Digital Economy Report: Apple Inc.’s E-Supply Activities and Digital Economy Operations
Company: Apple Inc
Minimum 12 academic resources
Assessment Criteria Learning Outcomes: Knowledge and Understanding tested in this assignment:Examine the range of digital economy solutions appropriate to an organisation’s strategic objectivesSummarise how the digital economy has developed and consider how it will continue to develop in futureEvaluate the strengths and weaknesses of online communications
Learning Outcomes: Skills and Attributes tested in this assignment:Communicate effectively developments in the digital economy and strategies to enable organisations to respond to it.Write a business report that examines the opportunity for strategic improvements in current business practice
Feedback /Marking criteria for this AssignmentPerformance will be assessed using HBS Grading Criteria and Mark scheme. Guidance for improvement will be given in writing on the Assessment Feedback Form or on the StudyNet Feedback Form within 4 weeks of submission. For each day or part day up to five days after the published deadline, coursework relating to modules submitted late will have the numeric grade reduced by 10 grade points until or unless the numeric grade reaches 40 for levels 4, 5 and 6 or 50 for level 7 (PG). If a submission is more than 5 working days after the published deadline, a grade of zero will be awarded.Where the numeric grade awarded for the assessment is less than 40 for level 4, 5 and 6, or 50 for level 7, no lateness penalty will be applied.
Detailed Brief for Individual/Group Assessment
Assignment Title: Organisation’s e-supply chain, issues with digital activities, future digital strategy and trends in the sector.Description of the assignment:
This assignment requires you to use (ideally) the same Multi-National Corporation (MNC) [ i.e. an organisation that operates in its country of origin and also has a branch abroad) from the first assignment to write a report on their e-supply chain operations and the impact of digital activities in the supply chain. You are required to also identify general issues with digital activities in terms of risks associated with hacking, data protection and the like in the sector and provide examples of issues from your organisation or others in the sector to highlight the issues organisations need to consider when developing and using digital activities. The future digital trends for the organisation and sector should be explored with recommendations being made on how the organisation could develop its future digital trends. Using secondary sources e.g., academic texts and journals available via the online library in StudyNet as well as reliable websites, news items, articles, develop a report covering the content above. None of the MNCs covered in tutorials i.e Amazon, Uber, M&S can be used as your organisation as these have been covered in class.
You will need to complete the following tasks for this assignment:
1. A brief introduction to the organisation and its digital activities. 2. Research into the background of the organisation and its current e-supply chain digital activities and provided a detailed review of this.3. Discuss the issues associated with organisations within the digital economy landscape. focussing on the possible impact of these issues (no definitions and different parts of GDPR for example). Consider fraud, GDPR and hacking as a minimum.4. Provide examples of the above issues that your organisation may have faced/are facing. Alternatively, provide examples from other organisations in the sector or similar sectors to highlight the issues and impact these can have on organisations. Consider other issues associated with the digital economy.5. The future digital trends for the chosen organisation/ sector should be explored with recommendations being provided for the organisation/sector. For future developments, you may consider application of digital technologies such as AI, augmented technology, virtual reality to improve operational processes such as supply chain, customer relationship management and marketing. How future digital trends could provide business intelligence could also be considered here.6. Referencing: in-text citation should be included within the body of the report with the full reference list being at the end of the report.7. Please submit/upload your report as a PDF file. 8. HBS report writing format should be followe and your title page does not need your name on it as it will be anonymously marked9. CW2 will be marked out of 100 and is worth 40% of the overall marks for this module.10. Use the marking scheme below to support your preparation and delivery of your report.
Important : Take care to write in your own words and not cut-and-paste from module materials or from the organisation’s materials.
