As with any partnership in the electronics supply chain, trust is crucial.
Real trust—when you have a deep feeling that your business partner has your best interests in mind—is only possible when both parties are fully open and transparent.
Today, electronic manufacturers are accountable for their entire supply chain, both upstream and downstream, making collaboration and fast access to accurate information essential. This blog outlines how Component Sense’s transparency makes us the trusted choice for redistributing your excess and obsolete (E&O) inventory. This is on top of our already trusted data security and bespoke non-disclosure agreements for those we enter partnerships with.
“Building strong partnerships is essential to sustainability in the electronics sector. Trust is a big part of this, and it enables companies like Component Sense to help large companies effectively and efficiently. Trust means that both parties can get on with their jobs and make a difference,” explains Component Sense Operations Manager, Ben Dent.
Real-time inventory tracking
Your E&O stock holds substantial value. In fact, most electronic manufacturers hold up to 10% of their overall revenue in surplus inventory. Whether you are an OEM (original equipment manufacturer) or EMS (electronics manufacturing service), tracking the progress of your E&O redistribution is essential.
If you choose one of Component Sense’s long-term E&O solutions, we make it easy for you to see the performance of your inventory in real-time. With our InPlant™ solution, you gain access to a 24/7 online sales portal. This tool offers live updates on metrics like sales, stock levels, and more.
Clear and consistent payments
Late payments disrupt cash flow and hinder market agility. It is crucial to be paid on time and as promised, especially in the electronics sector. At Component Sense, we understand that the electronics supply chain relies on agility and resilience even in difficult market conditions.
If you opt for our Outright Purchase option, we bid on your E&O within 24 hours of receiving your inventory list. If the bid is accepted, payment will follow shortly after, and we will uplift your inventory within 48 hours (at our cost).
For longer-term, more profitable solutions like Consignment and InPlant™, you receive consistent monthly payments. Invoices clearly indicate which payment corresponds to each specific sale. No secrets, no surprises.
“Component Sense recently sponsored an episode of my Sustainable Supply Chain podcast. The episode went live on November 4th. I issued the invoice the same day, and to my complete amazement, by November 8th the money was in my bank account. This might sound like a small thing, but it is actually a huge deal,” says international keynote speaker, sustainability leader, and host of The Sustainable Supply Chain Podcast, Tom Raftery.
See the insightful interview with Component Sense CEO, Kenny McGee on The Sustainable Supply Chain Podcast now.
Transparent pricing of stock
Unfortunately, some suppliers have price gouged during shortages caused by events like natural disasters and the COVID-19 pandemic. While supply and demand is a widely accepted economic model, taking advantage of others' misfortune is a practice you would be wise to avoid and associate with.
Component Sense is driven to maximise the return on your surplus through redistribution, but we do not exploit market disruptions. We are transparent about pricing, clearly stating the value of your E&O stock upfront. Partnering with us ensures your brand is protected as you know that you are working with an ethical company. You will gain full clarity on what to expect as your inventory enters the market.
Here is an example of the document we provide to manufacturers submitting E&O stock for redistribution. Using historical data accumulated over 23 years in business and current market sentiment, we clarify what your parts are worth and how much we estimate they will return with both long- and short-term solutions.
Easy access to your stock while it is listed
The electronics sector is dynamic and ever-changing. As such, your priorities and production schedule may shift unexpectedly. Through our partnership with DSV, a global logistics leader, we can store your E&O stock locally while it is listed and marketed to our extensive network of brokers.
DSV operates warehouses in over 80 countries, meaning there is likely a location near where you store your component inventory. While it is listed, you have access to your surplus stock. If needed, you can quickly retrieve your inventory locally depending on your needs.
Insightful quarterly business reviews
Our Outright Purchase solution helps you quickly recover costs from surplus stock. However, our long-term solutions deliver higher returns. Over time, you also gain valuable insights about your inventory.
For electronic manufacturers choosing our InPlant™ or Consignment solutions—which require your inventory to be listed, marketed, and sold over time—we provide honest QBRs (quarterly business reviews). These reports add another layer of transparency, detailing redistribution progress alongside expert insights, market updates, and areas for improvement to move stock faster and for a higher return.
Trust Component Sense with solving your inventory challenges
Trust is built over time. For over 23 years, electronic manufacturers have relied on Component Sense to redistribute their excess and obsolete stock. With extensive industry experience, we navigate the ever-changing electronics market and provide proven E&O solutions tailored to your business goals.
We have built a reputation for transparency, with clarity as a core business value. It is also important to note that we provide bespoke non-disclosure agreements for complete confidentiality and proven security methods to protect your data.