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Posted by John Pallazola

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Jul 8, 2014 3:46:00 PM


Line down! Canceled builds, irate customers, lost electronic components shortagesopportunities. In an era of lean manufacturing and JIT buying processes it's a lot easier to get blindsided by shortages. Today's blog will help you identify the main causes of shortages so you can avoid them when possible. But even the best buyers can still be plagued by unforeseen changes out of their control. Whether it's FPGA, passive electronic components, or even the tiniest diodes any one item has the ability to stop production in the worst of scenarios. There are several FREE RESOURCES you can utilize to avoid shortages or to deal with them if they are unavoidable. Download the free eBook "TOP 5 FREE RESOURCES FOR PREVENTING ELECTRONIC COMPONENT SHORTAGES"

Download the Free eBook for Tips on how to  Avoid Component Shortages


 Read on for a list of the most common causes of shortages plaguing today's supply chain professionals.




     If you are reading this you have probably had to deal with a shortage at one point or another somewhere along the way. Purchasing professional today typically deal with a myriad of supply chain issues. Perhaps you've even had to deal with surplus electronic components left over from a canceled build or five. This blog focuses on the issue of shortages and their causes.The free eBook shows you free tools and resources you can use to avoid them before they happen! Let's take a look at some of the main causes of shortages:


  • Poor Planning & Foresight by your own Company.                                     NPI's (New Product Introductions) created with EOL or obsolete electronic components actually are created more frequently than you'd think. It amounts to an original sin that buyers often pay the price for. Throw in existing BOMs that are not properly monitored for PCN, EOL, and other relative info,  and you have several ticking time bombs that can stop your production. This type of mistake can easily be avoided with the proper planning and the free resources in the eBook.


  • Obsolescence                                                                                                   Newer and smaller technologies, faster and more demanding processes, conflict minerals & RoHS restrictions, all are catalysts for change. More than 1,000 electronic parts per day go obsolete! If you have already been bitten by the obsolescence bug you can try to find alternative sources for your parts like an electronic components wholesaler that specializes in obsolete semiconductors and other electronics liquidation. The free eBook will help you navigate around these issues before they happen.


  • Allocation                                                                                      The top of the list of things that cause long lead-times is allocation. Allocation is more of a symptom and not the cause. Like a body becoming hypothermic, a component manufacturer will begin to deny resources to the extremities, the small and mid-tier companies that it does not rely upon for it's core viability. The huge corporations of the world will be the last ones cut off. Whether it happens sooner or later when it hits, allocation can sting just as badly. Here are some typical events that lead to allocation:

               Fab Shifts/Changes

              Raw Material Shortages 

              Production Interruptions

              Natural Disasters


          Whatever the root cause is, it typically can have the same result, you get short-shipped or no shipment at all on the required date and you end up with a lead-time several weeks or months down the line leading to production shut-downs, missed delivery dates, and unhappy customers. Download the eBook for FREE resources to help prepare for change and be ready to react confidently.



Download the Free eBook for Tips on how to  Avoid Component Shortages



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Download the Free eBook for Tips on how to  Avoid Component Shortages