In part 1, I talked about the influence design engineers can exert on procurement and the supply chain. This is often a negative influence that comes without proper education or information. What do I want top designers to know about supply chain design? Leverage Leverage is a critical factor in negotiations. Without it, you take […]
What Engineers Must Know About the Supply Chain, Part 2 Read More »
Accenture and others have reported that company stock prices can dropanywhere from 7.5 to 12 percent following severe supply chain disruptions. PriceWaterhouseCoopers estimates this drop at 9 percent and says that, for two-thirds of those companies, stock performance will still lag competitors a year after the disruption. If this is the case, why do we
What Engineers Must Know About the Supply Chain, Part 1 Read More »
Most supply chain professionals would benefit from some training in accounting. I am surprised by the number of times I encounter people holding positions of responsibility who just don’t understand the numbers well enough. I must admit that accountants don’t make it particularly easy. Take cashflow calculations as an example. There are two ways of
Supply Chain Accounting 101 Read More »
I find one reality TV show interesting because it actually represents reality. …At least, it’s the reality that I see through the supply chain and procurement lens of Freebenchmarking.com and Component Cost Estimator as it mirrors typical purchasing negotiations. The show is Pawn Stars, about a family-owned pawn shop in Las Vegas. In this show,
Pawn Stars: Lessons for the Supply Chain Read More »
Having the world’s largest independent database of current electronic component pricing gives me a unique perspective on pricing. Having developed the prediction algorithms used inFreebenchmarking.com and Component Cost Estimator — applications that accurately predict what individual companies should be paying for components — I am happy to see my customers saving millions of dollars by
5 Ways to Reduce Component Costs Read More »
I find myself confused between what I read in the press and my personal experience. One example is the exodus of manufacturing from China to North America. While this widely espoused turn of events may play well to nationalism and hope for local job creation, I don’t see it. My clients are being well served
China Isn’t Being Displaced Read More »
Maybe I’m fixated on cost and competitiveness, but over Christmas, two things happened that drove me to ponder these themes. The first is that I was given a Boxee Box as a gift; the second is a technology, entertainment, and design (TED) lecture that I heard via Boxee by an incredible 19-year-old woman named Eva
Why I Am Fixated on Cost & Competitiveness Read More »
There are times when I wonder why companies have purchasing departments. Wouldn’t it be a great cost reduction to get rid of the overhead for this group and just let designers pick suppliers and set component pricing? A demand planner could interface with contract manufacturers that would keep costs competitive and take care of all
Turning Ordinary to Great Read More »
I have just figured out what my company does! It may sound strange that a CEO of seven years has this epiphany, but it’s true. Lytica Inc. makes knowledge power tools for supply management. Freebenchmarking.comwas our first tool and Component Cost Estimator is our second. Oh, and by the way, this is what we do
Is Your Company Reinventing Itself? Read More »
Based on some of the replies to my blogs and conversations with customers, I have noticed that some individuals are confused over single and sole sourcing. I will start with definitions and then share some observations and thoughts on the subject. Sole Sourced: a component for which there is only one manufacturer capable of making
Thoughts on Single and Sole Sourced Components Read More »
Lytica Inc. | 720-555 Legget Drive Tower A, Ottawa, Ontario, Canada K2K2X3 | All Rights Reserved © 2025.
