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It’s been nearly a year since

President Obama signed

the National Defense

Authorization Act (NDAA)

into law, and its ultimate

effect on companies in the

electronics supply chain is

still a hot topic.

This fall, distributors in particular

were busy preparing for a flurry of

activity related to NDAA Section

818, which addresses the govern-

ment’s new requirements for pur-

chasing electronic components for

use in defense systems and equip-

ment—rules that include enhanced

inspection and reporting procedures

and closer scrutiny by the Homeland

Security Department over countries

considered to be significant sources

of counterfeit components.

As of mid-September, one of

the newest requirements related to

Section 818 was from the govern-

ment’s Defense Logistics Agency,

requiring DNA marking on elec-

tronic microcircuits.

Late this summer, Electronic

Design/SourceESB sat down with

some key parties involved in the

issue—independent distributors,

authorized distributors, government

representatives, and ancillary service

providers—to find out what they are

doing to prepare for the new rules

and to get their opinion on the state

of the counterfeit issue in late 2012.

We spoke to Janice Meraglia,

vice president in charge of mili-

tary and government programs for

Applied DNA Sciences, which

makes botanical-DNA based secu-

rity and authentication solutions for

a wide range of industries; Steve

Martin, executive vice president of

sales for Components Direct, an

authorized distributor of excess and

end-of-life electronic components;

Christine Metz, technical and qual-

ity process owner for the federal

government’s Defense Logistics

Agency; Matt Hartzell, chief operat-

ing officer for independent distribu-

tor NF Smith & Associates; and

Kevin Sink, vice president of total

quality for authorized distributor

TTI Inc. Hartzell and Sink also are

members of SAE International’s

G19 Committee, which works to

address prevention, detection, and

electronics industry response to the

counterfeit threat.

The following comments are

excerpts from our conversations.

ELECTRONIC DESIGN/SOURCEESB:

Last year’s passage of the NDAA

with its Section 818, which details

actions for curbing the flow of

counterfeit electronic parts into

the defense supply chain, has

drawn new attention to the coun-

terfeit issue. How is the increased

attention helping in the fight

against counterfeit electronic com-

ponents?

MATT HARTZELL: Given the intense

focus of the NDAA and the Senate

Armed Services Committee hear-

ings that preceded it, there has been

a wealth of information written and

reported about the counterfeit issue

in the electronic marketplace. And in

the last few years, reporting [of the

incidences of counterfeit parts] has

increased dramatically.

If anything, I think the focus is

so great on the issue that it’s sort of

in status quo now. Unfortunately,

one counterfeit part is too many, so

we have to be ever vigilant in our

efforts to keep counterfeit

parts out of the supply

chain.

STEVE MARTIN:

The problem is

just as serious as

ever—and it could

be even more serious

right now when you

look at the supply chain

in general. There are a lot

of people out there trying to

meet customers’ needs, but

they don’t have the means to

detect bad parts. [Customers] need

to make sure they’re partnering with

the right companies.

KEVIN SINK: I think it has reached

critical mass now. Section 818 of

the NDAA and the report from the

Senate Armed Services Committee

in May—those two things together

have kind of forced [companies

into action]. Customers are requir-

ing suppliers to make a statement

that they have a counterfeit mitiga-

tion program in place. I probably

get three of these [requests] a

week, when three years ago

I didn’t get any.

DISTRIBUTION RESOURCE

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[email protected]

Electronics Supply Chain Continues Counterfeit Fight

59

Supply chain companies and government representatives weigh in on the state of the counterfeit components

problem and what to expect from the newest requirements of NDAA Section 818.

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ELECTRONIC DESIGN/

SOURCEESB: But as an

authorized distributor,

TTI doesn’t really have

to worry about having

a counterfeit mitigation

plan, right? What is your

role in the anti-counterfeit

movement, and SAE’s G19

committee in particular?

SINK: Almost all customers

are saying [to everyone],

ÔWe want to make sure

that you are aware of the

problem and that you have

a plan.Õ [They also] want

to know if you ever buy

outside the authorized chan-

nel and how you deal with

that. Some require that you

not buy outside the autho-

rized channel at allÑwhich,

for me, is fine because we

donÕt.

