Video Vices: Navigating the Supply Chain and Chip Shortages

January 19th, 2022

Video Vices: Navigating the Supply Chain and Chip Shortages

Supply chain issues and chip shortages have been quite a pain for many businesses and consumers the past two years. Sameera Butt, Director of Operations for Contemporary Research, joined Host Tyler Kern to discuss the consequences of the shortages and what lies in store for the future.

Prior to the pandemic, the economy used to have a just-in-time supply chain with small margins for error, but now there are longer lead times. The chip shortage has created problems along every point of the supply chain process and can even result in a necessary engineering, hardware, or software changes.

The shortage has brought another issue to light—counterfeit parts. “Another problem is counterfeit parts flooding the market… and people feel pressure for those deadlines, they’re more willing to buy from a vendor they don’t trust,” Butt stated.

To prevent counterfeit part purchases, Contemporary Research has rigorous internal testing procedures and a host of trusted vendors. Contemporary Research has all departments imperative to their manufacturing process onsite in Dallas, TX; from engineering, to PCB assembly, to purchasing, and production. Parts Procurement has started shopping for parts much earlier in the manufacturing process than previously done as another workaround. By doing this, the engineering team can work on substituting parts if needed while the assembly team can achieve lead times and be available if something comes in late. “It’s nice for us because so much of our manufacturing is local. Wherever the pain point is, we can address it at any point,” Butt said.

Butt anticipates continued shortages the next couple years. “It’s just a matter of what companies can stay in the game. What companies can meet these demands regardless of the kind of the problems we’ve discussed,” she concluded.

Contemporary Research designs, engineers, and manufactures HDTV modulators, IPTV encoders, HDTV tuners, and control products to deliver an integrated solution for Digital RF and IP Networks. CR is helping AV integrators realize the benefits of using IP and RF Coax in video distribution systems throughout facilities. Headquartered in Dallas for over twenty-five years, Contemporary Research products are manufactured in Texas and designed to function in 24/7 installations.

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