Electronics supply chains need to reassess the fundamentals of their supply chain and innovate now in order to get through the uncertain month to come, writes SupplyChainDive.
They report that, “Despite the cutting-edge technologies rolling off its factory lines, the electronics supply chain industry has been left behind due to a reluctance to move away from tried and true methodologies to more agile and resilient modes of planning.”
Ninety-one percent of respondents said sourcing issues were the key cause of product delays, and those sourcing issues often stemmed from a disconnect over the cost and availability of components between engineering and procurement teams, says the article.
“The pressure to cut costs has not let up as sourcing managers scramble to secure inventory”, says SupplyChainDive. 31% of respondents in a supply-chain survey reported they had to onboard new suppliers “without going through approved vendor qualification processes” in order to speed up access to critical inventory.
Bringing in sourcing managers early on can avert miscommunication, the report finds, and it can help firms respond more strategically to crises like the trade war or COVID-19 when shifting suppliers and finding component alternatives on short notice is critical.
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