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Evolution of apple supply chain
Apple inc.: managing a global supply chain fraser p. johnson, ken mark
Apple inc.: managing a global supply chain fraser p. johnson, ken mark
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When we think of a company, we usually just think of the end product; for example, we think of the iPhone and Apple, HP laptops and Hewlett Packard, and Pepsi and Pepsi Inc. As consumers, we do not take into account the process that takes place to transform raw materials into finished goods. In terms of the Apple iPhone, we don’t think of the glass screen, the battery, the charger and the hundreds of different parts that make up the phone, we just see the end result. It is easy to lose sight of the process that Apple needs to go through to build a final product like an iPhone because as consumers, we only consume. This process of going from raw materials to the final product is known as operations management. The inputs for companies like …show more content…
After getting the initial base, Apple works on texturing and polishing the case using crystal and diamonds to cut the chamfers. After the base is made, Apple uses robots and human labor to assemble the rest of the iPhone. Apple has around 10,000 robots that assemble the iPhone with each robot being able to assemble 30,000 devices. Because Apple is the world 's largest company in terms of market capitalization, it is difficult to get a detailed account of Apple’s production process because their competitors are likely to imitate that process and/or even surpass it in some capacity. Apple does not disclose their manufacturing process to the public due to this reason, but it is safe to assume that Apple has the most effective production process because Apple’s profit margin are roughly 40%. A profit margin of 40% is considered to be extremely efficient because even its competitor Samsung, can only maintain profit margins of around 15%. Apple also partners with hundreds of different suppliers to make sure that it stay relevant to in the technology market. Companies that Apple partners with is Intel, Molex, Samsung and hundreds
Apple has garnered a competitive advantage through all aspects of the supply chain. On the production front, Apple has made many high-priced
IOS, iPhone’s Operating System, is the software that is used in majority of Apple products. iOS was created by Apple on
The two companies have revolutionized the concept of being innovative and novel. The creations of Apple and Samsung have penetrated our minds with products that make our daily tasks simpler. People don’t need to pick up a paper from a local cafe to catch up on world news. Families don’t need to rely on postal service in order to communicate to their loved ones overseas. Students don’t always feel the need to ask questions, because now all the answers lie right in the palms of their hands. For generations Apple and Samsung have been creating products that our society demands.
From 2007 to 2011, the iPhone, 3G and 4 helped Apple sustainably positioning them self in the smart phone market. By creating a strong brand name of not only provide the most powerful device with full of latest technology (iTunes, smartphone with cameras, Face time, tough screen, high definition screen, etc.) but also make their customer’s life easier and better. As Steve Jobs pointed out that “market share wasn’t everything”, by outsourcing manufacturing Apple design their manufacturing efficiency which lower their cost; by historically paid attention to research and development, Apple spent a lot of money on their R&D investment year after year, which made them have the ability to innovation from concept to market. They know what customer want and design base on that.
Another problem that has been evaluated is the overall price of each Apple product. While each product is built on quality and new technology, finding new and cheaper sources of manufacturing would be beneficial in obtaining new
Apple was introduced by Steve Jobs, entrepreneur, marketer, inventor, and technological guru, whom in the early 80’s, sold his van to help invest in his company that started in his garage. Steve built his first computer to distribute to the masses in 1984 called the classic 1984, which seems quite laughable today because of technological advancements that have occurred since then. Steve’s philosophy was to build computers so that consumers could easily navigate around using the easiest computer to use and maintain. Since the 80’s Steve has built tough, high-tech versions of many different kinds of computers advancing with technology throughout the years. Steve also incorporated many new gadgets alongside the Macintosh computer such as the iPad, iPhone, iPod, and a music website called iTunes. Today there are more than 326 stores open to the public around the world.
The recent economic crisis has the world is shambles. The real estate market has seen the lowest values and large amount of foreclosures. Wall Street has fallen apart and many people have lost their life savings. Throughout this great ordeal Apple Inc. has stayed afloat. They have been able to hit record numbers in sales, both domestically and internationally. Apple’s upper management has been inventive and has been proactively trying to make sure Apple continues to grow.
The product constitutes of two major aspects which are tangible and intangible in nature. The tangible part is the product and the packaging and the intangible part constitutes of factors like installation services, warranties, credit etc. In case of Apple Products the tangible part or the product and the packaging are best in class. Apple is into deep market research and considers the varying taste of the consumer and designs and innovates the products accordingly. The IPhones or the IPODS are ...
Since 2010, Apple has been one of the most valuable companies in the world. Apple has owned the top slot on an annual basis from 2012 onwards. Apple is an American multinational corporation that designed, manufactured and marketed a range of personal computers, mobile communication and media devices and portable digital music players and sold a variety of related software, services, peripherals, networking solutions and third party digital content and applications. The company’s best known hardware products include Macintosh computers, the iPod, the iPhone and the iPad. Apple software includes iTunes media browser, the iLife suite of multimedia and creativity software, the iWork suite of productivity software and Aperture, a professional photography
firms to replicate or imitate the products as well as processes of the Apple Company.
Apple Inc is a multinational organization in America and has its headquarters in California. The organization specializes in the design as well as development of consumer electronics including: computer software 's, and also personal computers. The organization has for long been offering a broad range of communication mobile communication as well as its own company software’s. The organization has quite an upright name in the business world. For a long period it has been producing quality product and their designers really bring out uniqueness in their products (Linzmayer, 2004). Apple Inc has established itself as being the world’s leader in innovation. Thus according to statistics; it is classified as being the fourth most valuable technology
Apple sustains the process from the time at which investments in productive capabilities are made until the innovative products come onto the market.
The reason why Apple has been so successful is the fact that the company creates high quality, stylish and sophisticated products by paying close attention to details. Apple products are seen as an indicator of high social status symbol and company has a huge number of followers. Apple entered the market when no other company paid attention to design of products, like phones and laptops. The market timing was perfect. While other companies were focusing on creating products by using the best technology that they can get their hands on, Apple paid close attention to details that are almost least important to other companies while creating new products. I am not sure that the company focuses on creating products that people actually need, but the company actually comes up with great products and tells people what they actually want. This want then translates into a need for the consumers. No other company has the guts to do that. It is like the engineers creating the products, actually make them for themselves. The products are user-centric and the company places all its efforts in ensuring that the products are easy to use, in order to deliver a great user experience. The products are easy to understand and learn.
The very first iPhone was announced by the founder of Apple, Steve Jobs, in 2007. His vision was to reinvent the phone. iPhones have revolutionized smartphones and have shaped the cell phone industry into what it is today. On January 9, 2007, Steve Jobs put together an incredible keynote presentation. He stated that he would be “introducing a wide-screen ipod with touch controls, a revolutionary mobile phone, and a breakthrough Internet device” (Ritchie, 2015). The audience assumed that this meant that Mr. Jobs would be launching three separate devices. However, it was only one device, the iPhone. Within the past 7 years, Apple has been able to tweak its iPhones by incorporating major redesigns. These redesigns use combinations
Generally the goal to make products is focused on technology first, the need of such products is weighed after but Apple’s approach is not to serve the technology but it is to serve the need and engineers actually make them for themselves. It gives them a real feeling of need and a need to make the product. It has to be something that they personally couldn’t live