Mark scheme:e.g. WeightingPresentation and structure – follows report structure and keeps to the word count of 1750 +-10%. Report with a title page, a table of contents with numbered headings, page numbers and other report attributes such as 1.5 line spacing as indicated in the report writing guide in CASE – click here to go to CASE. High marks will be awarded for presentation & report structure, with numbered sections, list of contents/figures, labelling of figures/ charts/ tables.Articulate & fluent academic writing style with ideas cross referenced. No grammatical / spelling errors. 10Harvard referencing - Follows Harvard style for in-text citation and reference list at the end of the report. Use of a minimum of 12 different reliable and academically robust sources related to the subject area – Click here for Harvard reference guide on CASE. Please make sure you use academic sources (Books, industry publications and Journal article for your academic write-ups and ensure you paraphrase to make your words your own. Work will be put through Turnitin and submissions with similarity index over 15% - 20% will be investigated for plagiarism and marks could be deducted or the work could be referred to the academic misconduct team. Case video on Plagiarism.High marks will be awarded for the selection of quality sources, well beyond core & recommended resources. Outstanding standard of referencing within text & consistent use of Harvard referencing system. Accuracy of in-text references & full details shown in Reference list. 10Knowledge and Understanding – The organisation’s e-supply chain has been explored and the impact of their digital activities analysed (excluding ones used as case studies in the module such as Amazon and Uber) High marks will be awarded for the demonstration of outstanding exploration of topic showing outstanding knowledge & understanding through thorough & appropriate research. Impressive choice and range of appropriate content. 25Discuss the issues associated with organisations within the digital economy landscape. focussing on the possible impact of these issues (no definitions and different parts of GDPR for example). Consider fraud, GDPR and hacking as a minimum.Provide examples of the above issues and that your organisation may have faced/are facing. Alternatively, provide examples from other organisations in the sector or similar sectors to highlight the issues and impact these can have on organisations. Other issues linked to the digital economy should be considered.High marks will be awarded for outstanding business insight & application. Outstanding integration of literature/data/ into work. Very impressive breadth and depth of investigation and content. 25The future digital activities for the chosen organisation/ sector should be explored with recommendations being provided for the organisation/sector. For future developments, you may consider application of digital technologies such as AI, augmented technology, virtual reality to improve operational processes such as supply chain, customer relationship management and marketing. How future digital activities could provide business intelligence could also be considered here.High marks will be awarded for an outstanding level of discussion/analysis/ critical evaluation. Highly developed/ focused work covering all asked for the brief. 30Total 100
Digital Economy Report: Apple Inc.’s E-Supply Activities and Digital Economy Operations
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Due DateDigital Economy Report: Apple Inc.’s E-Supply Activities and Digital Economy Operations
Introduction
The e-supply chain operations of a company, as Abdirad and Krishnan (2022) explain, refer to digital technology usage in managing and streamlining the flow of goods and services from the supplier to the customer. This involves using electronic systems, like online ordering platforms, inventory management software, and automated logistics processes, to optimize the supply chain and reduce costs (Abdirad & Krishnan 2022). From sourcing raw materials to delivering finished products to customers, Apple’s e-supply chain relies heavily on digital technologies to ensure speed, accuracy, and flexibility. It uses real-time tracking of inventory levels, automated forecasting and planning, and predictive analytics to identify potential supply chain disruptions (Clarke & Boersma 2017). This report analyzes these activities’ impact on Apple’s e-supply chain operations and their contribution to its success in the highly competitive technology market.
Review of Apple’s E-Supply Chain Digital Activities
Apple maintains its position as a leading technology company due to its innovative and customer-centric approach. Its focus on experience, design, and premium pricing made the company the most valuable worldwide (Denning 2021, pp. 9-13). However, its customer-centric ideology involves other aspects like efficient supply chain operations, which streamline operations and ensure world-class experiences. Apple’s e-supply chain digital activities focus on improving its supply chain management, reducing costs, and enhancing customer experience (Basu 2023). Basu (2023) highlighted that the company uses a complex stakeholder network to ensure its products reach the market as expected. Apple’s e-supply chain relies heavily on technology, using various software platforms like SAP Ariba and Oracle Transportation Management (OTM) to manage its operations (Basu 2023).
