Semiconductor Capital Equipment
Vertical Integration Model Expands Strategic Sourcing Options
US-Mexico Manufacturing Delivers Unprecedented Cost Reductions for Lower Volume Products
Semiconductor capital equipment represents some of the most complex, technologically advanced products, incorporating a wide array of manufacturing process types produced in very low volumes. With a relatively small number of customers, OEMs need to be first to market with disruptive technology and responsive to volatile demand signals while constantly driving for lower costs.
Federal Electronics has been a leading EMS provider to Semiconductor Capital Equipment OEMs for over 30 years. Our vertical integration model provides opportunities for supply base rationalization, as customers have the option to source cable assemblies, wire harnesses, printed circuit board assemblies, and electro-mechanical assemblies individually or as part of higher level assemblies such as UL 508a industrial control panels, electronic controllers and large scale fully integrated frames. Manufacturing facilities in both the US and Mexico provide cost reduction opportunities for lower volume, higher mix, higher complexity products.
Semiconductor Capital Equipment Manufacturing Applications
- Semiconductor Test Equipment
- Semiconductor Robots and Factory Automation
- Ion Implantation
- Lithography
- Etch
- Cleaning
Federal Electronics Partnership Benefits
ERP System Provides Unprecedented Flexibility and Transparency
US-Mexico Facilities Synchronized To Flex With Market Demand
The semiconductor capital equipment market requires a supply chain that can flex with volatile market demand. Federal Electronics nightly MRP and Finite Scheduling modules capture changes in customer demand signals, material availability, and manufacturing capacity within 24 hours of notification, and our Customer Service Impact and Throughput modules identify supply chain and scheduling misalignments for immediate mitigation, providing unprecedented flexibility and transparency.
Reducing costs and optimizing a manufacturing solution for ultra-complex semiconductor capital equipment requires operational synchronization between our US and Mexico facilities. Federal Electronics’ centralized IT and ERP system ensures both sites are driving to the latest demand signals, aligning supply chain and capacity accordingly.
Supply Chain Optimized For Lower Volume, Higher Complexity Products
Low Cost Region Sourcing For Build-To-Print Custom Fabricated Parts
Optimizing a supply chain strategy for a semiconductor capital equipment market characterized by lower volume, higher complexity, and schedule volatility requires administrative systems that react quickly and efficiently to changes in customer demand. Applying damping rules, our nightly MRP communicates changes in material requirements to our supplier network through an automated supplier portal, ensuring the supply chain adapts and remains aligned with your requirements.
Federal Electronics supplier network for custom fabricated components such as precision machined parts, sheet metal, cabinets, enclosures and weldments has been selected based upon their ability to excel in higher mix, lower volume manufacturing. Supplier-partners in both the US and Mexico combine to offer highly cost-effective solutions while maintaining the level of flexibility and responsiveness required to service the semiconductor capital equipment market.
Vertical Integration Model Includes Critical Capabilities for SemiCap
Integrated Electronic Manufacturing Solution Eliminates Margin Stackup
Federal Electronics vertical integration model is ideally suited for the complexity and varied process types found within semiconductor capital equipment. Cable assemblies, wire harnesses, PCBA and electro-mechanical assemblies can be offered individually or as part of our broader solution, integrated into industry specific products including gas and liquid delivery systems, vacuum and pneumatic assemblies and automation/robotic systems, as well as UL 508a industrial control panels, complex electronic box builds or frame/system level fully integrated assemblies. Our Class 10,000 clean room is available where required for both assembly and final packaging.
This level of manufacturing depth increases our influence over a larger portion of both the supply chain and manufacturing processes while eliminating margin stackup. Benefits include improved information flow both internally and externally, less exposure to supply chain disruptions, greater flexibility, responsiveness and schedule protection, enhanced supply chain coordination, more effective project risk management, and ample opportunity for reduced costs.
Hybrid Model Combines Benefits of US-Mexico Manufacturing
Integrated Electronics Manufacturing Solution Optimizes Sourcing Options
Reducing costs is particularly difficult for OEMs of semiconductor capital equipment due in large part to the very low volumes, higher mix (many assembly part numbers and types), the complexity of product and the potential for engineering change order activity. Federal Electronics hybrid model combines the benefits of our US and Mexico electronics manufacturing sites to deliver customized sourcing solutions specifically suited to this market segment.
Our Sonora, Mexico facility is designed for higher mix, lower volume, higher complexity requirements, especially where labor content is higher, creating opportunities for significant cost reductions. Our Rhode Island based facility is ideal where domestic production is preferred, especially as the culmination point for our integrated electronics manufacturing solutions for large scale assemblies. Connected by our centralized IT system, each site supports our customers’ requirements independently or as part of a hybrid solution, optimized to deliver cost effective and dependable results.
Quality Standards & Certifications
Applied Materials Strategic Supply Chain Award
increasingly tighter technical demands of our customers make meeting our requirements all the more difficult. Recognizing those facts, your accomplishments are even more outstanding
and your contribution therefore even more valuable.“
Partner with Federal Electronics
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