Huawei: Technology & Supply Chain

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Huawei Technology & Supply Chain: Company Profile

Huawei's business roadmap, technologies and supply chain are all linked by a common aim to develop and innovate technology to remain ahead of competitors, lead the way in the industry and to address sustainability issues.

CORE BUSINESS SEGMENTS

Huawei have three core business segments, all of which are reportedly doing well, below I have listed them, along with the annual revenue they generate:

1. Carrier BG (business group) - $35.8 billion
2. Enterprise BG - $4.3 billion
3. Consumer BG - $19.9 billion

BUSINESS ROADMAP

In terms of a business roadmap, Huawei are teaming up with other leading global telecom operators with the plan of developing ultra-broadband. The company sees that the way forward in the industry is to embrace connectivity, and smart technology. Huawei plans to work alongside other industry leaders in order to follow their business plan which is to build up a "ubiquitous, experience-driven, agile and on-demand ultra-broadband network", which they see as the way forward for telecoms providers.

Huawei believes that players in the industry should be actively exploring emerging business models. Their roadmap includes exploring new technologies such as cloud computing and the IoT. This will allow them to maximize network value.

TECHNOLOGIES

Developing and implementing new technologies are an essential part of Huawei's business model and supply chain (as discussed below). In particular, they recently invested £3 billion ($4.23 billion) buying technology, intellectual property and services from the UK. Technology that it will acquire includes chipset IPs and financial services, much of it will be related to its procurement process. The company plans to remain at the forefront of the digital age through these investments.

In addition, Huawei will also be focusing on developing technology in the area of supply chain cybersecurity. It sees that in order to develop this area, collaboration is needed from all players and governments. Huawei is working on developing "end-to-end cybersecurity management systems that are in compliance with international industry standards and specifications".

Finally, Huawei is also focused on developing and implementing technology in the field of smart logistics and digital warehousing. They are currently using technologies such as RFID sensors, which has already saved them a significant amount in overhead costs.

SUPPLY CHAIN

Huawei views the supply chain as "essential to the survival of any company". The company's CEO claims that the company's view it that it believes that "closely cooperating with our suppliers is essential to building our unique competitive edge." For this reason, the company is very focused on developing their supply chain, and implementing innovative thinking and new technologies in order to stay ahead of competition. To do this, the company has split the task of supply chain management into three areas: risk management, efficiency management, and business innovation.

Huawei has recently updated its Supplier Sustainability Agreement, which means that suppliers who work with the company must be able to comply with applicable laws, regulations and more. The company focuses on fostering a healthy supply chain ecosystem by setting procurement quotas to drive supplier improvements, and taking measures to monitor and control risks.

The company is continually attempting to manage its supply chain sustainability. To do this it is currently focusing on the following areas: Enhancing cooperation with customers to expand joint audits and increase supply chain transparency; Enhancing cooperation with suppliers and building sustainability into procurement and supplier lifecycle management; Enhancing cooperation with governments and NGOs, and reinforcing a market-driven green supply chain mechanism; Enhancing cooperation with industry players to develop standards and drive joint actions.

Huawei is also taking steps to develop their supply chain in order to make its processes greener. It aims to decelerate climate change by the choices they are making. Huawei's CEO claims that the company's efforts focus on "bridging the digital divide and enabling information access for more people, optimizing our eco-design skills to provide more energy-efficient products and solutions, implementing our circular economy strategy to minimize the environmental impact of our smartphones, and continuing the supplier energy conservation and emissions programmes to build a greener global supply chain".

Finally, I have found that Huawei have recently partnered with DHL in order to develop Internet of Things (IoT) supply chain solutions. This partnership is expected to "create $1.8 trillion in efficiency savings for the global logistics industry within the next eight years."

CONCLUSION

To sum up, I have found that Huawei's business roadmap, technologies and supply chain are all linked by a common aim to develop and innovate technology to remain ahead of competitors, lead the way in the industry, and to address sustainability issues. Huawei's business roadmap, technologies and supply chain are all linked by a common aim to develop and innovate technology to remain ahead of competitors, lead the way in the industry, and to address sustainability issues.
Sources
Sources