Apple uses SAP Ariba – a cloud-based platform – as its primary end-to-end procurement platform (Zutshi & Grilo 2019). Exhibit 1 below illustrates SAP Ariba’s use by industry, showing IT and services firms as its biggest consumers and illuminating Apple’s choice of platform (Enlyft n.d.). It streamlines and automates the procurement process, ensuring Apple efficiently sources raw materials, components, and services. According to Zutshi and Grilo (2019), some automated procurement processes include requests for proposals (RFPs), purchase orders, and invoicing. It also streamlines supplier relationship management, supplier performance tracking, and compliance with procurement policies. SAP Ariba also provides real-time visibility into the procurement process, allowing monitoring and improvement (Zutshi & Grilo 2019). By leveraging SAP Ariba, Apple optimizes its procurement operations, reduces costs, and improves overall supply chain efficiency.
Exhibit 1: SAP Ariba use across industries (Enlyft n.d.)
Apple also uses OTM in supply chain management. Bakhtadze and Suleykin (2021) describe the OTM as a platform for automating and optimizing transportation planning, execution, and freight payment (p. 59). It provides a comprehensive and integrated solution allowing companies to manage their transportation network efficiently. It uses advanced algorithms and analytics to increase supply-chain visibility, supporting data-driven decisions. Apple uses the OTM to manage multiple suppliers, manufacturing facilities, and distribution centers worldwide. The OTM gives Apple real-time visibility into its transportation network, allowing it to track shipments, monitor carrier performance, and identify potential issues before they become problems (Miscevic et al., 2018). Further, the OTM enables Apple to collaborate with its suppliers and carriers, sharing information and increasing efficiency across the supply chain (Miscevic et al. 2018).
Furthermore, Apple’s e-supply chain operations also leverage digital technologies like data science, AI, and the cloud to streamline supply chain operations. For instance, it uses analytics to predict demand to enhance inventory management, eliminating the risk of stockouts and overstocking (Hofmann & Rutschmann 2018; Jayasundara 2022, p. 83). According to Basu (2023), Apple also uses AI-powered algorithms to optimize transportation routes and delivery schedules, reducing transportation costs and improving delivery times. Additionally, the company uses cloud-based platforms to collaborate with its suppliers and partners, enabling real-time communication and collaboration across the supply chain (Basu 2023). These digital activities have helped Apple achieve greater agility, flexibility, and responsiveness in its supply chain, enabling it to deliver high-quality products to its customers.
As companies strive to expand their customer base and improve their supply chain operations, they may encounter increased complexity in their supply and customer bases (Delbufalo 2022, pp. 703-706). Delbufalo (2022) insists that supply chain complexities can lead to higher costs, longer lead times, and increased risks of supply chain disruptions. Thus, as this research illuminates, Apple’s employment of e-supply chain operations has been instrumental in navigating the complexities of expanding its supply and customer bases. Using sophisticated supply chain management systems helps the company track supplier performance, identify potential risks, and optimize sourcing decisions.
Issues Associated With Organizations within the Digital Economy Landscape
Data Privacy and Security Regulations
Cyber security is one of the critical issues facing organizations as high amounts of user data collected by companies have made security and privacy a focal point for hackers (Gruschka et al. 2018). Hence, it has become essential to safeguard it against cyber-attacks and breaches. Complying with regulations like the General Data Protection Regulation (GDPR) is also crucial for organizations to maintain trust and transparency with stakeholders, as failure can cause reputational damage, legal penalties, and loss of revenue (Gruschka et al. 2018). GDPR sets out principles for processing user data (Martín & Kung, 2018). Users must consent to access, rectify, and erasure their data. Moreover, GDPR obliges businesses to secure this data through the necessary security implementations. Apple has faced GDPR issues in relation to its data processing practices. In 2021, the company was fined €10 million by the Italian Data Protection Authority for misleading users about its use of personal data (Koetsier 2021). According to Chen (2021), Apple also faced criticism for using third-party cookies in Safari to track users. In response, Apple introduced new privacy features to block third-party cookies (Chen 2021).
Organizations must prioritize data privacy and security by conducting regular risk assessments, implementing data protection policies, and providing employee training on data handling procedures (Martín & Kung 2018). They must also obtain explicit consent from individuals before collecting and processing their data. Additionally, organizations must be transparent about the purpose of the data they gather and give users access to it for correction and erasure (Martín & Kung 2018). Implementing these measures can help organizations comply with data privacy regulations and build customer trust and loyalty.
Fraud
Another major issue associated with organizations within the digita...