Electronics Manufacturing

For decades, many American companies based their electronics manufacturing overseas because of reduced labor costs, less expensive raw materials, and tax benefits. However, recent changes—such as increased shipping costs, the Russia-Ukraine war, rising costs of foreign labor, and delivery delays—have prompted many companies to pivot and actively search for a US PCB manufacturer.

Kearney, a global management consulting firm, has been tracking this reshoring activity for over a decade, and they’ve seen the trend surge in the past few years. Their latest CEO survey reported that 96 percent of CEOs have either already reshored, decided to reshore, or are evaluating reshoring their operations. This number is a sharp increase from 2022 when 78 percent of CEOs reported these reshoring efforts.

But it’s not just shipping woes and geopolitical instability that are giving CEOs reasons to reshore. Read on to discover eight reasons why American companies are coming home.

More Control Over Production

Sending your production overseas can make it harder to keep control of your product, especially since any disputes you have with your manufacturer will be handled in foreign courts. This is a lesson that shoe retailer New Balance learned the hard way, when its Chinese manufacturing partner ignored orders from the corporate office and ordered materials for 450,000 new pairs of shoes, costing the company millions of dollars. Although New Balance sought an injunction, the Chinese courts supported the domestic subcontractor.

It’s important for companies to remember that obtaining rights in the United States does not automatically confer rights overseas.

Though this cautionary tale is from the retail sector, it’s important to keep in mind that electronics manufacturers have their cases heard in the same courts. And as some US companies have discovered, those foreign courts tend to side with domestic defendants.

Less Risk of Intellectual Property Theft

Production decisions aren’t the only rights you may be giving up when manufacturing overseas. For electronics companies, the biggest risk may very well be the loss of hard-earned intellectual property (IP). In 2018, the United States Trade Representative conducted a seven-month investigation into China’s theft of proprietary technology and branding and found that these losses cost American companies between $225 billion and $600 billion annually.

American tech company AMSC is a case in point. The company designs and manufactures technology that enables wind turbines to run efficiently. In 2018, its Chinese partner Sinovel Wind Group was convicted in a federal court in Wisconsin of stealing AMSC’s technology. But though AMSC won the case, there was little it could do to seek restitution. Today, about 20 percent of China’s wind turbines—approximately 8,000 units—are running on AMSC’s stolen software, though the company has never been compensated.

It’s important for companies to remember that obtaining rights in the United States does not automatically confer rights overseas, and that even if you register your patents and copyrights in China, IP enforcement is inconsistent. Companies that subcontract with American suppliers, on the other hand, can rely on a set of robust laws—and reliable enforcement—to protect their intellectual property.

Lowering Costs with a US PCB Manufacturer

The desire to lower costs was one of the original motivations behind offshoring. But now, the equation has flipped, with reshoring often the more economically sensible option—especially in an era of continuing supply chain uncertainty. Companies can run a leaner operation when they aren’t required to tie up extra capital in large inventories “just in case” there are manufacturing delays or shipping disruptions. Additional savings achieved with a US PCB manufacturer include eliminating import duties and the shipping costs associated with overseas production.

Reliable Communication and Collaboration

Effective communication is critical to a successful working relationship with your PCB manufacturer. Language barriers, lax communication protocols, and time zone challenges are just a few of the communication hurdles companies face when working with an overseas manufacturer. (It’s hard to expect a quick response time if your urgent 3:00 p.m. email arrives in the middle of the night in your contract partner’s location!) Avoiding these sorts of challenges is critical if you want your design, engineering, and manufacturing teams to collaborate and produce a superior product.

ESG Benefits of a US PCB Manufacturer

Increasingly, both customers and investors are looking closely at a company’s environmental, social, and governance (ESG) practices. In fact, a recent PwC survey found that 83 percent of consumers want companies to engage in ESG best practices and actively pursue concrete sustainability goals. Partnering with a US PCB manufacturer that adheres to sustainable manufacturing or employs people with disabilities, for example, will help you score points with ESG-savvy consumers and investors. And domestic manufacturing partnerships also let you add “Made in America” to your marketing campaigns.

Better Quality Control

A Consumer Reports survey found that 8 in 10 Americans express a preference for domestically made products, and that these products are often assumed to be of higher quality than imported ones. This impression may be because American-made products must adhere to stricter quality control standards. This is especially important in industries like aerospace and healthcare, where the impact on human life leaves no room for error. In these cases, a US manufacturing partner skilled in Design for Manufacturability (DFM) and Design for Test (DFT) can make the difference between a consistent, reliable product and one that faces expensive recalls.

Faster Time to Market

Companies whose customers are primarily in the United States can save significant time in shipping and transportation by manufacturing domestically. Also, being geographically close to customers can accelerate the time to market for new features and designs, making it easier for manufacturers to adjust to shifting customer needs in real time. This advantage is especially valuable in the electronics industry, where both the preferred electronic components and customer requirements change quickly.

