FAR EASTERN UNIVERSITY

INSTITUTE OF ACCOUNTS, BUSINESS AND FINANCE

Department of Accountancy & Internal Auditing

Production and Operations Improvement Plan

BME1101 – Section 21
Production and Operations Management
 AY 2020-2021 Second Term

SUBMITTED BY:

Abon, Blanche Carey

Flores, Myrlan Andre Ely
Gicale, Deanna Mae 
Gonzaga, Stephenie Van
Lagunero, Kimberly Faye
Morano, Jhustine Kaye
Padua, Jhon Kenneth
Peralta, Micah Louise

SUBMITTED TO:

Mr. Mark J. Santiago

May 2021

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 TABLE OF CONTENTS

Page No.

Title Page ........................................................................................................................ 1

Table of Contents …....................................................................................................... 2

I. Summary of Revisions…..................................................................................... 5

II. Overview of the Business …................................................................................ 5

Chapter 1: Introduction to Production and Operations Management …................. 5

A. Samsung Electronics Philippines Corporation,

Name, Background/History …................................................................. 5

B. Nature of Samsung Electronics Philippines Corporation ….................... 6

C. Management Team and Industry …......................................................... 6

Chapter 2: Competitiveness, Strategy and Productivity …........................................ 7

A. Samsung Electronics Philippines Corporation Mission and Vision ….... 7

B. Goals ….................................................................................................... 8

C. Organizational Strategies …..................................................................... 9

D. Tactics …................................................................................................ 10

E. Strengths, Weaknesses, Opportunities, and Threats ….......................... 11

Chapter 3: Forecasting …............................................................................................ 18

Chapter 4: Products and Service Design …............................................................... 19

A. Product design and redesign ….............................................................. 19

Galaxy J series …................................................................................... 21

Galaxy S series …................................................................................... 23

Galaxy Note series …............................................................................. 24

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 Galaxy M series ….................................................................................. 26

Galaxy A series ….................................................................................. 29

Galaxy Z series ….................................................................................. 33

Chapter 5: Strategic Capacity Planning for Products and Services …................... 34

A. Capacity Requirements and Tool …....................................................... 34

B. Strategies …............................................................................................ 37

C. Demand Management Strategies …....................................................... 39

III. Introduction …................................................................................................... 41

IV. Operational Activities…..................................................................................... 43

V. Description of the Supply Chain….................................................................. 44

VI. Recommendation…............................................................................................ 46

Appendices…................................................................................................................. 47

Appendix A: Samsung’s Growth….................................................................... 48

Appendix B: Samsung’s Market Share…........................................................... 49

Appendix C: Samsung’s Expenditure…............................................................. 50

Appendix D: Process Map of Manufacturing

in Samsung Electronics Co. Ltd.......................................................................... 51

VII. References …..................................................................................................... 57

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 LIST OF TABLES

Table No. Title Page No.

1 Samsung’s SWOT Analysis 11

2 Samsung Galaxy J models 21

3 Samsung Galaxy S models 23

4 Samsung Galaxy Note models 25

5 Samsung Galaxy M models 27

6 Samsung Galaxy A third generation models 29

7 Samsung Galaxy A fourth generation models 30

8 Samsung Galaxy A fifth generation models 31

9 Samsung Galaxy A sixth generation models 31

10 Samsung Galaxy A seventh generation models 32

11 Samsung Galaxy Z models 33

LIST OF FIGURES

Figure No. Title Page No.

1 Organizational Chart of Samsung Philippines 6

2 Consolidated Statements of Profit or Loss for the Year 2018 and 2019 35

3 Consolidated Statements of Profit or Loss for the Year 2019 and 2020 36

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 I. Summary of Revisions

 Changes in the Recommendation

Recommendation was changed in accordance with the main problem

found in the study.

II. Overview of the Business

Chapter 1: Introduction to Production and Operations Management

a. Samsung Electronics Philippines Corporation, Name, Background/History

Samsung was founded in 1938 in Taegu, Korea. Byung-Chull is the

founder of the Samsung Company. The company was not started by producing

electronics products, in fact they started as food exporters in Korea like selling

fish, vegetables, and fruit to China. In 1951, Samsung became co-operation and

they had flour mills and confectionery machines. And, Samsung began to expand

their company into other industries such as financial, media and chemical in 1958

onwards, and throughout the 1970's they ship building. 

Samsung electronics was established in 1969 by producing Television,

Mobile Phones, Radio, computer components and other electronics devices. And,

it became a major manufacturer in the market of Korean. In 1970, the first black

and white TV of Samsung was sold, and during the 1970's they began to export

overseas home electronics products. Kun-Hee Lee took over as chairman of

Samsung in 1987 because Byung-Chull, chairman and founder of Samsung,

passed away. Samsung's technology businesses rapidly expanded in the late

1970’s and early 1980’s. A major milestone of Samsung in 1980 was the merger

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 between Samsung Electronics and Samsung Semiconductor. In 1985, Samsung

Data Systems was established to meet the increasing need for business systems

growth of Samsung. This system helped Samsung to become a pioneer in

information technology services. To broaden the company’s technology line of

Samsung, they created two research and development institutions.

Samsung continues to expand globally in the electronics markets. In July

1997, Samsung Electronics Philippines Corporation was established. Samsung

became a well-known company globally and they became successful in the

electronics business. They are recognized globally as industry leader and top ten

(10) global brands. Samsung is managing more than 200 subsidiaries around the

world.

b. Nature of Samsung Electronics Philippines Corporation

Samsung Electronics Philippines Corporation, established in the country

in July 1997, is one of the most recognizable and well-known names in

technology in the Philippines. They provide electronic products and services

globally. It’s a manufacturing and marketing company that specializes in

electronic products and equipment, including appliances, memory chips, digital

media devices, semiconductors, and integrated systems.

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 c. Management Team and Industry

Figure 1: Organizational Chart of Samsung Philippines

This is the Management Team of Samsung Electronics Philippines

Corporation. Mr. Jiho James Jung was appointed as President and CEO of

Samsung Electronics Philippines Corporation. Under Mr. Jiho James Jung are the

heads and leaders of each department in the Samsung Electronics Philippines

Corporation that works with him to make the Samsung Electronics in Philippines

successful and meets its vision and mission. Samsung Electronics Philippines

Corporation plays a big role in the technological industry having one of the most

valuable technology brands in the world wherein they have the capacity to create

something that the society needs when it comes to technology. It also offers

innovation to adapt to what the industry has and become more well distinguished

from the other competitors around its industry. In the Philippines Samsung was

one of the sustainable managements creating economic values by maximizing

profits, generating values in the fields of economy, society, and environment.

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Chapter 2: Competitiveness, Strategy and Productivity

a. Samsung Electronics Philippines Corporation Mission and Vision

VISION

“Vision 2020: Inspire the World, Create the Future"

Samsung’s Vision is about inspiring the world to make products that will

help them to make the future brighter. Samsung aspire to create a better world full

of richer digital experiences. They are committed to innovate in technology and

inspire the people to be part of their aspiration of creating the world advanced in

technology and digital.

MISSION

“To inspire the world with innovative technologies, products and designs that

enrich People’s lives and contribute to a socially responsible, sustainable future.”

