You’ve probably noticed there’s been a shortage of products in the last 18 months – whether it’s been cars, toilet rolls, PS5s or bicycles.
The pandemic has impacted the global supply chain in an unprecedented manner, while our industry has been hit especially hard by the global semiconductor crisis.
Now, in layman’s terms, that’s computer chips – so anything technology-based (cars, games consoles, CCTV and telematic equipment) is in short supply.
There are a few reasons for this.
Namely, the fact that the companies who manufacture silicon chips and semiconductors for our industry initially expected a drop-off in demand, so they made plans to downsize, furlough staff, or even close.
March 2020 was an unprecedented period for everyone, and the manufacturing sector was under severe strain.
The thing is – that’s not quite what happened…
With SO many people working from home, demand for remote access systems and contactless devices soared.
We knew there might be issues, which is why we made sure we looked after our customer’s interests by acquiring extensive stock of these sought after components – because we know how vital availability is.
Because most factories had already reduced shifts or removed them entirely as a cost-saving exercise when the pandemic hit, supply levels were already diminished by the time the supply levels were reinstated.
The good news is that capacity, staff, and factory space have all been increased, so the process of catching up is underway…
BUT because the market is still playing catch-up, lead times are still expected to run into 2022 and in some cases, 2023.
The current outlook
The current outlook for technology/electronic orders is a 52+ week delivery lead time, which is the same for manufacturing sectors worldwide, from cars to computers and anything else that uses semiconductors and components in short supply.
We’re working hard to ensure that we stay on top of our supply chain – we always hold plenty of hardware in stock and so we will be able to weather the current storm.
We may have to review future pricing as component costs have increased significantly, however at present we are absoring all additional costs to help our customers as much as we can.
We understand that the supply chain issues are difficult, but we’re looking forward to the situation returning to more ‘normal’ levels in the future.
However, if you have any questions, queries, or concerns, contact us today at firstname.lastname@example.org