Since I am a writer, as well as an electronics professional, I have the quirky habit of really thinking about words. Which is why I started thinking about the commonly (if not overused) term Supply Chain Management recently. Having pushed off from the dock of my former narrow focus on Printed Circuit Board (PCB) fabrication--particularly those of the RF and Microwave variety--I now find myself in the deeper and more complex waters of Contract Manufacturing.
The company I work for, Zentech Manufacturing, and many other Contract Manufacturers (CMs) across this country proudly offer "Fully Integrated Supply Chain Solutions" which can give a wordy person like me a headache! When it comes to electronics, and sub-assemblies, there is an order to things; Schematic Capture, PCB layout, PCB fabrication, Assembly and Test. Along that continuum there exists experts in each given area. Electrical Engineers of different varieties, PCB layout people that use a myriad of software platforms, PCB fabricators (Standard, Rigid, Flex, RF/MW, Hybrid, and such) and assembly which encompasses material acquisition (or management) and thru-hole and SMT placement, and then test--which may be very simple or incredibly challenging. Due to the inherent complexity of our work, we have become a bit like the medical industry which boasts an endless variety of "specialists." Until last fall, I was one of those "specialists" in the PCB industry, particularly when it came to RF and Microwave technologies.
My new role demands I become indoctrinated in a far broader view of the electronics landscape--like a satellite image from Google Earth panning out from my neighborhood to encompass a view of the whole planet. From up here it becomes clear, that with all these areas of "specialties" becoming ever more complex, as we drive technology forward, there is great risk to lose sight of the “big picture”. We tend to hyper-focus on the multitude of concerns that plague our little "neighborhood," or area of specialty, with little thought for the overall intent of the end product's function or even the next sub-contractor's processes or challenges. Completely understandable given the complexity of the products—particularly when we work with RF/Microwave products.
Now, back to my word puzzle. So, what does it mean to offer Fully Integrated Supply Chain Solutions? Fully: Without lacking or omitting anything. Integrated: To coordinate, or blend into a functioning or unified whole. Supply Chain: Supply Chain Management encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all logistics management activities. Solution: An action or process of solving a problem.
In short, contract manufacturers like Zentech (if worth their salt) see the “big picture” and understand the inherent needs and challenges of every step. It cohesively integrates all the "specialists" and greatly reduces the risks to OEMs and contractors who manage a multi-source, fragmented system of bringing electronic-based goods to market. CMs take in the entire landscape--from schematic capture to final test. They oversee worrisome things like counterfeit mitigation of parts, and manages the complexities of parts purchasing and distribution. They finely tune stocking programs that are incredibly efficient. Why? Because it's more cost and time efficient, it is more reliable and controllable, it's…well more…integrated!
When a CM is truly successful at managing and integrating the entire supply chain for their customers, they create more than a loyal customer base. They create raving fans! This is the earmark to look for when you are searching for a strong CM partner. Now that's partnership, no matter what word you use!