Supply Chain Resilience

It’s easy to see how eliminating overseas shipping can make a company’s supply chain more reliable. The benefits of domestic production, however, go beyond shipping stability. Keeping production close to home also reduces sourcing issues and can increase your company’s ability to respond quickly to market changes—especially if you partner with a domestic manufacturer that prioritizes DFM. A DFM partner can help you design out custom processes, lowering both labor and material costs. And if a crucial component suddenly becomes unavailable, a DFM-savvy manufacturing partner will be able to redesign your board using readily available parts.

Qualities to Look for in a US PCB Manufacturer

There are multiple reasons companies are bringing their PCB manufacturing closer to home. But that doesn’t mean you need to manufacture in house. Kearney reports that many original equipment manufacturers (OEMs) are using contract electronics manufacturers as they seek to reset their global supply chains. However, even with domestic production, companies must still practice due diligence when choosing a manufacturer. Below are a few qualities to keep in mind when making your choice.

Experience and Expertise

Is your contract electronics manufacturer experienced in surface-mount technology and through-hole manufacturing? Are your vendor’s designers familiar with a variety of design tools, including CAD and schematic capture software?

Certifications and Compliance Experience

A review of certifications will quickly reveal a manufacturer’s abilities. At a minimum, facilities should be ISO 9001-certified. Working with a manufacturer that employs SMTA-certified SMT Process Engineers gives you extra assurance that it has the staff to handle even complex devices.

Quality Control

Does the manufacturer conduct component-level checks and in-circuit verifications in addition to visual inspections? Is the manufacturer using the latest in automated optical inspection (AOI) technology—as well as 2D and 3D X-ray inspection—to ensure durability, reliability, and quality?

Expanded Capabilities and Resources

Does the manufacturer have the ability and capacity to go beyond manufacturing? For example, do they offer design services, procurement and materials management services, forecasting and capacity planning, and logistics services? What about real-time tracking so that you can avoid product shortages or overstocking? Having a contractor that can provide multiple services will add convenience, save time, and lower costs.

An Electronics Manufacturing Partner You Can Rely On

At PRIDE Industries, our US-based, state-of-the-art facilities minimize your risk of supply chain disruption, optimize manufacturing and fulfillment processing, and provide flexible, on-demand inventory schedules. And our inclusive workforce—about 50 percent of our employees have a disclosed disability—means that working with us allows you to make a positive social impact with your business spend, while meeting consumer demand for products made in the USA.

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What is product lifecycle management? A marketing strategy, devised by economists decades ago? A storage solution for engineering data? Or a tool that optimizes product development?

The answer is all three. Product lifecycle management (PLM) can be defined as a strategic approach that encompasses all the processes, tools, and methodologies needed to manage the entire journey of a product—from its conceptualization to the end of its life.

From inception to end of life, for hardware and PCBA design, PLM tools can add value to your electronic product at each stage.

PLM’s strength in product development comes from streamlining and optimizing all data, operations, and activities associated with a product’s lifecycle. It involves cross-functional teams, departments, and even external partners. For manufacturing, product lifecycle methods enable companies to increase process efficiency, enhance innovation, and improve time to market.

Given the breadth of the strategy, does the value outweigh the effort—and what net results can be expected? We’ll help uncover what’s involved and how PLM can be key in creating successful electronic products.

The Evolution of Product Lifecycle Management

Theories behind product lifecycles have been around for decades. In the 1960s, economists posited four fundamental stages for a “product life cycle”: introduction, growth, maturity, and decline. These stages began as a sales and marketing concept, but today the theory is also used as the basis for product development across multiple industries.

As with many tales of industrial innovation from the latter part of the 20th century, the evolution of PLM from a 1960s concept into a framework for streamlining manufacturing tracks with the rise of technology and computers. PLM’s journey started when electronic design came off the page and onto the computer screen with computer-aided design (CAD) and the subsequent need to manage and store engineering data.

Things really took off in 1985, when automaker American Motors Company (AMC) was looking to speed up the product development process of its Jeep Grand Cherokee. To do this, the company started using CAD software and created a centralized database for the project. This centralized system enabled designers and engineers to quickly access data, which led to greater consistency and increased accuracy. This innovation was a huge success and a pioneering move toward modern product lifecycle management.

Fast forward to today, when an increased ability to store digital information and advances in processing technology have ramped up PLM’s ability to offer a holistic framework for product development that results in efficient resource allocation and reduced time to market. It’s these overwhelming benefits that led to the adoption of PLM principles across multiple industries—including electronics manufacturing.

Product Lifecycle Management Success in Electronics Manufacturing

Utilizing PLM methodologies to manage the entire journey of a product clearly benefited the auto industry. But how does this translate to the complicated and ever-changing landscape of electronics? After all, electronics manufacturing is a sector that demands cutting-edge and high-quality products that must be delivered within short timeframes to satisfy customer needs and fickle consumer tastes.

