Choose any multinational corporation and read its data in connection with any supply chain strategy. Make a detailed report explaining the strengths as well as shortcomings of that supply chain strategy in the selected organization. 

 

Apple is one of the leading multinational corporations by Steve Jobs, Steve Wozniak, and Ronald Wayne. They have launched many products such as Mac, iPhones, Apple tv, iOS, Apple Watch, OS X, and much more. This is all because of the effective supply chain strategy that they have adopted.

There are multiple supply chain strategies such as- build a relationship with suppliers, outsourcing its manufacturing, distribution done in three ways to supply its products to the customer, and much more.

Strengths of the supply chain of the Apple company are such as largest contributor, multiple networks, and much more.

Weaknesses of the supply chain of  Apple company are such as being dependent on outsourcing, creating complexity, and much more.

Step-by-step explanation

I have chosen Apple.

Apple's supply chain strategy is such as- 

- Apple always tries to build strong relationships with the suppliers, this is one of the most important factors to make the supply chain effective in Apple.

- Secondly, outsourcing its manufacturing is also an important strategy that is used by the company. All the manufacturing sources of Apple are predominated by China and give all the raw materials in bulk at reasonable prices.

- Apple's products fall in the innovative products category, according to the framework of the Fisher. Hence, due to its dominating nature of supply chain strategy, it is appropriate to be efficient and responsive.  

- Apple is using an 'agile supply chain strategy' that is responsive in nature and more flexible according to the needs of the customers, at the time of supply shortage or pooling inventory. This helps in allowing changes and unpredictable demands of the consumers with minimizing the end back risk.

- Apple mainly focused on making multiple networks all over the world, especially in China, because that is a hub of various raw materials, and their logistical network and upstream networks are distributed all over the world.

- Apple focuses on distribution in three ways such as online sales, in-person retail stores, and partnerships with retailers such as Amazon, Best Buy, target, Cell phones.

- It also covers not only technological changes but focuses on all the issues related to social and environmental under supply chain of Apple company.

Strengths of the supply chain management of Apple are such as-

- Apple is the second-largest contributor to its revenue and expanding its services across all over the world. They have launched many products such as Apple Tv, Apple News+, Apple Cards, and much more.

- Apple is having a highly skilled and qualified team and a group of employees under supply chain management that helps in proper coordination and makes their customers satisfied at the maximum level.

- Apple is having a great reveal and involves deals across the world, and having proper knowledge of technology and culture of supply-chain. That's the reason they are having a sophisticated supply chain infrastructure under them.  

- Due to the strong connections with China, they easily get raw materials at the lowest price and through that, they can make more new networks with new suppliers so that they can build more impact across the world.

-Multiple and diversified networks with the suppliers, due to this they never run out of the resources and raw materials. 

- Due to the 'agile supply strategy', it helps in knowing all the unpredicted changes and demand of the customers and could minimize the risk under the supply chain.

Weaknesses of the supply chain management of Apple are such as-

- Many resources are used while preparing the products of Apple, that can be obsolete or exceed the anticipated demand of the people.  

-Apple's logistics services are dependent on the outsourcing partners and countries that is a major drawback of this company. Now, Apple is known as the "king of outsourcing".

- All the processes and issues are creating complexity under the logistics and supply chain of the Apple company, due to that, the profit ratio is just equal to its cost. And they are serving normal profit.

- Due to the lack of communication and coordination between the supply chain of Apple, leads to insufficient use of upgraded technology as well as not satisfy customer's demand and preferences at the proper period.

- Apple also faces issues at the time of launching its products in the market. iPhone X was ready to be distributed in the market after the launch at Steve Jobs Theater,  but was not ready to sell in the mass market for many months due to the lack of production capacity.  

- Apple starts failing to satisfy their customer, and due to emerging competition and varieties in the market, the company is facing many problems under its supply chain while distribution, packaging, and much more.