Samsung Electronics Philippines Corporation is making sure that they

provide products that are new and unique that satisfy its consumers. They want to

make sure that their loyal customers’ lives will enhance and that in the future they

will be less worried about meeting their needs.

b. Goals

1. Quantitative Goals: USD 400 billion in sales, predominantly No.1 in the

global IT industry & Global top 5. Samsung’s quantitative goal is to have

a sale of USD 400 billion and to be known and be on the top one (1) in the

global IT industry and to be top 5 globally.

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 2. Qualitative Goals:

 Innovative company: Samsung makes products that are new and

unique from its competitors' products. They make sure that the

products that they offer have not been offered by its competitors.

 Respect company: Samsung wanted to be respected and valued

by its consumers and possible consumers in the whole world. 

 Top 10 world’s best workplaces: They want to make sure that

they took good care of their employees. And to give an amazing

experience to its employees. Samsung makes sure that their

employees have amazing work and experience inside the

Samsung company, so that Samsung will be on the top 10 world’s

best workplaces.  

 Creative leader building new markets: Samsung wants to have a

competent and creative leader that helps to build new markets

around the world.

 Global enterprise that attracts the world’s best talents: To attract

the best talents that helps them to innovate new products.

c. Organization Strategies

1. Product Development and Design - Samsung uses this strategy to create

products that would deliver consumers items with benefits that to some

might find it somehow worth the price. Samsung usually has their team of

designers collaborate with manufacturing teams, marketers and firm’s

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 engineers to create attractive styling, high-definition cameras or any other

subjective product designs that consumers would like.

2. Innovation - Samsung chose to invest in research and development and

innovation. For them to be able to have a competitive market, they try to

pioneer developing new technology. 

3. Brand Building campaign - Samsung focuses on making a promotional

campaign that would establish their brand image. They started it by re-

organizing their distribution channels to match their objective of giving

Samsung an established image of high-quality brand. 

4. PEST analysis - Samsung uses this analysis to examine and determine a

country’s Policy, Economic, Social, and Technology aspects.

5. Full Vertical Integration - Samsung uses this strategy by leveraging all

aspects of the manufacturing process from producing the raw materials to

electronic components to fully assembled products. Samsung earns most

of their money as they are one of the largest suppliers of electronic

components even in their competitors.

6. Diversification - Samsung allows flexibility as they become a globally

diverse organization. They use the concept of synergy in which they try to

penetrate the market by making business deals and combinations with

other organizations.

d. Tactics

1. Samsung introduces innovative, new and enhanced products in the market

like smartphones.

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 2. Samsung used well-known artists like BTS (K-pop group) in their

advertisement to attract more consumers. They build the image by

promoting their products using well-known artists.

3. Samsung partnered with different firms that will help them to enhance and

advance their features.

4. Samsung makes sure that their suppliers can provide their raw materials

immediately and have other sources of their raw materials if something

happens to its other suppliers.

5. Samsung makes sure that their products are well and fully assembled, in

condition and good quality. 

6. They make sure that the products that they offer are aligned to the trend.

And, user-friendly and eco-friendly.

e. Strengths, Weaknesses, Opportunities, and Threats (SWOT)

Table 1: Samsung’s SWOT analysis

S W

STRENGTH WEAKNESSES

 Samsung has been known  Since 2017, Samsung is

globally in the smartphone experiencing a decline in their

market for years.  sales.

 Samsung’s Research and  Samsung is heavily dependent on

Development Expenditure is very the markets of American, even

high resulting in having the though they are making efforts to

strongest patent portfolios among diversify its resources and expand

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 technology companies. their business.

 Samsung operates 34 Research  Samsung had offered and

and Development institutions delivered products that failed,

around the world that help them which threatened the buyers’ life

to make an innovation to their that resulted in gradually

products. destroying the trust and

 Samsung has been a pioneer for confidence of buyers to the

innovation that is capable of Samsung Electronics.

producing products that are well-  Samsung’s revenue mostly came

designed and ecologically from its low-end smartphones. 

friendly.   Samsung has been keeping the

 For 14 years in a row, Samsung leadership within the family for

received an award-winning brand, three generations because of this

the Consumer Electronics Show the company may become

(CES). inactive because of lack of fresh

 Samsung is the second largest ideas.

technology company in the  The bribery scandal of the

industry. company had ruined its

 Samsung retains a stronghold in reputation. This scandal has

the market of Asia. resulted in gradually destroying

 In the 9th year in a row, Samsung the trust of consumers in Korea

Electronics has been included in and globally.

the “Asia’s Top 1000 Brands, and  There are some technology

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 they are named as the best brand companies that offer products

in Asia.  with similar capabilities to the

 Samsung’s manufacturing and products offered by Samsung, and

marketing capabilities are strong. more affordable prices.

O T

OPPORTUNITIES THREATS

 In the UK’s list of potential 5G  The sales of Samsung declined

providers, Samsung is one of the since the pandemic started. The

top 5G providers. Since, 5G Coronavirus became a threat in

technology is achieving in the the businesses because this has a

world, this is an opportunity for major impact on the changes in

Samsung to make a 5G the industry environment.

technology and equipment.

 There is a high competition in the
Samsung has the capabilities to
smartphone industry. Samsung
provide and offer 5G technology
has many competitors around the
 The demand for digital services is
world, and its biggest competitor
kept growing. Since the lockdown
is Apple. 
started people are locked up in

their houses and most of them are  Apple had filed a lawsuit against

using smartphones for Samsung because of patent

entertainment and others. And, infringement. This controversy

since the new normal in education ruined and damaged the image,

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 is implemented which is online
reputation and sales of Samsung. 
class and also there is some

company that is working from  The government authorities are

home, laptops, smartphones and implementing new guidelines and

any other gadgets are needed by legal framework for the

students and employees. technology industry, as the world

Therefore, demand for digital continuously becomes globalized

services increased and this is an and digitally oriented. This

opportunity for Samsung to create becomes a threat in the

and offer more products. technology industry because if

 To increase the sales and they don't comply with these new

consumer base of Samsung, they guidelines and legal framework

should have diversified and their business will be shut down.

expanded their business to

 Samsung has an impending court
different countries to attract more
case. There are new allegations
consumers, and they also
that they manipulate the stock
acquired other businesses.
price and violated an audit-rule.
  Samsung should keep on trends
And, this may lead to disruption
of the new styles for the
of leadership that may affect the
smartphones. Since trends on the
performance of Samsung. 
technology are kept on changing,
 Samsung is very known in the
it is an opportunity for Samsung
technology industry. Since there
to make, offer and introduce
are a lot of businesses that are

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 innovative products in the market.
entering the technology industry,
 Samsung should focus on
there is a possibility that some of
investing in its HR Management,
them may imitate the different
and they should hire highly
smartphone models of Samsung.
qualified and skilled employees.
Imitations of products in the
This will help them to improve
markets are kept on rising.
the performance of their

employees and their productivity.

This opportunity will be good to

their sales and also it will give

them competitive leverage over

its rival.

SO WO

STRATEGIES STRATEGIES

 Samsung should continue to   Samsung should make sure that

innovate and produce new their products are well-designed

products to the market. To and functioning well to avoid

continue attracting new customers accidents that may threaten the

or loyal customers. life of the consumers.

