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The best way to avoid sourcing counterfeit electronic parts is to select the right independent distributor - one with the appropriate inspection and procurement systems in place and most importantly, the right business philosophy. This seems an obvious consideration to make, however, increasing counterfeit quality paired with the promise of larger profit margins lead to regrettable mistakes. Learning how to rectify those mistakes is the first step in not repeating them in the future.

The recent proliferation of rip-offs experienced by OEMs and CMs procuring parts from the multitude of random, unknown and unproven open market suppliers has given all independent distributors a bad name. Independent distributors are separate business entities that have their own goals, strategies, and operating values. When those are at cross purposes with your own, the stage is set for destructive conflict.

Buyers have learned the hard way that some of the benefits associated with the rapid expansion of broadband internet access also demands careful selection of supply chain partners that meet their specific needs. Phony distributors are bound to take advantage of inevitable buyer oversights who require specific fiscal or part specific needs to be filled, leaving the good ones at a reputable disadvantage. To avoid rip-offs, USBid, Inc. recommends the following tips:

-Visit an independent distributor's facilities and perform a quality audit.

-Ask to see conformance and acquisition certification.

-Evaluate their Quality Management System (QMS) for procurement and inspection processes.

-Discuss contract terms, insurance, and warranty.

-Check for distributor membership to verified trade groups, such as: IDEA, ERAI, and GIDEP.

-Ask about compliance plans.

-Require a good mix of certifications to assure proper traceability, handling safety, and counterfeit detection skills such as:
  --ISO9001
  --AS9120 Aerospace Distribution
  --AS6081 Counterfeit Detection roadmap
  --ANSI/ESD S20-20.2014 to protect parts from ESD damage.

A good independent distributor is an expert in sourcing open market product and can navigate through the landmines commonly associated with sourcing hard-to-find product. They have market intelligence many OEMs and CMs do not and can help meet production requirements while minimizing risk for both organizations. At the very least, responsible, reliable independent distributors should be able to trace the parts that they sell to the original component manufacturer.

When sourcing hard-to-find electronic components, don't forget the hard-learned lesson that not all independent distributors are created equally. The key to purchasing from independent distributors is to research and qualify the distributors like any other supplier. Take the time to form a close relationship and get to know your independent distributors before forming financial commitments or don't be surprised if the swindling continues.

About USBid

USBid Inc is an independent distributor of electronic components located in Palm Bay, Florida, USA. Since 1998, we have been helping customers locate and purchase hard-to-find and long lead time components. We are AS9120:2009 and ISO 9001:2008 certified. USBid.com understands that sourcing parts in the "open market" is challenging. That's why we conduct 100% visual inspections and offer die authenticity analysis and functional testing to manufacturer datasheet specifications.

  by Blog Admin
  August 1, 2018

USBid, Inc. sells PC Board level electronic components to thousands of customers worldwide. Our part directory contains SKUs of inventory from OEMs and Distributors around the globe, providing the resources to meet all your sourcing needs.