LOGISTICS MANAGEMENT STRATEGY

The assignment content discusses logistics management at Apple Inc., highlighting the company's competitive advantages and value creation through its supply chain management, inbound and outbound logistics, operations, sales and marketing, and services. It also evaluates the performance of the supply chain using aggregate planning as a tool to minimize fluctuations, reduce overheads, increase production rates, and accommodate changes.

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Answer 1: Value Cain analysis of Apple assisted to identify the activities of business that
created competitive advantage and value for the business.
Inbound Logistics: the purchase commitments of Apple cover the requirements for 150 days as it
works with suppliers all around the world and maintain sophisticated management of supply
chain.
Operations: outsourcing of the production to the location and regions with low cost and expense
of resources is significant key value source for operations of Apple (Kraemer, et al., 2013).
Outbound Logistics: It involves distribution and warehousing of ready Mac Computers, iPad and
iPhone and various other products which are manufactured by company.
Sales and Marketing: During the year 2016, the net sales of company by its indirect and direct
channels of distribution amounted to 75 percent and 25 percent respectively.
Services: The Company provides excellent services to customer during pre-purchase, and post
purchase.
Answer 2: There are various other tools to evaluate the performance of supply chain but
aggregate planning overarches the benefits of all other tools as the approach of aggregate
planning involves minimization of fluctuations of staffing, reduce the overheads, increase the
rate of production, and accommodate several changes (Heizer, et al., 2013).
Answer 3: Since the original warehouse is in Cincinnati which is far away from des Moines,
Kansas city and St. Louis, the delivery route gets bigger and larger which may lead to delay in
process of production (Roh, et al., 2013). According to me, the location of warehouse should be
somewhere at a central place which is equidistant from all these stores. Faster delivery, safety of

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perishable and milk products from risk of weather, fermentation and temperature conditions can
be ensured if the location of warehouse is nearby to all these retail stores instead of the present
location in Cincinnati.

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REFERENCES
Heizer, R., & Barry, R. (2013). Operation Management, Sustainability and Supply Chain
management (Vol. 11). Pearson, UK.
Kraemer, K., Linden, G., & Dedrick, J. (2011). Capturing value in Global Networks: Apple’s
iPad and iPhone. University of California, Irvine, University of California, Berkeley, y Syracuse
University, NY. http://pcic. merage. uci. edu/papers/2011/value_iPad_iPhone. pdf. Consultado
el, 15.
Roh, S. Y., Jang, H. M., & Han, C. H. (2013). Warehouse location decision factors in
humanitarian relief logistics. The Asian Journal of Shipping and Logistics, 29(1), 103-120.