Component Sense Blog

Tag: Franchised Distributor

Supply Chain, Back to the Future!

Supply Chain, Back to the Future!
The negative impact of the counterfeit threat has hit OEM and EMS companies hard. For many, cost reduction through clever sourcing is no longer an option as it is deemed too risky. How did this happen? I started out in the electronics business 32 years ago serving my time as an engineer in the Aerospace sector. Much later, when I joined one of the world's largest Franchised Distributors in 1999 I began to realise that every company I dealt with had a few "brokers" up their sleeve. This allowed them to make PPV or savings on their BOM cost. At...

Risk Free Cost Reduction for Electronic Manufacturing

Risk Free Cost Reduction for Electronic Manufacturing
In times of Olde (Pre 2005) smart buyers were always looking to Brokers to help them save money on their Bill of Materials (BOM). Accessing someone else's excess stock was a great way to buy for less. A motivated seller is often prepared to take a loss on their stock creating a bargain for you, the buyer. In recent years, this has become fraught with danger. Cost reduction without Risk! Many OEM and EMS companies now only look to brokers for desperate situations caused by a line down or obsolescence. The curse that is counterfeit parts has created enough doubt...

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