Apple Inc. “The Digital Supply Chain”
Digital Supply Chain Encompasses the process of the delivery of digital media from the point of origin to the destination Similar to the physical supply chain process
Evolution Warehouses replaced with Data Centers Boxes replaced by Bits Trucks replaced by Bandwidth
An Easier Supply Chain No inventory carrying costs No purchase orders No supplier scorecards No trucks No quality issues New Way of Thinking
Main Process True on- demand product availability Ease of use and speed for content search and activation Pricing and subscriptions Quality management built on licensing and refunds
Digital Supply Chains Innovation Time to Market Customer Service
Competition Videos Television Games
Challenges Understanding the Quality Cost Speed of Infrastructure to support the digital supply chain
Apple’s iTunes #1 Retail music store