 Samsung has been known  Samsung should clear their

globally because of its innovative violations or scandals that can

products. Samsung should ruin the image of the company.

continue to expand its markets  To continuously produce

around the world to have more innovative products Samsung

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 customers that will help them to should continue to invest and

increase its sales.  diversify its resources from other

 Samsung should continuously countries in order for them to be

hire employees that are highly able produce top-innovative

qualified and skilled. And also, products, and to increase its sales.

continuously train them to be  To avoid producing defect

more competitive and able to products, Samsung should hire

continue making top-innovative employees that are highly

products.  qualified and skilled, and train

 Since Samsung has been them more to utilize their skills

investing more on Research and and abilities to make and create

Development to create well- new and fresh ideas.

designed and eco-friendly

 Samsung should make a plan on
products, they continue to make
how they will meet the demand of
eco-friendly products so it will
the consumers, how they will
not harm and worsen the
make innovative and eco-friendly
condition of the Earth.
products, and selling products
 Samsung should continue to
that are affordable yet well-
discover new products that are
designed and eco-friendly
linked to the trends and demand
products that are appealing to its
of the consumers. 
consumers

ST WT

STRATEGIES STRATEGIES

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  The sale of the Samsung is  Samsung is facing lawsuits and

declining because of the scandals that ruin their image.

Coronavirus. Samsung can focus Samsung should start being

on improving its existing honest and transparent to its any

products and its services to make activities so that they will attract

it more appealing to its more loyal customers.

consumers.
 Since the start of the Coronavirus

 Samsung should ready their outbreak the sales of Samsung

company to any possible changes has been declining because its

in the guidelines and framework demand is not high. Samsung

that the government will should make a plan on how they

implement for the technology will increase their sales. And,

industry. Samsung should make an

alternative way on how they will

 As the competition in the
make their sales increase again.
technology industry is kept on

rising and imitation of its  Because of the rising competition

products is possible, Samsung in the technology industry,

should do something and should Samsung should continue on

keep on innovating products that discovering and innovating new

have not been offered by any of products that have not been

its competitors. offered in the market, and they

should continue on exploring how

 Since there are scandals about

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 Samsung that ruin their image, they can improve their existing

Samsung should make a plan that products and services that can

will help them to clean their beat its competitors.

image and should avoid making

 Since there are smartphones that
any mistakes and violations that
are faked and not being
can ruin their image.
assembled properly that causes

accidents. Samsung should make

that the products that they are

offering are properly assembled

and safe. And it should be eco-

friendly.

Chapter 3: Forecasting

1. Time Series - Through Samsung SDS, the company utilizes Cello in the

collection, thorough calculation, and analysis of data used for forecasting. It is an

advanced and easier tool powered by an AI that gives a more accurate forecast.

Cello's Demand Sensing has also given Samsung a larger capacity to store all the

data gathered and real-time updates on international shipments and logistics.

Apart from that, it also analyzes current industry trends needed to study the

market. Due to this, their reliable analysis for future sales and demand using past

data helped them determine what could be the best possible strategies to use and

trends to take note of.

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 2. Salesforce Opinion - Samsung strengthened their sales management and

implemented this approach to have more information about the consumers'

possible considerations for products that could be used for modification of

features or new product lines. Through this, there will also be an improvement in

the sales revenue. The data is gathered through the perspective of the team who

has a closer relationship with them.

3. Expert opinion - Samsung asked the help of Adexa consultants in which they

have implemented its Supply Chain Planning, Factory Planning and Scheduling,

Order Fulfillment, and Collaborative Demand Planning solution for a span of 11

months to cater a linked-up planning environment. This strategy will provide a

solution along with suggestions to revise the company’s strategy to be able to

reduce the number of excess inventory by giving providing a more reliable data to

the team. With this eCGS, Samsung Electronics has seen that their forecast

accuracy has increased significantly and that there is a greater plan visibility and

customer’s satisfaction increased.

4. Consumer Survey- Samsung uses this approach as a tool to determine the buyers’

buying behavior when it comes to their smartphone choices. They try to identify

the factors that influenced the customer to purchase a product.

5. Market Test- Samsung uses this approach by inviting representatives of the press

as well as influencers to attend numerous closed events initiated by them to

inspect their products to be released soon in the market. If it did not receive a

wow reaction, it would go back straight to the design team. 

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Chapter 4: Products and Service Design

Product design and redesign

Samsung Electronics is one of the largest producers of electronics devices in the

world. They offer a wide variety of products including smartphones, tablets, audio and

sound devices, watches, televisions, refrigerators, monitors, household appliances and

more. In the 2000's Samsung Electronics introduced their Samsung Galaxy Smartphone

series. It became their most recognized product and top annual list of best-selling mobile

phones.

Samsung Electronics use stages to develop and manufacture their Product. The

manufacturing of Samsung phones includes several stages. Conceptualization is the first

stage of the manufacturing process. In this stage, Samsung Electronics is continuously

thinking and formulating new concepts, designs, and features of Samsung Phones based

on advanced technologies and the consumer's needs. The ideas can be used for a new

product or a development of an existing product in the market. The next stage would be

researching, developing the new concepts of the Product. Samsung Electronics should

take notes of the things to consider or emphasize the identification of suitable technology,

workers, and methods for applying the new concept ideas.

The third stage would be having coordination with the circuit design. Samsung

Electronics uses different computer drafting software in developing a schematic diagram

of the Product. For the fourth stage, packaging and printed circuit design is done as for

Samsung Electronics. Its focus is to create an attractive enclosure design for their

Samsung Phones. The significant steps for this stage are selecting package style, method

of graphics and nomenclature, resolving the requirement of printed circuit diagram, and

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processing the printed circuit artwork on film. After finalizing all the designs, developing

a prototype would be the next stage as it is done for trial purposes.

Design review is the next stage after performing developing prototype to

extensively review and evaluate the Product in terms of its appearance, function, possible

enhancements, and build costs. With this, it would identify things that needed to be

changed or to improve on. Next is Test Setup, to ensure that the quality of Samsung

Phones had undergone test procedures before it is finally released. Documentation is the

next stage; this focuses on provides the project's deliverables. (Lee et al., 2013). The last

two stages are Agency Compliance and Following Up. Samsung Electronics should

comply with several rules and regulations. Lastly, following up, Samsung Electronics

reviews and considers every supporting data of Samsung Phones to know what requires

improvements under the cost, value, and quality. For illustration see Appendix D.

The following is the list of galaxy phone series that Samsung continue to

reproduce and improved through the years to meet the customers' needs.

Galaxy J Series

Samsung J Series is composed also of J1 to J8 Models of Samsung Device.

Samsung J series stands for Joy, its target market is Asian and European entry level.

These models have minor updates. It is said the Samsung J series will be discontinued on

favoring Galaxy A series and introducing M series as new exclusive series of

smartphones so have more competitive advantage against Huawei, Oppo or Vivo.

