6/11/2004 - Royal Philips Electronics (NYSE: PHG, AEX: PHI) launched a Global Design-Win program aimed at streamlining worldwide distributor support and reward based on clearly defined guidelines for key focus products, global design registration and tracking. The program efficiently tracks design-win projects, from registration to sales conversion, and sets out to equitably reward distributors for “focus” design-in products regardless of where a design win was secured and where volume manufacturing ultimately occurred.
Supported by its RosettaNet-compliant PRO Global design registration tool, Philips’ program enables design-win projects to be tracked from region to region. It also provides supply-chain partners with instant visibility to the status of all design-win projects. In addition, Philips has categorized its design-win product portfolio into three product categories - Focus, Advanced and Foundation - targeted towards application areas such as audio/video and multimedia signal processing, connectivity (USB, CAN and I²C), identification, power management and control (LPC700/900 and ARM Microcontrollers) - so distributors know where to focus their efforts.
“With the introduction of this system, Philips joins an elite group of suppliers to proactively address the need for distributors and suppliers to collaborate on designs across geographic boundaries,” said Jan Salsgiver, vice president Global Strategy and Operations for Arrow Electronics.
“Avnet is pleased to participate with Philips in the launch of its new Global Design-Win program. We believe the program will serve as a key element for Avnet's continued success with Philips. Philips was one of the first suppliers to partner with Avnet in a global capacity by implementing the RosettaNet 5C2, 5C3, and 5C4 PIPs,” said Lalit Wadhwa, Avnet, director, Worldwide Business Migration. “These PIPs dramatically reduce the design tracking time on opportunities that migrate from one region of the world to another. Under this new program, distributors will be rewarded for capturing design-win opportunities as they migrate from region to region. We are excited that Philips has initiated this program, and we look forward to working with them to ensure its success.”
Philips will also deploy local support teams and conduct product training to ensure that field application engineers (FAEs) are fully conversant with Philips’ design-win portfolio.
“The prevalence of global outsourcing and manufacturing can put a strain on the distribution channel,” said Pascal Langlois, senior vice president, Channel Management and MultiMarket Semiconductors, Philips Semiconductors. “As the #2 supplier into distribution*, we wanted to be as supportive as possible of our distributors’ engineering efforts. One of the goals of this design program is to help ensure that distributors worldwide are consistently well supported and rewarded equitably to encourage greater efforts in demand creation.”
* Source: 2004 Lively Report
About Royal Philips Electronics
Royal Philips Electronics of the Netherlands is one of the world’s biggest electronics companies and Europe’s largest, with sales of EUR 29 billion in 2003. It is a global leader in color television sets, lighting, electric shavers, medical diagnostic imaging and patients monitoring, and one-chip TV products. Its 164,500 employees in more than 60 countries are active in the areas of lighting, consumer electronics, domestic appliances, semiconductors, and medical systems. Philips is quoted on the NYSE (symbol: PHG), Amsterdam and other stock exchanges. News from Philips is located at www.semiconductors.philips.com.
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