GSCW chat: ZF’s challenges chasing microchips to keep parts flowing

BIO: Paquette has global responsibility for transformation and digitization, focusing on securing semiconductors and collaborating with other ZF division functions. Prior to joining ZF in 2011, he was an operations supervisor with Penske Logistics.  

KEY QUOTES FROM BRANDON PAQUETTE

“It’s not so much a decision about the winners and losers, it’s how we can get the supply that’s available to us and how we can most equitably allocate those parts. If we have a constraint on part A and excess on part B, we might shift part B to another manufacturing location to balance out that volume across the board.”

“Obviously the semiconductor issue is the biggest constraint that we’re all dealing with right now. There’s other challenges throughout the supply chain, whether it is the availability of various raw materials or it is the transportation network itself. It is a bit of a game of whack-a-mole. It seems that every week there’s a new challenge that’s coming up.”

“We’re optimistic the situation will begin to ease. Hopefully that happens this year. There are a lot of forecasts out there that expect the semiconductor challenges to last through this year. Obviously, a lot depends on factors outside our control from consumer electronics and how quickly capacity can come on line. So there’s a lot of unknowns, and you never know what the next material shortage might be.”