Supply Chain Management Practices at Nokia Corporation

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Case Details:

Case Code : OPER086
Case Length : 14 Pages
Period : 2005-09
Organization : Nokia Corporation
Pub Date : 2009
Teaching Note :Not Available
Countries : Finland, US
Industry : Telecom

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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About Nokia

The history of Nokia can be traced back to the mid-1860s. In 1865, Fredrik Idestam (Idestam) started a paper mill at the Tammerkoski Rapids in south-western Finland. Idestam, a mining engineer, introduced a cheaper paper manufacturing process followed in Germany in Finland...

Managing Supply Chain

Nokia comprised three business groups - Devices, Services, and Markets. These three groups were supported by the Corporate Development Office (Refer to Figure I for Nokia's Corporate Structure). The Devices division developed and managed Nokia's mobile device portfolio, including the sourcing of components...

Dealing with Recession

The global economic slowdown which affected consumer spending worldwide had a negative impact on Nokia's net sales and profitability. In fiscal 2008, its net sales fell to €50.7 billion from €51.06 billion in fiscal 2007. The company's operating profit declined by 38 percent to €4,966 million from €7,985 million in 2007...


Exhibit I: AMR Research - Supply Chain Top 10 List (2009)
Exhibit II: Nokia's Financial Highlights (FY 2006 - FY 2008)
Exhibit III: Nokia's Supplier Requirements
Exhibit IV: Smart Manufacturing Process in Nokia Factory


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