Table 2: Samsung Galaxy J models

Model Description Model Description

1. Samsung Samsung Galaxy 2. Samsung For Samsung

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Galaxy J1 J1 smartphone Galaxy J2 Galaxy J2 it
featured a Dual upgrades to 1GB
Micro SIM that RAM with 8gb
comes with 4gb internal storage
internal storage, with 2000 m4h
1850 mAh battery battery capacity,
capacity and a however, the
camera with 5MP camera details are
Rear, 2 Mp Front still the same from
Camera rear. the previous model.
3.Samsung Galaxy Samsung Galaxy 4.Samsung Galaxy Samsung Galaxy
J3 J3 comes with a J4 j4 comes with
vibrant 5.0" HD Samsung Exynos 7
AMOLED Display Quad 7570
and a memory slot processor with
that can expands upgraded camera
into 256gb storage. lens having 13 MP
Rear, 5 MP Front
Camera Rear and
has a battery
capacity of 3000
mAh.
5.Samsung Galaxy Samsung Galaxy 6.Samsung Galaxy Samsung Galaxy
J5 J5 features a J6 J6 comes with 32
Qualcomm GB internal storage
Snapdragon 410 with 3GB RAM
MSM8916 with and has a processor
8gb internal storage of Samsung Exynos
and 2600 mAh 7 Octo 7870 with a
battery and still, a camera detail of
dual micro-SIM. 13MP Rear, 8MP
Front Camera rear.
It also comes with
3000 mAh battery
capacity.

7.Samsung Galaxy 8.Samsung Galaxy Samsung Galaxy

J7 Samsung Galaxy J8 J8 upgraded J
J7 has 5.5 inches series among all as
screen with 13MP it comes with

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 Rear, 5MP Front Qualcomm
Camera rear and a Snapdragon 450
16GB internal processor with
storage and has a 64gb internal
battery capacity og storage and 3500
3000 mAh. mAh battery
capacity and has a
big screen with
atleast 6.0 inches
screen.

Galaxy S Series

The Samsung Galaxy S series is the main high-end android smartphone series

developed and produced by Samsung Electronics.

Table 3: Samsung Galaxy S models

Model Description Model Description

1. Samsung Samsung Galaxy S 2. Samsung Galaxy S2
Galaxy S smartphone Galaxy S2 upgrades its size
featured a and quality of its
removable mAh predecessor's
battery and display, but its
replaceable storage main feature was
through a microSD the thin and light
chip, and it has a design that made it
Super AMOLED easy to handle.
display

3. Samsung Galaxy S3 released 4. Samsung Galaxy S5 features

Galaxy S3 having a feature of Galaxy S5 a small cover on the
2,100 mAH battery USB port and can
which improves its Galaxy S5 features
battery life. a small cover on the
USB port and can
sustain 1 meter
underwater for up
to 30 minutes.

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5. Samsung Galaxy S6 and S6 6. Samsung Galaxy S7 and S7
Galaxy S6 Edge featured a Galaxy S7 Series Edge introduced a
metal frame and 12-megapixel setup
glass backing and camera bolstered by
featured 5.1-inch dual pixel
screens with 577 autofocus, a pixel
pixels-per-inch of focusing and
its pixel density and captures light
a curved display simultaneously. S7
wrapped around the feature f/1.7
left and right sides aperture excelled in
of the phone. low-light settings.

7. Samsung The Galaxy S8 and 8. Samsung Galaxy S9 and

Galaxy S8 Series S8+ have an Galaxy S9 Series S9+'s camera has a
“Infinity Display.”, new dual aperture
a screen of 5.8 and camera lens that
6.2 inches receives 28% more
removing the home light, allowing
button to extend all users to take bright,
corners of the lifelike photos in
screen. It has a low-light settings.
facial recognition
unlock feature and
an iris detection.
9. Samsung The Galaxy S10 10. Samsung The Galaxy S20
Galaxy S10 Series and Galaxy S10+ Galaxy S20 Series series upgraded a
improved by their display with a 120
screen size and an Hz refresh rate and
additional front- enhanced its
facing camera on camera system up
the S10+. to 8K video
recording and a
super-resolution
zoom.

11. Samsung Galaxy The Galaxy S21

S21 Series series has 8k video
recording, Space
Zoom, Directors
View, multi-lens
camera systems,
and an all-day
intelligent battery.

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Samsung Galaxy Note Series

The Samsung Galaxy Note flagship is a smartphone series developed by Samsung

Electronics that is considered the first successful high-end Android Phablet. A

smartphone with a large screen comes with a stylus pen intended for note-taking or

digital drawing, or publishing. Galaxy Note Series is the best comparison with the Galaxy

S Series in terms of popularity.

Table 4: Samsung Galaxy Note models

Model Description Model Description

1. Galaxy Galaxy Note 2. Samsung Galaxy Note 2
Samsung Note debuted with an Galaxy Note2 introduced the split-
active digitizer with screen function for
256 levels of displaying two apps
pressure sensitivity. simultaneously.
Shipped with Improves pressure
Android 2.3 and got sensitivity on the S
updates all the way Pen to 1024 levels
to Android 4.1 and for greater accuracy
has 5.3-inch HD and debuted an Air
display. View feature.
3. Samsung Galaxy Note 3’s 4. Samsung Galaxy Note 4
Galaxy Note3 design was a mix of Galaxy Note4 switched out the
plastic leather and faux metal frame
faux metal. Its for aluminum.
display got an Digitizer was
upgrade to 1080p upgraded to support
and was the first 2048 levels of
phone to ship with pressure. It featured
3GB of RAM a UV ray
measurement
sensor in addition
to a heart-rate
monitor and SpO2
sensor.

5. Samsung Note Galaxy Note Edge 6. Samsung Galaxy Note 5

Edge was one of the first Galaxy Note5 debuted a glass
phones to ship with back as well as a

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 a curved display. spring-loaded
stylus. It also
started the trend of
sealed batteries on
the Note series.

7. Samsung Galaxy Note 7 8. Samsung Galaxy Note 8 was

Galaxy Note7 introduced an Galaxy Note8 the first phone in
infrared-based iris the series to include
recognition system. a dual-lens camera
With the Note 7, system. It includes
Samsung gave the a dedicated key for
S-Pen brand new Samsung’s Bixby
abilities including virtual assistant and
translation features, adds ‘screen-off
a screen magnifier, memo’ feature.
and the ability to
record GIFs. Also,
brought back the
microSD card slot.
detection.
9. Samsung The Galaxy Note 9 10. Samsung Galaxy Note 10
Galaxy Note9 was the last phone Galaxy Note10 Series added a
in the Note series to feature of an
include a Infinity-O display
headphone jack. with a selfie camera
The stylus or S-pen cut-out and
now has a battery integrated the
charged via the slot power button into
at the bottom of the the Bixby button. It
phone whereas a 40 introduced a cut-
second charge was down version called
enough for 30 the Galaxy Note 10
minutes of use. Lite that swapped
processing power
and display-specs
but retained fast
charging
11. Samsung Galaxy Note 20
Galaxy Note20 Ultra's primary
Ultra camera has a
108MP sensor that
when combined

26
 with the periscope
lens gives you up to
50x hybrid zoom
and can now record
up to 8k video.

Galaxy M Series

The Samsung Galaxy "Millennials" M Series is one of Samsung's most extensive

hit Flagship series. In terms of quality and quantity, the M series main focus is to provide

quality features that suit the affordability of the phone, unlike with other series that it may

have enough features that stand out its quality. Still, its affordability is way higher

compared with the M series.

