Due to ongoing supply chain shortages and production delays for semiconductors, buyers are scouring the market to secure supplies for their products. In addition to supply chain shortages, businesses are also gathering supplies as a preventative measure for future uncertainties. There was an over 30% increase in orders for semiconductors from Taiwan for Chinese and American production this year. In March alone, there was a record high number of semiconductors ordered too.
Some of the products that require semiconductors are consumer electronics, telecom, medical devices, surgical machines, personal computers, TVs and cars. One of the most demanding sectors, with increasing priority, is electrical vehicles (EV). As EV production increases, there’s an even further demand for chips and necessity to meet environmental goals set by various nations. Companies are trying to plan more appropriately and think creatively for solutions. Both the Chinese government and US government can agree that a semiconductor shortage is concerning and could inhibit or delay the roll out of electric vehicles that would accomplish global green goals.
In addition to supply risks, China and the US account for 25% of the world’s semiconductor purchases for their respective products. While producers try to find a swift resolution for their supply chains challenges, companies have to get creative to solve their immediate customer needs. A client of Victure Group reached out to utilize a more eco-friendly and sustainable approach to these shortages and challenges in the market.
The client was looking to get refurbished chip sets and CPUs to bring down costs but also to be more efficient speed wise and be eco-friendly. While actively refurbishing these goods, there were overall quality issues that were faced at the production level that the client wanted resolved swiftly prior to placing the order. Victure Group mapped out a quality control and assurance plan with the client to verify in-factory standards, procedures, processes and products. This included setting up quality control checklists, in-factory inspections, random checks, pre-shipment reviews, quality inspections, performance testing and more. Utilizing the strong relationships with their supplier network in China and their expertise, Victure Group was able to verify the client’s refurbishing semiconductor supplier and provide premium quality oversight of the client’s supply chain.
As the markets continue to struggle with supply and demand shortages, there is ample opportunity to think creatively with your existing supply chain network. Creative thinking thrives under constraints and pressure, but it is important for companies to verify their ideas with experienced professionals. In this case, the clients reached out to Victure Group, with speciality in electronics, to be able to provide oversight in the refurbishment of CPUs, semiconductors, keyboards and more. For similar insight and premium oversight – please reach out to Victure Group.
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