In the complex and data-dense electronics manufacturing arena, the most powerful way to harness PLM has to be through a degree of digital transformation. While product lifecycle management is essentially a strategy, the most effective implementation of that strategy will come from a cloud-based system that integrates Enterprise Resource Planning (ERP) and Supply Chain Management (SCM) systems and leverages the capabilities of emerging technologies such as artificial intelligence (AI), the industrial internet of things (IIoT), and virtual reality (VR).

These technologies have infiltrated nearly all aspects of business. In fact, a recent report by Deloitte confirmed for a second year in a row that across industries, companies with greater digital maturity are three times more likely to report higher-than-average net profits and net revenue growth, when compared to organizations with low digital maturity.

Luckily, greater digital maturity doesn’t have to reside entirely in-house and can come from partnering with experts. A professional electronic manufacturing service (EMS) whose engineers are well-versed in product lifecycle management for manufacturing and production can give you the technical edge you need.

From inception to end of life, for hardware and PCBA design, PLM tools can add value to your electronic product at each stage. Here are some of the ways.

Concept, Design, and Development

The beginning of an electronic product’s life—when designers are tossing around ideas and solutions for every aspect of a product’s function—is an exciting time. Effective product lifecycle management requires designers, engineers, and managers to work together at multiple stages of product development.

Innovative Product Design: Planning for a product’s entire lifecycle is a multidisciplinary effort, one that yields multiple benefits. For example, at the inception stage of an electronic product’s development, product lifecycle management fosters creativity and innovation by bringing cross-functional teams together. In breaking down silos, design development is accelerated, and ideas are transformed into tangible solutions.

Prototyping: PLM relies on digital prototyping, which allows engineers to explore multiple design iterations virtually. This reduces the need for costly physical prototypes, creating an efficient design process, and pushing innovative products to market faster.

Component Optimization and Management: Electronic components are the building blocks of every electronic device, and component selection is an art in itself, especially when planning for a product’s entire lifespan and eventual recycling. For this reason, component choice is a critical challenge of PLM. And here’s where access to detailed records of component specifications and availability, such as Last Time Buy (LTB) or End of Life (EOL), enables informed decisions on component selection. For an industry where components can become obsolete in the blink of an eye, this is an invaluable aid in predicting how design innovations can affect the longevity of a product.

Manufacturing and Production

Production timing is vital in electronics manufacturing. Small delays can result in large holdups. Working with cloud-based PLM systems can mitigate potential problems and keep projects nimble by enabling several important functions.

Exception Management: Manufacturing electronic devices involves precision and intricate processes, so it’s inevitable that during operations some problems will arise. Product lifecycle management is an excellent tool for exception management with a unique ability to address deviations quickly and systematically. Time is money in production runs, so minimizing production bottlenecks and streamlining throughput can be a lifesaver.

Impact Assessment: Product lifecycle management tools also provide the means for assessing the impact of component scarcity on production schedules. When datasets are easily accessible and visible, engineers can evaluate the severity of production hiccups, whether it’s a short-term supply issue or long-term unavailability of a crucial input.

Agile Response to Challenges: In traditional manufacturing scenarios, the long-term unavailability of a critical component would lead to production halts and perhaps even a premature end to the product. PLM solutions, however, take a more agile approach. Component changes to the bill of materials (BOM) are quickly relayed to procurement departments, and costs and lead times are rapidly reassessed. This flow of information allows for impact assessment and alternative solutions to be quickly implemented.

Controlled Change Management: PLM tools facilitate controlled change management by providing modifications to circuit designs that are updated in the manufacturing dataset and seamlessly introduced into production. These changes can be swiftly but thoroughly verified and incorporated into the manufacturing process within days, rather than the months that traditional approaches might require.

Maturity and Support

Product lifecycle management doesn’t end when the product reaches customers’ hands. Keeping customers satisfied requires ongoing effort. As an integrated system, PLM can manage how the product is faring in the marketplace.

Compliance and Supplier Collaboration: In the heavily regulated electronics manufacturing industry, compliance with industry regulations and standards is crucial. PLM systems keep a vigilant eye on compliance throughout the product lifecycle, keeping up with changes and reducing the risk of noncompliance and related penalties.

Product Support and Maintenance: In addition to conducting trend analysis to anticipate future support needs, product lifecycle management can manage support and maintenance issues. This proactive approach helps identify potential faults before they become widespread. Making product adjustments during production is a more cost-effective move than recalling and replacing products due to inherent design flaws—it can also result in substantial cost savings over the product’s lifespan.

Improvements and Consumer Feedback: By using product lifecycle management tools to manage and analyze consumer feedback, engineers can resolve any design issues and modify future production runs or product iterations.

Supply Chain: With their links to supply chain management systems, PLM tools can manage supply chains while the product is on the market and in demand, ensuring consistency and reliability.

Sustainability and End of Life

Making electronics as sustainable as possible is an ongoing and evolving task. PLM systems’ planning abilities can ensure that planet-friendly options for their products are considered.

