Apple’s Supply Chain for Its iPhone Product

Case Study- Apple's supply chain
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• Review Apple’s supply chain for its iPhone product. What differences set it apart from competitors?• What are Apple’s key advantages in how it manages its supply chain operations? Support your analysis with data from the case.• What are the challenges that Apple faces in the future, and what are the implications for its supply• As Jessica Grant, what recommendations would you make to the company’s vice-president, Phillip Duchene, and why?
Background
Control over intellectual property and has made strategic investments suppliers mostly in China. The Chinese manufacturers are involved in the labor-intensive production process, but Apple ensures high-quality production controls. Apple is also keen on adding value, which has been crucial to new product development and creative product design, marketing, and demand forecasting. Apple undertakes thorough market research to gain insights on consumer demand while also matching demand with supply. Apple exercises supply power to influence and dictate prices and investments with suppliers’ limits on who the suppliers can supply, which reduces competition against Apple.
Review Apple’s supply chain for its iPhone product. What differences set it apart from competitors?
Apple’s supply chain is closely aligned with the organization’s strategy. Apple works closely with the suppliers and even purchased some of the suppliers’ production capacity, which helped avoid shortages and ensure a continuous supply of various components (Johnson & Mark, 2014). As part of procurement, Apple forecasts production and was flexible to make adjustments in the production schedules. Subcontracting has been beneficial for the company as the subcontracted supplies have more engineers than are in the US, which helped in ensuring the manufacturing process runs smoothly (Johnson & Mark, 2014). Apple’s R & D expenditure includes focusing on new technology to improve production efficiency and meet customer needs and demands.
What are Apple’s key advantages in how it manages its supply chain operations? Support you...