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FEATURE OBSOLESCENCE


MANAGING THE RISK OF COMPONENT OBSOLESCENCE


Alastair Jupp, head of DesignSpark platforms at RS Components, discusses the issue of obsolescence in the electronic component industry and proposes a new tool that can help engineers with their product selection as well as delivering improved risk management of this on-going problem


A


typical electronics manufacturing company may have anything from tens to hundreds to even thousands of active product developments – and each project has potentially thousands of components from hundreds of different suppliers. Each component is likely to be at a different stage of its lifecycle, and it could take just one obsolete part to seriously jeopardise a project. Component obsolescence is therefore a major issue that can cost companies dearly in terms of engineering redesigns and delays to market launch.


DRIVING FACTORS A driving factor for increased obsolescence is that the average IC lifecycle is now only eight years, and it is only going to move in one direction with the continuing introduction of new technologies. According to IHS Markit, there are 28 product change notifications (PCNs) and 22 end-of-line (EOL) notices being issued every day by component vendors. Added to this is the statistic that approximately 11% of these EOLs offer less than 30 days until the last- time-to-buy (LTB) date. An additional complication is the existence of counterfeit reports: approximately 71% of these are made up of EOL notices, not- recommended-for-design (NRFD) or discontinued parts. A further element that is bringing increased volatility to the market is the heightened activity in the semiconductor industry over the past couple of years involving mergers and acquisitions. This consolidation is rife for many different reasons, including slower organic growth, the refocusing of product portfolios to drive Internet of Things (IoT) applications, and the rising cost of R&D, especially in the development of leading-edge semiconductor technologies, necessitating higher revenues to deliver economies of scale. Merged portfolios inevitably lead to rationalisation, which can mean significant issues in product availability, including the EOL scenario for many components, as well as potential changes in manufacturing processes and part numbering. All these factors are producing a great deal of uncertainty in the supply chain and


20 APRIL 2017 | ELECTRONICS


millions of technical documents and other resources to help choose the right part from a technical perspective. The tool then augments this capability,


Figure 2:


enabling engineers to make commercial decisions, thereby addressing the changing role of the modern design engineer, who is increasingly expected to be involved in the buying process. The tool delivers access to component lifecycle status from 400,000 products, based on RS’ core and extended product portfolio, including semiconductors, passives, connectors, relays, power supplies, switches and many other electronic and electrical devices. Once a parts list has been developed, the tool provides a snapshot of the list in terms of obsolescence risk, as well as using predictive technology to monitor lifecycle data to anticipate any EOL issues. The tool also builds in the IHS Markit


driving increased complexity in tracking the risk of part status. It is important that manufacturing sustainability starts early in the design stage, which will require improved component obsolescence management. To meet this need, RS has developed ‘RS Obsolescence Manager’, which constitutes another key element in the DesignSpark community initiative for engineers. The new tool is a free online engineering


resource that has been specifically built to manage component obsolescence risk. It enables the building of a parts list, allowing components to be researched via access to


Figure 1, 2 & 3: RS Obsolescence Manager: A new free online engineering resource that has been specifically built to manage component obsolescence risk


database, which offers more than 70 million alternative solutions. The selection tool works through a number of suitably categorised criteria to find a list of potential choices for a problem component, including ‘form, fit and function’, ‘direct replacement’, ‘functional equivalent’ and ‘similar product’, where more than one attribute matches the selected component characteristics.


SAVING TIME In summary, RS Obsolescence Manager will proactively mitigate the risk of component obsolescence by anticipating any EOL issues, as well as helping to find the solution for problem parts. Initially, the tool will target the early phases of the design cycle, in the research, design and prototype stages. However, the company will further develop the tool to match the needs of the later ‘order, build and maintain’ stages of the design cycle. Further capabilities of the tool will include multiple-part searches, the ability to share parts list with colleagues and ‘one-click’ parts-list purchasing, taking engineers straight through to the transaction process. All these additional modifications will be shaped by feedback from the DesignSpark engineering community.


RS Components


www.rs-online.com/designspark/ obsolescence-manager


/ ELECTRONICS


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