Component Reuse: Customers want to know that products are as green as possible. PLM systems can identify opportunities for component reuse in electronic devices. This enables manufacturers to explore environmentally friendly options, extending the lifecycle of valuable components and materials and reducing electronic waste.

Responsible Disposal: In situations where reuse is not an option, PLM practices ensure compliance with recycling regulations and environmentally responsible disposal by systematically tracking and documenting product components and materials.

PLM Continues to Evolve

From cradle to grave, when used expertly, product lifecycle management systems can truly optimize a product. These systems can be used for nearly every aspect of product management—from gathering requirements, creating designs, and simulating product functionality, to streamlining manufacturing processes, tracking supply chains, and collecting data on performance.

PLM’s ability to do this comes, in part, from its origins as a strategy to enable companies to stay ahead of the curve. During the past few decades, PLM software has evolved from simple tools for managing product data to complex systems that can automate many aspects of the product development process. And as computing power continues to grow, PLM is sure to become an even more robust design and manufacturing tool for electronics companies.

An Electronics Manufacturing Partner You Can Rely On

Looking to improve your product development and production? Our engineers are SMTA-certified and expert in product lifecycle management. Contact us today to see how we can help you get the biggest return from your product design.

Before the pandemic, conflict in Ukraine, and trade tension with China, supply chain risk management was a topic that mostly interested eager business students and industry scholars. Back then, most businesses didn’t have to contend with much risk in supply chains, and rarely worried about delays or shortages of needed parts.

Then came the pandemic and its aftermath, and along with it, broken supply chains. And those supply chains that didn’t break still strained to deliver raw materials and other inputs. The most visible sector to be hit by these shortages was the automotive industry. S&P Global Mobility estimated that there were 9.5 million fewer light vehicles produced in 2021 because of the lack of semiconductors. But the electronics industry—though it didn’t make the same headlines—also suffered. And those shortages have had a lasting effect.

No Return to the Status Quo for Supply Chain Risk Management

Savvy manufacturers are recognizing that preparation is the key to flexibility, and are creating contingency plans and crisis-response infrastructures that enable them to better manage supply chain risks.

Compared to their predecessors, today’s electronic devices are chip hogs. So while semiconductor manufacturers continue to ramp up capacity, especially here in the U.S., some electronics companies still find themselves redesigning products to make use of more readily available components. It’s this type of scenario that makes supply chain risk management more than just an academic exercise.

It’s highly unlikely that supply chain risk management will ever return to the business-as-usual approach of the pre-pandemic years. Industry leaders surveyed for a recent McKinsey & Company report made it clear they have no intention of returning to the status quo ante. New trends and approaches are now emerging in response to lessons learned during the pandemic years.

Trend #1: The Shift from “Just-in-Time” to “Just-in-Case”

Electronics companies have long pursued efficiency and cost-reduction strategies, and were early adopters of “just-in-time” manufacturing when the concept arrived on America’s shores in the early ‘80s. For many years, companies competed to see how far they could push this lean manufacturing model in their quest to eliminate waste, and some began carrying very low parts inventories. By reducing the number of components sitting in their warehouses, these companies were able to minimize storage costs, maximize efficiency, and reap higher profits. It was a flawless system—provided there were no disruptions.

However, this lean-and-mean model was vulnerable to hiccups. That wasn’t a problem when supply disruptions were few and far between. But then the pandemic came, and the dominos began to fall. China adopted a zero-covid policy and closed ports when there was an outbreak, disrupting chip supplies the world over. Then came the Ukraine-Russia war, which disrupted global supplies of neon (used in chipmaking lasers) along with palladium, cobalt, and nickel.

As a result of these and other disruptions, electronics manufacturers found themselves scrambling for new suppliers, and sometimes, even redesigning their products to rely on more readily available components. These companies had bumped up against a non-negotiable reality: Lean manufacturing practices, while ideal during times of robust supply chains, sacrifice resilience for efficiency. And supply chains are no longer as reliable as they once were.

After being burned by the “just-in-time” approach in the last few years, many companies are now shifting to a new strategy: the “just-in-case” model. Keeping extra materials on hand costs more and can lead to excess stock or obsolescence. However, many companies today are accepting these risks to offset the chance they will experience severe shortages. Despite the elevated costs of this new approach, experts anticipate that companies will continue to follow this path for at least a few more years, unless and until global supply chains stabilize.

Now the pressing question for electronics companies is: How many component parts should they keep on hand? And how best to manage that inventory? This is one reason why it’s increasingly important to work with a manufacturing partner with expertise in supply chain management and inventory control.

Trend #2: Bringing Manufacturing Back to America

The just-in-time approach was not the only strategy that made companies vulnerable when supply chain disruptions hit. Many American companies sourced from the Far East—an approach that quickly became problematic during global disruptions. Sourcing so far from their primary markets left little leeway for error, and many companies faced huge shipment delays—first in Asia, then in Europe, and then in regions of South America. Country-specific tax and trade regulations added to shipping timeline woes, slowing delivery of much-needed parts. Budget concerns also plagued companies as international shippers dramatically increased prices. For example, during the pandemic, the cost of shipping a forty-foot container rose from about $1,300 to more than $11,000, before returning to its current average of about $4,000.

