Global Industry Focus - Issue 005

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SIEMENS - PODCAST SERIES

The Supply Chain Crunch: A Temporary Trend or Transformation Driver? Oren Manor Director of Business Development, Siemens Digital Industries Software

LISTEN TO

Supply chain challenges: Of all the manufacturing stages in any electronic product’s production, components are the part that takes the longest to manufacture - which is why we have such a bottleneck now. Increasing manufacturing capacity for semiconductors takes several years - it is almost impossible to close the gap. Electrification is on the rise, creating even larger demands - IoT, EV, + additional verticals. Long-lead items - previously large inventories were considered inefficient and expensive. For specific items, manufacturers would “keep them in a drawer”. Therefore manufacturers preferred not to have large inventories. Now all components are long-lead items.. manufacturers need to have large inventories to ensure delivery. Component shortages are here to stay. COVID-19 hasn’t gone away yet, we’re still seeing lockdowns, and the global supply chain is impossible to predict.

PODCAST

Three things manufacturers need to do in order to become more agile: 1. Left-shift - make decisions about components much earlier in the process. Alternative components need to be considered early in the process (left-shift), and also - based on component availability in different locations. 2. Simulation - Early DFM on different components, ensuring that component geometry is accurate with VPL, making sure that these components can be used in the planned manufacturing process (pick and place, testing..). 3. Digitalization - Even with all the proper planning, you may come across component shortages later on in the process. Digitalization provides the agility to make adjustments quickly while not compromising on quality. https://www.linkedin.com/in/orenmanor/

Electronics manufacturers need to be more agile and adjust to global manufacturing.

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JUNE/JULY 2022 GLOBAL INDUSTRY FOCUS

Tel: + 44 1428 746 378


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