Companies lost $1 trillion in revenue during the last three years due to the global chip shortage, according to a recent report in Forbes.
Despite this, many companies simply continue to react to supply chain volatility and do their best to adjust to changing conditions but what’s really needed is a fundamental shift in how organisations make decisions. According to electronics supply chain analysts, SupplyFrame, manufacturers can and should lower their supply chain risk exposure and build their resilience with the shift-left approach.”
The shift-left concept originated—and is now well established—in software development. Shifting left is based on the notion that it’s far lower risk to design in quality and fix software bugs in the development process than it is to manage quality after the software is released to the market.
OEMs using electronic components can apply the shift-left approach, too. Adopting current intelligence and enabling cross-discipline collaboration empower manufacturers to make the right trade-offs on what components to use at the point of design to lower their risk.
Shifting left means building a transformation program to revisit how to design for the supply chain, structural cost, and life cycle risk. According to Forbes, the shift-left approach can also relieve the extreme pressure faced by their engineering teams due to supply chain volatility and project risks. When companies are unable to get the needed electronic components to build existing products, their engineers are forced to dedicate massive amounts of time and effort to redesigning those products.
“Astute has made a large investment in electronics engineering to assist in these situations,” says Asute Marketing & Sales Director, Mark Shanley. “We get involved at early stages to support product design, prototyping, and development. Our involvement mitigates the issues of scarcity, non-supply, counterfeit materials, component End of Life, and obsolescence.
“We can guarantee a surety of supply in some situations. For example, when a component becomes scarce, we can do a forward-buy and store on-site in nitrogen cabinets until needed – 5, 10, even 15 years. Ultimately, our roots of success — the Astute DNA – is adding value through the supply chain and providing support throughout the product life cycle.”
To avoid electronics supply-chain disruptions, you may also wish to consult an expert in electronics component supply. With more than three decades of supply-chain expertise, Astute Electronics is ideally placed to work with you on your daily component requirements.
For more help with looking at supply chain options, contact Astute Electronics