Navigating the challenges of connector sourcing

In the past, sourcing interconnect solutions, especially connectors, usually came after key decisions for board-level semiconductors and other high-cost, highly differentiated components. Moreover, silicon and many active components are not heavily tied to commodities like gold, silver, copper and plastic resins, which often change in price. So, connector prices can increase more often than decrease over time. This makes buying connectors more challenging so let’s discuss the “why” in further detail.

Connectors come in various forms, including circular, rectangular, D-subminiature, pin and socket, edge, board- mount, panel-mount and hermetic, along with many others. Materials significantly influence pricing and delivery timelines, so, let’s look at the materials used.

Copper, gold, silver, aluminum and stainless steel are widely used in connectors for their excellent electrical conductivity and mechanical properties. Nickel, tin, brass and various alloys offer unique properties with high electrical conductivity and affordability. Plastics and derivative materials like polyurethane, rubber and even ceramics can be used as base materials for electronic connectors.

These various materials can significantly influence connector pricing and availability. Firstly, the raw material costs can impact connector pricing. Standard metals, plastics and precious metals can drive up raw material costs, let alone the commodity markets’ daily price fluctuations. Connector manufacturers must account for this volatility when setting pricing.

Then there is the manufacturing complexity involved with putting plastics together with metals, ceramics, and using components of varying dimensions all packaged into a small connector, which can create havoc if machinery is not calibrated correctly or working properly.

So, add those manufacturing challenges to higher performance requirements of military, aerospace, high performance industrial, transportation and medical applications and costs and lead times can escalate, making sourcing a difficult task, to say the least. There is good news. Companies in the connector manufacturing, assembly and distribution industries are improving their response to the sourcing challenges.

For example, negotiating long-term material supply arrangements using long- term pricing agreements and commodity price adders that can move up and down with market changes. Bringing sub-component and finished product manufacturing closer to customers also helps. Over the last several years, most connector manufacturers have opted for regional manufacturing, which is reducing long-distance supply chains, opting for shorter distances, less cost and less risk.

Also, better cross-referencing tools and more open standards are being used (eg automotive connectors were often single- sourced but now have at least two sources and often three or more). This ability to pivot from one connector manufacturer to another in times of need truly gives customers choices.

In summary, electronic connectors can be difficult items to procure but with planning, risk mitigation using dual and proximity sourcing, plus good negotiations with trusted partners, any purchasing professional can navigate this category’s challenge.

ECCO is a proud new member of the Master Electronics family of companies.

www.eccoconnectors.com