Strategic Sourcing
PuRchasing collaboRation is key to silex's newPRoduct develoPment
Silex involves buyers and suppliers in newproduct development tomake sure it gets the technology it needs By JimCarbone, contributing writer
At Silex Technology, newproduct development is a collaborative effort involving engineers, buyers and suppliers, including distributors.
Buyersworkwith design teams, suggesting technologies and
suppliers that have the potential to be used in newSilex products. Distributors provide both technical expertise and parts, not just for prototype builds, but for volumemanufacturing once the product goes into production. In fact, Silex buys about half of its semiconductors and other components fromdistributors.
Silex, headquartered in Higashi-osaka City, Japan, designs and
manufactures a variety of products, including wireless network modules, USB device servers that connect USB devices to wired or wireless networks, serial device servers, connectivity products for digital signage, Ethernet converter products and print servers, among others.
Sourcing for semiconductors, passives, connectors and other
materials thatwill be used in those products begins at the design stage through collaboration between engineers and purchasers.
"All programinformation concerning newproducts being
developed is shared in design reviewmeetings," said Kenji Odani, procurementmanager at Silex in Japan. Purchasers are kept apprised aboutwhat chips and other components are being considered for newdesign.
Buyers keep design engineers up to date about developments
concerning parts, technology trends and suppliers that could impact the newSilex product being designed, he added.
Odani said buyers give the product development team"suggestions 20 | June 2011
or ideas at an early stage in product development." In fact, buyers provide ideas on an ongoing basis not just during product development.
Reducing risk
One reason for early buyer involvement in newproduct development is to reduce risk. For instance, if a part being considered for a new product is on allocation, or perhaps has a single source, a manufacturing line could be shut down if the part is not available. It's up to buyers during the design stage to recommend an alternative part or supplier be used.
Buyersmay also suggest that a
new technology - and suppliers of that technology - be considered for upcoming Silex products. Such information frombuyers is shared by different divisions at Silex, said Odani.
He added that duties of the procurement team in new product
development are important to the successful launch of a new Silex product.
p22
Silex purchasers play a role in the development of new products. Shown here is the SX-560-2701, an intelligent module that combines a Linux operating system, enterprise security, a web server and the TCP/IP protocol stack to provide a turnkey embedded wireless solution
www.electronics-sourcing.com
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