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8/8/2019 Report - Top Global Supply Chains
http://slidepdf.com/reader/full/report-top-global-supply-chains 1/3
Study: Apple, Nokia, Dell Tops Among Global SupplyChains
AMR Research's annual list of the top 25 supply chains puts Apple at the top for meeting
iPhone demand. Procter & Gamble, IBM, Wal-Mart, Toyota top list of global
manufacturers and retailers. Read who else is on the list.
By Thomas Wailgum
THU, MAY 29, 2008 — CIO — AMR Research released its fifth-annual "Supply Chain Top 25" list,and leading the supply chain pack this year is Apple. "Apple is No. 1 in 2008, signifying an epicshift away from the 20th-century production-efficiency mentality to a new era of value based onideas, design and content," notes the AMR Research report.
The iconic iPod and iPhone maker took the top spot due to "an intoxicating mix of brilliant
industrial design, transcendent software interfaces and consumable goods that are purely digital,"
write AMR's Tony Friscia, Kevin O’Marah, Debra Hofman and Joe Souza in the report. "The
mechanical and financial benefits of this approach include extremely high inventory turns, minimal
material or capacity limitations to growth, and excellent margins."
In addition, Apple’s "outstanding" financials proved impressive in all the categories AMR used to
calculate the Top 25 rankings. AMR determines the top supply chains by analyzing a combination
of corporate financial measures, inventory data, and peer company and AMR analyst opinion.
Historically, notes the AMR report, Apple had a reputation for poor supply chain performance. But
that has all changed.
"With its introduction of the iPhone, Apple could have stumbled meeting demand or failed onquality. It did neither," states the report. "Behind-the-scenes moves like tying up essential
components well in advance and upgrading basic information systems have enabled Apple to
handle the demands of its rabid fan base without having to fall back on their forgiveness for
mistakes." The AMR list is interesting in part because supply chain management is tough to get
right in the global economy. (See Fraud and Theft Risks in Global Supply Chains Are
Everywhere, How ConAgra's Pot Pie Recall Bakes In Hard Lessons for Supply Chain
Management and The Supple Supply Chain for more on supply chain challenges.)
To create its list, AMR used publicly available, 2007 financial data along with analysis and opinion
from supply chain experts who are customers and suppliers, along with analysis by AMR
researchers. (The AMR report contains a full explanation of the process.)
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See "The AMR Research Supply Chain Top 25," below.
The AMR Research Supply Chain Top 25
These 25 companies demonstrate leadership in applying demand-driven principles to their global
supply chains.The Top 25 AMR Comment
1. Apple"Brilliant mix of design, software interfaces and consumable goods that arepurely digital."
2. Nokia“Leads the way in "supplier collaboration practices, design for supply chain andembedded innovation."
3. Dell "Outstanding inventory turns" and high marks from peers.
4. Procter & Gamble "demonstrated leadership, and an extension of the boundaries on innovation."
5. IBM I "Pioneer in supply chain management, with a track record of sharing itslearnings."
6. Wal-Mart Stores "Translates consumer needs into sophisticated segmentation strategies."
7. Toyota Motor "An icon among manufacturing aficionados."
8. Cisco Systems Noted for work with sales channel.
9. SamsungElectronics
Excels at "fine-tuning its supply-demand balancing decisions."
10. Anheuser-Busch Demonstrates "solid focus on delivery-to-schedule excellence in manufacturing."
11. PepsiCo "Sophisticated supply network planning, a focus on innovation, and anincreasingly diverse product portfolio."
12. Tesco"A major focus on streamlining supply chain operations at home, and aggressiveinternational growth strategy."
13. Coca-Cola"Relentless focus on supply chain operations and translating downstreamdemand insights into loyal customers."
14. Best Buy A leader in "home service and workforce management innovations."
15. Nike Noted for excellent blocking and tackling on its supply chain.
16. SonyEricsson "Excels in customer and channel demand management."
17. Walt DisneyHandles "a growing retail presence and a complex set of supply chain
challenges."
18. Hewlett-Packard Has "streamlined operations on a scale and at a speed that defy belief."
19. Johnson & Johnson
Strong results through big acquisition, high marks from peers.
20. Schlumberger An "almost-obsessive corporate focus on building supply chain talent."
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21. TexasInstruments
Recognized for its technology leadership and operational efficiency.
22. Lockheed MartinManages massive supply chain with emphasis on "next-generation lean thinkingand supplier and program management."
23. Johnson Controls "Track record for supply chain innovation in a notoriously tough industry."
24. Royal Ahold "Stellar" inventory turns and operational efficiency and productivity.
25. Publix SuperMarkets
"Known for its strong brand innovation and leadership in generic drug discountprograms."