There are three authorized

distribution representatives

on the [G19] committeeÉ.

We represent authorized

distribution and, in this case,

ensure that the rules that

are written fairly protect

customers when they do buy

outside of authorized dis-

tribution. We donÕt support

that, of course, but we want

the rules to be fair.

Frankly, until recently,

a lot of customers didnÕt

understand the difference

between an authorized

and an independent dis-

tributor.É For example,

I recently had a customer

who wanted to require

every supplier to do inten-

sive visual inspection of the

productÑand he was mak-

ing no distinction in what

was being purchased from

independent distributors,

authorized distributors, or

manufacturers. It is a waste

of time and resources to

have the manufacturer who

made the product and the

authorized distributor who

sells the product prove what

it is.

ELECTRONIC DESIGN/

SOURCEESB: The counterfeit

electronics discussion often

focuses solely on military

and aerospace markets, for

many reasons. How serious

an issue is this for other

industries?

HARTZELL: This is something

that was simmering before

the boiling overflow from

the Senate hearings. [Many

people] began to believe this

was a large problem with the

military and the government

last year. But if youÕve been

in the business for a long

time, you know that there

are people out there who

have been trying to make a

quick buck and sell products

below acceptable quality for

a long time.

ItÕs just as important for

commercial customers to

know that their vendor is

reputable, has counterfeit

[mitigation] processes in

place, and can stand behind

the products they sell. Their

risk, which is not life threat-

ening unless youÕre talking

about commercial aviation

or similar industries, is that

the product wonÕt work

or will catch fire or cause

physical damage. The last

thing [commercial custom-

ers] want to face is publicity

from a failed productÑor

worse, a recall.

MARTIN: The reason [the

problem] has been defined

by the Department of

Defense is that they have a

lot of clout. But it doesnÕt

matter if itÕs a consumer

application, medical,

defense, or automotive,

everyone has the same level

of concern.

SINK: The issue is most well

known in those markets

because of the media cover-

age. Other industries have

seen the problems, often in

warranty costs or recalls.

If it is a consumer good to

be used indoors, in a con-

trolled environment, some

of the counterfeits may

even work. But if you need

extended battery life or the

product will be subject to

extremes, the counterfeit

will often fail. The more

critical the application

or extreme its use, the

more important the issue

becomes.

ELECTRONIC DESIGN/

SOURCEESB: What’s next

on the anti-counterfeit

horizon?

SINK: In the next year, there

will be a lot of reaction to

the Section 818 rules. The

deadline [was] September,

so shortly after that I expect

to see another flurry of

the surveys I mentioned

earlier [regarding suppliersÕ

counterfeit mitigation

plans]. I also see a lot of

activity around companiesÕ

procedures changing, their

supply base being restricted,

and more authentication of

the product at the incoming

receiving pointÑand if

thereÕs any question, a lot

more product going to test

labs. There will be quite a

bit more of that.

MARTIN: I think the U.S.

government has to put

more stringent rules and

regulations in place and

work hand in hand with

other countries [to fight

the problem]. Until that

happens, the counterfeiters

are going to try and stay one

step ahead of the process.

HARTZELL: Talk at [industry]

meetings over the last few

years has increasingly

been focused on the

[problems with] non-

conforming product in

the marketplace and the

need for independents to

increase their vigilance,

their inspection ability,

their insurance, and their

resources that are solely

focused on making sure

that theyÕre selling good

products. [As a result],

itÕs getting tougher for the

smaller companies in this

industry to do business.

And I think youÕll see that

continue.

GOVERNMENT TAKES ACTION

One of the newest issues

to come out of the NDAA

requirements is the govern-

mentÕs mandate that all

microcircuits supplied to

and managed through the

Defense Logistics Agency

be marked with DNA

technology. The DLA is a

logistics combat support

agency that supplies a wide

range of products to the

U.S. military worldwide. We

asked Christine Metz of the

DLA and Janice Meraglia

of its authorized DNA

marking provider Applied

DNA Sciences to explain

the requirement and what it

means for the supply chain.

ELECTRONIC DESIGN/

SOURCEESB: What are the

new requirements for DNA

marking when selling

to the Defense Logistics

Agency?

