Saturday, January 14, 2012

Think Different?


Three worlds collided this week. No one was hurt. And probably very few people really noticed.

One of my favorite apps for the iPad is the collection of the This American Life radio shows in podcast format. Something about Ira Glass’ monotone drawl and stories about regular people in irregular situations is interesting and relaxing at the same time. To my surprise, the latest episode was dedicated to a scathing indictment of Apple, Inc. and the working conditions at Apple suppliers.

And there it was…Supply Chain risks…This American Life…Apple products…all colliding in one place.

It’s worth a listen, but in summary: Mike Daisey, a pure Apple fan and self described “story teller” performer decides that despite his deep devotion to Apple, he knows nothing about the actual people to assemble the Apple products he loves so much. And with time and money available to him (or maybe just obsession), Mr. Daisey heads to China and talks to workers from Shenzen-based Foxxcon. The situation is dire and working conditions are similar to those seen in the US during the early 1900’s. Among the stark picture of industrial abuse are anecdotes of 34 hour workdays, wages less than $50 USD per week, injuries, exposure to dangerous chemicals, worker suicides, and a foreign business community and Chinese government that both are at best looking the other way and at worse participating in the exploitation. The program ends with the simple statement that Apple claims to have made strides, but without the list of names for all suppliers and data on working conditions none of Apple’s claims of policing suppliers can be validated and a cloud of suspicions will exist.

I could see every CEO in America defiantly proclaiming that they have no need to provide such information to the public, that their suppliers deserve anonymity, and that increased scrutiny does not always being out the truth. Or…an economic freight train like Apple could simply ignore this left-leaning radio show and assume that the entire episode would blow over just like criticisms in the past.

The last thing I expected to see when I logging on to Google News was several stories proclaiming that Apple had actually released their supplier list to the public less than a week after the story aired. Clicking over to www.apple.com yields a new pathway on the main webpage titled: “Supplier Responsibility: Apple’s Supplier Code of Conduct and 2012 Progress Report ). http://www.apple.com/supplierresponsibility/ ).

The impact of this convergence between Apple, This American Life, and supply chain management will have ripple effects. Imagine tossing an iPad into a small puddle of water…although the two will not mix to create something new, it is a good bet that both will be seriously altered by the other. Please return to this space as I will attempt to dissect what the events of the past week may indicate for Apple, it’s competitors, supply chain professionals, media, and consumers. In the meantime, feel free to browse available information on the topic.

Time Magazine

San Francisco Chronicle

The Daily Telegraph

The Wall Street Journal

Times of India

Bloomberg

Washington Post

Financial Times

Fast Company

Happy reading!


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