Supply chain challenges in the semiconductor industry

Abstract. This thesis focuses on the challenges of semiconductor supply chain management from the perspective of industrial engineering. The aim of this thesis is to form an overview of the situation, reviewing the factors by which the current events can mostly be explained, and certain remedies presented. The work includes a literature review that discusses the semiconductor manufacturing process, the nature of cyclical markets, the characteristics of demand and supply shocks, and the concept of the bullwhip effect. The results of the literature and market analysis are combined with expert interviews to form a framework on which conclusions and recommendations will be built. The findings of this study point to divergent incentives and patterns of action, the combined effect of which exacerbates the shortage, partly consciously but also unknowingly. Cooperation and communication between retailers, manufacturers, logistics companies, and raw material producers in certain high-risk sectors of the supply chain will continue to play a key role in minimizing similar shocks in the future. The most effective methods are expanding information flows, as well as direct cooperation between different parts of the supply chain. This development is likely to be further supported in the future by continuous progress in information technology, the expansion of data management, and the improvement of analytics tools. The study provides an extensive and current overview of a historically unique situation, the long-term effects of which can only be speculated for the time being. Based on the findings, it is possible to make recommendations for organizations operating in the current or somewhat similar circumstances, as well as to create a sort of period piece from the thinking and choices of decision-makers during a crisis for subsequent research.Tilaus-toimitusketjun haasteet puolijohdeteollisuudessa. Tiivistelmä. Tämä diplomityö käsittelee puolijohteiden tilaus-toimitusketjujen haasteita tuotantotalouden näkökulmasta. Tavoitteena on muodostaa yleiskuva puolijohdepulasta kerraten tapahtumat, joilla ainakin suurin osa taustatekijöistä voidaan selittää ja esittää niiden varalta torjuntakeinoja. Työhön kuuluu kirjallisuuskatsaus, jossa käydään läpi puolijohteiden valmistusprosessi pääpiirteineen, syklisten markkinoiden luonne, kysyntä- ja tarjontashokkien piirteitä, sekä esitellään Piiskanisku-ilmiön käsite. Kirjallisuus- ja markkinakatsauksen tulokset yhdistetään lopulta asiantuntijahaastatteluihin ja muodostetaan viitekehys, jonka ympärille johtopäätökset ja suositukset rakennetaan. Työn tulokset osoittavat erisuuntaisiin toimintamalleihin, joiden yhteisvaikutus pahentaa pulaa osittain tietoisesti, mutta myös osapuolten tiedostamatta. Keskeisimmässä roolissa vastaavien kysyntä- ja tarjontashokkien minimoinnissa tulee jatkossa olemaan tietyillä toimitusketjujen kannalta riskipitoisilla aloilla toimivien tilaajien, tuottajien ja raaka-ainevalmistajien välinen yhteistyö. Menetelmistä tehokkaimpia on suora piiskaniskuilmiöön puuttuminen informaatiovirtoja tehostamalla ja ketjun osien välinen nopeampi kommunikaatio. Tätä kehityskulkua tulevat todennäköisesti jatkossa tukemaan myös tietotekninen kehitys, datanhallinnan laajentuminen ja analytiikan parantuminen. Tutkimus tarjoaa laajan ja ajankohtaisen yleiskatsauksen historiallisesti ainutlaatuiseen tilanteeseen, jonka pitkäaikaisia vaikutuksia voidaan toistaiseksi vain arvailla. Tulosten pohjalta voidaan laatia toimintasuosituksia nykyisissä tai nykyisiä joltakin osin vastaavissa olosuhteissa toimiville organisaatioille, sekä luoda myöhemmin ajankuvaa kriisin keskellä päätöksiä tekevien tahojen ajattelusta ja valinnoista

The Future of Semiconductor Intellectual Property Architectural Blocks in Europe

Semiconductor intellectual property (IP) blocks, also known as IP cores, are reusable design components that are used to build advanced integrated circuits (ICs). It is typically impossible to create new IC designs without pre-designed IP blocks as a starting point. These design components are called ¿intellectual property¿ blocks because they are traded as rights to use and copy the design. Firms that focus on this business model are often called ¿chipless¿ semiconductor firms. IP cores are perhaps the most knowledge-intensive link in the information economy value chain. They define the capabilities of billions of electronic devices produced every year. As all products are becoming increasingly intelligent and embedded with information processing and communication capabilities, future developments in semiconductor IP will have a profound impact on the future developments in the overall knowledge economy and society. At present, the IC industry is approaching the most fundamental technological disruption in its history. The rapid incremental innovation that has led to exponential growth in the number of transistors on a chip and expanded the applications of ICT to all areas of human life is about to end. This discontinuity¿the end of semiconductor scaling¿opens up new business opportunities and shifts the focus of ICT research to new areas. The main objective of this study is to describe the current state and potential future developments in semiconductor IP, and to relate the outcomes of the study to policy-related discussions relevant to the EU and its Member States.JRC.J.4-Information Societ

Smart Sustainable Manufacturing Systems

With the advent of disruptive digital technologies, companies are facing unprecedented challenges and opportunities. Advanced manufacturing systems are of paramount importance in making key enabling technologies and new products more competitive, affordable, and accessible, as well as for fostering their economic and social impact. The manufacturing industry also serves as an innovator for sustainability since automation coupled with advanced manufacturing technologies have helped manufacturing practices transition into the circular economy. To that end, this Special Issue of the journal Applied Sciences, devoted to the broad field of Smart Sustainable Manufacturing Systems, explores recent research into the concepts, methods, tools, and applications for smart sustainable manufacturing, in order to advance and promote the development of modern and intelligent manufacturing systems. In light of the above, this Special Issue is a collection of the latest research on relevant topics and addresses the current challenging issues associated with the introduction of smart sustainable manufacturing systems. Various topics have been addressed in this Special Issue, which focuses on the design of sustainable production systems and factories; industrial big data analytics and cyberphysical systems; intelligent maintenance approaches and technologies for increased operating life of production systems; zero-defect manufacturing strategies, tools and methods towards online production management; and connected smart factories

Proceedings of the Second Caltech Conference on Very Large Scale Integration, held at the California Institute of Technology 19-21 January, 1981 ; Organized by the Caltech Computer Science Department and the Caltech Industrial Associates Office, and sponsored by Caltech Industrial Associates and the National Science Foundation

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