Comprehensive Analysis of Apple Inc.'s Logistics and Operations Report

This report provides a comprehensive analysis of Apple Inc.'s logistics and operations management. It begins with an introduction to the company and its products, followed by an exploration of the significance of process design in its offerings. The report details the stages of product development adopted by Apple, illustrating the design concept, and examines the impact of performance objectives on the company's process design. The report highlights key aspects such as idea generation, screening, concept testing, pre-launch, launch, and quarterly reviews. Furthermore, it discusses the company's aims and objectives, emphasizing customer satisfaction and brand image. The analysis includes an overview of the iPhone 7 launch, showcasing innovative features and design improvements. The report emphasizes the importance of effective technology, employee skills, and resource utilization in achieving product success. It concludes by underscoring the role of process design in ensuring smooth operations, maintaining a competitive market position, and fostering customer loyalty. The report emphasizes the critical role of process design in meeting customer needs, streamlining operations, and maintaining Apple's competitive edge in the market.

LOGISTICS
And
OPERATIONS
1

TABLE OF CONTENTS
Table of Contents.............................................................................................................................2
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
1 An introduction to the product or service.................................................................................3
2 Importance of process design...................................................................................................4
3. The overall aims and objectives of the product using process design.....................................5
4. Description of stages of product adopted by Apple to illustrate design concept.....................6
5. Impact of performance objectives on process design of Apple..............................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
2

INTRODUCTION
Logistics and operations management is important function related with supply chain
administration. It is significant approach used by organization to fulfill the needs of customers by
doing planning, controlling, administrating and employing the best method associated with the
mobility and storage of goods and services from point of origin to final customer or retailer or
wholesaler (Christopher, 2012). Proper logistic and operations management help company in
meeting the customer demands of various goods and services in best manner. In this report, key
feature of logistics and operations management will be studied in the discourse of Apple Inc. It
is renowned technology company of California that develop and offer fine quality customer
electronics, computer hardware and software etc. In this report, introduction to the new product
of Apple will be provided. Thereafter, significance of process design on the products and
services of brand will be explained.
TASK
1 An introduction to the product or service
Apple Inc is international technology corporation that was founded om 1st April, 1976. It
is also regarded as largest technology and information organization as per profits and total assets.
In addition to this, it is second largest cell phone developing company of globe. At present,
Apple Inc is operative in more than 17 countries with around 475 retail stores. In 2015, company
generated yearly profit of $233 billion which also accounts for nearly 1.25% of gross GDP of
domestic nation (Shayon, 2015). The vision of brand states that it want to put it earnest effort in
developing premier quality goods and services and thereby set high benchmarks for other rivals.
The main offerings of Apple are it hardware and software products like, iPhone, iPad
tablet, Ipod, personal computer; Mac Air book, digital watch, iTune store, iOs operating system
etc. The wide range of product availability and their prime quality is a reason for the success of
firm in varied market (Kaiser, 2012). The entity ensure product are designed as per the customer
needs, demand, expectations and changing market trends. In addition to this, intense research and
development is done to develop new features, technology etc that can further incorporated in cell
phones. Along with this, continuous modifications is done to improve the quality of future
products such a improving the camera, sound and touch quality, using advanced operating and
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processing system etc. Thereafter, company ensure proper availability of demanded products on
all its retail store by strengthening its distribution system (Dyckhoff, Lackes and Reese, eds.,
2013).
At present, Apple Inc is launching iPhone 7 with innovative features, improved design
and quality. The brand is intending to reinforce the design by making phone more sleek and thin
by removing headphone jack. The camera will be improved as it will have dual lens along with
2-3x optical zoom. The improved camera quality will provide fine quality picture and videos.
The organization will upgrade the processor and storage by using next generation A10 processor
and 3GB RAM (MEYER, 2015). Further, company will amend 3D touch in new phone that will
help customer in navigating phone faster. The new product will have fine quality of retina
display which will remove the pixels and improve the text and picture quality. Further, new
product can be launched with new colors like rose gold, crown gold etc.
