Distribution in Europe – Answers provided by Geoff Breed, vice president marketing, TTI Europe

EONEWS: What is your opinion regarding this year electronic market trends (electronics means not only semiconductor but also passives and electromechanical) globally and in particular in the European region?

BREED: More and more applications now include electronics – even simple applications now include circuitry for control, feedback or display purposes – and existing markets, such as transportation, now have a much greater electronics content, therefore electronics is increasingly important in all sectors. ‘Faster, Smaller and Lighter’ seems to be the mantra that continues to drive new product introduction and our supplier partners react by making products that address these demands. ‘Everything Connected’ or ‘The Internet of Things’ adds complexity to the design function as devices are required to communicate wirelessly. This poses miniaturisation, EMI, speed and interoperability challenges which our manufacturing franchises continue to address with new product innovations and features.

EONEWS: Do you think that Europe could play in the short-medium period a key role in the global electronic market? If yes: in which sector?

BREED: Europe continues to play a very key role in the Automotive, Defence & Aerospace and Transportation sectors as increasing electronics sophistication continues to be a global driving force. The industrial sector is also important, with new factory automation technologies and processes driving standards.

In Italy, the white goods market is still strong and Europe’s consumers are among the most demanding when it comes to environmental concerns, so new mandatory energy-saving regulations require ever-more intelligent usage of power. In fact, the whole issue of efficient energy creation and usage – whether it be renewable energy technologies, smart metering, LED lighting or reduced power consumption across a wide variety of goods for business and consumer alike – is very much at the forefront of European thinking, and is an area which has a global impact.

EONEWS: What are the most important events that have influenced the electronic distribution in Europe this year?

BREED: Happily there have been no major natural disasters this year which have adversely affected the electronics supply chain – let us all hope that such tragedies never happen again – however we must plan for all eventualities and put into practice good and collaborative risk management strategies all through along the supply chain. At TTI we have always worked very closely with our suppliers and customers to build excellent and transparent working relationships so that we can cope with market fluctuations in demand and this has meant that we are in a strong position to react in extreme situations. We have a three-point over-arching strategy: first we hold broad and deep inventory stocks; second, sophisticated inventory management systems help us to plan for contingencies; and third, we work closely with our customers to give them very early information concerning any unforeseen situations and look for ways to find alternative products early – before there is any likelihood of a line stop.

EONEWS: What are the strategies you implement to support your future expansion in Europe?

BREED: TTI’s strategy is to continue with the policies that have made us successful over many years. We focus on passives, connectors, electromechanical components and discretes from a limited number of leading-brand manufacturers. Our broad and deep inventory differentiates us from other distributors and we couple this with centralised logistics and  industry leading customer solutions  plus local support across all European regions. We believe that people are essential, so we invest in technical business development teams to support our customers design activity – most recently we have built an experienced power team, based on the Campbell Collins business which we acquired last year.

EONEWS: From a general point of view, in your opinion, are there still key barriers today to overcome, to improve the ecosystem (logistics, supply chain of vendors, distributors, dealers, etc.) of electronic distribution in Europe? If yes, what are them, and what are the solutions?

BREED: Today, more than ever, we operate in a global economy. Products are routinely ordered and shipped around the world so for many customers, the point of origin of a product is of very little interest. Of course we do need to take into account certain products that are governed by ITAR regulations or Dual Use and adhere to the correct processes. There are always likely to be minor local difficulties – and sadly, major natural disasters will always occur to remind us that we must be prepared with effective contingency plans. So, although we can use modern communications systems such as the internet to help get information out fast, at such times we rely on one-to-one communication: the internet can provide data but will not address a complex solution driven by multiple challenges.

EONEWS: Do you envision a particular shift in the evolution of this business model for the next future?

BREED: TTI’s business practices evolve to meet changing customers’ requirements and market trends; however our basic business model will not alter. We are committed to working with a focussed linecard of brand-leading suppliers. We support design activity by holding broad and deep stocks of the latest component technologies available and we have experienced teams available in all European regions that can advise knowledgeably on products and applications. We are committed 100% to dealing only with the component manufacturers, so customers have a total guarantee they are buying only genuine parts.

Read the article on EONews 567-September

Edited by the editorial staff

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