METZ: The new require-

ment is a deoxyribonucleic

acid (DNA) marking for

DLA-managed items within

Federal Supply Class 5962,

Electronic Microcircuits.

DLA deems the micro-

circuits as a high risk for

counterfeiting. The initial

requirement applies to a

subset of microcircuits sup-

plied under the Generalized

Emulation of Microcircuits

(GEM) program. SRI

International is DLAÕs con-

tractor for those specific

microcircuits. However,

within the next 90 days,

60 10.04.12 ELECTRONIC DESIGN

“The problem is just as serious as

ever—and it could be even more

serious right now when you look at

the supply chain in general. There

are a lot of people out there trying

to meet customers’ needs, but they

don’t have the means to detect

bad parts. [Customers] need to

make sure they’re partnering with

the right companies,” said Steve

Martin, executive vice president of

sales for Components Direct.

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DLA intends to apply the

requirement to other DLA-

managed items within FSC

5962.

On Friday, August 3,

2012, DLA placed a notice

on the DLA Internet Bid

Board System (DIBBS) and

the Supplier Information

Resource Center (SIRC)

sites to introduce the new

marking requirement. DLA

separately solicited feedback

concerning the new require-

ment from DLA FSC 5962

suppliers.

ELECTRONIC DESIGN/

SOURCEESB: How does this

affect suppliers? Is there a

phase-in period?

METZ: Suppliers who pro-

vide DLA FSC 5962 items

will be required to provide

items marked with a unique,

botanical SigNature(r) DNA

mark supplied by Applied

DNA Sciences or its autho-

rized licensees, if any. The

authentication DNA used

shall be unique to the sup-

plier or the manufacturer of

the part.

The DNA marking can

be applied with a visible

or invisible DNA mark on

the part, or the contractor’s

ink utilized for part mark-

ing can be infused with the

DNA marking material. In

addition, suppliers will be

required to retain traceabil-

ity documentation that dem-

onstrates the items provided

under the contract to DLA

have been marked with

SigNature(r) DNA produced

by Applied DNA Sciences

or an authorized licensee,

and that the DNA marking

is unique to the contractor.

There is a phase-in

approach. First, the require-

ments will apply to the emu-

lated microcircuits (August

2012) and then all FSC 5962

(November 2012).

DLA is proceeding with

this marking requirement

for FSC 5962 in order to

implement effective authen-

tication marking while

concurrently initiating a

research and development

effort to evaluate compa-

rable DNA and alternative

authentication technologies

for intended application

to all electronics items.

A forthcoming Request

for Information (RFI) will

request input concerning

authentication marking

technologies that would sat-

isfy DLA’s requirements as

outlined in the RFI.

ELECTRONIC DESIGN/

SOURCEESB: What end prod-

ucts/equipment will this

new requirement help to

protect?

METZ: This new requirement

will help to protect the

majority of Department of

Defense weapon systems.

Many items which DLA

manages are used in more

than one weapon system.

DLA is initially targeting

microelectronics. The tech-

nology is used with other

commodities and has broad

implications for other DLA

products and equipment

which do not contain micro-

circuits.

ELECTRONIC DESIGN/

SOURCEESB: How much of

a difference do you think

this will make in the fight

against counterfeit elec-

tronics?

METZ: Implementation of

this new requirement will

reduce the risk of counter-

feit parts entering DoD’s

supply chains. Generally,

DLA intends to infuse parts

that have better authentica-

tion attributes, and the new

marking requirement is one

tool toward that goal and

one piece of a comprehen-

sive DLA program to detect

and prevent counterfeits.

The new requirement

facilitates the goals of

the recent laws (NDAAs)

requiring DoD and industry

enactment of counterfeit

item detection and preven-

tion measures for electronic

items and comprehensive

national cybersecurity.

The DLA strategy

includes the continuous

application of new or updat-

ed tools to detect and pre-

vent counterfeit items as the

tactics of the counterfeiters

continuously evolve. DLA

is mandating authentication

marking of the microcircuits

using SigNature(r) DNA for

now, based on a successful

R&D project. We are open

to other solutions and tools

as we learn about them.

DLA’s efforts to

socialize the concept of

authentication marking

and encourage broader

acceptance is a positive

influence on the DoD supply

chain participants’ risk

management practices and

solutions development.