2 Importance of process design
Process design can be refereed as planning the processes for acquiring the desired
physical alteration in offered product and services. With this aspect, product is divided into
various parts so as to check process adopted by brand are proper so as to meet the expectations of
customers. Apple make effective use of its process design which further have direct impact on
the wide range of offerings of corporation (Shayon, 2015). The process design involve sequential
steps like, idea generation, screening, first screening, design, implementation, evaluation and
redesign etc. To ensure consistency of operations, company use same process for all its products
and services. The idea generation stage help company in putting creative idea into reality such as
using thumb impression for unlocking the phone so as to provide maximum security to important
data of customer (ElMaraghy and et.al., 2013). The screening stage help company in ensuring the
practicability of the generated idea. On the basis of availed ideas, product design is created using
materials and software. Thereafter, idea is tested so as to know it is capable of being marketable
or generating profit or not. If the product gets positive response than design is implemented and
production is done on large scale. Further, performance of product in market is continuously
evaluated to prevent negative impression of brand in the minds of customers. In this respect,
feedback and reviews are taken by customers and modification are done by company. In case of
major defaults of product, company can recall the product and redesign it (Hollenbeck and
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Hotel, 2008). Therefore, it can be stated that process design is important strategy that help
Apple Inc in maintaining its brand image and supplying best quality offerings to customers. It
further help company in identifying loopholes in its processes which can prevent brand in
meeting the expectations of customers. It also prevent company from huge losses that might be
incurred if product is launched on large scale without proper testing and is not appreciated in
market. Therefore, for its new product iPhone 7 company can make appropriate use of process
design so as facilitate product development process. It will indirectly help company on focusing
on different aspects like, identifying the needs of customer, using creative ideas of employees,
raw material procurement, consumer participation, investment decision etc (Jacobs, Chase, and
Chase, 2010).
3. The overall aims and objectives of the product using process design
The major objective of Apple Inc regarding developing new products is attract, satisfy
and retain the customers by meeting their needs. The company is able to fulfill the curiosity of
customers by introducing new products with improved features, new concepts etc. It is further
facilitated with the help of process design where all the steps are important for company
(Chandes and Paché, 2010). Therefore, purpose of process design is to intensify the customer
contentment regarding brand by impressive institutionalization of the system. On the basis of
process design, management of Apple Inc ensure that new product have all the features desired
and needed by customers. The process design not only help company in determining the methods
of designing product but also help in administration of resources so as facilitate product
development. It further enable use of sequential process that are strictly considered by company
to ensure uniformity and thereby maximize customer satisfaction (Heaslip, 2013). Apple Inc
employ process design to hold its superior market position and brand image by reducing the
chances of mistakes. Process design also help in identifying new opportunities available to
business as professionals emphasis on processes used by company and give their expert advice
which lead to more improvement. It also customer centric approach as it stimulate company to
take feedback from its customers and work on it by redesigning and modifying product
accordingly (Nilsson and Gammelgaard, 2012). With this aspect, company is able to maintain
and enhance customer loyalty. Since, its inception that company wants to offer new product,
iPhone 7 process design will help in ensuring smooth operations of business. Further, to support
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process design Apple ensure use of effective technology, creative skills of its employees and
thereby make optimum utilization of available resources etc (Kolli, 2012). Hence, Apple will be
able to improve the quality of camera, RAM, processor and design etc and thus develop desired
product into reality. Therefore, success of new product, iPhone 7 will be majorly dependent upon
efficiency and effectiveness of process design.
4. Description of stages of product adopted by Apple to illustrate design concept
According to the market reviews, product creation process of cited company is regarded
as best design procedure that can be ever employed. On the basis of design process, Apple Inc,
set benchmarks for its rival entity. It is also a reason due to which brand is on verge of becoming
the first $1 trillion corporation of the world (Product development process of Apple. 2014). The
company holds best and highly paid team of designers that work hard to design best and
innovative product. Proper freedom is provided to designing team of brand as they are not
needed to give reports to other divisions like, accounts, production etc. However, design team is
restricted to have communication and even circumscribed with other business of brand. The main
purpose of this is to prevent vital information like, new product design etc from leakage (Jacobs
Chase and Chase, 2010). They are provided authority to members of design team to develop
their own hierarchical structure and report directly to the managing team. Therefore, it can be
stated that design team hold influential position in company and help brand in being successful.
The stages adopted by design team regarding product development are as follows:
1. Idea generation: To employ creative ideas in business in depth research and
development is done by company which further help in creating new technology through
new products can be developed or existing one can be improved (Heaslip, 2013). Such as,
with the help of research assisted Apple Inc to enable use of 3D touch in phone,
multitasking facility to customers etc.
 Idea screening: The primary purpose of this stage is to ascertain feasibility of products
and ensure its can be technically designed or not. It also help company in determining the
proper availability of resources to turn concept into reality (Chandes and Paché, 2010).
Such as, company assure it have technical staff, improved processes that help in
designing the product etc.
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 Concept testing: It is important stage, that help organization in identifying the market
needs and ensuring the idea meet them in best manner (Shayon, 2015). The concept
testing stage help in focusing on engineering details like determining the features that
can be incorporated into new offerings etc. It also help in testing the product by offering
to small number of customers.
