The paper "Challenges of Nokia Corporation Supply Chain Network" is a perfect example of a business case study. Nokia Corporation is the world's primary manufacturer of mobile devices. According to analysts, the company’ s success is attributed to its supply chain management practices. The company has an integrated supply network that is able to interlink manufacturing plants, sales and logistic providers, suppliers, contract manufacturers and consumers. The company has 15 manufacturing plants that are located across 9 countries in the globe such as India, Great Britain, South Korea, Mexico, Finland, Brazil, and China.
All the manufactured products are transferred to the mother depot in Gurgaon. Nokia company has a complex supply chain network that handles over 120 billion components, 50 strategic suppliers, and more than 15 factories worldwide (Annan 5). Below is the companies supply chain network design The above design is a simple supply chain structure of the company that shows the two-tier supply sides as well as the two-tier demand sides. The supply chain management is responsible for linking all the needed functions within the company as well as integrates the firm to other firms that might be of help in the focus of the supply chain.
Nokia as a manufacturing firm is placed at the center of the pyramid as the company is the sole manufacturer of all its products in the globe (Baccolini 7). The suppliers named as Tier1 is the leading direct suppliers of the company- from where the company gets all the required materials, spare parts and other components essential in the manufacturing process so that it could be able to produce final products for the consumers/clients.
Generally, this type of supplier has their own suppliers who play the role of producing the raw materials that are the primary materials for the production of mobile phone batteries, phones motherboards, displays, covers and other vital parts. This type of supplier represents the second tier also known as supplier level 2. On the left side of the supply chain network structure is the demand side customers' level that is a clear representation of the contact distributed patterns of the company as well as its patterns such as Telenor, T-mobile and Vodafone.
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