[ericbarrett]

I agree, but if a manufacturer has the means (physical and budgetary) to store a significant supply of components, they can order larger quantities with longer lead times, so they would still be more resilient in extended shortage situations.

[genericone]

Extended shortage situations account for fires/earthquakes/tsunamis/singularities, short events with long-term but predictable downstream effects. Extended shortage planning doesn't account for 2 year-long political-struggles, which requires something more like war-time planning, spending, and the inevitable waste from stockpiling.

[vkou]

This is great for that particular supplier, but an order for a larger quantity will just squeeze the inventory of every other supplier even more.

The problem is that we are trying to squeeze blood out of a rock. Demand exceeds supply, and it takes years to scale supply up. It doesn't matter if we are using JIT or not, the suppliers for the bottlenecks have all been working at 100% since essentially the start of the pandemic.