Professional Documents
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Information is the connection between all of the activities and operations in a supply
chain. Information technology is a globally competitive tool for data collection, data
processing through a process of conversion of knowledge, information storage and
transmission to users, when required. Web technologies enable enterprises to
become more effective, to trade with suppliers and customers over the Internet in real
time.
What logistics concepts are employed for the supply chain and what
advantages and disadvantages they entail?
In the electronics industry, the supply chain is the central nervous system that
governs how companies manufacture products. It includes choosing the source of
components, managing supplier relationships, making the product, deciding on
inventory levels, supporting the logistics of transportation and pushing the final
delivery of the manufactured product through distribution channels into the retail
stores. Although the inner details of its operations are secretive (to preserve
competitive differentiation), the TV supply chain is quite open and modular. It relies
on standard components from known suppliers and can be easily copied, contributing
to its large footprint around the world. Several factors contribute to the overall
dynamism and peculiarity of the television supply chain.
When the television industry first arrived in Mexico in the early 80's, only 5% of
components were locally sourced. Gradually, a peripheral components industry
prospered, allowing companies to source now over 80% of components in Mexico
within trucking distance of the manufacturing plants. Ideally, companies prefer
suppliers close to the assembly locations. This saves on transportation costs,
eliminates potential duty rates and allows for better management of vendor
relationships. In reality, companies end up making trade-offs due to the attractiveness
of supply sources from Asia. On average, they rely on global sources for roughly 25%
of components.
The trick is no longer who produces the best TV, but which company is able to exploit
the current global chain. He who globalizes best, wins.
It will also produce heavy metals and hazardous chemicals during TV manufacturing.
To reduce the environmental impact on human, LG has been working to improve
home environment for its consumers by replacing hazardous substances, reducing
noises from home appliances and adding anti-allergy and anti-bacterial features.
Nowadays TVs mostly are using LED screen which has better performance in
display. But more importantly, it enhanced the energy efficiency and reduced the CO2
emission. LG company has made some efforts to promote recycling and efficient use
of resources. They recycled plastic in part of its product components following careful
stability and reliability tests. LG used a total of 5,617 tons of Post-Consumer
Recycled plastic in 2013, continually increasing use to 3,298 tons and 4,980 tons in
2011 and 2012, respectively.
Reference
https://mpra.ub.uni-muenchen.de/66034/1/MPRA_paper_66034.pdf
http://www.emeraldinsight.com/doi/full/10.1108/17579881211248808
http://www.amfiteatrueconomic.ase.ro/arhiva/pdf/no24/articol_fulltext_pag236.p
df
https://ideas.repec.org/a/aes/amfeco/v10y2008i24p236-253.html
http://www.lg.com/global/sustainability/environment/greener-
products/products-application
http://www.lg.com/global/sustainability/environment/greener-
products/products-application
https://www.ic.gc.ca/eic/site/csr-rse.nsf/eng/rs00178.html
http://yaleglobal.yale.edu/content/small-screen-smaller-world