As these circumstances unfolded, American companies began seeking ways to reduce exposure to supply chain risk. Many businesses began exploring their options for doing business closer to home. According to the BCI Supply Chain Resilience Report 2020, 66.2% of organizations reported planning to source their goods and inputs more locally.

In addition to timing and budget concerns, companies have faced other challenges: rising labor costs worldwide, growing political instability in certain exporting countries, and trade wars that result in unpredictable tariff increases. These disruptive developments are leading many companies to rethink their global manufacturing strategies and seek reshoring partners.

Another reason many U.S. manufacturers are seeking to source and build closer to home is the threat of intellectual property (IP) theft. Chinese manufacturing partners are generally considered the riskiest in this regard. According to the U.S. Patent and Trademark Office (USPTO), “U.S. companies doing business in China face a range of challenges in protecting and enforcing their intellectual property (IP).” But while China may be the most well-known country in this regard, IP theft is a global phenomenon, making domestic production the safest option for IP protection.

Trend #3: Flexibility and Preparation Become Critical

The overwhelming majority of respondents in the above-referenced McKinsey report said that recent global crises have revealed weaknesses in their supply chains. One of those weaknesses was relying on a sole supplier, an approach that many manufacturers have begun to rethink. According to a survey conducted the Cybersecurity and Infrastructure Security Agency (CISA), 57.2% of respondents planned to diversify their supplier base post-pandemic.

Manufacturers have also recognized that they can reduce supply chain risk if their PCBA designs are more flexible; that is, if they can use the same components for multiple functions, or conversely, use different components to achieve the same result.

Savvy manufacturers are also recognizing that preparation is the key to flexibility, and so are creating contingency plans and crisis-response infrastructures that enable them to better manage supply chain disruptions. These forward-thinking businesses have planned for a wide variety of “what-if” scenarios, with the goal of compensating for material shortages and distribution bottlenecks without missing a beat.

Trend #4: Optimizing Inventory and Distribution Technology

Taking advantage of current technology is critical for optimizing the end-to-end management of any supply chain. Respondents in the McKinsey report saw an urgent need to gain better control of their supply-chain technology, a goal which will require a skilled workforce trained to use new digital tools. It’s not surprising that 90% of industry leaders surveyed said they planned to increase their organizations’ supply chain talent through in-house reskilling and external hires.

Another way companies are choosing to optimize their supply chain operations is by increasing supply chain visibility and control through the Industrial Internet of Things (IIoT) and other technologies. For example, automating the warehouse, back office, and transportation network allows a company to know precisely when its components and other inputs arrive and in what condition. And it lets these same companies monitor where their finished products are in transit, when the customer receives them, and in what condition. A relatively new IIoT technology, known as Multi-Dimensional Monitoring (MDM) can provide real-time tracking that generates notifications for all stakeholders along the supply chain.

Every new advance has its tradeoffs, however. While increased automation does enable electronics companies to better manage both material inputs and finished products, this same technology also brings an increased risk of malware, ransomware, phishing, hacking, and data breaches. Cyberthreats have grown steadily over the past few years, and these threats escalated as businesses connected their systems directly to their growing base of suppliers.

According to CyberGRX, a cybersecurity management company, 82% of organizations have experienced one or more data breaches caused by a third party—at an average cost of $7.5 million per incident. Any vendor that interacts with your systems is a risk. The answer, however, is not a return to clipboards and hand counting. Rather, companies should carefully vet their suppliers—not just to make sure those suppliers are trustworthy, but also to ensure that these vendors’ systems are as hack-proof as possible. It’s prudent to remember that vendor systems that connect to your company network are in a sense part of your network—and your cybersecurity is only as robust as the weakest link.

Trend #5: Looking Beyond Supply Chain Risk Management

Managing a company’s supply chain isn’t simply about risk mitigation. As more and more companies are discovering, it’s possible to use the supply chain to achieve secondary, yet highly valuable, goals. Companies seeking to up their ESG score, for example, can use their supply chain to promote both diversity and sustainability, simply by considering these factors in choosing their vendors. If your vendor has a high ESG score, it can help increase your own.

Quality, efficiency, reliability, and cost-effectiveness will always be a company’s primary considerations. Fortunately, however, these days there are many suppliers that can deliver on these requirements along with the diversity and sustainability you need to help you meet your own ESG goals. So be sure to ask about these issues when vetting your suppliers. With just a little extra effort, your company will be able to meet its ESG goals while effectively addressing supply chain risk management.