Table 5: Samsung Galaxy M models

Model Description Model Description

1. Samsung Galaxy Galaxy M12 has a 2. Samsung
M12 6.5-inch PLS IPS Galaxy M02s
waterdrop notch Galaxy M02s
display with an powering
HD+ pixels Qualcomm
resolution Snapdragon 450
including a 20:9 chipset that good
aspect ratio, a for casual gaming.
270ppi pixel Its storage expands
density, and a 90Hz to 1TB with a
refresh rate. It has Triple camera setup
memory card slot and comes with
for additional massive 5000mAH
storage and packs battery capacity
with 6000mAH. along with 15
Watts fast charging
support.
3. Samsung Galaxy M02 offers 4. Samsung Galaxy M01s has a
Galaxy M02 a 6.5 inch PLS IPS Galaxy M01s 6.2-inch display
Infinity-V notch with HD+ 720 x
display, HD pixels 1520 pixels
resolution. It offers resolution and
a dual-camer setup, made from

27
 a various polycarbonate. The
connectivity camera comes with
options and a 13 MP + 2MP at
massive 5000mAH the back and 8 MP
battery capacity. front selfie camera
and with added
feature, the Dolby
Atmos technology.

5. Samsung Galaxy M11 6. Samsung Galaxy M01

Galaxy M11 comes with a 6.4- Galaxy M01 comes with three
inch HD+ colors: black, blue
(720x1560 pixells) and purple. It has
display with a hole- 5.7-inch HD+
punch design. It display with a
has a triple rear waterdrop style
setup with a wide- notch and a 19 5:9
angle camery. aspect ratio.
There is also a rear- However, it has a
mounted slightly smaller
fingerprint sensor battery capacity
and a 5,000mAh and does not
battery capacity support fast
charging.
7. Samsung Galaxy M51 has a 8. Samsung Galaxy M31s is
Galaxy M51 massive 7000mAh Galaxy M31s available in a
battery capacity gradient pattern in
that allows doing Mirage Black and
reverse charging by Mirage Blue with
using Type C to Gorilla Glass 3
Type C data cable. protection. It has
It also as a side fingerprint sensor
fingerprint sensor. and face unlock
support and has a
Quad rear camera
that allows you to
take a single
capture with
multiple outputs.
9. Samsung Galaxy M21 10. Samsung Galaxy M31 uses
Galaxy M21 tagged as Galaxy M31 the Exynos 9611
"WattaMonster that Octa-Core
comes in Midnight processor, it has a
Blue and Raven 6gb DDR4 and a
Black colors and Quad-camera set

28
 has a 6000mAh up of 64MP with
batter, super camera features
AMOLED display. such as Night
48M Triple camera. Mode, Super
Steady Mode, Live
Focus and super
slow-motion
videos. It also has a
massive 6000mAh
that comes with
fast charging
support.

Samsung Galaxy A Series

Samsung Galaxy A series is composed of 7 generations of mobiles phones. The A

series is known for being a mid-range device also named as Samsung “Anycall” Galaxy

A under the flagship of Galaxy S. The first generation was introduced on August 13,

2014, with a metallic frame with specification of Qualcomm Snapdragon 801 which is

the first mobile phone system on chip of 20 nanometer manufacturing process. Despite its

quality built and design, it was also criticized by the market since it was compared to

Galaxy S5 since A series lacks water resistant, lower screen resolution and no Micro SD

slot, because it was released at a high value. Then, the Second Generation with new

features of Adaptive Fast Charging and metal glass body.

Third Generation focused on improved features with 16-megapixel front and back

camera, water, and dust resistance.

Table 6: Samsung Galaxy A third generation models

Model Description Model Description Model Description

1. Galaxy Samsung 2. Samsung Samsung 3. Samsung
Samsung Galaxy A3 Galaxy A5 Galaxy A5 Samsung Galaxy A7
A3 has a 4.7" has a 5.2" Galaxy has 6.0"
Super Super A7 FHD+ Super
AMOLED
AMOLED AMOLED

29
 (720 x 1,280 (1,920 x Infinity
pixels) with 1,080 pixels) Display
Samsung with Samsung (2,220 x
Exynos 7870 Exynos 7880 1,080 pixels)
with 64 and
Octaprocessor. Octa
128 GB ROM
Its camera has processor. Its ans 4 to 6GB
13MP Rear camera has RAM. It has
and 8MP front 16MP Rear Fingerprint
camera and and 16MP Scanner,
has 1350 mAh front camera Always-on-
battery and has 3000 Display,
capacity. mAh battery Dolby Atmos
capacity. with 24 MP
Main, 8 MP
Ultra-Wide, 5
MP Depth
Sensor Rear
Cameras.

Fourth generation take their Samsung A series to a high-end feature with multi-

lens camera, infinity display and revamped design. The fourth generation composed of

the following models: Galaxy A6, Galaxy A6+, Galaxy A7, Galaxy A8, Galaxy A8+,

Galaxy A8 Star, and Galaxy A9. The three below are the most highlighted models during

fourth generation.

Table 7: Samsung Galaxy A fourth generation models

Model Descriptio Model Description Model Description

n
1. Galaxy Samsung 2. Samsung A8 3. Samsung
Samsung A6 Galaxy A6 Samsung comes with Samsung Galaxy A9
comes with Galaxy A8 5.6" FHD+ Galaxy A9 comes with
5.6" HD+ Super Qualcomm
Super AMOLED Snapdragon
AMOLED Infinity 660 with 6.3"
Infinity Display (2,220 FHD+ Super
Display x 1,080 pixels) AMOLED
(720 x 1,480 and Infinity
pixels) with Fingerprint Display (2,220
16MP Rear Scanner, IP68 x 1,080 pixels).
and Front Resistance, Its camera

30
 Camera and Always-on- upgraded into
a fingerprint Display, Fast 24 MP Main,
scanner. Its Charging. 10 MP
battery Telephoto, 8
capacity is MP Ultra-
3000mAh. Wide, 5 MP
Depth Sensor
Rear Cameras
and 24MP
Front Camera.

Fifth Generation improves its feature of water drop notch display, higher battery

and memory capacity and video stabilization feature. The featured models in this

generation are Galaxy A2 Core, Galaxy A10e, Galaxy A10, Galaxy A10s, Galaxy A20,

Galaxy A20s, Galaxy A30, Galaxy A30s, Galaxy A40, Galaxy A40s, Galaxy A50,

Galaxy A50s, Galaxy A60, Galaxy A70, Galaxy A70s, Galaxy A80 and Galaxy A90.

Table 8: Samsung Galaxy A fifth generation models

Model Description Model Description Model Description

1. Galaxy Samsung 2. Samsung 3. Samsung
Samsung A60 Galaxy A60 Samsung Galaxy A80 Samsung Galaxy A9
comes with Galaxy comes with Galaxy comes with
Qualcomm A80 Qualcomm A90 Qualcomm
Snapdragon Snapdragon Snapdragon
674 with 730 and 6.7" 660 with 6.3"
6.3" FHD+ FHD+ Super FHD+ Super
PLS TFT AMOLED AMOLED
LCD New Infinity Infinity
Infinity-O Display (1080 Display (2,220
Display x 2400 pixels). x 1,080 pixels).
(1080 x It has 4500 Its camera
2340 mAh battery upgraded into
pixels). It capacity with 24 MP Main,
has 3500 25 watts fast 10 MP
mAh battery charging. Telephoto, 8
capacity MP Ultra-
with 15 Wide, 5 MP
watts fast Depth Sensor
charging. Rear Cameras
and 24MP
Front Camera.

