Transforming SEMI for the 2020 Industry
By Denny McGuirk, SEMI President & CEO
SEMI Changing with the Industry
In my letter last week, I provided an update on industry developments in 2015 and a look ahead to 2016. 2015 was indeed a wild ride with an unprecedented rate and scale of consolidation in our supply chain. This has reshaped our industry and raised the need for SEMI’s members to collaborate more closely across the extended supply chain.
SEMI is adapting to this new reality by providing new forums for collaboration, developing new communities within the SEMI membership, and focusing action in Special Interest Groups. SEMI is concentrating more deeply than ever on providing its members with opportunities for growth and enabling members’ prosperity.
To put this in perspective, I’d like to update you on our SEMI 2020 vision and strategic plan and give you some insights into steps we’ve already taken and where we’re going to ensure SEMI is best serving its members today — and will be ready to serve the needs of our members in 2020.
SEMI International Board of Directors (BOD) Guidance
In July 2015, SEMI’s International BOD met to review SEMI’s 2020 plan. In addition to approving SEMI’s plan, the BOD provided specific follow-on guidance. First, here are SEMI’s mission, vision, and 2020 strategic focus areas.
- Mission — our focus for the next five years
- SEMI provides industry stewardship and engages our members to advance the interests of the global electronics supply chain.
- Vision — what we stand for
- SEMI promotes the development of the global electronics supply chain and positively influences the growth and prosperity of its members. SEMI advances the mutual business interests of its membership and promotes a free and open global marketplace.
- Members’ Growth — 2020 strategic focus
- SEMI enables member growth opportunities by evolving SEMI communities and building new communities across the global electronics supply chain via cooperation, partnerships, and integration.
- Members’ Prosperity — 2020 strategic focus
- SEMI enables members to prosper by building extended supply chain collaboration forums providing opportunities to increase value while optimizing the supply chain for SEMI members.
SEMI’s International BOD gave the following specific follow-on direction:
- Evolve SEMI to become more central to the extended electronics supply chain (figure below)
- Provide distinct value propositions for big and Small & Medium sized Enterprises (SME) members
- Increase depth and relevance of non-exposition products.
- Evolve SEMICON platforms
This direction is provided to enhance SEMI’s six basic activities:
SEMI 2015 Results
The number of SEMI Member companies increased in 2015 to more than 1,939. In 2015, worldwide SEMICON expositions hosted more than 4,255 exhibitors (up 6 percent year-over-year), 140,100 unique registered attendees, and over 216,475 total visitors (includes registered attendees and attending exhibitors). The regional SEMICON expositions continue to be the leading gatherings for the SEMI communities. As SEMI’s membership changes, so do the SEMICON shows. In 2015, program innovations and new segments were added and exposition venues were changed to reflect a changing and diverse SEMI Membership.
Additionally, selected key steps forward in 2015 included:
- FlexTech joined SEMI as SEMI’s first Strategic Association Partner
- SEMI Special Interest Groups — Chemical and Gases Manufacturers Group (CGMG), SEMI integrated Packaging and Test (SiPAT), Semiconductor Components, Instruments & Subsystems (SCIS), etc. — integrated broad areas of the supply chain
- SEMI (automation) Standards applicable to Smart Manufacturing, Industry 4.0
- Improved channels: new SEMI Global Update, new website, social media, infographics
- New products such as 200mm report, packaging report (2020 related)
- New programs such as SEMI European MEMS conference, IEPC Korea
- Redirected SEMI Foundation to widen scope on Workforce Development
- Growth in SEMICON expositions in China, Japan, Korea, SEA, and Taiwan
- ITA, Export Control, and Tax Credit legislation wins
- Leadership on rejecting potential GLB/BDO ban and leading industry through PFOS regulation
Expanding on the top two points, partnership with FlexTech and Smart Manufacturing, these are major milestones that both illustrate the SEMI 2020 activities and will develop over the next five years.
FlexTech Alliance has become SEMI’s first Strategic Association Partner. A guiding strategy for SEMI 2020 is to bring growth opportunities to SEMI members. By linking FlexTech to SEMI through a Special Interest Group (SIG) community, SEMI members gain access to an emerging area that combines ICs with novel disruptive manufacturing techniques. In turn, the FlexTech community gains access to SEMI’s global infrastructure and Standards platform to develop the community’s worldwide capability.
FlexTech Alliance is devoted to fostering the growth, profitability and success of the Flexible Hybrid Electronics (FHE) supply chain, and the many application areas enabled by this new class of electronic intelligence. FlexTech Alliance offers expanded collaboration between and among industry, academia, and research organizations for advancing flexible, printed electronics from R&D to commercialization.
SEMI is also moving forward quickly on Smart Manufacturing. Smart Manufacturing encompasses networked factory IoT devices and Industry 4.0 concepts such as and highly interoperable, self-diagnosing, and adaptive factories. SEMI member factories have been using Smart Manufacturing concepts well before the term “Industry 4.0” was developed. With more than 900 SEMI Standards developed and a majority of these addressing interoperability and automation, SEMI members have been pioneers in this area. SEMI has refocused its related automation standards under a Smart Manufacturing organizing principal and is beginning to engage other industries and Standards bodies to pursue the wider adoption of SEMI Standards and forestall other, less applicable standards, being mandated for SEMI member factories.
I hope this provides an overview of how SEMI is evolving to ready itself for 2020 and gives a flavor of some specific activities that are underway. We’ll continue to pursue SEMI 2020 strategies within the three pillars: re-energizing our base membership, building communities and collaboration, and evolving SEMI’s value propositions to the industry’s 2020 needs.
We understand the industry has changed and will continue to change and we want SEMI to remain central and relevant to our largest members, as well as the large population of SME members. We are grateful to serve the industry and to be entrusted to bring growth opportunities to our members, enable members’ prosperity, and harness the collective action of the membership to solve issues and remove barriers to collective success.
January 12, 2016