An Electronics Manufacturing Partner You Can Rely On

At PRIDE Industries, we help companies increase profits by stabilizing their supply chain. Our state-of-the-art facilities minimize your risk of disruption, optimize manufacturing and fulfillment processing, and provide flexible, on-demand inventory schedules. And our inclusive workforce—about 50% of our employees have a disclosed disability—means that working with us also allows you to make a positive social impact with your business spend, while meeting consumer demand for products made in the U.S.A.

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The holy grail of contract electronics manufacturing is Design for Manufacturability (DFM). To better understand this constantly evolving discipline, Reliability Matters host Mike Konrad invited Director of Product Engagement Andrew Williams—a sought-after lecturer on DFM, DFT, and DFS topics—to talk circuit assembly best practices on his podcast.

Are you ready to partner with a contract electronics manufacturer that can help you design for excellence?

It happens instantaneously. And if it doesn’t, the consequences range from vaguely annoying to downright alarming. When we touch a screen, drive a car, or use a critical medical device, we expect and rely on instant responses, generated in fractions of a second, for our entertainment and—more and more—our health and safety. And because of the vital role that electronic devices have in our lives, electronics testing and inspection can literally be a matter of life or death. As melodramatic as that sounds, the reality is when it comes to our reliance on electronic devices, rigorous testing of their PCB brains is critical to prevent failures and increase quality.

While it’s easy to see the importance of electronics testing, the question is: When bringing an electronic product to market, what are the tests and inspections you should discuss with your contract manufacturer? Having some insight into what the key tests are can be helpful. So, let’s take a more detailed look at the tests and inspections that electronic devices need to go through.

Devising the best testing strategy will mean working with a manufacturing partner experienced in both DFM and DFT.

What Electronics Testing Will My Product Need?

Although there is value to every test, not every test will be suitable for your product. The when-and-what of testing will depend on several factors, such as the product’s function, user environment, and production volume. The key to success is implementing strategic, device-specific testing that provides thorough quality control, while allowing for streamlined and efficient assembly and production.

The primary uses of the device you want to bring to market will naturally influence electronics testing. A consumer product that sits on a shelf will not encounter the same conditions as a device for the medical or aerospace industry. Electronics subject to harsher environments require stringent test protocols that will challenge stress limits and therefore ensure reliability.

Another consideration is the product’s stage of development. In the prototyping stages, functional and design verification tests are essential for identifying technical flaws and refining the product’s features. The small-batch nature of prototyping, especially rapid prototyping, will inevitably mean different test considerations. While cost-effective at mass production, the expense of some test setups is just not viable for small runs.

Devising the best testing strategy will mean working with a manufacturing partner experienced in design for manufacturability (DFM) and design for test (DFT). An electronics manufacturing services (EMS) provider who understands your priorities can ensure pertinent tests and inspections are conducted to refine the board for optimum safety, quality, and production.

What kind of electronics testing will ensure optimal performance and reliability for your particular product? Here are five of the most robust testing technologies to consider.

Solder Paste Inspection

Solder paste printing is the first stop for circuit board assembly, and inspecting the solder paste print before the assembly is soldered in the reflow oven is an excellent time for easy preventative fixes. Given that studies show that as much as 70% of all defects on PCBAs come from improper solder paste printing, solder paste inspection (SPI) is an essential step in PCBA production.

Inspection and evaluation of solder paste printed boards can be done using 2D or 3D X-ray imaging. Both will evaluate solder paste coverage, but with the use of a laser, 3D testing will also provide coverage and paste volume data. Since solder paste volume has been linked to long-term joint reliability, 3D imaging is often the preferred quality control method.

Properly implemented, and with the aid of experienced SMT engineers monitoring the process, SPI will improve yields and save money by identifying and correcting solder paste errors early.

SPI is useful in both the development (prototyping) and in-process stages of production. In addition to spotting solder print defects (insufficient paste, bridging, etc.), solder paste inspection will gather information on printing consistency and volume, providing valuable statistical analysis that can guide design improvements.

Automated Optical Inspection

Optical inspections are a critical form of testing. Even traditional optical inspections, whether done by the naked eye or with the aid of magnifying glasses and microscopes, yield valuable information—especially when performed by experienced engineers and technicians. But today’s PCBAs, with their highly complex grid arrays and micro-sized components, also benefit greatly from the accurate and efficient capabilities offered by automated optical inspection (AOI).

With a camera system capable of capturing 2D or 3D images, AOI machines scan a PCBA and compare the images to parameters and reference images in the design database. This allows the system to detect missing components, incorrect components, skew or misalignment, and other visually identifiable defects. Any defects that are discovered can then be flagged and pulled for further inspection or rework.

Although 2D camera and sensor quality are equal to that of 3D imaging on AOI machines, 2D imaging is limited to evaluating visible components. With 3D X-ray, defects in hidden areas of integrated circuits can be identified. 3D X-ray can take longer and may come with an added cost, but with component interconnects becoming smaller and boards more compact, it’s often the best choice for especially complex PCBAs and devices.

