1. Today I will introduce the PCBA processing process to everyone: First, let’s delve into the characteristics of the PCBA processing supply chain.

2. The supply chain of the PCBA electronic assembly industry generally consists of four levels of companies. The top companies are the most downstream entities in the supply chain, directly interacting with the end customers. Enterprises at all other levels act as suppliers to these higher-level companies.

3. The PCBA processing process begins with understanding the characteristics of the PCBA processing supply chain. The supply chain typically includes four levels of enterprises. Top enterprises are the most downstream, engaging directly with end customers, while other companies at various levels act as suppliers to these higher-tier entities.

4. Top companies possess the ultimate sales channels, product branding, design capabilities, and certain production capacities. In today’s globalized market, many of these top companies distribute their products worldwide rather than being confined to a specific region. Additionally, these leading firms are spread across the globe. The second-tier companies include ODMs or PCBA contract labor and materials suppliers.

1. They participate in product design and complete product assembly. Second-tier companies may also have their own brands for certain types of products, occasionally creating competitive relationships with top-tier companies. Third-tier companies provide product parts or components for second-tier companies, while fourth-tier companies generally supply third-tier companies, resulting in a complex supply and purchasing relationship.

2. Next, consider the products. Except for some top companies that are only responsible for design and sales, companies at all levels involved in manufacturing handle a large number of products. The number of products increases as the level of the company in the supply chain decreases. A fourth-tier company may have thousands of products. The complexity of products generally increases with the level of the company in the supply chain. Products are progressively developing towards customization, with higher-level companies offering greater degrees of customization, leading to a reduction in the unit variety of batches.

3. The third aspect is planning. Most companies base their production plans on customer orders (BTO), which also guides related procurement and material preparation plans. Given the variety of products, formulating the production plan is highly complex. The frequency of customer orders fluctuates, and deviations often occur during plan execution, leading to situations where even if the SMT patch processing production plan is established, production cannot always adhere to it. Similarly, capacity requirement planning and material requirement planning are challenging to develop and execute.

4. The fourth aspect is the production process. With numerous production tasks, controlling the production process is quite challenging. There is a substantial amount of production data, making data collection, maintenance, and retrieval burdensome. Production lines come in various forms, including assembly line type, work center type, work unit type, and hybrid type (combining assembly lines or work units within a work center). Different stages in the manufacturing process of the same product within the same enterprise may utilize these forms. Outsourcing may be required in the product manufacturing process. The manufacturing speed of finished products depends on the speed of both self-made semi-finished products and external products. Due to product variety and numerous non-standard products, equipment and workers must remain flexible. Factors such as materials, personnel, equipment, and tools frequently impact the product manufacturing process, directly affecting product quality, making it challenging for companies to control these factors effectively.

5. The fifth aspect is PCBA cost calculation. Raw materials, semi-finished products, finished products, and waste products frequently enter and exit the warehouse, complicating cost calculations. Cost collection and allocation are necessary for cost objects throughout the production process. In PCBA manufacturing, most costs beyond direct materials are amortized, complicating efforts to control product manufacturing costs. It is important to focus on the difference between actual costs and standard costs and to perform cost analysis from various perspectives.

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