Research indicates that supply chains help organizations attain competitive advantage. In turn, the successes or letdowns of such supply chains are determined in the open market by the end consumers. Rendering the fitting product, at the fitting price, at the fitting time to the consumer is not only the fundamental aspect to competitive success but also the vital element to survival (Christopher and Towill, 2001). Owing to the fact that the intricacy of supply chains in the present day, partly as a result of globalization and out-sourcing, the manner in which supply chains are structured can make a difference between an organization generating profit or loss. Different types of structures avail the management the choice to select the one that best suits consumer expectations. However, it is imperative for such chosen pipelines to go hand in hand with the business strategy of the supply chain (Christopher and Towill, 2002). In the article "Developing Market Specific Supply Chain Strategies," Christopher and Towill (2002) hypothesize three feasible pipeline designs, all of which are pertinent to the global apparel supply-chain framework.To begin with, predictable demand for standard items can be met by means of a lean pipeline, perhaps provided for from overseas manufacturers. Secondly, unstable and volatile demand for special items can be met by means of an agile pipeline perhaps provided for from home manufacturers. The third pipeline design encompasses that for speedy reaction to replenishing standard products for which there is an unanticipated demand for particular colours, sizes, volume and the like (Christopher and Towill, 2002). This paper will elucidate the manner in which one or more of these pipeline designs for supply management would fit with the strategy of global electronics company Hewlett-Packard to optimize materials and product flows. Further, the paper will develop and present a strategy for implementing change in the organization with the objective of bringing about a transformation that will secure competitive advantage through improved performance, coordination, and innovation.
Hewlett-Packard and Supply Chain Management
Hewlett-Packard Company (HP) is one of the biggest information and technology (IT) corporations in the world. Hewlett-Packard Company is centered in the information systems industry and is a technology organization that specializes in storage computing, hardware, software as well as network services. HP is well renowned for providing technological solutions to individual consumers, businesses as well as other entities across the globe. HP competes with IBM in providing CPUs, printers, lasers and other products as well (Hewlett-Packard, 2012). Hewlett-Packard has been on a journey to institute and steer greater efficacies in the supply chain and at the same time leveraging its competitive edge of a receptive, assimilated and commercial method to supply planning and consumer satisfaction. Having a consumer-centric tactic to operations within its supply chain, Hewlett-Packard is inventing new ways and means to segment and serve a wide range of consumer needs (Johar et al., 2014).
In accordance to Lee (2004), the most effective supply chains are able to determine structural changes, at times prior to them taking place, by seizing the most recent data, sifting out noise and being able to keep a trail on major patterns. Subsequently, they shift facilities, alter supply sources, and if possible, outsource manufacturing and production. For example, when HP began manufacturing ink-jet printers in the 80s period, the company established both its manufacturing and research and development divisions in Washington (Lee, 2004). In particular, the company wanted the teams for product development and manufacture to work in tandem since ink-jet technology was in its infancy, and the major printer market was in the United States. As the level of demand increased in different regions of the globe, the company established manufacturing facilities in Singapore as well as Spain to meet the demands for Asia and Europe respectively (Lee, 2004). Despite the fact that Washington continued to be the location where the company developed new printers, Singapore grew into the biggest production facility because HP required economies of scale for its imminent survival. Towards the mid-90s, the company realized that manufacturing technologies for printers had advanced and progressed and that it could subcontract manufacturing to wholesalers wholly. Subsequently, Hewlett-Packard achieved cost reductions and continued to be a leader in an extremely competitive market (Lee, 2004).
Towards sustaining its status and position as a leader in the IT industry, HP has to be...
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