How Did Apple's Supply Chain Fare During the iPhone 3G Rollout?
Everyone has got an opinion on the new iPhone's functionalities, but how did Apple's physical and digital supply chain perform on Friday? The physical side held up well, but the digital side did not.
There aren't too many companies that experience the physical and digital convergence intensity like Apple is. O'Marah notes that Disney (which is also on the AMR top 25 supply chain list) may be the closest comparison. Disney must coordinate its digital and physical supply chain operations for its movies through its distribution arm (shipping DVDs to stores), its TV properties, theme parks and Disney websites.
"Though," O'Marah says, "there's not quite as much of a surge in demand on its digital supply chain" as what happened with Apple's. (Going green with your supply chain? See "Can You Build a Carbon-Efficient Supply Chain?" Read about how four CIO 100 honorees plan for unexpected events in their supply chains in "The Supple Supply Chain.")
The importance of blending digital and physical supply chains is a trend that will only continue, however. "It's an interesting story because it's the digital and physical converging and lo and behold it's the digital that had trouble," O'Marah says. "There are lessons to be learned for everyone."