31
 Sixth Generation refreshes its features such as geometric design, faster

predecessor, and increased storage options.

Table 9: Samsung Galaxy A sixth generation models

Model Description Model Description Model Description

1. Galaxy Samsung 2. The Galaxy 3. Samsung
Samsung A41 Galaxy A41 Samsung A51, a Samsung Galaxy A71
comes in a Galaxy successor to Galaxy is powered by
waterdrop- A51 the Galaxy A71 Qualcomm
notch design A50, delivers SDM730G
and a display a 6.5-inch SoC, also has
of 6.1-inches Super an L-shaped
sporting a AMOLED 64MP quad
triple camera Infinity-O rear camera
setup with a display, uses setup while
48MP main Exynos 9611 the 32MP
sensor, face chipset and selfie cam is
unlock, and captures nestled in a
fingerprint 48MP for the hole-punch
sensor main cam and center
features. 32MP on the display.
front.

Lastly, the Seventh Generation increased its RAM and storage options, larger

displays, camera upgrade and 5G upgrade. 

Table 10: Samsung Galaxy A seventh generation models

Model Description Model Description Model Description

1. Galaxy Samsung 2. Samsung 3. Samsung
Samsung A42 Galaxy A42 Samsung Galaxy A52 Samsung Galaxy A72
5G 5G expands Galaxy 5G comes Galaxy comes with
your view A52 5G with the latest A72 sleek curves
with the 6.6- 5G seamless
inch Infinity- connection. It design. It also
U Display and has 6.5” comes with
a super FHD+ four colors:
AMOLED SA(120Hz), Awesome
technology. It Infinity-O Violet, Black,
also comes screen display, Blue and
with 48MP + Rear Camera - White. An
8MP + 5MP + 64MP Octa-Core
5MP Rear +12MP+ 5MP processor
Camera and + 5MP ; Front with 8GB
20MP Front Camera - RAM and can

32
 Camera with 32MP camera store at least
5000mAh and has 256GB up to
battery 4500mAh 1TB and has
capacity. battery a battery
capacity. capacity of
5000mAh.

Galaxy Z Series
Galaxy Z series, which includes galaxy z fold, galaxy z flip, galaxy z flip 5g, and

Galaxy z fold 2 5g, is a line of foldable phones released by Samsung Electronics.

Table 11: Samsung Galaxy Z models

Model Description Model Description Model Description

1. Galaxy Galaxy Z 2. Samsung Galaxy Z 3. Galaxy Z Fold
Samsung Z Fold is the Galaxy Z Flip is a full Samsung 2 5G has a
Fold 1st In- Flip screen phone Galaxy Z screen display
Foldable that folds to Fold 2 of 7.60-inch
Smartphone fit in your 5G (1768x2208).
with pocket and a It also
Futuristic phone that comes with
Design. It can stand on Qualcomm
has a 7.3" its own Snapdragon
QXGA+ which comes 865+ processor
Large Screen with a dual that has 256GB
Experience battery that storage and a
and a lasts all day. 4500mAh
versatile battery
hexa-camera capacity.
with a long
lasting 4,380
mAh battery.

Chapter 5: Strategic Capacity Planning for Products and Services

A. Capacity Requirements and Tools

Samsung is made up of companies that are innovating in a variety of

industries, including consumer electronics, petrochemicals, advertising, and life

insurance. They are passionate about developing creative and high-quality products,

33
 and millions of people and businesses all over the world rely on these products every

day. Consequently, Samsung incorporates Supply chain management (SCM) to

improve efficiency on production and gain a competitive edge over competitors, as it

helps in increasing a company's productivity in a constantly changing market.

Inventory management is another important business feature, and its effectiveness

assists a company in meeting the demand for product supply while optimizing the

company's profitability. Samsung receives a large portion of its sales internationally,

and the business must compete on its quality and price. In order to lower the price of

its mobile devices, the business would use Just-in-Time inventory approach to

minimize production costs. By utilizing the Just-in-Time inventory approach,

Samsung uses the Android software on its smartphones, which is also used by a

variety of competitors. As a result, Samsung is obliged to price its mobile products

within a narrow range in contrast to competitors' similar goods.

Although Samsung has exemplary operating strategies and inventory

management, it has faced a number of challenges in the market, most notably in terms

of profit. According to Moon (2019), customers such as data center companies and

smartphone manufacturers were impacted by "macroeconomic uncertainties and

inventory level adjustments." As a result, the tech giant believes the issues that caused

a sharp drop in the fourth quarter of 2018 will continue, and it has cautioned that

weaker demand for memory will result in lower earnings in 2019. As can be seen in

Figure 1, the profit fluctuates from 2018 to 2019. Data reveals that ₩44,344,857 was

the profit in 2018, and this was reduced to ₩21,738,865 in 2019. Samsung's net

profit margin decreased from 39.82% in 2018 to 26.14% in 2019. Pursuant to Van

34
 Dorp (2020), Samsung's revenue declined as memory chip prices dropped and

demand for display panels fell. Samsung, on the contrary, is benefiting from strong

sales of flagship smartphones and increased demand for mobile and server memory

chips in 2019. Samsung's profit gradually recovered in 2020, despite the fact that

2019 proved to be a difficult year for the company.

Figure 2: Consolidated Statements of Profit or Loss for the Year 2018 and 2019

Taking a look into Samsung’s Consolidated Statements of Profit or Loss

for the Year 2019 and 2020, it can be seen that their Net Profit has increased from

₩21,738,865 in 2019 to ₩26,407,832 in 2020. According to the Samsung

Newsroom (2021) The reason why they had their huge rebound when it comes to

the company’s Net Profit is because customers had a great demand in their

smartphones, and also Samsung had a great surge of increased TV and monitor

panel price together with its constant demand. Moreover, the net profit margin of

Samsung has also increased from 26.14% in 2019 to 28.60% in 2020. A 2.46%

change in percentage is a great start for Samsung to continue to increase their net

profit in the succeeding years.

35
 Figure 3: Consolidated Statements of Profit or Loss for the Year 2019 and 2020

Notwithstanding being in pandemic season, whereas electronics is not an essential

thing to buy, Samsung Electronics Co., Ltd. found their year to bounce back from the

great loss they had during 2019. Furthermore, according to Samsung Newsroom (2021),

the greatest impact why the company had a good 2020 Financial Statement is because of

the secured supplies of their products and services worldwide. However, in the third

quarter of 2020, Samsung Electronics had their downfall due to slow-moving sales and

weak memory prices. On the other hand, Samsung Electronics is expecting to have low

sales again in the first quarter of 2021 even though smartphones still have its constant

demand from customers, but the downfall is because of the new production lines in their

Memory Business that will incur a lot of costs.