DLA has developed a

Request for Information

(RFI) for authentication

marking, which will be open

to additional technological

solutions. DLA plans to

issue the RFI in October

2012.

ELECTRONIC DESIGN/

SOURCEESB: What is

Applied DNA Sciences’

role in the process?

MERAGLIA: We have spent the

last couple of years talking

to the industry, so people

are at the point where they

understand [our DNA]

technology, and now they

are saying, ‘What does this

mean for me? What do I do?

How do I get started?’ More

specifically, we’ve spent

the last few weeks [since

the DLA’s announcement]

fielding inquiries and getting

people up to speed and

understanding what the

process entails.

ELECTRONIC DESIGN/

SOURCEESB: In a nutshell,

how does the technology

work and what will it do

for the industry?

MERAGLIA: When you look

at a microchip, it’s typically

a metal or ceramic pack-

age, then you have the die

and so forth, and you have

certain information on the

chip—it may have the date,

lot code, and the manufac-

turer’s name printed on it,

for instance. If you’re print-

ing that information on the

chip, we can put the DNA

into the ink you are using.

On the other hand, there are

some companies that may

laser etch information onto

the chip. [If that’s the case],

then there are other ways

to apply the DNA. We are

developing methods to use

SigNature DNA for those

cases.

Our process begins by

creating a mark, which will

be unique to the customer.

Mark creation uses tech-

niques that are trade secrets,

where we process botanical

DNA to produce something

unique and robust that can-

not be reproduced by a

counterfeiter. In the tens

of millions of marks that

are out there in the public

domain in electronics and

the other verticals we work

in, like cash in transit, the

mark has never been cop-

ied. Then the mark must be

authenticated—by scanning

in a quick screen or a full

forensic examination in a

lab. The results are valid

from a legal standpoint and

fully transparent for audit

purposes. Authentication



“Section 818 of the NDAA and

the report from the Senate Armed

Services Committee in May—

those two things together have

kind of forced [companies into

action]. Customers are requiring

suppliers to make a statement that

they have a counterfeit mitigation

program in place. I probably get

three of these [requests] a week,

when three years ago I didn’t get

any,” said Kevin Sink, vice president

of total quality for authorized

distributor TTI Inc.

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Authorized Distributor

can be carried out anywhere

along the supply chain.

We think this is a tremen-

dously powerful tool for

what needs to be accom-

plished across this industry.

Working with manufacturers

is something we’re trying

to do because that’s what

places the most benefit in

the supply chain. It allows

for the most downstream

benefit to all participants

[because] it can be authenti-

cated at various points. The

further upstream [the part]

is marked, the better it is for

everyone.

ElEctronic DEsign/

sourcEEsB: One of the big-

gest problems the industry

faces in the fight against

counterfeit components

is the evolution of coun-

terfeits—the counterfeit-

ers keep coming up with

ways to get by the detec-

tion methods. How does

today’s DNA technology

measure up?

MEraglia: We’ve had some

pretty strong entities try to

copy what we’re doing and

no one has been able to do

it. We use plant-based DNA,

and it’s just as strong or

stronger than human DNA.

The counterfeiters will not

be able to break through.

During our research

and development phase

with DLA, they sought

independent validation of

what we’re doing. That’s an

important part of the pro-

cess. As we move forward,

we’re getting away from

demonstrating [the technol-

ogy] ourselves in favor of

having others demonstrate

how well this works.

At the end of the day,

we want to keep the bad

guys out of this industry.

We want to make it so

difficult for them to attempt

[counterfeiting] that they

just move out of the

business. n

64 10.04.12 ELEctronic DEsign

Distribution resource

The automotive

industry is one

of the hottest

markets for

interconnect

products, and

distributors

are heeding

the call to serve its diverse

need for the latest tech-

nology and services. The

drive to produce smarter,

more energy-efficient and

feature-rich vehicles is at

the heart of the trend, cre-

ating an attractive market

among those serving auto-

makers and their ancillary

service providers.

“We see automotive,

through the second-tier

relationships we have with

customers, being a robust

market,” says Steve Boysen,

senior vice president and

director of interconnect,

passive and electromechani-

cal (I,P &E) sales for Avnet

Electronics Marketing

Americas. “The electronics

content within [automobiles]

today is increasing at a fast

rate—both on the processor

and the interconnect sides of

the business.”

