The Supply Chain Top 25 ranking comprises two main components: business performance and opinion. Business performance in the form of public financial and ESG (environmental, social, governance) data provides a view into how companies have performed in the past three years, while the opinion component offers an eye to future potential and reflects leadership in the supply chain community. These two components are combined into a total composite score.
Lenovo has fully embraced digital transformation within its complex and global supply chain, and by using technologies including 5G, AI, AR/VR, Blockchain, Big Data, and IoT, it has reduced lead times for customers by over ten days while shipping four devices per second. At this year’s World Economic Forum, Lenovo’s Hefei Factory, LCFC, was added to WEF’s Global Lighthouse Network of 132 leading manufacturers, a group of global factories chosen for their leadership and integration of fourth industrial revolution technologies (41R).
Lenovo’s supply chain is one of the company’s core strengths, comprising a unique global hybrid manufacturing footprint of more than 35 factories. Last year, Lenovo opened its first European in-house manufacturing facility in Budapest, Hungary. Primarily focused on building server infrastructure, storage systems, and high-end PC workstations, this facility has reduced customer delivery times throughout Europe, the Middle East, and Africa. As part of Lenovo’s global/local model, building devices locally dramatically reduces the freight miles these products incur, providing more efficient and sustainable transportation options.
Supply chain security is a top priority for Lenovo, and the company has invested heavily in developing an innovative and resilient supply chain. Lenovo’s core security programs are designed to ensure end-to-end security across all aspects of the supply chain. This spans from robust cybersecurity operations to its trusted supplier program that manages third-party risk. Lenovo has also implemented strong physical security measures throughout its logistics process to safeguard its products from manufacturing to delivery and operationalization in customers’ environments.
Che Min (Jammi) Tu, Senior Vice President and Group Operations Officer, Lenovo said, “The continued digitalization of Lenovo’s supply chains drives benefits for Lenovo’s customers around the world and helps us adapt as the world changes. By continuing to invest in new technologies, we’ve seen several benefits, including improving forecast modeling with AI, and improving scheduling time efficiency.”
Lenovo was in the first group of companies to receive Net-Zero validation from Science Based Targets initiative and the first PC and smartphone maker with targets validated by the Net-Zero Standard. In the last year, the company has also begun working with Maersk, and, Kuehne and Nagel for more sustainable ocean and air freight transportation.
Tu concluded, “As a global technology leader, Lenovo has been committed to reducing its emissions for more than a decade, and as part of our net-zero commitments, we’re currently focused on reducing scope 1 and 2 greenhouse gas emissions by 50% by 2030.”
Read the full Gartner Supply Chain Top 25 Report here.
Gartner Press Release, Gartner Announces Rankings of the 2023 Global Supply Chain Top 25, May 24, 2023
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