Business Week: Apple Supply Chain. How To Make The Impossible Possible

Business Week: Apple Supply Chain. How To Make The Impossible Possible

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Business Week: apple supply chain. How to make the impossible possible

Make the impossible possible

5 years ago, Apple design manager Johnny moxa dimension ( Jony Ive ) decided to give the next generation MacBook adds a new function: at the top of the screen to design a small light, through the computer aluminum shell indicating the position of the camera. But there is a problem, physically, it is impossible for light passing through the metal.

According to an informed the former Apple employee said, Ai Wei call some manufacturing experts and experts, hope to find a kind of method, make the impossible possible. These experts can be found, using laser in aluminum shell hit a person eye almost unrecognized pores, but enough to let light through.

But this solution mass into practice is a great problem. Apple need laser, a laser. Experts found, an American company for microchip laser equipment manufacturers to provide a number of improvements, can be competent for this job. Each device usually cost around $250000, apple persuade seller sign a confidentiality agreement, and purchased hundreds of devices, used for light punch. Nowadays, the green light is on Apple's MacBook Air, Trackpad and wireless keyboard.

Apple's most users will probably be on the green under consideration, but this creation has highlighted the apple as an important competitive advantage: operation. It is a blend of manufacturing, procurement and logistics and other areas of the world, and the new apple CEO Tim Cook ( Tim Cook ) is good at it, and thus won the Steve Jobs ( Steve Jobs ) trust. Based on the former Apple employee, supplier executives and familiar with the operations of the company management experts dozens of interviews, we found, Apple has already established a closed ecological system, can control the supply chain in all aspects, from design to retail, everything is contained therein.

The huge purchasing volume

Due to the large volume of procurement, the apple in the parts cost, manufacturing cost and the cost of air freight was a huge discount, sometimes be beneath the human character. " The apple, operation skills and product innovation and marketing also important asset." HP ( micro-blog ) supply chain supervisor, American risk investment firm VantagePoint Capital Partners partner Mike Fawkes ( Mike Fawkes ) said," they have no predecessors have excellent operation skills."

This operation advantage makes Apple can without hoarding a large number of high inventory cost under the condition of large scale product release. American investment bank Piper Jaffray analyst base the Buddhist nun, Munster ( Gene Munster ), which also makes it a has been criticized because of excessive pricing of enterprises, to almost one and be able to sell iPad, but still can earn 25% of the rate of profit.

If the latest rumors are true, Apple operating skills may be in the company in 2013 to enter the competitive market play an important role in tv. This kind of product is expected to be iTunes existing Apple TV software and tight integration. Because the television market is sensitive to price, therefore the profit margin is usually only one digit, leading to the market universal doubt apple in the market 's competitiveness. But he said," the apple into the mobile phone market, people says so."

To purchase the entire resource

Almost immediately after Jobs returns in 1997, apple immediately started in the supply chain management details on innovation. At the time, most computer manufacturers by sea to obtain spare parts, because this way is far lower than the air freight. Logistics industry executives John Martin ( John Martin ), in order to ensure the new translucent iMac during Christmas period comprehensive shop goods, Jobs spent $50000000 to buy a Christmas shopping season all available air space. Once Martin and Jobs common arrangement that one air plan. The move to Compaq and other temporary want to increase air orders competitors in despair.

Similarly, when iPod went public in 2001, apple is aware of, because the aircraft can accommodate a large number of iPod, can be directly through the air way will this kind of product from the factory in China to consumers at the entrance. When an HP employee ordered a iPod, and within a few days after receipt of the order, he passed the apple web site to track the products passed the world travel. " Back then it makes us mad." Fawkes recalls.

If necessary, they can be invested heavily, and through long scale benefit -- the train of thought has been through the apple of the whole supply chain, the starting point is the design stage. Moxa dimension and its engineers sometimes spent months living in a hotel room, as close to the supply chain and the producer, in order to industrial process, thus the prototype product can be converted into mass production equipment. Because MacBook unibody fuselage using a molding process, needs to use a complete aluminum sheet, so in the production of the new design, apple designers and suppliers together to develop a new device. This focus on several product lines, equipment and the ability to customize, became the apple is a great advantage. " They have a very uniform strategy, all business around this one strategy deployment." Supply chain analyst Gartner Matthew Davies ( Matthew Davis ). He divided the apple named in recent 4 years the global supply chain optimal enterprise.

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