Recent market forecasts

also point to the automo-

tive industry as a growth

area for connectors. A late

August connector outlook

from industry analyst Ron

Bishop, for example, point-

ed to strength in automotive,

transportation, computer/

peripheral, and commercial

aviation markets through

the summer. In his report

for TTI Inc.’s Market Eye,

Bishop noted that North

American automotive

demand for connectors will

remain good in the sec-

ond half of the year, while

demand will slow in Europe

and improve in China.

Bishop’s data is based on

interviews with connector

company executives.

As distributors continue

to focus on the growing

need for advanced connector

technology in automotive

markets and elsewhere, they

are also keeping a sharp

eye on what’s driving those

advances. Boysen points to

advanced semiconductor

technology and the result-

ing need for connectors to

keep up with demands for

higher speed and data rates.

He also notes that advances

in consumer products such

as smart phones and tab-

let computers are driving

advances in other industries.

“It all centers around

the need to really keep up

with the high data rates and

speeds that semiconductor

technology is pushing the

envelope on,” notes Boysen.

“Signal integrity continues

to be a main focus for most

of our customers, and it

continues to be a focus for

many of our suppliers—

coming up with products

and solutions that can meet

those needs.”

MEasurED ExpEctations

Bishop predicts modest

3.5% growth in the global

connector market this year,

helped by strong demand

for speed and bandwidth

in telecommunications and

strong growth in automotive,

transportation, and commer-

cial aviation markets. Easy

comparisons to the fourth

quarter of 2011 will also

help with year-over-year

results.

Boysen predicts modest

growth in the sector this year

as well and says the medical

and military markets also are

performing well for Avnet EM

Modest Growth Ahead In ConnectorsDistributors focus on automotive markets and value-added services to drive connector sales.

Americas. Like the automo-

tive industry, makers of medi-

cal equipment require more

and more electronic compo-

nents today, and advances in

semiconductor technology are

driving the need for smarter

connectors there as well. In

the military field, demand

for unmanned aerial vehicles

(UAVs) is a key source of

growth, he says.

Value-added services for

military and other markets

are also helping to drive

growth in connectors.

Boysen points to Avnet’s

value-added connector

modification and assembly

center in Nogales, Mexico,

as one example. Up and

running since 2010, the

125,000-square-foot facility

features both an electronic

component distribution cen-

ter and a value-added assem-

bly operation that processes

custom connectors, cables,

fans, and other electrome-

chanical assemblies for the

electronics industry.

“That’s an area where

we’re doing a very sig-

nificant degree of connector

assembly—for the military

especially,” Boysen adds.

The center feeds a grow-

ing demand for interconnect,

passive, and electromechani-

cal engineering services in

general. Many customers,

especially smaller ones, are

finding themselves lacking in

this area due to downsizing

in recent years. As customers

focus more of their attention

on the software and semicon-

ductor sides of the business,

there’s a growing need for

design support on the I,P &

E side, Boysen says.

“The resource pool at

the customer base is prob-

ably not as robust [on the

interconnect side] as it is

on the semiconductor side,”

he explains. “There are still

large companies that have

resources around that, but

smaller companies are ask-

ing us to step in, from an

engineering perspective, to

help with the interconnect

side. Although the software

phase differentiates their

product, at some point they

have to come back to the

passive and interconnect

part to make sure the system

works.” n

66 10.04.12 ELEctronic DEsign


Members of the

Electronic

Components

Industry

Association (ECIA) will

meet later this month for

their annual Executive

Conference, where 15

leaders from inside and

outside the electronics

supply chain will talk

about key issues shaping

today’s business world.

Titled “Information +

Application = Innovation,

A Powerful Formula for

Business Growth and

Success,” the confer-

ence will take place

October 28-30 at the

InterContinental Chicago

O’Hare in Rosemont, Ill.

Avnet’s Rick Hamada will

deliver this year’s keynote

address, “From Information

to Innovation,” drawing

on his 28 years of experi-

ence with the distributor of

electronic components and

technology solutions.

