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Dual and multiple sourcing helps GE Healthcare reduce supply chain risk

Having suppliers that make components in more than one region of the world also helps to reduce risk for the company. Working closely with component manufacturers and their authorized distributors, making sure there are at least two suppliers for each component and involving buyers in new product introduction are some of the strategies that GE Healthcare employs to manage supply chain risk. The company also likes suppliers to have multiple manufacturing locations for a needed component in different regions of the world. If one plant shuts down because of a natural disaster, the component will be available from other manufacturing…

Weaker demand and falling prices

However, the analog chip market will bounce back in 2021 as both demand and prices increase. Buyers can expect declining prices for analog ICs for the rest of the year and into 2021 because of overall weaker demand and ample production capacity. The worldwide analog chip market will decline 5.8 per cent in 2020, due in large part to COVID-19, which has resulted in less electronics equipment and semiconductor demand. The analog IC market will fall from $53.9 billion in 2019 to $50.8 billion, according to World Semiconductor Trade Statistics (WSTS). Analog chip unit shipments will fall 2.4 per cent…

There’s more to blockchain than traceability of parts

Blockchain will also bring efficiency, greater accuracy and streamline the exchange of information and data in the electronics supply chain. Some large electronic component manufacturers, distributors and OEMs are using blockchain to enable them to trace parts through the supply chain from the time the components are made until they are scrapped. Many other companies are researching blockchain to determine how to best use it but have not made large investments to implement it. With blockchain, an electronic ledger is created when a component is manufactured. Blockchain uses cryptography and timestamps along with QR codes and RFID tags to provide…

Some independent distributors see sales increases because of pandemic

Component demand from “essential” industries such as medical OEMs have boosted sales for independent distributors. Independent distributors say they have seen healthy demand and robust sales increases despite the slowdown in production at some global OEMs and electronics manufacturing services (EMS) providers because of the coronavirus pandemic. Much of the sales growth for independent distributors has been driven by “essential” industries such as medical equipment, mobile computers and networking equipment. “Electronic component demand has remained steady throughout the year and business has been brisk,” said Todd Burke, president, Americas for independent distributor Smith, based in Houston. However, demand has not…

Power supply production in China starts to get back to normal

Supply of AC-DC converters and DC-DC modules should not be a problem for buyers as production of power supplies has resumed. Buyers can expect normal lead times, ample availability and falling prices for most power supplies for the rest of the year, despite the impact that Coronavirus has had on the overall electronics supply chain including power supply manufacturers. As of early April, power supply production in China resumed and was ramping up. About 60-70 per cent of all power supplies are made in China, according to Mohan Mankikar, president of Micro-Tech Consultants, a power supply research firm based in…

Embedded MPUs will drive overall microprocessor market

Demand for microprocessors used in embedded applications will grow but chip buyers can expect small price declines over the next several years The worldwide global embedded microprocessor market will post 8.3 per cent annual growth over the next four years as revenue rises from $15.9 billion in 2019 to $23.7 billion in 2024 as demand for embedded MPUs increases from communications, industrial equipment and automotive OEMs. Despite rising demand, semiconductor buyers can expect steady lead times and modest price declines over the next several years, according to industry analysts. The average price of an embedded MPU is forecast to fall…