How the Disaster in Japan Could Affect Your Business…

submitted by Bob Bennett, CommWorld of Kansas City

We’re not saying, “The sky is falling, run for your lives!” but we do encourage you to think ahead and be prepared.

All of us are part of the global economy. The earthquake, tsunami and resulting nuclear incident which hit Japan have rippling effects. Of course, the loss of life and the suffering of the people are of greatest importance. Our prayers and support go out to them as they begin the process of rebuilding their economy, the damaged and devastated structures and their lives.

This enormous disaster also has effects on electronics industries throughout the world. Japan is a major supplier of components used in all types of electronics from computers to cell phones, TVs, copiers, cameras, LCDs, automobiles, batteries, tablets, telephone equipment and more. Whether an electronic device is “made in America” or any other country, it probably includes components from Japan.

The process of making chips is especially sensitive to power interruptions, dust and vibration. Even manufacturing facilities which were not damaged may experience problems. Electricity interruptions, transportation and shipping problems and employee absences can contribute to a slowdown or shutdown. The research firm, IHS iSuppli, reports that the current inventory of components should be enough to keep production running at global electronics manufacturers if the interruptions only last a couple of weeks.

Reports of shortages, both real and imagined, may result in price increases. Already an article in Information Week reports prices for flash memory found in smartphones up as much as 10% and prices for system memory used in PCs up by 7%. It is actually too soon to know for sure if prices will increase or by how much.

After 30 years in business, COMMWORLD of Kansas City has lived through product shortages before and we know how challenging it can be. It was especially hard for customers who experienced an equipment failure when replacements were difficult to get.

We have not received official notification of product shortages or price increases, but we do encourage you to be prepared. If you’re planning to acquire electronics equipment this year, it may be wise to get it now. If you’re trying to keep old equipment alive, but you know its days are numbered, now would be a good time to replace it. If you haven’t protected electronic equipment with a battery backup or UPS, do it now and if the batteries in those units haven’t been changed in 3 years, be sure to get them changed, too.

COMMWORLD will continue to monitor the situation and provide updates the best that we can.

ABOUT COMMWORLD OF KANSAS CITY:

COMMWORLD of Kansas City, locally owned by Bob and Linda Bennett for 30 years, is a recognized leader in telecom. The company provides reliable, high quality telecommunications products from leading global technology manufacturers including Toshiba and Samsung. “One point of contact” means businesses count on COMMWORLD for Business Telephone Equipment, VoIP, Voice Mail, Unified Communications, Local/Long Distance/Internet Service and more. Their Experienced Experts provide technology solutions designed to increase your business productivity, customer service and profits. COMMWORLD offers the best warranty in telecom plus 1^st class service – guaranteed!  The company is located at

6200 Main Street, Grandview, MO.

For a free consultation, call (816) 763-1100 or visit www.commworld-kc.com.

Sources: Information Week, eweek.com, TechNewsDaily, Los Angeles Times ,guardian.co.uk, The Christian Science Monitor

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