When IT infrastructure experts and pundits discuss the state of our industry, they identify critical trends such as deployment of the Edge, sustainability, liquid cooling, etc. Currently however, the larger area of focus is on finding the parts needed to open the doors.
The state of manufacturing is strained from increased demand coupled with a decrease in the supply of countless critical components. This confluence of forces has left both manufacturers and end users searching for more efficient ways to maintain their inventory levels.
The problem is heightened in the IT Infrastructure space, as demand shows no signs of slowing, making the quest to find a solution even more urgent.
With the traditional manufacturers at capacity for the next couple of years, the industry is turning its collective attention toward private manufacturing. The good news is that, by definition, private manufacturing is not really new.
When a manufacturer and user work collectively to create a solution that fits the user’s requirements exactly, identifies a level of commitment from the user and expectations of the manufacturer in terms of pricing and delivery scheduling, you have a Private Manufacturing Agreement (PMA).
PMAs are critical in today’s manufacturing and construction world because increased demand and tighter supplies mean construction managers can’t schedule riggers or contractors, fearing that any schedule will be changed.
Worse, these men and women find themselves in the precarious situation of having to pay riggers and contractors to stay on the site, knowing the moment the rigger or contractor leaves, they may have no ability to get them back to the site when needed.
In every corner of the industry users have secured their production slots with the major manufacturers. They are now laser-focused on identifying the manufacturers they want to work with and have begun (in earnest) to enter into PMAs with their trusted manufacturing partners.
PMAs can be entered into by large and small users engaging with large and small manufacturers. The definition is neither about the agreement, nor the size of the companies involved.
The key advantage of a PMA is the fact construction managers can reliably schedule their riggers and contractors, reliably budget properly, and can rely on the lead times their PMA dictates.
The ever-growing thirst and need for larger bandwidth and decreased latency around the world is driving big changes in the data center industry. Now might be the time to identify Manufacturers you trust and consider entering into PMAs, before their capacity is taken by someone else.