Managing Editor of Procurement Pro, Paige Hookway, interviews Peter Schneid, VP of Marketing at Harwin, about their latest report at the EDS Leadership Summit.
Building on last year’s North American survey, Harwin has now expanded its research to include Europe, and the results reveal some striking regional differences, alongside broader shifts in how engineers are designing, specifying, and sourcing components.
A second year. A broader scope
Having generated significant interest with their inaugural survey, Harwin commissioned the research for a second time, this time across two regions to enable direct comparison. Schneid explained: “We were so surprised by the responses that we got when we did the survey, and also then the reaction from the people that we showed the survey to, that we really were excited to do it again.”
Keeping the two data sets separate was a deliberate choice, which allowed Harwin to keep track of year-on-year comparisons for North America while also identifying how European engineers think differently about the connector market.
Reliability and performance
Among the findings, reliability and performance ranked as the top purchasing considerations for engineers. Schneid noted that the research was independently commissioned, with no Harwin branding attached, making the outcome all the more meaningful.
“We are known for our high reliability connectors, especially in harsher environments, so for us to have high reliability in these harsh components or factors coming out on top is very, very nice. It just reinforces what we see, or what we anticipated the market is doing at the moment, and where it’s heading. Many of the core vertical markets that we’re dealing with – electrification, uncrewed systems, space exploration – all of these areas where the strong growth is really happening – is where high reliability and this performance level is what really is required.”
AI adoption
One of the more thought-provoking data points from the report is that only 21.5% of respondents currently use AI or digital twins in their design process. Although the real number may be understated.
“The number is relatively surprisingly low – especially if we all look around the world, everybody’s talking about AI all the time … But very often people don’t really know yet, or don’t even appreciate that they’re using already something that’s AI-assisted. They see it as using a search engine or something that has AI features or tools in it, or any other systems or software as a service where there is already underlying AI, but they won’t really see it … as a conscious decision that: ‘I’m now using an AI tool.'”
For Harwin, this gap is an opportunity to lead, and the company is currently embedding a natural language, AI-powered search feature into its website, enabling engineers to describe what they need in plain language rather than relying on parametric search terms.
“You can go onto the website and start searching by ‘I need a connector that has x amount of pins and is suitable for this environment,’ rather than having to use a parametric search term or know what attribute you would like to search by.”
Online design tools
Just under half of survey respondents said they use or plan to use online design tools. Harwin has invested heavily in its own digital design environment, where engineers can configure parts in real time, visualise assemblies, request quotes, and download CAD models directly.
“Everything will start digitally first. The real design kickoff for any assembly or any application at the moment happens online first. To make sure that you can visualise it and then get an output – maybe a CAD model, maybe a direct request for a quote, test reports – something that is tangible for the user to take away and then proceed with the actual design is very important. Everybody is pressed for time.”
North America vs Europe
The survey found that 56.5% of respondents sell globally, while 24% operate exclusively within North America. Schneid reflected on how these dynamics shape Harwin’s regional strategy, acknowledging that the complexity of the European market – with its multiple languages, cultures, and countries – demands a more tailored approach.
“For a business like Harwin … it’s very important to make sure that we’re doing it right in each region rather than having a one-size-fits-all approach across the globe … It is very important for us to pick our battles. North America is a very, very core area for us.
“Our connectors are known for their reliability and performance, so as a business we want really stand up to that as well so that we match the customer service we provide, that matches our product’s performance.”
Doubling down on vertical integration
Supply chain disruption ranked among engineers’ top challenges. Schneid noted Harwin’s vertically integrated manufacturing model, based predominantly in the UK, as a key differentiator. In a significant development, the company is set to open a purpose-built facility in Portsmouth within three months.
“We have always worked vertically integrated. We are based in the UK. Most of our high-reliability components are manufactured in one place, and that allows you to have raw materials, all of the processes, everything that happens around our product … We’re now at the point where in three months’ time we’re opening a brand new facility in Portsmouth – a purpose-built manufacturing and research and development site that doubles our manufacturing capacity, that increases massively our storage space, our warehousing, and our logistics capabilities, but is also built to the highest environmental and sustainability standards with solar panels and water treatment plants.”
The big three and the shift to e-commerce
The report identified DigiKey, Mouser, and Arrow as the clear top three distributors named by respondents. Schneid noted the growing importance of e-commerce in the distribution landscape.
“A lot of it is e-commerce now, and that portion is probably only growing – self-service engineers, starting in the early design cycles, getting their components directly through e-commerce providers – but then once a project is progressing and we talk into volume business, we have much more direct relationships. For a business like Harwin, it’s very important that we cover really all bases.”
Supporting engineers at every stage
The survey also found that the majority of respondents expect their roles to become more challenging, a finding Schneid said was entirely expected given the pressures engineers face.
“Yes, we understand your world is getting more complex, yes, we want you to engage with Harwin and our products – but rest assured, it’s easy … We have this AI search that we’re integrating on the website. Our customer service team is now fully integrated into our CRM, so any conversation, any request that comes in through our website, you will have a direct person assigned to you that will contact you, a person, not an agent, within 24 hours. You will have the ability to communicate with this person on different devices and in your own time zone, and you will have a full audit trail about the conversation, the resolution, and what you’ve been provided as an outcome from Harwin.”
Both the North American and European versions of the report are now available now.
Watch the entire conversation here.