36
B. Strategies

Samsung, as one of the leading smartphone brands in the Philippines, has

established strategies that have aided in their expansion. One of these is their

sustainability management strategy, which seeks to create a set of integrated

principles. Their aim is not only to increase profits and shareholder values, but they

also have a greater responsibility as global citizens to establish social values. As they

innovate their products and deliver services along the value chain based on the core

values they uphold, Samsung has developed values in the fields of economy, culture,

and the environment. Throughout the process, they keep track of the financial and

non-financial impacts they have on society in order to maximize their positive

impacts while mitigating any negative ones. Their strategies to introduce emerging

technologies to market pave the way for profits and shareholder values. They also aim

to integrate innovation into their organizational culture while fostering synergies

through the use of external resources resulting from a step closer to creating an

ecosystem that enables them to create innovative products that meet the needs of their

customers. Another is their social value creation, Samsung is creating social

principles that are consistent with the United Nations Sustainable Development Goals

(SDGs): they have identified targets that are of particular importance to their business

practices, and they are assessing their negative and positive impact on achieving these

objectives. Moreover, they aim to identify and thoroughly explore the market

opportunities that led to the UN SDGs.

Through Samsung’s sustainability management, they aim to develop social,

environmental, and economic values in order to contribute to the betterment of the

37
 global community. They chose a ‘quality over quantity' approach in setting and

managing their sustainability management objectives because certain social and

environmental principles are difficult to measure. They run a global supply chain of

around 2,200 suppliers, led by their ethics of honesty, openness, and win-win

cooperation. They work with all of their suppliers to ensure that they follow the

"Samsung Supplier Code of Conduct" and operate in compliance with local

regulations and international standards. Furthermore, they work with their suppliers to

maintain a shared competitive advantage and development. The general strategy and

intensive development strategies of Samsung Electronics Co. are similar to those of

its parent company, the Samsung Group. This connection is due to the conglomerate's

and its subsidiaries' unitary leadership, which determines corporate strategic planning

and competitive advantages. 

C. Demand Management Strategies

According to Yonhap (2018), Samsung Electronics Co. Ltd. is on the second

rank for having a great reputation based on the technology firms all around the world,

through the Reputation Institute located in Boston, United States of America.

Moreover, Samsung’s direct competitor, the Apple Inc. was on the thirty-eighth rank.

Samsung Electronics Co. Ltd. shoved their way up to the second place because they

gained the trust of the consumers through taking the responsibility immediately

whenever their products had severe damage whereas the image of Samsung

Electronics Co. Ltd. is also at risk. One example was the Samsung Note 7 incident

during 2016. According to BBC (2017), 2.5 million Samsung Note 7 consumers

exploded its device severely. As per Samsung Electronics Co. Ltd. statement, it was

38
 due to the insufficient insulation battery that caused the fire and explosion. One of the

responses of Samsung Electronics Co. Ltd. was to replace those phones and assure its

consumers that it is all safe and well tested.

This leads consumers to give back their trust to Samsung Electronics Co. Ltd.

because the responses of Samsung Electronics Co. Ltd. to the incident makes them

feel legitimate transparency when it comes to the quality, services, and after-care of

Samsung Electronics Co. Ltd.

However, there are still loop-holes that Samsung Electronics Co. Ltd. should

take a look at. It is the constant lagging of their mobile devices after a couple of

years, and its Android version update does not truly upgrade the version, but it only

updates what is new and fitted into their system. For example, a customer bought a

new Samsung Note 7 with an Android 7 Nougat, its Android version will be the same

even if the customer has updated its system. Consumers are hating it because they

feel like their new device has been aged already. Hence, consumers will feel an urge

to buy a new smartphone again from Samsung Electronics Co. Ltd. On the other

hand, Samsung Electronics Co. Ltd. has explained that the lagging or the state of the

phone being slow is due to low memory storage space. It is a fact, but as time passes

by, the storage needed by a lot of applications is also expanding. Thus, this gives only

a few storages left for consumers that will directly affect the smartphones’

performance.

The strategy that Samsung Electronics Co. Ltd. should consider is to increase

the Random-Access Memory (RAM) of their smartphones. If Samsung Electronics

Co. Ltd. is only upgrading the Read-Only Memory (ROM) of smartphones, slowing

39
 down the performance of their smartphones will not be solved. Due to the fact that the

root problem of lagging phones is because Random Access Memory (RAM) is way

too low, and software applications need more space. As for the upgrading of the

Android version, Samsung Electronics Co. Ltd. should also keep up in that matter.

Compared to their rival competitor, the Apple Inc., Apple Inc. has been constant

when upgrading their IOS system whereas for every new IOS update that will release,

Apple Inc. makes sure that even older versions of their smartphones could also keep

up with the new IOS system, except to the oldest phone such as iPhone 3g, 4, 4s, 5,

5c, 5s, 6, and 6+. 

On the contrary, Samsung Electronics Co. Ltd. has a great competitive

advantage compared to other smartphone manufacturers. According to Study Corgi

(2020), Samsung Electronics Co. Ltd. is using the Blue Ocean Strategy wherein they

are capturing more of the existing demand while lowering its costs. Samsung

Electronics Co. Ltd. releases a lot of smartphone models every year so that consumers

may have a lot to choose from, hence it makes consumers demand more of their

smartphones. Moreover, even if Samsung Electronics Co. Ltd. has a lot of

smartphone products to produce every year due to different classifications of every

newly released smartphone, the Samsung Electronics Co. Ltd. is lowering its cost

through the Just-In-Time Inventory Method. Wherein Samsung Electronics Co. Ltd is

only purchasing raw materials when needed, as a result, they will ship it out

immediately to the countries who are in dire need of finished products of Samsung

smartphones. This will lead to Samsung Electronics Co. Ltd. to cut off its inventory

40
 costs because the smartphones are not being kept in their inventory for a long time

but are shipped out immediately.

II. Introduction

Lee Byung-Chull founded Samsung electronics in 1969 by producing

Television, Mobile Phones, Radio, computer components and other electronic

devices. However, Samsung Electronics was established in the Philippines in July

1997, which Samsung Electronics Philippines Corporation. And today, it has become

one of the most successful, recognizable, and well-known brands among the other

brands in the industry of technologies. Samsung continues to expand globally in the

electronics markets. Throughout the years, Samsung introduced different series of

their products, which is Samsung Galaxy Smartphone. Samsung continues to expand

globally in the electronics markets, introducing its products with new and improved

features and designs. Samsung is known for its several series of smartphones in a

different designs and sizes. The innovations of Samsung that truly loved and changed

technology for people are the dual-lens camera system, where its camera can take a

high quality photos and images; Facial recognition unlock feature and iris recognition

system, where a facial and iris recognition is used to unlock the device; Foldable

Smartphones, where as it can be used in a single-handed like the usual phone and can

be use with larger screen; In-display fingerprint sensor, which the fingerprint will be

capture and can be either on the back or inside the power button; Samsung Knox

Security features, whereas this features help to secure the data and information of the

users, and it provides a security for corporate data and apps for all Galaxy devices;

41
 and Samsung Galaxy Series, which is their popular products that their customers

looking forward to. Samsung is well-known because of its flexibility to adapt the new

trend in the market. Samsung might be not the number one (1) in the industry of

electronics, but still they have established as one of the brands today because a lot of

people used and loved their products around the world.

