What is Electronic Manufacturing? What are its Challenges?
With the advent of digital technologies, electronic manufacturing has seen some major changes.
Electronic manufacturing is a process of assembling and making components to create a product with the help of electronic systems.
The challenges faced by the industry are quality assurance, time-to-market, and security.
Challenges of Building a Global Supply Chain for Electronics
The first and the foremost challenge is to deal with the high volume of logistics data. It becomes difficult to build a robust supply chain with so much data moving across the globe.
Manufacturers, distributors, and retailers need to control their inventory as well as allocate resources efficiently. This is where the role of AI comes in. With advances in machine learning, artificial intelligence can be used to optimize logistics processes and increase profitability margins for businesses.
What are the Implications of the Shrinking Global Supply Chain?
Ever since the 2008 global financial crisis, global supply chains have been shrinking, leading to shorter lead times. This has implications for both manufacturers and consumers.
A shorter supply chain can be seen as an advantage for manufacturers because they are able to provide their products more quickly to consumers. However, this could also be seen as a disadvantage because it means that manufacturers are unable to customize their products for different regions or countries. This leads to difficulties with marketing and making decisions about the design of their products.
Another implication of a smaller supply chain is that there is no longer an incentive for manufacturers to create long-term relationships with suppliers in other regions or countries. For example, Nike used China as one of their main suppliers up until 2014 when they moved production out of China due to cheaper labor costs in shenzen
The Future of Electronic Manufacturing
Electronic manufacturing is the process of assembling electronic components into a final product. It can be easily and cost-effectively outsourced to China.