The electronics industry is in a state of constant evolution, where rapid innovation meets the challenge of long product life cycles. While technological advancements continue to accelerate, certain sectors—such as aviation, rail transportation, medical technology, and defense—demand products that remain operational for decades. These industries require strict certification and approval processes, meaning that even as individual components become obsolete, the systems they are embedded in must continue to function safely and efficiently.
However, as technology progresses, the lifecycle of electronic components often comes to an unexpected halt. The discontinuation of a critical component can disrupt production, leading to supply shortages and costly redesigns. Similarly, the introduction of new and competing technologies raises uncertainty, as businesses struggle to determine which innovations will stand the test of time and which will fade into obsolescence.
Adding to this challenge is the growing issue of electronic waste (e-waste). According to the European Parliament, e-waste is one of the fastest-growing waste categories in the EU, with less than 40% being recycled. Between 2012 and 2021, the total amount of electrical and electronic waste collected in the EU increased from 3.0 million tons to 4.9 million tons, with an average of 11 kg per inhabitant collected in 2021. These numbers underscore an urgent need for companies to rethink their approach to product obsolescence, shifting from reactive responses to proactive lifecycle management.
In this context, Elemaster Group is leading the way in electronic component obsolescence management, working to reduce e-waste while ensuring a sustainable and resource-efficient production model. The company’s approach does not merely seek to replace outdated components—it is about future-proofing products from the earliest stages of development, turning the risk of obsolescence into an opportunity to build longer-lasting, more adaptable electronics.
Take action, not react: the power of proactive obsolescence management
For many businesses, product obsolescence comes as an unwelcome surprise. A key supplier discontinues a component, or a regulatory change renders an existing product non-compliant, and suddenly, production is at risk. However, such disruptions can be anticipated and mitigated by adopting a holistic approach to lifecycle management.
A successful obsolescence strategy starts at the design phase, ensuring that products are built with long-term viability in mind. By integrating quality control and selecting future-proof components, companies can extend the useful life of their products and maintain compliance with evolving environmental and industry standards.
This is precisely the philosophy adopted by Eletech, the lead company of Elemaster Group’s International Design Centers, R&D division of the Group. As a global leader in electronic manufacturing services (EMS), Eletech specializes in helping companies strategically navigate obsolescence, offering both long-term planning and short-term response strategies.
A two-stage approach to managing obsolescence
Eletech has developed a structured, two-phase methodology to proactively address obsolescence risks:
- Assessment phase: a comprehensive supply chain analysis is conducted to identify potential risks, ensuring that vulnerabilities are detected before they become critical.
- Impact evaluation phase: individual risks are ranked based on their potential impact, ranging from minor adjustments to complete hardware and software redesigns.
Once the risk landscape is fully mapped, Eletech develops a tailored action plan to minimize disruptions. Depending on the specific situation, the company may implement one of the following solutions:
- Buy: stockpiling critical components and storing them in optimal conditions to secure long-term availability.
- Make: procuring, replicating, or redesigning similar components to ensure continued production without compromising performance.
This proactive approach not only safeguards production stability but also reduces e-waste by ensuring that products are designed to evolve and adapt rather than become prematurely obsolete.
Life cycle monitoring: anticipating market changes
A key component of successful obsolescence management is continuous life cycle monitoring. This process involves the systematic tracking of:
- Industry trends, allowing businesses to anticipate component shortages before they occur.
- Supplier availability, ensuring that companies are not caught off guard by unexpected discontinuations.
- Global disruptions, such as geopolitical tensions or pandemics, helping businesses adjust sourcing strategies proactively.
The importance of life cycle monitoring has been particularly evident in recent years, as global supply chain disruptions—caused by the COVID-19 pandemic and geopolitical conflicts—have underscored the need for resilience.
In this volatile environment, companies without robust obsolescence strategies have faced costly shortages, while those with proactive monitoring systems have been able to mitigate risks and maintain business continuity.
As the lead company of Elemaster Group’s International Design Centers, Eletech has developed specialized expertise in identifying early warning signs of supply chain instability. The company’s monitoring service allows customers to stay ahead of market fluctuations, ensuring that they can respond to challenges before they arise.
The business case for proactive obsolescence management
Investing in obsolescence management is not just about avoiding disruption—it is a strategic business decision that can deliver tangible competitive advantages. Companies that adopt a proactive stance benefit from:
- Extended product life cycles, reducing the need for frequent redesigns and certifications.
- Lower production costs by mitigating last-minute supply chain crises.
- Improved regulatory compliance, staying ahead of new environmental and industry standards.
- Stronger supply chain resilience, ensuring continuity in uncertain global conditions.
- Sustainability leadership, reducing electronic waste and promoting responsible resource use.
The latest IEC 62402 standard for obsolescence management provides a structured framework to help companies implement best practices, ensuring that their electronic products remain viable, efficient, and compliant throughout their lifecycle.
From challenge to competitive advantage: the strategic value of obsolescence management
Obsolescence is an inevitable challenge in the electronics industry, but it does not have to be a liability. Companies that embrace proactive lifecycle management can transform obsolescence into a strategic advantage, ensuring longer product lifespans, regulatory compliance, and greater sustainability.
Elemaster Group, through Eletech, is at the forefront of this approach, offering cutting-edge solutions to help businesses stay ahead of risks, maximize product longevity, and minimize environmental impact.
In an industry where innovation and regulation are constantly evolving, those who take action today will be the ones leading the market tomorrow.
