When you have a subscription to CIQ (Commodity IQ), your list will include enhanced data integrated into the BOM Intelligence section of BOM Insight.
This information is visible only if you have a subscription to CIQ and is enabled within your account. As needed, please reach out to Support for assistance in enabling your subscription when purchased.
CIQ in BOM Intelligence
To access your CIQ data within BOM Insight, click on the BOM Intelligence button in the action toolbar of your list.
To the top right is the BOM's AI Insight summary, which is only visible with a CIQ module subscription. This feature takes a comprehensive look at the BOM and the different commodities inside the BOM. The AI Insight summarizes up to date market information to extract the essence of what matters most about the commodity trends in the context of strategic sourcing and procurement. This helps you to mitigate potential cost escalations and ensure your projects stay on budget. This can be essential for new product introductions, and keeping you one step ahead of the project planning.
Then, scroll down to the Cost By Commodity section.
The CIQ data trends are presented in table format (default view) and in a chart view. Click on the box icon to see a specific commodity Category's data displayed within a pop-up modal as charts.
As needed, scroll down to the bottom of the modal and click on OPEN IN COMMODITY IQ to view any additional details for that specific category in CIQ. This is only available for categories and not sub-categories.
If your BOM has more than one quantity break and CIQ is enabled, then the Costs by Commodity will only present the aggregated totals for QTY1.
The “Learn More” link at the bottom of the category modal allows you to access CIQ documentation for more information as needed.
Risk Index
The Risk Index empowers you to define and use risk metrics when analyzing parts inside BOMs in BOM Insight. Creating your own risk metric helps you to evaluate the supply chain risk of components based on a mix of internal and market intelligence data available inside the BOM based on your prioritization.
There are four parameters from Commodity IQ that are available to use in configuration of a Risk Index:
- MoM Commodity Demand Index %
- MoM Commodity Lead Time Index %
- MoM Commodity Inventory Index %
- MoM Commodity Price Index %
Choosing these parameters functions in a similar manner to other parameters that admins can set as part of your Risk Index. Incorporating these parameters into the Risk Index can enhance its effectiveness in helping you be better prepared to respond to supply chain disruptions.
When the commodity is recognized in BOM Insight on a line item, then the system will evaluate how the MoM % change is compared to your criteria.
More information for admins can be read in the article on Risk Index Management in BOMs.
CIQ Details
You can read information on the different indicators of CIQ as provided below.
CIQ Dimensions
Key electronics and related supply chain dimensions across commodities are curated by industry professionals, including category/commodity, procurement, and supply chain leadership, and finalized by integrating Supplyframe analysis and partner expert inputs. Dimensions represent at-volume and contracted supply chain activity and are forecast on a rolling four-quarter basis.
Electronic Component Supply Chain Indicators
Commodity indicators are normalized, indexed signals and activities across the Supplyframe Design-to-Source Intelligence (DSI) Network, which include inputs from electronics distributors, manufacturers, EMS providers, original equipment manufacturers, and other partners.
Forecasts for Commodity IQ contextual analytics are performed using a time-series methodology, and the forecast model employed is a triple-exponential smoothing formula known as the Holt-Winters method. This method incorporates an exponentially weighted moving average that accounts for seasonality.
Commodity IQ users can select either the Holt-Winters or the SARIMA method and change the forecast period from one to six months. Like Holt-Winters, the SARIMA method is one of the most widely used forecasting methods for univariate time series estimates. This method features an autoregressive integrated moving average with seasonality and trend accountability.
Design Index (Visibility in CIQ only) and Demand Index express billions of normalized, indexed signals and activities across the Supplyframe DSI network, with a baseline of 100 representing the 2020 monthly median for each commodity and sub-commodity. The Design Index represents engineering design cycle patterns via activities such as CAD model downloads. The Demand Index represents sourcing patterns via activities such as e-commerce transactions and RFQs.
Price Index is calculated from the average daily lowest price for any given manufacturer part number (MPN), which is baselined against the monthly median for the MPN and aggregated for commodity and sub-commodity views.
Inventory Index is calculated from the average daily inventory for any given MPN, which is baselined against the monthly median for the MPN and aggregated for commodity and sub-commodity views.
Lead Time Index is calculated from the average daily lead time for any given MPN, which is baselined against the monthly median for the MPN and aggregated for commodity and sub-commodity views. The At-Volume Lead Time Trend expresses contracted lead time quotes, purchases, and deliveries based on thousands of MPNs for each commodity across millions of data points and is banded by week time frames.
All indicators are not necessarily available across all Commodity IQ sub-commodities.