The recently launched Supplyframe Commodity IQ offering is one that was driven by a dire need for up-to-date intelligence across the global supply network. From raw materials, to key electronic component categories, to emerging trends and design insights, this always-on solution takes the typical market research offering and injects it with new life for a new normal.
Supplyframe recently released the Q3 report for subscribers, which contains a number of valuable insights into the ongoing shortages. Join us as we look at a few of the key findings and examine other perspectives on how long constrained supply and extending lead times could last in the electronics value chain.
Breaking Down Supplyframe Commodity IQ’s Q3 2021 Findings
As part of a press release that went out in mid-July of 2021, we shared our perspective on the global semiconductor shortage. Our findings showed that the shortages will continue through the first quarter of 2023, at a minimum.
Among the findings, we also noted component price increases of up to 40% compared to the prior quarter, and that lead times are at an average of between 25 and 52 weeks, with some categories experiencing 60+ week lead times.
While dire, it’s insights like these that can help procurement and supply chain leaders navigate an ever changing supply market. Elsewhere in the industry, some leaders are optimistic about the outlook in the near-term.
Taiwan Semiconductor (TSMC) reported their Q2 earnings recently, promising that production of micro- controlling units for cars would be up 60% in 2021 compared to the year prior. The company showed a great deal of optimism in the report, claiming that their actions would greatly reduce component shortages from semiconductors for their customers.
While it’s true that this uptick in production will help, these investments will take time to impact current lead times and capacity constraints. The electronics value chain is no stranger to shortages, risk, and cyclical patterns. The ebb and flow of these dynamics creates the need for a smarter approach to how we manage our supply chains and achieve visibility around emerging trends or potential risks to product margin, volume targets, and competitive positioning.
“Supplyframe Commodity IQ provides an unmatched level of market intelligence for an industry that is deep into shortages and risks coming from every angle. Commodity IQ is critical for navigating the numerous obstacles in the present as well as future opportunities.”– Steve Flagg, Supplyframe Founder and CEO
For the immediate shortages, and for future challenges, Supplyframe Commodity IQ represents a trusted and always up-to-date solution for professionals across the electronics value chain.
More than just an always-on market intelligence report, Commodity IQ is derived from real-world insights from our DSI Network of over 10 million sourcing, engineering, and procurement professionals. It’s also fueled by over 500 industry partners, and contains insights not found anywhere else.
Discover a better approach to market intelligence, and a solution to navigate both the near and long-term risks in your supply chain. Learn more about Supplyframe Commodity IQ today.