Case Study: ZTE Corp.’s Supply Chain Transformation Drives Change and Growth
August 23, 2017
At the beginning of 2016, ZTE Corp., a global manufacturer of telecommunication equipment based in China, set out to profoundly transformation its supply chain. The result one year later: A nearly 20 percent revenue increase without adding payroll.
APQC (American Productivity & Quality Center), in conjunction with the Center for Global Enterprise’s Digital Supply Chain Institute, will publish a series of case studies looking at how several leading organization measure supply chain performance amid a digital transformation. This inaugural case study examines how ZTE is trying to become of one of the world’s most efficient supply chains. One goal: ZTE hopes to shrink lead time in its supply chain from 60-70 days to 15-20 days.
Key to ZTE’s supply chain transformation is the change from viewing the function by internal metrics to an external focus on customer-driven performance measures. “Instead of being very proud of the goods that are leaving the factory,’ said Anders Karlborg, Assistant CEO, we want to be very proud when the goods have arrived with the customers. That’s a completely different measure.”
Read the entire ZTE case study here.
Download the entire ZTE case study here.