Apple is the most successful corporation in the world. It is famous for its powerful electrical devices, as well as its rich applications. We can see people all around the world are using Iphone, Ipad, and Macbook nowadays. But what is the secret of success besides its strong function and appearance?

Apple turns over its inventory once every five days. “Survey ranked Apple’s supply chain the best in the world.” Comparatively, Dell turns over its inventory once every 10 days, and Samsung needs 21days. That’s why Apple is able to sells hundreds of millions of hardware all around the world without stockpile (Increase demand and price). Moreover, short turnover will result in a decrease in cost and increase in availability in product. This is a very efficient supply chain management. Also, short turnover means short reaction to consumers’ behavior, which will set up a better customer-firm relationship. On the other side, when we calculate Inventory Turn, Apple’s number is 74 that is much higher than Dell (34) and Samsung (17), which provide an absolute platform compared with other electrical devices suppliers. How to take advantage of its turnover advantage well is a big question for Apple?

URL: http://www.theatlantic.com/technology/archive/2012/05/wow-apple-turns-over-its-inventory-once-every-5-days/257915/