Defeat the ongoing chip shortage. Forecasted to last until 2023, the current imbalance in demand and supply of semiconductors continues to negatively affect industry sectors worldwide.
As a result, companies are now shouldering higher costs along their supply chains and face serious logistical obstacles, threatening production, and profitability.
Sustainable practices in IT can however help to indemnify your infrastructure against disruption – with Evernex here to assist.
Our third-party maintenance services and refurbished hardware enables you to better optimise your existing IT equipment, removing the need to produce new and helping to preserve chips where they are needed most.
What is causing the chip shortage?
A worldwide chip shortage affected many industries between 2020 and 2023. The COVID-19 pandemic is seen as the primary reason for accelerating shortages. From early 2020, the mitigation and effects of the COVID-19 pandemic caused disruptions in supply chains and logistics.
Together with an increase in global demand for PCs from a some countries’ that shifted to a stay-at-home economy, it led to major price increases, long queues, and reselling among consumers and manufacturers for global chips and other IT electronics. The demand become so great that existing production capacity was unable to keep up.
In short, the COVID-19 pandemic kickstarted the chip shortage, and its long-reaching effects — including virus outbreaks, labor challenges and geopolitical uncertainties — have fueled it.
What are the current solutions to chip shortage?
“The tech industry is already taking important steps to mitigate the shortage. Investing in existing and new chip manufacturing infrastructure is an obvious step to take”, according to Forbes.
With the huge run on used equipment during the pandemic, companies came up with alternative solutions. They include using more sustainable solutions, such as the reused of existing IT equipment. Since then, device manufacturers build new devices using older chips as well.
Deloitte goes a step further stating that the entire supply chain need to be taken into account. Only in this way the chip shortage can be solved. “To address the chip shortage address the supply chain”.
Defeat the ongoing chip shortage
According to Evernex, companies that adopt Sustainable IT practices can enjoy many advantages. Opting for green IT solutions, can:
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- Reduce negative environmental impact
Technological devices use toxic substances, such as mercury in their production process. These devices are disposed of and may end up in landfills, where the substances create a toxic environment for both humans and animals.
Opting for more sustainable IT equipment, will releasing less e-waste and greenhouse gas emissions. It Lowers the impact on the environment by reducing air, water, and soil pollution. And helps in ensuring a better life for present and future generations.
- Save Costs
Making use of IT equipment from a third-party maintenance provider will help to save up to 70% compared to the original manufacturer. This helps companies in achieving long-term economic growth without compromising on quality or performance.
- Attracts and retains customers
Besides benefiting the environment, moving to green IT can help increase a company with its brand reputation and marketability. As consumers become more environmentally conscious, businesses must begin to adapt to their evolving needs—failing to respond to the growing demand for sustainability risk extinction in the coming years. So another advantage is it attracts and retains more customers.
Contact our experts to build back smarter and more sustainably IT strategies to save your business time, money, and hassle.
Sources
- It is no secret there’s a chip shortage how do we solve it , Forbes / Chris Richard, et al., 2021.
- To address the chip shortage address the supply chain, Deloitte/ May 2022.
- Sustainable it benefits and strategies to implement., OpenIT, October 3, 2022.