Also on the agenda are

Glenn Bassett, vice presi-

dent, supply chain intel-

ligence for industry research

firm IHS; Gordon Hunter,

president and CEO of global

electronics manufacturer

Littlefuse; and IBM’s Guy

Blissett, author of the 2010

installment of the National

Association of Wholesaler-

Distributors’ Facing the

Forces of Change series,

which examines trends and

issues in distribution. Other

speakers will include Jim

Forbes of Pricewaterhouse

Coopers, Frank Lange of

Menlo Worldwide Logistics,

Kayak.com chairman Terry

Jones, media expert Frank

Cutitta, and Jon Dudas of

the youth science organiza-

tion FIRST—For Inspiration

and Recognition of Science

and Technology.

A panel discussion

led by industry vet-

eran Skip Streber of

Skip Streber Consulting

will feature experts

from Digi-Key, Avnet

Electronics Marketing,

NXP Semiconductors, TE

Connectivity, and Norris &

Associates.

Session topics will

include “near-shoring,”

branding, industry outlooks,

and what FIRST means to

the electronics supply chain,

all under the umbrella of

“innovation.” Kayak.com’s

Terry Jones will open the

second day of the confer-

ence with his talk, “The

Business of Innovation.”

ECIA president and CEO

Robin Gray will give an

association update on the

final day of the conference.

In addition to the speak-

ers, the two-day meeting

will feature several awards

presentations and network-

ing events. The Electronics

Choice Industry Awards—

the ECIAs—recognize

member companies for

marketing excellence, and

the Industry Service Awards

honor individual achieve-

ECIA Innovates In ChicagoThe industry group’s upcoming annual executive conference will feature speakers from Avnet, Littlefuse, Digi-Key,

IBM, and more.

Avnet’s Rick Hamada will be the

keynote speaker at the 2012 ECIA

Executive Conference, October 28-30

in Chicago.

ment. In the latter group, the

Gail S. Carter award is the

association’s highest honor,

recognizing an electronics

industry leader for his or her

contributions to the industry

and active role in the associ-

ation and civic affairs. Sager

Electronics’ president Frank

Flynn received the 2011 Gail

S. Carter award. The associ-

ation’s Distinguished Service

Award recognizes those

who have made significant

contributions to ECIA based

on their efforts to advance

both the association and the

industry. Mouser Electronics

CEO Glenn Smith was last

year’s Distinguished Service

Award recipient.

ECIA’s annual Executive

Conference draws about

300 attendees each year,

and conference planners

expect a similar turnout at

the 2012 event. Registration

is $850 for ECIA mem-

bers and $1245 for non-

members. Go to www.

eciaonline.org/meetings/

ExecutiveConference/2012/

index.htm for more informa-

tion on this year’s event. ■



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new report from research

and consulting firm

Pricewaterhouse Coopers

(PwC)—and rising labor

costs in markets such as

China are just part of the

story.

A Homecoming for U.S.

Manufacturing? identifies

seven factors that could

drive a sustained manufac-

turing renaissance in the

United States, including

transportation and energy

costs and U.S. market

demand. The report shines a

light on the complexity sur-

rounding the slow economic

rebound in the United States

and how manufacturing

plays a key role in the coun-

try’s long-term recovery.

Going beyond the con-

sensus view that rising

labor costs in places such as

China are driving a potential

re-shoring trend, the report

identifies the following

seven factors: transportation

and energy costs, currency

fluctuations, U.S. market

demand, labor costs, U.S.

talent, availability of capital,

and the tax and regulatory

climate. It also points to the

mitigation of supply chain

disruptions as a key reason

companies may want to

bring research and develop-

ment as well as production

activity closer to home.

“The reviving indus-

trial manufacturing sector

is instrumental to U.S.

economic recovery,” said

Bob McCutcheon, PwC’s

U.S. Industrial Products

leader. “Beyond the cyclical

rebound, however, a host of

structural changes is emerg-

ing that may lead to the

U.S. becoming an important

location for basing produc-

tion and R&D facilities for

several industries. In addi-

tion to trends in labor costs,

other factors include the

need to reduce transporta-

tion and energy costs, the

emergence of the U.S. as a

more attractive exporter, and

the relative attractiveness of

the U.S. markets.”

