5 Steps You Should Take When a Part Goes End-of-Life (EOL)
Many people would agree that a critical part going end of life (EOL) is one of the most frustrating challenges that arises in product design and project management. Unfortunately, it’s also incredibly common.
For anyone who isn’t familiar, EOL is the distinction given to parts that the manufacturer intends to stop producing. This situation may arise for a number of reasons; the part may be obsolete, a newer version may e available as a replacement, or the part may not be profitable enough to justify the costs of manufacturing.
To save you from navigating your next EOL part alone, we’ve put together this list of steps you should take when you receive an EOL announcement. Let’s dive in!
What to Do When a Part Goes EOL
1. Note the information on the EOL announcement.
You may primarily see the EOL announcement as the notice that tells you a part will soon become unavailable, but the announcement itself often gives useful information that can help you determine your next move.
It should tell you exactly which part number has been affected and how long you have to place final orders. Typically, this purchase window ranges anywhere from 30 to 180 days. Make sure to check how long you have to order, as the shorter purchase windows will require you to act much faster than the longer ones.
If the part is being replaced by the manufacturer with a newer version, the EOL announcement may also state the new part number to use as a replacement and any specifications of that part that might change.
2. Trace the EOL part to every product or project that requires it.
Once you understand the timeline you’re working with, the next step is to understand exactly how the part number in question affects your internal processes. Make a list of every product or project that the part contributes to, and keep track of the function the part plays in each case.
Make sure to include completed projects in this assessment as well. Even though the job is done, you may want to allocate a few extra parts for upkeep or maintenance long-term. You’ll need to factor those pieces into your EOL plan if the part won’t be available down the line.
3. For each product or project, determine if an acceptable replacement part exists.
In some use cases, a part going EOL may not affect very much. This can happen when there’s another part available that serves exactly the same purpose in a given product or project. [Note that changing parts may require redoing any regulatory and/or engineering approval steps in some situations, which may affect whether a replacement is a viable solution.] If there isn’t a replacement part available, move onto step #4.
4. Determine how many pieces of the part you’ll need to maintain operations.
Based on the information you gathered in step #3, you’ll want to estimate the quantity of the part that you’d need to proceed as usual for any projects where a sufficient replacement part is not available.
This step will vary slightly depending on the use case for your part. For example, if you’re in the middle of a project with a set completion date and the part will no longer be necessary once the project is finished, you may be able to come up with a finite number of parts that would close out the project. If, on the other hand, you’ll continue to need regular quantities of the EOL part indefinitely, you should estimate the quantity that you require in a given timeframe (every quarter or year, for example).
5, Call Master Electronics.
At Master Electronics, we know that EOL parts cause tremendous stress for manufacturers, so we’ve created a program (the first of its kind in the industry) to help. Our team can work with you to extend your use of the original EOL part, lengthening your timeframe for finding a long-term solution by up to five years.
There are two primary ways we make this happen. The first option is for Master Electronics to act as an intermediary with the supplier to try to avoid the EOL situation at the source. For example, if the part is going EOL because the minimum order quantity (MOQ) is too high to justify manufacturing costs, Master Electronics may be able to make larger purchases with the supplier that make the parts profitable, eliminating the need to discontinue the part at all.
On the other hand, if the EOL status can’t be avoided, Master Electronica can purchase up to five years’ worth of the EOL part on your behalf, saving you from the upfront costs and stocking fees of making a large-scale one-time purchase. During those five years, our team will work with you on the design, testing, and regulatory approval involved in selecting a long-term replacement part. This gives you extra time to find a solution without the stress of the short purchase window, and it ensures that you’ll have a seamless transition from the original part to the replacement.
There you have it! If you’re looking for additional guidance about an EOL problem you’re facing, our team is here to help. Contact us here, and we can work through your specific situation together to find a solution.