M1 Topic 1 Role of Operations - Apple Case study

Question 1

How has the Role of operations affected Apple

Answer 1

Cost leadership
- Apple-Foxcon partnership= Economies of scale: New York times 2012 “China provided engineers at a scale the United states could not match…8700 industrial engineers to oversee… 200 000 assembly line…”

Question 2

how has apple used product features to differentiate there product from competitors (2)

Answer 2

27 June 2007, the first iPhone:
- IOS operating system
- Touch screen
- Apps
- iTunes
Cemented Apple as the market leader in the smartphone market

Apple’s fall: critics suggested Apple “become more of a follower than a market leader” due to the lack of innovation of technology, and copying of Samsung:

• OLED screens
• Big screen design
• A9 processor

Question 3

how has apple been affected by quality to differentiate there product from competitors (2)

Answer 3

2013 iPhone 5 discontinued: issues with Foxcon lack of training on quality controls led to scratch casing

2013 iPhone 5c introduced: used low-cost plastic casing, change in Apple’s approach to quality received poorly = low sales

Question 4

what has Apple’s Operation done for HR

Answer 4

2014, iPhone 6 & 6+ manufacturing begins: Foxconn hires 100,000 factory staff in order to meet production targets ready for launch in 2015