Shifting Electronics Priorities Call for Supply Chain Adjustments

New components are defining electronics demand.
New components are defining electronics demand.

The electronics market has spent the past few decades as a valuable and essential field, producing and delivering the parts that have kept other industries growing. Despite the constant demand, however, life hasn't been easy for electronics manufacturers. These companies' efforts to keep up with shifting demand represent a unique challenge, as the rapid pace of innovation has called for frequent changes in focus.

Shifting Tides of Demand
The next few years of electronics components demand will necessarily be different from those that have gone before. Electronics 360 pointed to the use of sensors as one of the most prevalent needs in the near future. Interest in "smart" devices appliances and machinery has changed the way designers work, and electronics manufacturers will have to keep up. Every field from health care to industrial machinery will have to collect and share data to enable a more connected future, and assembling the necessary sensors will be a new challenge for electronics firms.

EBN contributor Mary E. Shacklett gave a more specific picture of the difficulties facing manufacturers as they ramp up production of smart products and other present-day necessities. She pointed to insights from Firstronic Vice President of Finance Wally Johnson, who has seen companies dealing inflexibly with their passive component sourcing. They are sticking with the same suppliers they have always used to get capacitors, resistors, inductors and transformers. However, with demand for those components spiking, they may have to find new ways to get what they need.

Tightening the Supply Chain
Electronics manufactures with limited visibility into, and control over, their supply chains may be having trouble dealing with the changing tides of industry demand. Efficiency and responsiveness may depend on new and better everyday processes, such as Enterprise Labeling. Companies that save time and money on more accurate shipments and transfers between supply chain partners will improve their ability to compete within the tough electronics manufacturing market.

For more on labeling in the electronics space, check out our Q&A report.


Joe Longo

Posted By Joe Longo

Joe Longo is Electronics Industry Specialist with Loftware and has been working with Loftware enterprise customers in the electronics industry for over seven years. His customers include some of the largest electronics manufacturers in the world: Jabil Circuits, Flextronics, Celestica, Kemet, Plexus, GE and more. Highly knowledgeable about the key issues most EMS manufacturers are facing today, he provides in-depth studies and recommendations to electronics manufacturers on solutions to their labeling requirements.

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