Electronics Manufacturing – M528
Electronics manufacturing supply chain
Where and how were these computers manufactured?
A supply chain is a goal oriented network of processes and organizations.
Supply chains
transfer two commercially valuable assets:
- Stock (products)
- Information
A supply chain should support
strategic goals, such as:
- Cost
- Quality
- Speed
- Service
- Flexibility
Electronics manufacturing supply chain in 1990:
Source: Gover, J. & Gwyn, C. (1992).
Strengthening the us microelectronics industry by consortia. Albuquerque: Sandia National Laboratories.
Simplified manufacturing supply chain
Source: National Research Council Staff (2000).
Surviving supply chain integration: strategies for small manufacturers. Washington, DC: National Academies Press.
Personal computer manufacturing supply chain during 1990s:
Source: Dedrick, J., Kraemer, K. (2005). The impacts of it on firm and industry structure: the personal computer industry [Electronic version].
California Management Review, 47(3), 122-142.
Personal computer manufacturing supply chain after 2000:
Source: Dedrick, J., Kraemer, K. (2005). The impacts of it on firm and industry structure: the personal computer industry [Electronic version].
California Management Review, 47(3), 122-142.
What are specific
examples might have a
manufacturing supply chain like this?
- What do the blue arrows represent?
- What is not on this diagram?
What are specific
examples might have a
manufacturing supply chain like this?
What are specific
examples might have a
manufacturing supply chain like this?
Percentage of computer shipments by
sales channel:
| Company | INDIRECT | DIRECT |
| Retail | Reseller | Sales | Internet |
| 1995 | 2005 | 1995 | 2005 | 1995 | 2005 | 1995 | 2005 |
| HP | 20 | 51 | 80 | 21 | 0 | 24 | 2 | 5 |
| Dell | 0 | 0 | 0 | 6 | 100 | 67 | 15 | 27 |
| Acer | 31 | 3 | 67 | 96 | 3 | 0 | 10 | 0 |
| IBM | 30 | 0 | 57 | 51 | 14 | 36 | 6 | 13 |
| Apple | 36 | 39 | 53 | 13 | 11 | 43 | 7 | 4 |
Source: Adapted from Dedrick, J., Kraemer, K. (2007).
Market making in the pc industry. Irvine, California: Personal Computing Industry Center.
Trends affecting the
design of manufacturing supply chains:
Information technology
- Competitive advantage
- Business risk
- Bullwhip effect
- Standards ownership
Global capital markets
- Distribution of financing
- Distribution of profit
Transportation logistics
- Just in time manufacturing
- More markets for products
Global manufacturing
- Business specialization
- Risk specialization
