Technology Shortages – Adjust your Technology Plan
Demand for devices and technology components has far outweighed supply since Spring 2020. This will likely impact your technology plan for the next year at a minimum.
In the wake of the pandemic, business and personal technology usage has been largely decentralized. Paired with delays in component manufacturing and distribution, this shift continues to have organizations and individuals clambering for devices and components of every kind. And this unmet demand is projected to persist well into 2021 as the supply chain continues to have an insurmountable shortage throughout.
Nikkei Asia, a publisher of Asian news and analysis to a global audience, reports, “The scramble for parts cuts across various segments — from basic materials like glass and substrates to semi-finished components such as displays, one of the priciest bits of many electronic devices. And it covers chips from processors and driver integrated circuits to those used for power management and connectivity — all of which are made by companies such as TSMC and UMC and supplied to different chip developers to fulfill device-builders’ demand further down the supply chain.” (see Nikkei Asia’s full article, Booming Demand for PCs and Phones Squeezes Tech Supply Chain)
Shortages across the spectrum of technology leave small and mid-sized businesses in a bind as they continue to adjust to new work conditions and attempt to either address their own industry’s demand or make up for lost revenue over the past year. We continue to work with clients to adjust technology plans for the immediate, and possibly foreseeable future. Here are a few dos and don’ts as you assess your technology needs:
Technology purchasing teams, like ours, scour several vendors daily watching for devices that fit the needs of clients. Each business has their own unique needs and circumstances; however, the shortage in technology hardware seems like it will be a consistent factor for some time to come. These conditions call for diligence in maintenance and planning.
Summary: adjust your technology plans to allow for procurement
- Gaps in production paired with escalated demand, has resulted in technology shortages.
- Enhanced preventive maintenance can help prolong the need for new hardware enough to wait out shortages.
- Cascading hardware and empowering your purchasing team can help procure devices in faster.
- Consumer and employee devices are not advised solutions.