 Pre-launching stage: Accordance to this stage, Apple Inc intent at distinguishing and
managing probable problems in production. Therefore, company determine the sources of
raw material procurement and assure availability of appropriate resources to develop
product. The organization assess the pre launch quantity and place order for needed
supplies.
 Launch stage: It is important stage which enable Apple Inc to market the new product to
customers. To prevent accumulation of stock, company anticipate the demand to at least
150 days and thereby decide the production level (Kaiser, 2012).
 Quarterly review: With this stage, organization assess the inventory level and ensure it
have adequate resources to meet the growing or anticipated demand. Further, how
product is working in market is determined by taking customer feedback, monitoring
present sales level etc (Kolli, 2012).
5. Impact of performance objectives on process design of Apple
Performance objectives being set by the business have direct impact on the design of
products being produced by Apple in the market. Quality is considered as one of the main aim
being set by business where main focus is on enhancing quality of every product. This
performance objective allows business to built unique design in the product range and in turn
supports in attracting customers (Nilsson and Gammelgaard, 2012). Apart from this, customer
satisfaction is also used as one of the performance objective where designs of the product are
developed keeping in view the need and requirement of target market. In short, performance
objectives supports in knowing whether Apple is performing efficiently or not and this leads to
higher customer satisfaction in the market. On the other hand, enhancing profitability level is
another performance objective where company focuses on increasing market share along with
revenue. This also encourages management to indulge into practices of designing unique
products which are appraised worldwide.
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CONCLUSION
From the above report, it can be concluded that logistic and operation management is
important approach that help renowned brand like Apple in offering its best product to wide
spread customers. business strongly focuses on process design in order to deliver best product to
the target market. Further, company should consider all the stages in process design for
streamlining various operations. Thereafter, performance objective can be considered while
designing the product.
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REFERENCES
Books and Journals
Chandes, J. and Paché, G., 2010. Investigating humanitarian logistics issues: from operations
management to strategic action. Journal of Manufacturing Technology
Management. 21(3) .pp.320 – 340.
Christopher, M., 2012. Logistics and supply chain management. Pearson UK.
Dyckhoff, H., Lackes, R. and Reese, J. eds., 2013. Supply chain management and reverse
logistics. Springer Science & Business Media.
ElMaraghy, H. and et.al., 2013. Product variety management. CIRP Annals-Manufacturing
Technology, 62(2), pp.629-652.
Fitzsimmons, J. and Fitzsimmons, M., 2013. Service management: Operations, strategy,
information technology. McGraw-Hill Higher Education. Stark, J., 2015. Product
lifecycle management (pp. 1-29). Springer International Publishing.
Heaslip, G., 2013. Services operations management and humanitarian logistics. Journal of
Humanitarian Logistics and Supply Chain Management. 3(1) .pp.37 – 51.
Hollenbeck, K. and Hotel, E. R. H., 2008. Preliminary WIA net impact estimates:
Administrative records opportunities and limitations. In Bureau of Labor
Statistics and the Workforce Information Council symposium,“New Tools for a
New Era. 12(34). pp. 23-24.
Jacobs, F. R., Chase, R. B., and Chase, R., 2010. Operations and supply chain management.
McGraw-Hill/Irwin.
Kolli, S., 2012. Production & Operations Management Essentials. Research & Education Assoc.
Nilsson, F. and Gammelgaard, B., 2012. Moving beyond the systems approach in SCM and
logistics research. International Journal of Physical Distribution & Logistics
Management. 42(8/9) .pp.764 – 783.
Online
Kaiser, T., 2012. Apple Designer: Money Isn't Apple's Main Objective. [Online]. Accessed
through<http://www.dailytech.com/Apple+Designer+Money+Isnt+Apples+Main+Objectiv
e++/article25290.htm. [Accessed on 20th April 2016].
MEYER, P., 2015. Apple’s Generic Strategy & Intensive Growth Strategies. [Online]. Accessed
through<http://panmore.com/apple-inc-generic-strategy-intensive-growth-strategies>. [Accessed
on 20th April 2016].
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Product development process of Apple. 2014. [Online]. Available through:
<https://www.interaction-design.org/literature/article/apple-s-product-development-
process-inside-the-world-s-greatest-design-organization>. [Accessed on 20th April, 2016].
Shayon, S., 2015. Apple’s Cook Defines Core Objectives. [Online]. Accessed
through<http://brandchannel.com/2015/02/16/apples-cook-defines-core-objectives>.
[Accessed on 20th April 2016].
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