Silico Systems
A Champion in Sourcing Embedded Technology

Profitability, global reach and a large user base are undeniably important indicators for any company aiming to make its mark in a competitive marketplace. Yet, a company’s true essence is best reflected in its customer-centricity, establishing trust to drive customer loyalty for long-term success.

Silico Systems is an embodiment of this ideology in the electronic component supply and distribution industry.

“Success hinges on establishing a connection with the customer—understanding their needs, the technologies they rely on and tailoring solutions and services to address those specific requirements,” explains Matt Richards, director of business development at Silico Systems. “It’s about fostering a partnership rather than simply providing a service.”

Embracing this philosophy, Silico transcends the traditional role as a global distributor and sourcing agent, offering a comprehensive range of active and passive electronic components, computer products and embedded technology. Its customer-focused strategy enables it to deliver exactly what OEM clients need—advanced, meticulously crafted technologies and solutions, including hard-to-find or obsolete components critical for specific applications.

As such, for vital sectors like the aerospace, automotive, defense, medical and industrial markets, Silico effectively becomes the nuts and bolts of clients’ ongoing projects and operations, embodying true partnership in every interaction.

Adapting Old-School Principles to Modern Demands

The cornerstone of Silico’s service is maintaining a single point of contact (SPOC) who thoroughly grasps client requirements. They become well-versed in the client’s project, including regulations and standards, and ensure that all solutions are practical and comply with relevant legal and safety norms.

“Many distributors are transitioning to online platforms, potentially diminishing the personalized touch by removing dedicated contact points. However, we believe this trajectory overlooks the distinct requirements of OEMs whose products are not everyday items,” says Rick Mosher, director of operations.

This level of high-touch attention translates into a distinct competitive edge, as Silico harnesses industry-wide challenges like material shortage and product obsolescence to strengthen client relationships. It proactively assists clients with obsolescence buys to support continuous production, or to facilitate the transition to newer technologies, ensuring continuity in their operations.

Silico’s approach to problem-solving includes the ability to reverse engineer components that are no longer in production. This allows projects to carry on without expensive redesigns or delays, saving time and money while reinforcing Silico’s role as a crucial partner in its clients’ operational success.

“No one wants to redesign something because they cannot get one part. Redesigns are very expensive,” says Mosher.

The company’s strategic emphasis on alternative sourcing plays an equally vital role here. Working closely with original component manufacturers (OCM) and others, it identifies and approves secondary sources for critical components. This mitigates the risks associated with sole-source dependencies, improves lead times and reduces costs. By offering such reliable backup plans, Silico ensures its customers are never without options, enhancing their ability to maintain efficient, uninterrupted production lines.

For instance, Silico recently onboarded an authorized supplier specializing in obsolescence management and last-time buy products. This supplier has the dies previously owned by companies like National Semiconductor and Motorola, enabling it to produce, package and supply those products for Silico’s customers.

The robust procurement strategy is complemented by Silico’s customer-centric approach, which clients consistently praise. The dedicated SPOC allows for swift and precise responses to requests, significantly easing the typical burdens of supply chain management. The trust and reliability fostered through this attentive service encourage the formation of long-term partnerships, which are crucial in industries where switching suppliers can be cost prohibitive.

“It is an old-school approach with a new-school mentality. Not many are doing that, and we feel it gives us an advantage. We allow customers to come to us for anything and everything. They will talk to one person, and we will see it through until the end,” adds Richards.

Uncompromising Quality, Proactive Compliance

Silico has defined quality standards at the most granular level, setting an excellence benchmark that permeates every facet of its operations. As an AS9120 distributor, it upholds the highest standards across all client engagements.

The foundation of Silico’s approach lies in its robust quality assurance system, integrating customer feedback into the AS9100 framework. This allows Silico to effectively capture and address client insights, fostering continuous improvement and maintaining stringent quality standards. Leveraging a tailored ERP system ensures that specific customer requirements and quality regulations are incorporated into individual profiles. This enables every team member to access and adhere to meticulous specifications, from sales to quality inspection.

“We function as an extension of our customers’ quality and purchasing organizations,” states Zak Powers, purchasing director. “By diligently adhering to all their flow-downs and inspection requirements, we guarantee that the products meet their specifications.”

In addition to upholding rigorous quality standards, Silico stays ahead by prioritizing compliance with cybersecurity maturity model certification and federal requirements.

Particular attention is given to communication regarding custom prints and documentation, ensuring that it continuously adapts to meet evolving customer needs.

Bridging Theory and Practice for Real-World Solutions

A large medical company faced sudden product discontinuation when a large OCM unexpectedly ceased production of an essential RF connector critical for a medical device program slated to continue for another eight years. Facing this challenge, the client turned to Silico for assistance.

Silico swiftly bridged the supply gap, ensuring no downtime in the client’s production line. It leveraged its network to collaborate with an obsolete connector supplier to reverse engineer the discontinued part. The connector met the original specifications, offering superior performance and cost-effectiveness.

The solution’s success led to further collaboration. Silico was entrusted with providing the entire device assembly and was integrated into the client’s new product development and sustainment strategies.

Silico is actively involved in offering secondary manufacturing options and providing alternatives to prepare for potential future obsolescence.

A Blend of Expertise, Feedback and Strategic Partnerships

Silico’s success boils down to its experienced technical team, proactive management team and strong partnerships with leading factories
The workforce in the woman-owned business has an average tenure of 10 years across its product lines, ensuring that seasoned professionals handle customer service.

Weekly meetings are crucial in maintaining high standards. The staff discusses customer feedback in these sessions, which is essential to the internal audit process. This feedback loop keeps all departments, from sales to operations, in sync with customer expectations and helps them adapt to challenges and opportunities.

“Everything we do is based on customer feedback, the factories we approach, products, etc. We don’t sign up a factory because they claim to have a good product. Instead, we wait for customers to validate the product’s quality and let their demands guide us in establishing relationships with these factories,” says Powers.

That approach enhances every interaction. The Tampa Bay Business Journal recognized Silico’s impressive growth by honoring it for Tampa Bay’s Fast 50 in 2022.

It’s easy for organizations to overlook the finer points that can make or break their success. Silico understands that seemingly minor aspects can be the difference between a smooth, efficient supply chain and one plagued by delays, inconsistencies and missed opportunities.

By working closely with part suppliers and providing them with the tools, knowledge and support to optimize their processes, Silico bridges the gap between its clients’ high-level strategic goals and the day-to-day realities of manufacturing and distribution. This attention to detail ensures that every cog in the supply chain machine works in synchrony, leading to better client outcomes.