# Challenges and Opportunities of CMS Electronics amidst Industry Disruption with CEO Michael Velmeden

- Show: [EMS@C-LEVEL](https://hardwarepodcasts.com/podcast/ems-c-level)
- Published: 2023-11-26
- Length: 13m
- Page: https://hardwarepodcasts.com/podcast/ems-c-level/2023-11-26-challenges-and-opportunities-of-cms-electronics-amidst-industry-disruption-with

## Summary

Michael Velmeden, CEO of CMS Electronics, discusses the severe operational and financial disruptions faced by the European EMS provider, including the transition from component shortages to a bullwhip effect of excess inventory. He explains how these swings have caused cash flow issues and required difficult negotiations with customers and suppliers to share the burden of stock levels. Velmeden outlines CMS's strategy of diversifying into automotive, industrial energy efficiency, and medical startups, while leveraging digitalization and AI to build trust and visibility in the supply chain for 2024.

## Chapters

- [0:08](https://hardwarepodcasts.com/podcast/ems-c-level/2023-11-26-challenges-and-opportunities-of-cms-electronics-amidst-industry-disruption-with#t=8) Introduction: Michael Velmeden and CMS Electronics Overview
- [2:24](https://hardwarepodcasts.com/podcast/ems-c-level/2023-11-26-challenges-and-opportunities-of-cms-electronics-amidst-industry-disruption-with#t=144) Navigating Component Shortages and the Bullwhip Effect
- [4:26](https://hardwarepodcasts.com/podcast/ems-c-level/2023-11-26-challenges-and-opportunities-of-cms-electronics-amidst-industry-disruption-with#t=266) Managing Inventory Burden and Cash Flow Constraints
- [7:15](https://hardwarepodcasts.com/podcast/ems-c-level/2023-11-26-challenges-and-opportunities-of-cms-electronics-amidst-industry-disruption-with#t=435) Segment Strategy: Automotive, Industrial, and Medical
- [9:24](https://hardwarepodcasts.com/podcast/ems-c-level/2023-11-26-challenges-and-opportunities-of-cms-electronics-amidst-industry-disruption-with#t=564) 2024 Outlook: Stock Relief and Digital Transformation
- [11:08](https://hardwarepodcasts.com/podcast/ems-c-level/2023-11-26-challenges-and-opportunities-of-cms-electronics-amidst-industry-disruption-with#t=668) Building Trust Through AI and Supply Chain Visibility

## Topics

- [Sourcing & supply chain](https://hardwarepodcasts.com/topic/sourcing-and-supply-chain)
- [Scaling production](https://hardwarepodcasts.com/topic/scaling-production)
- [Pricing, margins & unit economics](https://hardwarepodcasts.com/topic/pricing-and-unit-economics)
- [AI & machine learning](https://hardwarepodcasts.com/topic/ai-and-machine-learning)
- [Manufacturing partners & offshoring](https://hardwarepodcasts.com/topic/manufacturing-partners)

## Most relevant to

companies scaling up

## Mentioned

- CMS Electronics (company)
- PCPVIS (product)
- Productronica 2023 (other)
- Koh Young (company)
- Global Electronics Association (company)

## Related episodes from other shows

- [Passing Storm or New Normal? How Should We Think of Today's Electronics Supply Chain?](https://hardwarepodcasts.com/podcast/moores-lobby/2022-11-22-passing-storm-or-new-normal-how-should-we-think-of-todays-electronics-supply-cha) (Moore's Lobby)
- [Chip Shortage Denier](https://hardwarepodcasts.com/podcast/the-amp-hour/2021-05-10-chip-shortage-denier) (The Amp Hour)
- [Ep. 15 | The Emergence of the Virtual Supply Chain in a COVID-19 World](https://hardwarepodcasts.com/podcast/moores-lobby/2020-12-17-ep-15-the-emergence-of-the-virtual-supply-chain-in-a-covid-19-world) (Moore's Lobby)
- [Contract Manufacturing: Takin’ Care of Business](https://hardwarepodcasts.com/podcast/ee-times-current/2022-01-28-contract-manufacturing-takin-care-of-business) (EE Times Current)
- [Navigating the Semiconductor Space for IoT | Rand Technology's Jennifer Strawn | Internet of Things Podcast](https://hardwarepodcasts.com/podcast/iot-for-all-podcast/2023-11-07-navigating-the-semiconductor-space-for-iot-rand-technologys-jennifer-strawn-inte) (IoT For All Podcast)

## Citing this page

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