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4 - Huawei’s Transformation of Supply Chain Management

Published online by Cambridge University Press:  21 March 2020

Xiaobo Wu ,
Johann Peter Murmann ,
Can Huang  and
Bin Guo
By
Ying Li ,
Can Huang  and
Yongyi Shou
Xiaobo Wu
Affiliation:
Zhejiang University, China
Johann Peter Murmann
Affiliation:
Universität St Gallen, Switzerland
Can Huang
Affiliation:
Zhejiang University, China
Bin Guo
Affiliation:
Zhejiang University, China
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Summary

This chapter documents how Huawei transformed its supply chain management over the past two decades. We argue that Huawei’s supply chain management transformation can be divided into two stages: the establishment of an integrative supply chain from 1999 to 2003 and the establishment of a global supply chain from 2005 to the present. In the integrative supply chain management transformation project, IBM consultants helped Huawei identify problems in its operational processes, IT system and organizational structure. Subsequently, Huawei addressed these problems through process reengineering, an integrated IT system, and organizational change management, respectively. In the global supply chain management transformation phase, Huawei first promoted the enterprise resource planning (ERP) system in overseas subsidiaries and representative offices by tailoring the system to local laws, regulations and customer requirements and then made efforts to build an integrated global supply chain network.

Keywords

HuaweiManagement TransformationSupply Chain ManagementEnterprise Resource Planning (ERP) systemIBM consultantsChange InitiativesIntegrated IT system
Type
Chapter
Information
The Management Transformation of Huawei
From Humble Beginnings to Global Leadership
 , pp. 136 - 170
Publisher: Cambridge University Press
Print publication year: 2020

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