New purchasing strategies

A2 Global describes how independent distributors are helping buyers develop and implement new purchasing strategies to mitigate the problems of demand spikes

Mounting demand has increased the need for suppliers to deliver a reliable and secure stream of semiconductors. One challenge is identifying ways to help customers plan when the market is unclear. Managing new and legacy component inventory requires planning, re-design or strategically sourcing parts. Working with an independent distributor, customers can identify larger sourcing channels, design long-term custom solutions and take quality measures to mitigate risk when the market gets cloudy.

While certain customer segments and product classes still struggle with supply, we expect a gradual softening in demand. We see longer lead times for various in-demand parts. For example, currently MOSFETs are in particular demand, with two-year wait times. Identifying a strong independent distributor can assist with a long-term custom solution to plan for the next 12-months and beyond.

Successful sourcing is more important than ever. An independent distributor can evaluate customers’ specific supply chain pain-points, provide available custom solutions and develop proactive strategies for managing long lead times while maintaining quality-ensured components.

Alternatives can offer solutions for sourcing hard-to-find components when they are suitable. A quality independent distributor provides custom services that offer inventory solutions that help mitigate costs, production delays and other challenges associated with a component becoming unavailable. The right partner can assist in monitoring EoL notifications, provide immediate alerts and arrange for LTBs appropriate to demand. Buyers must create a strategy to get the parts they need—especially if they make long-lifecycle equipment for the military, aerospace, automotive and medical industries.