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Essay: Discover Apple Inc.’s IMS Impact on its Global Supply Chain Management

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  • Published: 27 July 2024*
  • Last Modified: 27 July 2024
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  • Words: 1,255 (approx)
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  • Tags: Apple essays

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Information management system is one of the defining features to the current business era. In today’s world whereby the complexity of business and its management is ever increasing, every company has a reason to have a properly planned as well as designed IMS. Successful IMS is an integral part of the implementation of a superior company idea and goal. The company’s ability to deliver in the shortest time to customer specification excluding high levels of costs and complexity strongly depends on its supply chain and the integrated information network. With an integrated IMS, the company’s dealers are able to enter customer’s order online and also identify the deliver schedule in the production plan that is also available online. A good IMS provides the basic frameworks that a company to evaluate itself relative to the key company’s dimensions which are people, culture, process and infrastructure (Behl, 2009). Apple is one of the leading information technology companies worldwide being ranked as the most valuable globally. Its value is a key asset in the business today as it drives demand, motivate staff and secure business partners as well as reassuring financial markets. Apple Inc. is an American multinational company that is headquartered in Cupertino California. It deals with computer hardware, smartphones and technology that influence the success of the company.  Apple Inc. has a global presence with supply chain management, assembling, manufacturing, retailing being the core business activities of the company. Furthermore research and development is a significant element of the company which distinguishes the company with others in relation to innovation. Remarkably convincing and broadly comprehensive, this paper presents the detailed description of Apple Inc. Information Management System and how effectively supports its core business operation

Apple Inc.’s IMS supports the primary activities of the company which include production, marketing and sales, customer service and research and development so that they can work collaboratively. The main objective of Apple Inc. is to be an innovative leader. This same philosophy is extended in the management of their internal communication which proves their superiority. On the basis of this concept, most of their processes have been virtualized because the company believes that virtualization is a core factor that will provide the strongest competitive edge in the global market in future (Russell & Yilmaz, 2006). Apple’s has an intranet that provides  required platform in for undertaking virtualization and also enables the employees to access the information they require using their PCs. Externally, the company links an extranet that provided the interaction point with its key suppliers as well the developers of MAC based application. Hence, with these two main platforms enables the company to build a supply chain in the information domain through creation of a link between all the suppliers and production units which in turn are linked to the retail stores (Boddy, Boonstra & Kennedy 2005). From this point, the information from the retail stores is passed to the customer’s service center. This gives company mammoth information to enable it offer services efficiently in regard to information availability hence linking all the parties involved in the company’s supply chain thereby offering customized services to its global customers.

Apple’s IMS is a key contributor to its continued success over the past two decades. By supporting extensive research and development, the responsive innovation competitive breakthroughs of products as , Macs, iPhones, iPod and iTunes substantially competing with other companies such as Microsoft. With the introduction of Utility Computing in the IMS, the company is offering payment of services through a concept known as SaaS (Software as a Service). This has been core for the company to be top in the global market place and made the overall IMS leaner and effective. The IMS has enabled the dissemination of right information to the right people in a timely manner hence its global presence in the electronic industry remains at top.

The almost flawless Apple’ IMS and the integration of its SCM makes it to be a global supply chain leader.  Apple Inc.’s supply chain is considered to be a classic example of New Product Development Process (NPD) which accelerates the introduction of a new product into the market.  Furthermore, information sharing among all the stakeholders of the supply chain through the extranet are one of the key aspects the IMS has provided to efficient the supply chain. Information is coordinated accurately and timely which is key for the company’s decision makers (Grant, Hackney & Edgar, 2009). The linking of the suppliers and retailers provides the primary and relevant information to the customer department who are able to customize the company’s services. It is trough the IMS that Apple has been able to establish a list of expectation for its suppliers as well as creating exclusive agreements for volume guarantees.   In 2013, apple was dealing with 154 suppliers and one central warehouse synchronizing it with approximately 420 plus stores around the world (Investor.apple.com, 2013). Apple has also developed new manufacturing processes of which some are patents enjoyed by the company. With IMS Apple has been able to cut down most of the warehouse costs

Effective Inventory and customers satisfaction is core requirement for any company that want to excel in the global market. Apart from innovation and design the way Apple Inc. handles inventory is core factor that has led to its success. With effective IMS the company inventory processes such as returns, pricing, in stock and time of fulfillment. For instance, in July 2011, Apple was able to sell all the iPad 2 it could make therefore, creating no wastage in the inventory. Apple Inc. has one of the efficient monitoring order system. Customers are able to easily locate, download as well as installing of Mac application through the Mac App Store supported by the IMS. With the customer expectation continuously increasing Apple Inc. has been able to maintain and increase its pool of customers by concentrating on value creation. Apple company is purely a consumer based industry and its success depends on how the customers perception on the product. With good inventory control it has seemingly reduced time to fulfill orders.  The IMS has provided an efficient customer care service platform that is to respond to their queries.

Organizational learning and success critically depends on Information management and that it way more or equally important than moving of the products. The information management describes the ability for the company to harness information about its resources as well as information capability so as stimulate organizational growth. Apple utilizes information management to predict and adapt to the changing market environment (Russell & Yilmaz, 2006). Production movement need intelligent information about the market place and this is provided by information system. IMS are critical in developing working knowledge profiles to effectively disseminate information. It is only through proper information management that the company’s main objective of information can be achieved.  Corporate strategic planning in Apple Inc. goes hand in hand with information management.

In conclusion, from the above discussion, it can be noted that the domain of IMS is highly crucial and provide substantive edge of the company’s competitiveness in the global market place only if it is administered effectively. Apples Inc.’s IMS plays an important role in the overall strategic for the company compared to its main competitors. Monitoring of orders and inventory levels and as well as maintaining customer satisfaction all is dependent on the IMS. Apple Inc. has given a clear insight of how implementing an effective IMS can keep a company on top in the market place.

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