First, a disclaimer: my sincere apologies for this (potentially) misleading title. If you are in a low-mix high-volume industry such as computers, communications or consumer electronics, then odds are that you experience no issues and would discover next-to-no inventory saved by re-scheduling back-orders. However, if your business is high-mix low-volume such as industrial, military, aeronautical, […]
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EMS-OEM-ODM businesses: 20 days of inventory saved by re-scheduling back-orders
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The role of agents in the electronics industry in Asia
This post may be controversial. I can already see the comments that will be made, or the silence from those not wanting to say the wrong thing. The role of agents in the electronics industry in Asia is under-recognized, but essential. It may be well-known amongst all new employees in say, Taïwan, however very few […]
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How to prioritize & rank shortage risks in electronics supply-chain?
Everyone who has worked in a supply-chain business during electronic component allocations knows that it is a difficult time. You’re literally overwhelmed with shortage risks. It is inordinately stressful. You have so many shortage risks to consider that you barely have time to work on anything else. Those 5 shortage calls a day don’t allow […]
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Tips for the riskiest job in the world: Supply Manager
Ask yourself, what is the riskiest job in the world? Deep-sea Fisherman? Fighter pilot? High-Rise Window Cleaner? Long Distance Truck driver? Nope. None of them. It is the Supply Manager job in the [OEM-ODM-EMS] electronic industry! It is high risk and extremely stressful and here I will explain why I believe it to be the […]
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The ABC rule for ERP systems: would you take to the road in a 100-year-old car?
The ABC analysis of inventory comes from the Pareto principle, which states that 80% of effects come from 20% of causes. The Pareto principle is more than 100 years old and for decades, ERP systems have applied the ABC rule to categorization codes for articles. While these concepts are extremely valuable, splitting items in A, […]
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How-to: reduce inventory with safety lead-times (part 2)
Part 2 with Excel simulation on how to reduce inventory with safety lead-times If you haven’t read ‘Part 1: how to reduce inventory with safety lead-times’ it is a short analogy on how electronic board production is like organizing a meeting between Elon Musk and 9 young new interns. Please read if you have any […]
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