Professor Karen Chorbajian
University of La Verne: BUS 577
Abstract The synopsis of this paper will analyze Apple Inc.’s core responsibilities and functions around its supply chain, focusing on its activities with its suppliers and partners and how they internally manufacturer an organic culture built around sustainable practices. The paper will dive into key concepts of how Apple has maintained its top position amongst its competitors in the consumer electronics industry while still innovating and creating the highest ethical and environmental standards. Security and constant monitoring of functions within its supply chain is one reason Apple has amassed such large sales revenue and brand equity.
Apple Inc. is an American multinational company headquartered in Cupertino, California. The company was incorporated in 1977 under the name of Apple Computer Inc. The founders, Steve Wozniak and Steve Jobs along with their colleagues launched their first product Apple I, a personal computer. With their first line of products, they used innovational techniques to expand on their product line and launched multiple versions of their personal computer. The success of their products entrusted investors to generate profit into their initial public offering in 1980. Since then, the company has gone through numerous lengths to introduce new of products like the iPhone, iPods iPads, and Macbooks, which have revolutionized the technology industry and changed the way we use consumer electronic products. (History of Apple)
Figure History of Apple
As of 2014, the company designs, manufactures, sells mobile communications/media devices, product line including iPhone, iPad, Macbook, iPod, Apple TV, iCloud, variety of professional and personal software applications, the mobile (iOS) and personal computer (OSX) operating systems and different accessory, service and support offerings. Along with this, Apple also sells and offers digital content through their iTunes Store, App Store, iBooks Store and Mac App Store. These products are sold in their retail stores, online stores, sales force as well as third-party vendors/distributors. In addition to these products, Apple also sells third-party accessories and software products compatible with their devices in their online and retail stores.
The customer base of Apple products is pretty widespread. The customer base includes general consumers, small and medium sized business enterprises, and government agencies. Being a global company, these customers are present all throughout the world with activity in America, Europe, Greater China, Japan and Rest of Asia Pacific. (Apple Inc. SEC)
Supply Chain Policy
Apple provides a wide array of unique products; these products enrich people’s lives through sleek design and a user-friendly operating system. Behind these beautiful toys lies one of the biggest supply chains on this planet. When it comes to Apple’s supply chain policy, Apple’s suppliers are assigned several different responsibilities. They are constantly educating and empowering workers, advocating Labor and Human Rights, Health and Safety, Environment, and Accountability.
Educating and Empowering Workers
Apple sets the toughest standards in the industry for each one of their suppliers, they must comply with all their rules and regulations regarding labor laws and environmental impacts they might incur through any processes. Apple trains factory supervisors with instruction on communicating with workers, and how to maintain a safe and respectful workplace.
Apple provides educational resources for workers throughout its supply chain. Workers are trained on their rights under the law and provide free classes in foreign languages, computer tech, and other enriching programs to help