Tomahawk, WI 11/21/2013 (BasicsMedia) – Apple Inc. (NASDAQ:AAPL) was long expected to reconsider its production and supply chain. This is important for the company’s growth moving forward. The company needs to save more profits so that it can operate more efficiently and effectively. We can see that the company’s chief executive Tim Cook has been implementing stricter approaches in Apple Inc. (NASDAQ:AAPL) supply chain.

It can be seen that Cook favors effective quality controls well as cost management by imposing frequent inspections as well as allowing more time for the job. Apple Inc. (NASDAQ:AAPL)  is obviously known for quality products that it offers the market, and focusing more on this line of the company’s identity will result in more business for the company which is what Cook is pursuing.

This model of production approach is already paying off if you look at what the company was able to achieve with debut of its new line of iPhones – iPhone 5C and 5S which managed to sell more than 9 million during the first three days of introduction in the market. Basically, what Apple Inc. (NASDAQ:AAPL) needs is to be able to make its products available in the market in reasonable time. With growing competition in the market, long waits by customers to get their order can hurt the business moving forward.

Apple Inc. (NASDAQ:AAPL)’s partners play a critical role supply chain

 For a very long time, Apple Inc. (NASDAQ:AAPL)’s manufacturing partners performed the double role of procuring components and production. This is good for their business, but it can result in some strains for the company. This is why relieving them of the procurement duty and allowing them to focus on production is needed. This will ensure proper quality controls. A change in this supply chain brings back the power to the Cupertino-based company as far as providing top quality products goes.

In order to keep its production partners in good standing after taking away the procurement aspect of the business from them, Apple Inc. (NASDAQ:AAPL) should offset the potential profit loss by allowing the companies to raise their quote. This should help the OEM partners to maintain their profit margin. Revising the profit upward for the partners by about 5% cannot hurt the company’s standing.

Yet another thing so important in Apple Inc. (NASDAQ:AAPL)’s production and supply chain is easing pressure on the partners in matters concerning inventories. The company can also take away the responsibility of maintaining components inventories from its manufacturing partners so that they can have more time for the pure production job. Improved supplier performance should be the ultimate goal for the company as it seeks to sit well for the competition. The tech market as ever is thirsty for the best and who can lead the way if not Apple Inc. (NASDAQ:AAPL)? In this regard, Cook and his management time in moving to adjust the company’s supply chain are simply playing their leadership role.

Apple Inc. (NASDAQ:AAPL) still has the trust of the market and this is a perfect ammunition to defeat competition. What the company needs is lower its cost and up the quality of its products and the market will do the rest.

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