility but fears of "allocation" - one of the most dreaded words in the purchasing community - will eventually prove unfounded. Link

Rochester Electronics Offers PLM Services

Rochester Electronics helps buyers and designers with the end-of-life (EOL) management of their critical semiconductor devices. As part of its product lifecycle management (PLM) services program, the authorized manufacturer and distributor of semiconductors helps OEMs manage their semiconductor bill of materials (BOM) from product design to maintenance, repair, and operation (MRO) of equipment. Link

India: Distribution's Next Hotspot

India isn't the hottest market for electronics right now but with more than 1.2 billion people, it has the potentials to become one in future, hence the attention being paid to it by many of the world's biggest electronics equipment manufacturers and other players in the industry supply chain. Component distributors, especially, are avidly exploring opportunities in the region and jostling with each other to service the fledgling local electronics manufacturing market. Link

A Better Path to Purchasing Cost Reduction
Lytica offers our customers an M&A Synergy Savings report. For us, this is an interesting report because it allows us to observe in detail the purchasing effectiveness of two companies that have operated independently.Link



News Wire


RS Components Enhances Website


Distribution Executive Joins Sanmina


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