Choosing the Right Partner in Times of Component Shortage
Choosing the Right Partner in Times of Component Shortage

Jul 15, 2022


The rising content of electronics in devices, vehicles and machines coupled with the unprecedented component shortage situation puts a lot of global manufacturers’ supply chains at risk. Most components, particularly the actives are in short supply, at lead times of 30-60 weeks and at dramatically higher prices.

Manufacturers of electronic assemblies need to choose the right EMS partner to ensure that supply chain challenges are minimized, and production issues don’t take a toll on business performance.

Most parameters on which an EMS partner must be evaluated on during normal times, apply even now. EMS partners must have a reputation for consistent quality, be responsive, capable to address needs, have proven technical expertise, and the ability to deliver on schedule at competitive costs.

Commitment. Track record. Bandwidth.

The partner you are considering engaging with should be supportive and willing to go the extra mile. Contact a few customers of theirs to ascertain that they can address the requirements as expected. Do check if they have the bandwidth and capability to take on newer engagements and are not spreading themselves too thin. Interact with teams from business development, project management, supply chain, operations and engineering to evaluate capability of their employees.

Presence and reach                        

Your partner has to have a presence across multiple geographies and enduring relationships with distributors and manufacturers in multiple countries. This would be of strategic importance to you compared with a partner that has a presence in one region and limited supplier relationships. You can expect better support considering that bandwidth and network. Ensure that the partner you select is strong financially and is able to invest in people, capabilities and infrastructure as your business grows.

Proven expertise, logistics and product mix

Look for a partner that has a high-mix, precision manufacturing capabilities. Consider their technical and manufacturing capability, compliance and quality certifications. Also evaluate their locational advantage, connectivity, and ability to ship in the shortest possible time. Export requirements are best served out of units located in Special Economic Zones. Look for experience on similar products manufactured and supplied to other customers in your industry or geography.

Engineering capabilities

Look for a partner who is able to support you on product design and development, has capabilities on design for manufacturing, tester development and New Product Introduction and Manufacturing Engineering. These capabilities will help reduce the time to market and improve First Pass Yields.

Once you identify a partner you feel can work for you best, work on the terms of engagement, share your requirements, conclude any audits, agree on commercials, define schedules for product development, pilot and series production, and get into project execution backed by solid program management.

Syrma SGS Technology Limited – The best electronic manufacturing services partner you can get

Syrma SGS Technology Limited is one of India’s leading Electronic Systems Design and Manufacturing companies. We offer product design, PCB Assembly, Box Builds, Tester Development and Repair & Rework services to customers across 20+ countries. We are manufacturing partners to several Fortune 100 companies. The company boasts of a 40-year legacy of innovative electronics and specializes in high-mix, flexible-volume precision manufacturing Syrma SGS also designs custom high frequency magnetics and RFID solutions. Over the last decade, the company has shipped over 600 Million products across the globe. The company has 11 manufacturing facilities across 8 locations in India and has 18 high speed SMT lines. Syrma SGS also has strong box build capabilities for final product assembly. This combination of manufacturing strength, technical expertise, and logistical advantage enables Syrma SGS to deliver unparalleled value to our customers.