Skip to content
Search

Latest Stories

Welcome! Log in to stay connected and make the most of your experience.

Input clean

Supply Chain Security

Supply Chain Security

You would probably be surprised to know what a logistical feat it is to manufacture a smart phone. The base materials are mostly silicon, plastic iron, aluminum, copper, lead, zinc, tin, and nickel. There are also a number of rare earth elements that are present in small amounts but are integral for the phone to function: neodymium, dysprosium, and many lanthanide elements. Once these materials have been collected and processed, they need to be made into the phone itself. After the phone is built, it must be programmed with the software that lets it run. The vast majority of this process takes place outside of the United States—with the assembly and initial programming usually happening in Asia and the base materials coming from all over the world—and it constitutes just a small part of the global supply chain that underlies a huge portion of our information technologies. It is truly an incredible feat of logistics, and every step of the process is vulnerable to events that can damage both the product and the enterprise.

To begin with, the base materials for most modern technologies are mined or in the developing world. This can sometimes lead to companies running afoul of international labor standards. These compliance issues usually result from operators on the ground mistreating workers in the developing world in order to keep costs low. Apple has come under fire for this on several occasions, including after a 2014 BBC report accused Apple’s assembly plants in China of perpetuating inhumane working conditions and its tin suppliers in Indonesia of using child labor. Apple has been able to avoid serious reputational harm from these criticisms, but not every organization will be able to do the same. Ensuring compliance with labor standards is an essential part of managing supply chain risk and protecting one’s business.

Keep reading...Show less
Access all of The Cipher Brief’s national security-focused expert insight by becoming a Cipher Brief Subscriber+ Member.

Related Articles

Experts Assess Iran Strikes, Response and What Comes Next

Experts Assess Iran Strikes, Response and What Comes Next

EXPERT SUMMARY -- Given this weekend’s strikes on Iran’s nuclear facilities and the incredible fast pace at which events are unfolding, The Cipher [...] More

Dead Drop: June 20

IT ONLY TOOK 116 YEARS: The British Secret Intelligence Service better known as MI6 will soon be headed by its first-ever female chief when Blaise [...] More

How Resilient is the Energy Market in Midst of Middle East Crisis?

How Resilient is the Energy Market in Midst of Middle East Crisis?

EXCLUSIVE EXPERT PERSPECTIVE -- One would have thought that the outbreak of a major war between Iran and Israel with daily missile salvos, would have [...] More

Report for Friday, June 20, 2025

9:22 America/New York Friday, June 20 [...] More

Report for Thursday, June 19, 2025

9:51 America/New York Thursday, June 19 [...] More

The Rampant Leadership Corruption Plaguing China and Russia

OPINION — In March 2025 the Office of the Director of National Intelligence (ODNI) published an unclassified report on “Wealth and Corrupt Activities [...] More

Hitting the Panic Button on Rare Earth Minerals

Hitting the Panic Button on Rare Earth Minerals

Rare Earth minerals might not be at the top of your panic list today but when it comes to U.S. national security, it’s an issue that has the [...] More

Amid Crisis, A Lesser-Told Story of US-Iran Similarities Holds Some Hope

OPINION — As experts studiously debate what the latest Israel-Iran fighting will lead to, including a possible Iranian collapse, one enduring but [...] More

Report for Wednesday, June 18, 2025

9:04 America/New York Wednesday, June 18 [...] More