2020 and 2021 were unusual years, to say the least. COVID-19 turned the world upside down and the effects of what was essentially a global shutdown were felt everywhere – especially in the supply chain.
For the team at Lytica, this is just the latest event to cause extreme electronic component market volatility, and for years we’ve helped our clients navigate these shortages and gluts. We have unique insight on how product companies can adapt to the post-COVID world and be prepared for any major market movements that lie ahead. So, we have to ask, are you ready for 2022?
Here are some a few market insights to keep in mind from Martin Sendyk – Lytica President & CEO;
“Supply chains are dynamic and markets will experience both shortages and gluts. Right now, we happen to be in a shortage, but the pendulum is always swinging back and forth. It’s important to be prepared for any scenario.”
“A shortage situation becomes more difficult when in addition to increased demand or a global event like COVID-19, additional constraints on manufacturing capacity occur and restrictions are placed on trade. These constraints can include varied and often unforeseen events such as factory fires, natural disasters, reduction in work force, and international trade disputes.”
“Whether the market is facing shortages or not, it’s important to understand which suppliers in your supply chain are most responsive to your needs. Identifying the right companies to source from and knowing who you can create maximum
leverage with is key to creating a more resilient and predictable supply chain. By implementing an tool such as Lytica’s new Trends plugin, you can greatly reduce negotiation preparation time and uncover new areas of savings opportunities.”
Preparing for 2022 with Lytica
Lytica’s SupplyLens™ Pro platform offers a variety of plugins to prepare your company’s supply chain for 2022 and beyond. Here are a few that are helping our customers make strategic and tactical decisions with past, present and future data analysis.
Trends provides a historical view of a customer’s performance allowing a historical analysis by quarter and tracks the Supplier and Manufacturers performance with time to aid in negotiations. This creates significant negotiation leverage with Manufacturers and Suppliers while greatly reducing negotiation preparation time and uncovering new areas of potential risk and savings opportunities.
Price Estimator is based on real customer data. Distribution column pricing, manufacturer suggested pricing and internet aggregated pricing are not part of our database or used in any statistical models. How easy is it? Simply enter a Manufacturing Part Number (MPN) to unlock the true competitive advantages of this plugin – market pricing, lifecycle, alternatives and component risk information.
Gain true insights into your savings opportunities today with the Spend Benchmarking plugin which draws on the world’s largest and only independent database with millions of electronic components of actual prices paid by real customers. Securely upload your electronic component spend data to receive a comprehensive spend and risk analysis with negotiating advice at your part number level.
Bring new products to market using realistic and actionable pricing data. The Should- Cost plugin takes this functionality to the next level by adding enhanced device matching techniques, identifying pricing outliers and recommending targets, and much more.
The SupplyLens™ platform was built with one primary goal: arm our customers with the data and analysis they need to build better and stronger supply chains. If you’d like to learn how you can help your company or your client realize unprecedented levels of cost reduction and risk intelligence in 2022 and beyond, schedule a demo with the Lytica team today.