Chip shortage?we have the solution !
Since the outbreak of the Corona pandemic, the market for electronics chips has been turned upside down. There are several reasons for this. We explain this clearly in our video (video at the bottom of blog) But more importantly, how do we deal with these problems? In this blog, we explain how to get around the current problems so that it will always be possible to deliver your product.
CREATE your own stock
If you want to get your product to market quickly, it is important to remove all uncertainties before you start the designing process.
Currently, the biggest uncertainty is the chip stock. To remove this uncertainty, make sure that once you have selected a suitable chip, you purchase it before you start designing.
Depending on the needs of the customer, complete series can be purchased to provide serial production of the product.
A major disadvantage of this approach, is the large pre-financing involved. After all, a company must be able to make these financial choices without jeopardizing its liquidity. But a much bigger threat is developing a product of which chips are no longer available and therefore a product cannot be made.
Engage with suppliers! Make sure you have good partners around you that you can build on. Some suppliers think along with you and can supply you with stock without you having to pay for it directly. This way you still reserve the necessary components and your liquidity remains intact.
With this new approach, developments can continue but the global chip shortage has made the development process uncertain and planning more difficult. The shortage has a major impact on the work and the process flow. In short: the working method used previously is no longer sufficient. A good network with flexible suppliers is essential to still be able to develop these days. Start by figuring out and procuring the chips before you start designing.
Curious how we can help?
Feel free to contact us for a no-obligation consultation. Who knows, we may be able to support you with something so your product DOES reach the market on time.
If you have any tips regarding this issue, we appreciate your contribution on our LinkedIn post https://www.linkedin.com/feed/update/urn:li:activity:6866298166547947520
5 Reasons why the world is running out of chips