To ensure long-term availability of system components for its electronics manufacturing solutions, a customer turned to Avnet for supply chain services as well as display and server technology based on Intel® Xeon® processors. The relationship has provided insight and consistency that safeguard ongoing profitability.
The challenges of delivering long-term consistency
When you’re a company responsible for creating the massive equipment used by some of the leading companies in electronics manufacturing, both consistency and precision are vital. One critical element is long-term, predictable availability of the parts listed on bills of materials. End-of-life notifications and planning for those technologies are essential, but so are effective means to monetize those products at end of life.
The companies that build this manufacturing equipment typically don’t specialize in the embedded servers and compute technologies that they rely on.
That makes it critical to have a partner that can integrate servers and manage the related system components inventory effectively. In particular, keeping the cost of goods down requires an inventory program that can meet real-time demand from customers without keeping excess supplies on hand.
Solution: Assured availability of the technologies depended on
To provide a dependable supply of products, Avnet maintains a stable bill of materials from technology vendors and continually communicates product lifecycles from next generation availability through end-of life. Avnet also ensures stability of supply through inventory planning well in advance of product discontinuation and upcoming product releases. When products do reach end of life, we provide comprehensive recycling and disposition services that assure compliance and provide an additional revenue stream.
Avnet complements its supply chain programs with design, integration and burn-in testing services that enable seamless integration into our customers’ electronics manufacturing solutions. Long-standing technology vendor relationships help Avnet facilitate roadmap reviews, innovative inventory programs and last-time buys that protect the customer’s ability to ensure long-term consistency in its product offerings.
Results: Profitability through focus on core competencies
Avnet provides long-term, dependable consistency in the supply and assembly of the technologies its customer needs to deliver its solutions. By leveraging Avnet for all server-oriented requirements, the customer stays sharply focused on its core competencies while ensuring the long-term viability of solutions in production. This approach optimizes the value of investments in further solution innovation and development.
This customer’s solutions are foundational to creating many of the leading technologies responsible for fueling innovation today, and in the future. Avnet ensures product quality, longevity and consistency are top of mind at every step. Not only does this drive dependable results, it enhances end-customer satisfaction. Those effects are augmented by a range of financial benefits through inventory optimization and other factors, accelerating the cash-to-cash cycle and reducing inventory liabilities to preserve and increase profitability over the long term.
Summary of business challenges
- Roadmap insight: Early end-of-life notification for solution products
- End-of-life management: Recycling and disposition services
- Technology guidance: Systems expertise to complement customer's domain expertise
- Inventory efficiency: Optimized costs for goods while meeting real-time demand
Key capabilities of the solution
- Software load and configuration
- Component burn-in and testing
- Bezel customization
- End-of-life planning and recycling
- Supply chain and change management
- Supermicro servers
- Microsoft operating systems
- Display solutions
- Intel® Xeon® Scalable Processors
Download this electronics manufacturing use case in PDF.
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