Axis Communications shakes supply chain constraints with optimized production

CHELMSFORD, Mass. – This week Axis Communications announced it has hit a significant milestone regarding the company’s supply chain.

Axis said it reached the key metric of 45 percent year-over-year increase in Q1 deliveries with continued growth through May 31, and record inventory levels in its Americas distribution channel to meet strong demand from integrators and end customers. In a release provided by the company, it stated that it came after a record-breaking year in 2022 which yielded $1.6 billion in global revenue and 20 percent global year-over-year growth.

The company attributed this success to recent initiatives like its sustainability program that is focused on enhancing operational efficiency and strengthening supply chain. That, paired with boosted efforts and innovative initiatives implemented during the global supply chain crisis, has helped the company excel and solidly position itself to meet future market needs, Axis said.

“Continuous improvement is a part of our DNA, and adversity often sparks innovation, so the COVID-19 pandemic and resulting supply chain crisis really put us into overdrive,” said Jeanette Skjelmose, vice president of operations, Axis Communications. “Diversifying, and solidifying, our supply chain will have a lasting positive impact for our partners and customers—providing greater resiliency to navigate any future challenges.”

The success of the company has occurred thanks to those initiatives and despite any lingering effects of the supply chain. Axis said it is currently on track to deliver record unit shipments and output that will exceed 2022 record numbers. While some products still have longer delivery times, Axis promised to continue to boost its production to restore standard lead times for those products.

“In the perfect storm of supply chain constraints and unprecedented demand for our products, we have at times over the past year failed to meet our customers’ expectations,” said Fredrik Nilsson, vice president of the Americas, Axis Communications. “We take full responsibility, and we’ve been working hard to restore our ability to deliver the products and solutions our partners and customers need. We are thrilled to be stronger than ever with our team and supply chain, and we are just getting started.”

Other innovations that have occurred over the year include the redesign of over 100 cameras, aggressively investing in high-demand components to increase buffer stock, expediting shipping methods to support customers, and investing in over-capacity with its manufacturing partners.

Further details of Axis Communications innovations and financial accomplishments were provided in its 2022 sustainability report.