by ADL Technology ADL Technology

With the impact of the pandemic across the globe, consumers and manufacturers are both feeling the pinch of the decreasing availability of products and services.  For example, I wanted to upgrade a bicycle sprocket set on my road bike and I received an estimate of approximately 500 days!   In the world of Electronic Manufacturing Services, the pinch is just as real.  These hurdles can affect lead times and the pricing of electronic components in nearly unfathomable ways.

  • Lead times have seen increases of sometimes 4 and 5 times from what they were, if you can even find the electronic component you are looking for.
  • The law of supply and demand has seen increases in component prices of 500% and more!

At ADL Technology, one of our solutions is to let our our customers know of possible component shortfalls.  This is more than just good business, it indicative of how we view our work as a partnership. We take the time to:

  • review a customers’ Bill of Materials to identify components that are potentially at risk
  • make our customers aware of any potential issues

This project-specific component research allows our customers to review their sales forecast and manufacturing requirements.  The company can then determine if an early buy of the assembly or at-risk component should be considered.  This can save time, money and frustration for components with long lead times or anticipated shortages.  While some EMS providers or brokers have gobbled up parts, there is an argument both financial and ethical for doing this selectively.  For the purpose of this article, we as electronic manufacturers have a great opportunity to be the “partner” we truly want to be through with research and strategic planning  for specific projects. By taking a little extra time on the customer’s behalf and thinking as we should as if were on the staff of the company, we can smooth out the sales cycle.  Considering things from our partner/clients perspective makes for happier customers and less hair pulling moments for our production managers!

There are still hurdles to cross, but ingenuity, hard/smart work, and the will to “return to normal” will result in back to normal behaviors.

Let’s continue to do our part and see success for all.