Apple and Toyota Face Supply Chain Disaster

It seems funny that on the very day that we discuss Supply Chain Operations in class, an article surfaces on the Internet discussing similar issues.  However, this is no laughing matter for companies such as Apple and Toyota.

Thailand’s floods are affecting the supply chain of Apple computer components and the production of Toyota’s Prius and Camry.  When a country that leads the world in hard disc drive production experiences a natural disaster, millions of people are going to be affected by it.  Many other companies listed in the Bloomberg article are also being affected by the devastating floods in Thailand.  A video on Bloomberg analyzes how the supply chains of Japanese firms are being affected by the floods.

Canon's factory in Thailand under water

The trouble about this subject is that there is not much that firms with operations in Thailand can do.  Taking buckets and trying to scoop water out will not work.  Even when the water drains, companies are going to have to wait for utilities to be restored and some equipment will be ruined.  Above all, we hope for the safety of the people there.

Photo courtesy of the Bloomberg article

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