Despite being one of the most well-known and successful brands in the

industry of electronics, Samsung’s products still need to be improved for them to

follow the trends and to continue leading the Android market. Improving does not

mean that their products are not good, it just needs to be improved to be better and

because there is a need of improvements in the product because of some failures in

the aspect of the products. Therefore, Samsung can check and choose on which areas

the need to be focused on and improved, it can be their forecasting, facility location,

facility layout and design, technology, quality management, inventory management,

process design, design, planning, and budgeting, scheduling and capacity

management, demand management strategies, organizational strategies, tactics,

strategic capacity planning, and supply chain management. Whereas the researcher’s

team can choose the design and features as the areas that Samsung needed to focus on

because it needs further improvement. Furthermore, Samsung can increase their sales

by improving their products and market position, achieve higher number or

percentage of loyalty customers and less complaints because of failures of the

products, innovating new and unique products that are aligned to the trends, and other

reasons that can contribute to the success of Samsung.

42
 III. Operational Activities

Samsung has its own brand when it comes to their phone series. Every

consumer who will be asked on what Samsung phone series they prefer, most of these

consumers will answer the Samsung Galaxy S series. Whereas it consists of twenty-

one (21) phones under the S series, from Samsung Galaxy S that was released in 2009

up to the latest Samsung Galaxy S21 that was released recently, January 2021. When

compared to other Samsung Galaxy series such as the Galaxy Z, Galaxy J, Galaxy

Note, Galaxy A, and Galaxy M, the Galaxy S series merely stands out to the

consumers. According to Brown (2021), there are huge modifications in terms of

specifications from old Galaxy S phone into newer Galaxy S phone. Every phone is

unique and has a lot to offer. Examples of these upgrades are the Android version,

phone screen display, random access memory (RAM), read-only memory (ROM),

camera, and its physical design. All of these are because of the Samsung’s Blue

Ocean Strategy, whereas they are creating their own demand through offering a lot of

new specifications that will hype their target market. As compared to Apple, their

iPhone series does not have a lot to offer when the earlier iPhone model is compared

to the latest iPhone. Example is their iPhone 4s versus iPhone 5, its mere difference is

the screen size from 3.5 inches to 4 inches.

Every company's value is determined by the effectiveness of its operations and

processes. The primary goal of any business is to benefit from its operations. This is the

case with Samsung Electronics Co. Ltd., which is constantly working to improve product

quality while reducing defect rates, which can only be done through market research and

customer reviews. Samsung has integrated a Six Sigma interface to improve and optimize

43
the integration of operations management with its systems. The Six Sigma software is

used to increase the efficiency of consumer goods and services. The organization plans to

develop its organizational capabilities through this initiative, with quality being its

primary objective. Hence, Choi (2015) emphasized how Samsung was able to achieve

faster mass manufacturing capacities. The Six Sigma program was introduced as an

innovative program centered on the experiences of other businesses who had

implemented similar programs and helped them compete in the market with high-quality

products and services. Consequently, Samsung has received government approval and

funding in order to benefit from tax and policy advantages, built semiconductor factories

four times the size of Japanese factories, employed low-cost labor with intensive training

and developed sample products on the production line.

IV. Description of the Supply Chain

Supply chain, as defined by Corporate Finance Institute, is a system of creating

and providing a product or service beginning from its initial stage of gathering raw

materials all the way to its delivery to the customers. Supply chain shells out all the

aspects and procedures in the production process, including the activities performed at

every stage or department, manpower, information being used, natural resources being

transformed into another materials and other elements that brings the raw materials into

finish product or service.

Driven by their philosophy of openness, fairness and win-win situation, Samsung

follows a supply chain management strategy and five categories. Samsung’s supply chain

operates to approximately 2,200 suppliers across the world. The company ventures to

44
build a great strategic relationship and mutual competitive growth and edge with top-

performing suppliers. They encourage their suppliers to take part in the Green

Management to have a sustainable supply chain. In fact, before adding new suppliers they

conduct environmental management assessment to evaluate whether these suppliers have

environmental values and are willing to engage in an eco-friendly environment. Samsung

runs a system called mineral management based on ''OECD Due Diligence Guidance for

Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas”

and conducts the process of smelting through their suppliers. Samsung tries to listen to

the voice and look at behavior of the customers which then they evaluate to make any

changes in their supply chain. They adopt six sigma methodologies in which they create

and approach DMAEV or define, measure, analyze, enable, and verify. They also utilize

the APS system that enables them to adopt quickly in the market change through flexible

procurement, production and distribution plan. Samsung also standardized processes and

parts and most of the components and are produced in Korea to be able to achieve

economy of scale and to effectively manage product quality. Lastly, they develop a

comprehensive risk management where they make inventory level low, flexible capacity

and redundant suppliers.

45
 V. Recommendation

Improvement and focus on technology are recommended for Samsung. As it is a

well-known brand that caters to the global market, they need to put their utmost best in

ensuring that their feature designs and system upgrades lead to high-quality products that

would satisfy the consumers. Avoiding and removing mishaps and errors found in the

previous installments is needed to ensure that the new upgrades, features, and installed

systems execute a smooth, error-free performance. Thorough planning and consideration

are required for this type of improvement because it will leave an impact on Samsung’s

brand image. It is recommended for Samsung to enhance their system upgrades to one

that is uniform and will cater to all their smartphone series instead of a specific upgrade

per series. This, in turn, will garner more customers that seek gadgets offering better

specifications and pleasing designs. Samsung needs to prioritize improving their strategy

to produce high-performance products that would appeal more to the market to attain

higher sales revenue.

46
 Appendices

Appendix A
47
 Samsung’s Growth

48
 Appendix B

Samsung’s Market Share

49
 Appendix C

50
 Samsung’s Expenditure

51
 Appendix D

Process Map of Manufacturing in Samsung Electronics Co. Ltd

(Source: Lim et al. 2014 (as cited at My Assignment Help. (2017).)

52
 VI. References

A Brief Timeline of the Samsung Galaxy S Series. (n.d.). Verizon.

https://www.verizon.com/articles/A-brief-timeline-of-the-Samsung-Galaxy-S-

smartphone/

Adexa. Inc. (2010). Adexa Inc. Success Story: Samsung  Electronics- Adexa Provides

Foundation for Unified Planning Environment. Adexa Inc.

https://www.adexa.com/wp-content/uploads/2019/01/samsung_cs-1.pdf

Apple vs Samsung Companies' Operational Strategies: Overview of the two companies.

(2020, October 20). Study Corgi. https://studycorgi.com/apple-vs-samsung-

companies-operational-strategies/

Bhutani, D. (2021, February 24). Samsung Galaxy Note series: A history of innovation.

Android Authority. https://www.androidauthority.com/samsung-galaxy-note-

history-702279/

Brown, C. (2021, January 24). Samsung Galaxy S Series: A History of the Biggest Name

in Android. https://www.androidauthority.com/samsung-galaxy-s-series-history-

1076790/

Bondarenko, P. (2020, May 5). Samsung. Encyclopedia Britannica.

https://www.britannica.com/topic/Samsung-Electronics

Choi, G. (2015, December 9). Samsung semiconductor. Digital Initiative.

https://digital.hbs.edu/platform-rctom/submission/samsung-semiconductor/

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Hafiz, M. et. al (2020, November 24). Samsung SWOT analysis 2020: SWOT analysis of

Samsung. Business Strategy Hub. https://bstrategyhub.com/swot-analysis-of-

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