AOI systems are highly versatile, and so are typically used at more than one stage of the manufacturing production line. Their use pre- and post-reflow is common, depending on the board and the types of defects that must be avoided. Your EMS provider will help you decide where AOI fits into your device manufacturing process by considering your production volume and rate, as well as the defects that are essential to avoid.

Flying Probe Test

While vital inspections such as SPI and AOI check defects on a board’s surface, component placement, and stability, a flying probe test (FPT) assesses and verifies the functionality of individual components on the PCBA. Discovering flawed components means they can be pulled and replaced before creating device failures.

To do this, probes “fly” over the soldered board on high-speed gantry mechanisms, and conduct a programmed test sequence set up by SMT engineers in accordance with the specific requirements of the device under test (DUT). Without powering up the board, the FPT conducts its test with as many as 20 moving probes that check individual components. The probes test parameters such as voltage measurements, shorts, opens, bad contacts, and diode issues.

Because the FPT is considered “fixtureless,” it does not come with high tooling expenses—a cost-saving benefit that can make it an ideal choice for prototypes and small to medium production volumes.

In-Circuit Test

While FPT is useful for small volumes, the in-circuit test (ICT) fixture—which uses the same methodology (testing individual components) as the FPT—can be a good choice when it comes to products that are fully developed and in production at high volume, due to its very short test time compared to FPT.

As test fixtures, ICTs require DFT-savvy engineers to incorporate the test points in the board and use custom tooling to build the fixture. Creating the fixture naturally comes with upfront tooling costs, which can make it prohibitively expensive for prototyping, but for higher volume runs this cost is offset by the lowered expense of streamlined production. An ICT fixture can lower the per-unit cost significantly—by as much as ten or more units for every one unit that the FPT processes.

Functional Circuit Test

As the final step of electronics testing, the functional circuit test (FCT) fixture does just what it says on the box: test the device’s functionality. This test provides a pass/fail determination of the DUT’s functionality, validating the device’s design and implementation. The test is conducted by simulating the operating environment that the product will be used in, ensuring the board functions as intended, and is free of errors.

In addition to design flaws, FCT can spot both manufacturing defects and software bugs that might affect the device’s performance. It can also show whether the device adheres to all relevant standards and specifications. For critical devices, such as medical equipment or automotive systems, functional testing is crucial for ensuring safety and reliability, and so a series of FCTs may be necessary. This is where thorough testing helps verify that the device operates correctly, reducing the risk of malfunctions or complete failure.

Driving Innovation and Building Trust

Whether they’re in consumer devices designed to entertain, or medical devices created to save lives, complex PCB assemblies with small components demand rigorous testing and inspection. Comprehensive testing ensures that electronic devices meet design specifications, adhere to industry standards, and deliver optimal performance.

It’s also true that the process of electronics testing not only ensures quality, it also drives innovation. By providing comprehensive, detailed feedback, testing enables iterative improvements that lead to cutting-edge advancements and enhanced user experiences.

That’s why it’s more important than ever for manufacturers to embrace robust testing practices. Ensuring high performance and reliability enables electronics companies to establish trust with customers, maintain a competitive edge in the market, and build a reputation for excellence.

A Contract Electronics Manufacturer You Can Rely On

Want to ensure that your product offers a superior customer experience? We use a broad range of testing technologies and protocols—including AOI, FPT, and both 2D and 3D X-ray imaging—to ensure that your products make it out the door without defects. Contact us today to learn more.

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Imagine you’ve designed a breakthrough electronics device, a product that’s sure to put your company on the map. And after hundreds of hours of brainstorming, designing, and review, you’re ready to make your device a reality and enter production. But just days later, production stops before it’s even started. It turns out the nonstandard component you included in your design will have to be soldered by hand—dramatically increasing the cost of production. So now it’s back to the drawing board—costing you a significant delay, and giving your competitors a chance to catch up. How did this happen? And how do you keep it from happening again? The answer is Design for Excellence.

What is Design for Excellence?

Design for Excellence (DFX) has a dual meaning. The first interpretation is straightforward: the “X” in “DFX” stands simply for “eXcellence.”

Additionally, however, Design for Excellence (DFX) is an umbrella term, where the “X” stands for any number of protocols for developing a better product at the concept design phase. These protocols include Design for Sustainability (DFS), Design for Manufacturability (DFM), Design for Test (DFT), and a host of other manufacturing principles.

DFX provides a systematic, holistic approach to design that focuses on all aspects of development throughout the product’s lifecycle. With traditional engineering design processes, problems are usually identified and fixed after the design phase. Design for Excellence, however, shifts the emphasis on solving these problems to the early design stage—saving companies both money and time. And whereas traditional engineering teams tend to work in silos, a DFX approach relies on greater collaboration early in the design process, making it easier to spot potential roadblocks and craft solutions.

Eight Important “X’s” of the DFX Methodology

A DFX approach relies on greater collaboration early in the design process, making it easier to spot potential roadblocks and craft solutions.

