EMS Industry Documents - Service level agreements, factory audit templates, supplier checklists, term sheets ...

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EMS Industry Documents - Service level agreements, factory audit templates, supplier checklists, term sheets ...

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Rethinking EDA tools, search engines, distributors to unlock value in electronic product BoMs

Evolution of electronics design and semiconductor supply chains

By Mark Zetter

 

Some contract EMS manufacturing companies with deeper engineering and technology expertise are going direct to semiconductor chip manufacturers for their OEM customer programs, and bypassing electronics components distributors altogether. These side deals disrupt industrial search engines and OEM customers of EMS services, in a variety of ways.

And while this trend has been evolving for a while, it challenges most components distributors to put more effort into identifying real value-add for their business models so they can remain relevant in the electronics supply chain. This is not new, distribution has been facing much-needed disruption, for some time.

To help emphasize this trend, for example, EEWeb was acquired by Hearst Media, and later purchased by components distributor Arrow. Arrow then branded the business as AspenCore. AspenCore (Arrow) owns such industry publications and domains such as EETimes, Power Electronics News, EDN, embedded, TechOnline, EPSNews, to name a few.

These changes to how electronics components are identified and being integrated into OEM brands in the electronics supply chains are creating opportunities, and an increased need, for more effective bill-of-materials (BoM) management, while placing distribution on notice.

But few ‘platforms’ and distributors seem to be addressing the real pain points needed for effective BoM management.

Meanwhile, some BoM pain points, such as components unit costing and line-item cost reductions, are being addressed by vendors tasked with taking on these issues.

Find electronics design services
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In your search results, you can add more Geographies, add more Services, plus Industries to further customize additional results.

But how do OEM manufacturers really know they are getting best price? How do manufacturers know, for certain, what is true available inventory?

 

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