How is our design industry doing in the face of change?


ByteSnap Design, a UK-based in-car electronics consultancy, revealed the impact of COVID-19 and the main survival strategies adopted by UK businesses during the pandemic in its new industry investigation report electronic titled Thrive in the face of change.

To develop the report, ByteSnap interviewed electronics industry staff in various sectors including automotive, industrial, medical technology, and aerospace in April / May 2021.

“More than a year after the start of the coronavirus pandemic, we decided to interview UK electronics professionals to get an overview of the state of the industry, the challenges they have overcome and the evolution of their activities as a result of COVID-19, ”said the director of ByteSnap. Dunstan Power. “It’s extremely encouraging when you look at the numbers, how the majority of electronics companies weathered the COVID-19 storm, especially those who adapted and used their much-needed expertise in manufacturing essential medical equipment and supply of components to help the fight to protect lives.

The research results reveal how, despite 82% of the electronics industry affected by supply chain challenges, 38% of the industry coped well with the pandemic, while 35% had a mixed experience. .

Electronics Industry Survey 2021 – Key Findings

  1. Growing demand for products and services
    Despite the pandemic, 60% of respondents saw an increase in demand for their products or services, 9% saw no change and 31% saw a decrease.

Sectors with the greatest increase in demand for products and services:
Industrial 76%
Medical 74%
IoT 71%

Sectors with the greatest decline in demand for products and services:
Aeronautics 27%
Automotive 25%
Consumer 16%

  1. Component challenges continue
    There has been a surge in demand for electronic components where more than 56% of the companies surveyed have been hit by the wave. 34% of these respondents experienced long lead times for their required components and 24% of them were unable to source enough parts and products.
  2. Almost half of businesses have rebounded in 12 months
    45% of those surveyed saw their business bounce back within 12 months of the pandemic. That was up from 86% more optimistic who thought they would be back to normal in a year.

In the first three months of the pandemic, 22% saw no decline in sales, while during the year that figure fell to 19% with no decline in sales. Only 11% of businesses have yet to reach their pre-COVID sales level.

  1. Concerns over supply chain disruption remain
    During the first lockdown, 18% of the electronics industry was concerned about the disruption of the supply chain.

This has resulted in 45% of companies holding more inventory in-house rather than just-in-time (JIT) and 26% are now auditing their supply chains more closely.

While 10% of those surveyed in 2020 planned to use more domestic suppliers, the survey found that less than 11% actually moved part of their supply chain to the UK.

  1. The negative impact of Brexit

53% of companies surveyed have felt the negative impact on their business since Brexit as 70% of them said ordering or moving to Europe has become more expensive and more difficult, with an increase in paperwork.

Only 3% of respondents say they have benefited from Brexit.

Statistics from different sectors

In addition to statistics comparing different industries, the report also provides additional information on each question with direct quotes from respondents and comparisons from ByteSnap Design’s 2020 survey.

“As we continue to face the challenges of the coronavirus, we hope that this report will be a useful overview of how far the electronics sector has come and what the electronics industry can expect to see. the future, ”said Graeme Wintle, director of ByteSnap. Design. “We have seen continued demand for our work in IoT, healthcare and tracking devices. “

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