1. Go to www.gartner.com/DisplayDocument?doc_cd234062, select another company on Gartner's Supply Chain Top 25, and describe that company's supply chain. Discuss the role technology plays in that company's purchasing. (AACSB: Communication; Reflective Thinking; Use of IT)
2. Discuss possible negative consequences of using technology to gain competitive advantage through purchasing and vendor relationship activities.
How many parts go into Apple's iPhone? Of course there are the case, screen, camera, processor, and battery, but have you ever considered all the other parts, such as screws and switches? There are 40 to 50 screws alone in an iPhone, and each of the parts-including the screws-must be sourced from suppliers. Apple's list of primary contractors includes more than 20 companies scattered around the globe. Apple's current CEO, Tim Cook, was brought on by Apple co-founder, the late Steve Jobs, to streamline Apple's supply chain. Cook cut component suppliers from 100 to 24 and shut down 19 Apple warehouses, resulting in a reduction of parts inventory from one month to just six days. Most of this is possible through technology, and as a result, Apple's supply chain has been ranked number one in the world three years in a row by Gartner's and Apple is achieving record-setting profits.