DFX used to refer to two or three types of design protocols, like Design for Manufacturability and Design for Test. But new priorities, and emerging technologies, have ushered in a host of new DFX sub-disciplines, and that number continues to grow. Below are eight types of DFX methodology that are making a mark in electronics manufacturing:

Design for Manufacturability (DFM): A Design for Manufacturability (DFM) analysis looks at your electronics design from the eye of the manufacturer. Ideally, this analysis occurs early in the design process, as there is an inverse relationship between cost and benefit during a product’s journey from design to release. A comprehensive analysis looks for ways to design the components of an electronic product in such a way that it will be easy to manufacture—optimally producing a better product at a lower cost. For example, a good analysis will catch any design flaws that might impact a circuit board’s functionality.

Design for Additive Manufacturing (DFAM): Design for Additive Manufacturing is DFM specifically applied to additive manufacturing (also known as 3D printing). In DFAM, the goal is to optimize the design of a product to take advantage of the benefits of the additive manufacturing process. And these benefits are significant. With 3D printing: 1) increased complexity does not equal increased cost; 2) total production costs are not significantly altered for larger volumes; and 3) integration with other digital design tools, such as computer-aided design (CAD), is considerably streamlined. Because additive manufacturing is constantly evolving, the best practices of DFAM are likewise rapidly advancing. So to get the most from DFAM, be sure to work with a team that’s up to date on new developments in this field.

Design for Sustainability (DFS): Design for Sustainability (DFS) is a design approach that considers the environmental and social impacts of a product throughout its lifecycle. There are many ways a designer can reduce a product’s overall environmental impact. Using more sustainable materials in the production of electronic components, for example, leaves less chemicals, plastics, and metals in the local landfill. Designing energy-efficient products that use low-power processors and LED displays is yet another way a designer can satisfy the demands of today’s environmentally conscious consumers.

Design for Test (DFT): Thoroughly testing products before they reach the market is crucial for avoiding returns or, even worse, expensive recalls—which is why DFT is so important. DFT in electronics is all about making it easier to test your devices during the critical debugging and manufacturing stages. A good PCB assembly design not only makes testing easier but also enables more accurate and reliable readings during testing. Fortunately, advances in rapid prototyping have greatly improved the DFT process. With rapid prototyping, prohibitive barriers of cost and time are removed. Rapid prototyping also accommodates the separate testing of components—a useful diagnostic practice that has only recently become reasonably easy to do.

Design for Assembly (DFA): In essence, Design for Assembly is about simplifying a product so that its cost of production is reduced. Engineers analyze the design of both the individual parts and the whole product in order to identify ways to optimize the assembly process, thereby reducing both production and total product lifecycle costs. Although DFA is a relatively new addition to the DFX landscape, companies have been applying DFA protocols in various ways for decades. For example, General Electric published an internal handbook as early as the 1960s which included many of the principles of DFA as we know and understand them today.

Design for Reliability (DFR): Design for Reliability focuses on ensuring that a particular product or component, such as an electronics chip, serves its intended function within a given environment throughout its lifecycle. Similar to the other DFX protocols, DFR happens at the design stage—long before actual physical prototyping begins. For example, engineers can use DFR principles to produce chip designs that anticipate and respond to the reliability issues that stem from circuit aging. While it can be tempting to cut corners—70 percent of a project’s budget can be attributed to design—a proper design producing a reliable product saves money in the long run. A savvy engineer knows that it’s cheaper to design for reliability than to test for reliability.

Design for Cost (DFC): Design for Cost is a protocol which analyzes and evaluates a product’s lifecycle cost and then modifies the design to reduce that cost. Design for Cost aims to increase system performance while simultaneously delivering value. One way to achieve a positive outcome in DFC is to emphasize simplicity, as complexity often leads to increased cost. As Albert Einstein once said, “The best design is the simplest one that works.”

Design to Cost (DTC): Design for Cost should not be confused with Design to Cost. The goal of Design for Cost is to increase system performance while reducing cost, whereas Design to Cost involves the iterative redesign of a project until it falls within budget. In the Design to Cost scenario, a company may accept reduced performance in favor of reaching its budget goals.

Making the Most of Design for Excellence

DFX encompasses just about every aspect of your product’s design. But depending on your product and your priorities, some DFX sub-disciplines may matter more than others. For example, if you make Class II medical devices, then DFT and DFR may be top of mind for you. Makers of consumer electronics might want to focus more on DFC and DFA—and more and more, DFS as well. To make sure that your product goals are met, it’s important that you work with a contract manufacturing team that’s familiar with a wide range of DFX sub-specialties, so you can focus on the design aspects that matter most to you, whether that’s cost, sustainability, time to market, or another goal.

A DFX Partner You Can Rely On

Are you ready to partner with a contract manufacturer that can help you design for excellence? Our engineers are experts in DFM, DFT, DFS, and other DFX protocols. We can help you maximize your product’s potential and streamline your production. Contact us today to learn more.