Apple Global Supply Chain
Apple Global Supply Chain
Hang Pan
Agenda
Company Profile
Global Supply Chain Management
Challenges and solutions
Conclusions
Apple profile
Founded on April 1,1976 by Steve Jobs, Ste ve Wozniak , Ronald Wayne
Headquarter : Cupertino, California
394 retailed stores worldwide
Produc
ts
Hardware: iMac,MacBook, iPhone, iPod, iPa d Software: Mac Os X,iTunes, Internet brower s,….. New product development process
The whole development process is in USA.
Global supply chain
Designed in California, assembled in
•156 key suppliers
Example: Some suppliers of an iPho ne (South Korea):CPU+Video chips
(Germany):Baseband
(Japan):front and rear cameras
(Japan):Screens
(South Korea): Display panels
(Taiwan):Bluetooth
(Taiwan):Touch ID Sensors and fingerprint techn
1.
2.
3.
4.
5.
6.
7.
ology
8.
9.
10.
11.
(Taiwan):Casings
(USA):Touch Screen Controls
(USA): Specific Parts
(China):Assembling+Inventory
How Apple ships millions of iPhones for simultaneous delivery
Limited launch quantity
Security measures:guards,plain boxes, tomato boxe s Apple sends new orders to assembling factories ba sed on real-time product demand.
Apple makes constant adjustments to iPhone shipm ents, e.g.: iPhones are directly shipped to distributi on centers in Europe to fill a bump.
Outsouced logistics service:UPS,FedEx
Modes of transportation : airplane , truck
Apple’s inventory management
Inventory turnover :how many times a company’ s inventory can be sold and replaced over a specifi c time period (so the higher the number the better)
Apple has extremely good performance in inventory manage ment. Benefits Apple gets from its SCM
Cost
:
Reduced inventories
Reduced waste
Reduced total manufacturing cost
Servic
e:
Establishment of a collaboration framework
Near real time information flow
Challenges?
Some components are currently obtained from the single or limited sources.
Quality control
Logistical services
Hang Pan
Agenda
Company Profile
Global Supply Chain Management
Challenges and solutions
Conclusions
Apple profile
Founded on April 1,1976 by Steve Jobs, Ste ve Wozniak , Ronald Wayne
Headquarter : Cupertino, California
394 retailed stores worldwide
Produc
ts
Hardware: iMac,MacBook, iPhone, iPod, iPa d Software: Mac Os X,iTunes, Internet brower s,….. New product development process
The whole development process is in USA.
Global supply chain
Designed in California, assembled in
•156 key suppliers
Example: Some suppliers of an iPho ne (South Korea):CPU+Video chips
(Germany):Baseband
(Japan):front and rear cameras
(Japan):Screens
(South Korea): Display panels
(Taiwan):Bluetooth
(Taiwan):Touch ID Sensors and fingerprint techn
1.
2.
3.
4.
5.
6.
7.
ology
8.
9.
10.
11.
(Taiwan):Casings
(USA):Touch Screen Controls
(USA): Specific Parts
(China):Assembling+Inventory
How Apple ships millions of iPhones for simultaneous delivery
Limited launch quantity
Security measures:guards,plain boxes, tomato boxe s Apple sends new orders to assembling factories ba sed on real-time product demand.
Apple makes constant adjustments to iPhone shipm ents, e.g.: iPhones are directly shipped to distributi on centers in Europe to fill a bump.
Outsouced logistics service:UPS,FedEx
Modes of transportation : airplane , truck
Apple’s inventory management
Inventory turnover :how many times a company’ s inventory can be sold and replaced over a specifi c time period (so the higher the number the better)
Apple has extremely good performance in inventory manage ment. Benefits Apple gets from its SCM
Cost
:
Reduced inventories
Reduced waste
Reduced total manufacturing cost
Servic
e:
Establishment of a collaboration framework
Near real time information flow
Challenges?
Some components are currently obtained from the single or limited sources.
Quality control
Logistical services