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COVER STORY Anglia and Brexit Steve Rawlins, CEO, Anglia I


t’s fair to say that the global market is particularly tough at the moment for a number of well-documented reasons. Factors include Trump’s trade war with China and weakness in the Eurozone. Here in the UK, there is the specific issue of Brexit, and like most distributors, we are taking customer calls about our preparedness.


Innovation is key Personally, I take a positive view of the future. The UK electronics industry leads Europe in innovation – and I believe that innovation is where our future economic growth will come from. I’m not alone in thinking this – Analog Devices praised innovation in the UK when it opened it’s new HQ near Heathrow in June. Looking around our customer base, we see this coming from start-ups and companies that don’t consider themselves as technology businesses as well as from established customers. Many are dominant market leaders in their specialised fields. Whilst I’m confident of our long term position, that doesn’t reassure customers who are unsettled by press reports predicting queues of lorries at Dover in November. All I can say is that we’re committed to the success of our customers, and we are always thinking forward about ways in which we can protect their supply chain. We were able to help many customers during the recent component shortages – and we are looking to help them again in the event that Brexit disrupts the supply chain.


UK inventory expanded One of Anglia’s biggest advantages has always been that we hold all of our inventory on shore here in the UK. It’s there, instantly accessible to UK customers


whatever the weather, the delays at customs or the terms of any Brexit deal. We are currently holding a historically high level of inventory, meaning that we might well continue to have inventory when others don’t. We always aim to support customers with scheduled orders first and then look after other regular customers. If stock is allocated to a customer we won’t sell it at any price. This can lead to difficult conversations. Our Anglia Live website gives live stock levels, and others can see that we have stock that we’re unwilling to sell to them. We’ve even had emails with screen grabs of our site asking us to name our price for the stock shown but we are honourable and don’t work like that. The kind of long term growth that Anglia sees is built on building long term relationships of trust with customers and suppliers.


Anglia 80/20


Better still, for customers using the Anglia 80/20 inventory management system, this inventory can actually be held at their site.


We are offering these customers the opportunity to hold increased levels of inventory at no cost, ahead of any potential Brexit disruption. This additional inventory is still invoiced as it is used – eliminating any call on the customer’s financial capital. Once confidence returns, it can simply be consumed as required or returned to the Anglia warehouse.


Transparency It is extremely important if the market tightens post Brexit to have transparency. We are open with our customers, and publish live inventory levels and lead-times on Anglia Live. We can give the best support to customers that are similarly transparent with us, sharing forecasts and where possible committing to scheduled orders. Shortages are not a new thing in the electronics industry: we’ve always managed to work around them and will do our best to work around them this time too.


anglia.com


8 October 2019


Components in Electronics


www.cieonline.co.uk


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