May 2, 2023
Rockwell’s update on global supply chain issues
Rockwell Automation, along with many industries and customers, continues to face broad-based, ongoing supply constraints stemming from component shortages, material scarcity, logistics challenges, and related issues. These challenges are compounded by the macroeconomic conditions and geopolitical events around the world including war, unexpected shutdowns due to the pandemic, and natural disasters. As a result, there are longer lead times for some of their product lines and more frequent changes to their sales order shipment dates.
Rockwell has continued to update and post product lead times every two weeks to ensure that they are appropriately reflecting the reality of their supply chain. They continue to make system adjustments to improve delivery date reliability and minimize reschedules. Additionally, they have made large-scale investments to support their orders growth. Rockwell is confident that they have built capacity across their network and continue to monitor their capacity for any additional requirements.
Despite these investments, Rockwell continues to face volatility in the availability of components, which is beyond their control. They are aware of the unfortunate inconvenience and frustration this has created for their partners and customers.
Ongoing actions Rockwell is taking:
- Extending order visibility to the supply base to ensure they are appropriately planning for extended component lead times
- Securing longer-term supply agreements with critical partners
- Re-engineering of existing products to increase component supply resiliency
- Capacity investments, with redundant manufacturing lines and additional electronic assembly equipment
- Qualification of additional suppliers to diversify their supplier base