PosiBlog
The Supply Chain for Connectors Right Now
You’ve seen the headlines: From cereal boxes to computer chips, the COVID-19 pandemic has disrupted nearly every aspect of the global supply chain. Along with labor shortages, pandemic-related supply issues have impacted manufacturing, transportation, and logistics. In many industries, the scarcity caused by supply chain disruptions has led to dramatic lead time extensions. But while the connector industry has seen its share of challenges, Positronic has been able to keep customers supplied with relatively minor impacts to lead times. Read on to learn more about the supply chain for connectors right now.
The Supply Chain for Connectors Right Now
What Is the Current State of the Global Supply Chain?
The New York Times reports that the current supply chain disruptions began in early 2020 when the world was first impacted by the beginning stages of the COVID-19 pandemic. Manufacturing hubs like China, South Korea, Germany, and Taiwan all saw massive viral surges, which then led to factory shutdown and raw material shortages. With fewer raw materials available and a global economy in free fall, many shipping companies made the decision to reduce their shipping schedules. However, consumer demand failed to drop in the way shipping companies predicted. A surprisingly high quantity of consumer purchases swamped the system. All of this led to a breakdown in manufacturing, shipping, and, ultimately, product availability.
The State of the Connector Supply
Raw material shortages and labor disruptions have hit every industry, and the connector world is no exception. Since the pandemic began nearly two years ago, the connector industry has seen its fair share of supply chain challenges. Inconveniently, this comes at a time of expanded orders, as electronic product demand has risen worldwide. The result has been lead time extensions from many key connector manufacturers. Connector Supplier reports that, since 2019, the connector industry’s backlog has doubled and currently sits around $19.3 billion in value. Despite these statistics, industry experts predict that lead times will decline significantly in 2022. This is likely due to slowing gross domestic product (GDP) in manufacturing hubs across China, the U.S., and Europe.
How Positronic is Responding to Supply Chain Issues
At Positronic, we build high-reliability power and signal connectors – but our true call is to provide certainty. That means ensuring our customers’ needs are met even through these periods of supply chain challenges. We have accomplished that in several ways. First and foremost, as we saw supply chain constraints developing, we ordered larger amounts of raw material to weather those issues. Secondly, where constraints continued to exist, we made material substitutions as long as fit, form, and function were not adversely affected. Thirdly, our vertical integration minimizes our reliance on outside suppliers, which allows us greater control of our own destiny in uncertain times.
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Now, nearly two years into the pandemic, supply chain issues continue to impact manufacturers and consumers. Fortunately, at Positronic, we have employed a variety of tactics to ensure our customers remain satisfied despite supply chain challenges.
At Positronic, we believe in crafting versatile, high-quality connectors. Our design and manufacturing processes meet and often exceed our customers’ needs for quality and reliability. And to suit the needs of our varied customers, we have a plethora of options available. If you would like to request product recommendations, locate a sales agent, ask a technical question, or simply request a quote, please contact Positronic today.
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