The world’s transition to a global supply chain during the last 20 years has been aided by the low logistics and sourcing costs of bringing materials from the East, especially China, but according to Electronics360 that tide has turned.
The costs of electronics manufacturing can be seen here:
“Recent events on the world stage have made control over these costs much more important, and they have hit closer to home for consumers who just want to purchase the latest gadgets,” writes Electronics360.
Which costs are most affected?
What effect do these factors play in driving the costs of electronics manufacturing? Generally, three areas should be examined:
- Logistics and sourcing costs
- Parts and production costs
- Intangible costs
Some courses of action designers can take for cost control include:
- Identify possible alternative components and regulatory constraints early.
- Create orders early and lock-in part selections based on features.
- To help balance parts availability with demand, create design variants before production.
“Design teams need to anticipate problems, not react to them. The challenges outlined above are waning for now, but we all know the cyclical nature of electronics production and consumer demand. Some additional planning on the front end can keep companies competitive and on-schedule on the back end, and some prototyping spins might be eliminated as well,” concludes Electronics360.
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