PwC points to the chemi-

cals and metals markets as

key places where transporta-

tion and energy costs make

re-shoring attractive. As one

example, the report says that

manufacturing steel products

in the United States instead

of China could result in a

net cost advantage of 2%

for U.S. firms. Heavy equip-

ment manufacturing could

benefit for the same reasons,

as could wood, plastic, and

rubber products industries,

although to a lesser extent,

the report said.

“Depending on the indus-

try, there may be consider-

able benefits to establishing

regionalized supply chains

and R&D facilities in the

U.S., such as reducing costs,

shortening lead times, pro-

tecting intellectual property,

and mitigating many of

the risk factors inherent in

developing markets,” added

McCutcheon.

NOT JUST A U.S. TREND

Re-shoring is an issue

that goes beyond U.S. bor-

ders. United Kingdom-based

Re-shoring Makes Sense, New Report ShowsKey factors such as transportation and energy costs favor re-shoring

of manufacturing to the United States, while the issue resonates in

Europe as well.

March ElectronicsHEADQUARTERS

25 Feldland St.

Bohemia, NY, 11716

(800) 444-6056

www.marchelectronics.com

#41

March Electronics is a leading distributor of quality electronic components. We have been supplying the military , industrial, and commercial marketplaces with our authorized list of manufacturers since 1972. We can satisfy your requirements for connectors , contacts, connector accessories, relays, switches, cable assemblies, terminal and terminal blocks from our vast inventory.

Value Added

March Electronics only uses the highest quality components in our value added services. We are a QPL’d value added supplier to Mil-C-38999, Mil-C-55302, Mil-C-28748, and Mil-C-83513 connectors. In addition to the mil-specs we also value-add commercial connectors, RF and microcoax cable assemblies, and support Kanban, JIT or your special packaging requirements. We can build to your drawings or submit ours for your approval.

Dedicated

March Electronics is dedicated to our customer’s complete satisfaction. Our dedicated sales force will promptly and courteously take you through the quotation and ordering process, our production team will WIP your order through our facility, and our quality department will make sure it meets all your standards and ours. We are ISO 9001:2008, AS9100C registered and use those guidelines as a barometer to insure customer satisfaction.

March Electronics

69ElEctronic DEsign Go To elecTronicdesiGn.com


electronic components dis-

tributor Premier Farnell has

announced a deal with Sony

UK Technology Centre

to manufacture the highly

sought Raspberry Pi in the

U.K. for the first time.

The British-designed

Raspberry Pi is a credit-card

sized computer aimed to

spur young people’s interest

in computer programming.

Since the product’s launch

in February, professional

computer programmers,

engineers, and hobbyists

alike have flocked to its two

key distributors—Premier

Farnell and its Newark/

element14 brands and

RS Components/Allied

Electronics—to get their

hands on one.

The Premier Farnell/

element14 deal will utilize

Sony UK’s state-of-the-art

lean manufacturing tech-

niques to produce more than

300,000 units for customers

around the world, adding up

to 30 new jobs at the plant,

located in Wales. To date,

the Raspberry Pi has only

been manufactured in China.

“We’re realizing the

dream of bringing [the

Raspberry Pi] back to where

it was designed,” said Mike

Buffham, global head of

design engineers for Premier

Farnell. “Certainly, the

whole Raspberry Pi program

is very exciting, and now

there is a sense of pride that

we’ve been able to… take

this manufacturing offshore

agreement and re-shore it

back into its home market.”

The ease of doing busi-

ness with a partner closer to

home is key to the Premier

Farnell/Sony deal, Buffham

said. Beyond that, job cre-

ation is one of the most

visible benefits to the com-

munity. The PwC report

noted that a shift back to the

United States would lead

to improved employment

demand among U.S. manu-

facturers, particularly in

R&D and production capaci-

ties. Preserving local jobs is

key in the U.K. as well.

“It’s a very similar situ-

ation here in Europe, and

particularly in the United

Kingdom. The Sony [deal]

will create up to 30 new

jobs at their plant,” added

Buffham.

“People here feel good

that through this phenom-

enal project we have been

able to prove that volume

manufacturing in the U.K.

is still a viable (business).

And we hope it resonates in

places like North America as

well,” he said. n

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