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The Role Of Electronics Manufacturers In The Product Value Chain

The electronics industry’s pivotal role is reflected in the following industry segments – the high reliability electronics for aerospace and the healthcare industry; the medium reliability electronics for industrial electronics, automotive and security systems; and the lower reliability applications for household appliances. In the case of all these categories, manufacturers play diverse roles ranging from offering design services to taking on product retrieval post ‘end of life’. Here’s an insight into all that goes into the electronics manufacturing process.

By Ankan Mitra

In the overall electronics system design and manufacturing (ESDM) value chain, electronics manufacturing becomes or can potentially become a bottleneck due to its very nature. It is hence even more important to understand the different aspects involved in electronics manufacturing.

Figure 1: A typical electronics product value chain

Figure 1 helps us understand the scope and pivotal position of electronics manufacturing within the ESDM industry.

Even though the value chain depiction in this figure is highly iterative in nature, concurrencies are followed in order to reduce time to market as much as possible. As illustrated, electronics manufacturing typically happens during prototype manufacturing and during ramped-up manufacturing. However, beyond physical manufacturing, electronics manufacturing has successfully backward integrated into the phases of designing the product as well as forward integrated into product distribution, shipping and ‘end of life’ (EOL) management.

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