PCBA Transfer and Secured Supply
Philips
Transferred and secured hundreds of PCBAs worth $63M in spend.
Challenge
Frequent strikes in Indonesia disrupted supply of Printed Circuit Board Assemblies (PCBAs) for six business units.
Legacy designs and supplier quality issues created risk for Class I–III medical devices, putting revenue at risk.
Actions
Transferred 203 PCBAs representing $63M spend from Indonesia/Singapore to India and other sites.
Executed rigorous IQ/OQ/PQ validation to ensure compliance and product quality.
Addressed quality gaps and replaced end-of-life components during transfer.
Secured cross-business approvals to align execution.
Results
Secured >$2B revenue at risk by stabilizing PCBA supply.
Improved quality through design reviews and stronger supplier controls.
Enabled sustained high single-digit annual cost reductions with the contract manufacturer.
Reduced business risk for six business units through footprint diversification.