Hello dear readers!

I hope this finds you well as we’re headed to the home stretch of 2022 and the holiday season. 

I’ve got a great issue for you this week: we’ll be taking a look at big news from everyone’s favorite tech company and holiday trends in workplace culture. I’ll also share some of the great stuff I’ve been reading, listening to, and watching.

Thanks as always for joining me. Let’s kick things off!

Industry Highlights: Apple takes a bite out of China

It’s no secret that many American companies are discussing ways of distancing themselves from their Chinese suppliers, but if you were looking for a sign that it’s more than just chatter, I’ve got a billboard-sized one for you.

The Wall Street Journal reported last weekend that tech giant Apple plans to move much of its iPhone supply chain outside of the People’s Republic. This is a huge deal, considering some statistics suggest Chinese contractors produce components for 98 percent of the world’s most popular smartphone.

Though the move is not yet officially announced, it doesn’t come as a shock to many watching the situation. Violent protests over wages and Covid restrictions ravaged a factory in Zhengzhou—a place nicknamed iPhone City—a few weeks ago. This particular factory is responsible for around 85 percent of the iPhone Pro lineup, the WSJ reported.

These protests are just an illustration of a larger issue: what was once a nation that offered enticing business opportunities and promises of humanitarian reform are now back at square one thanks to the draconian economic tactics of President Xi Jinping.

But navigating this divorce will be tricky. 

Apple has spent the last two decades tying itself to reliable Chinese engineers and suppliers in order to both meet consumer demand AND maximize profit margins. China’s consumers, too, account for about a quarter of Apple’s global revenue.

A flagging economy and slowing job growth is definitely not the right time to make giant business moves—ESPECIALLY considering that reports suggest Apple will already be six million units short this holiday season, and consumers are facing the longest order times since the phone debuted in 2007.

If the reports are to be believed, Apple intends to transfer about 40 percent of its iPhone manufacturing to India by 2025, which The Economist reports currently stands at about 5 percent. While India is expected to surpass China’s population in the coming year, it still has far less government organization and infrastructure, which will result in some serious headaches.

Clearly though, in this geopolitical environment, it’s time for Apple to think different.

The Future of Work: Office Party on, Wayne

Good news, party animals: the office holiday party is back and better than ever!

After Covid put the kibosh on any sort of in-person work gathering, many companies are reportedly returning to pre-pandemic form by dusting off the office karaoke machine. According to a recent Challenger, Gray, & Christmas survey found 57 percent of US companies were holding holiday parties this season—more than double last year’s numbers.

Because shutdowns and hybrid work have gotten many workers out of the habit of happy hours and other company social events, many companies said they’re sparing no expense.

“Since Covid, a lot of people got out of the habit of … camaraderie events,” KDG Chief Executive Kyle H. David told The Wall Street Journal. “We’ve sort of had to make it hard to deny in order to get people really back into the rhythm.”

Giving employees chances to mingle together again is something on the forefront of many companies’ minds. Author and time management expert Elizabeth Grace Saunders writes in Fast Company that remote working has significantly weakened working relationships among coworkers. Saunders points out that research shows people are 10x more likely to stay in their jobs for friendships than a pay raise. 

While some companies are willing to make the time and financial investment, others are a bit more sensitive to the current economic climate. Financial data provider Crunchbase intended to fly 500 employees and guests to San Francisco for an elaborate masquerade ball, but canceled it last month due to recent layoffs in the tech sector.

 “It certainly felt like the climate out there was not appropriate for throwing an elaborate party,” Chief People Officer Kelly Scheib told the WSJ.

Moving forward, it’s going to be imperative that companies find ways to bring their staffs together for something other than work—even if it doesn’t mean seeing Rowan from accounting wearing a punchbowl on their head.

The Supply Aside: What I’m Reading, Watching, Listening to, and Thinking About Re: Supply Chain, Work, and Beyond

📕 Read - Power Failure

Business writers and journalists sure can’t get enough of the GE story. As an avid enthusiast of the company, I’ve covered two decent books in the past year on what was once the great American business icon. Now here comes another one and I’m sure this too will have the indelible Jack Welch rolling in his grave. 

This one is called Power Failure: The Rise and Fall of an American Icon, a chronicle of GE’s dramatic rise and fall. In the book, New York Times financial reporter William Cohan describes how GE is not only a paragon, but also a prism through which we can better understand American Capitalism.

📺 Watch - Branson (HBO MAX)

Richard Branson is a radical entrepreneurial icon that is never dull in anything he does, and that includes a new documentary on him. The new HBO Max docuseries BRANSON explores how the tycoon’s pursuit of extreme, personal daredevilry, and thirst for adventure served to grow his businesses and brands.

Originally an interview scheduled to preserve Branson’s thoughts for posterity in case his 2021 space flight went awry, this series has blossomed into a fascinating 70-year exploration of a truly interesting innovator.

👂 Listen - The Automotive Leaders Podcast

I was honored to recently be featured as a guest on one of my favorite podcasts, The Automotive Leaders Podcast. I’ve previously mentioned how wonderful and insightful I think host Jan Griffiths is, and during this conversation, we talk about how remote work has transformed the auto industry. Give it a listen here!

Themes discussed on this episode include: 

• Cross-industry trends in remote versus on-site work models

• What remote work means for new Gen Z employees

• Why traditional performance reviews are being scrapped across industries

• How being unapologetically yourself makes you a better leader

💡 Think - DE&I

I’ve recently had a chance to reflect on how technology can be leveraged to support the DE&I agenda with regard to recruitment and talent acquisition. Not only is it a topic that is going to have a significant impact on the future of work, but I also recently did a webinar on those same concepts that was sponsored by an exciting new AI startup called VireUp.

Overall, there’s no one-size-fits-all solution due to the nuances of DE&I policies of different companies, sectors, and geographies, but I think significant progress can be made in the area if the tech focuses on explainability, transparency, candidate experience, and an aspiration to touch as many candidates as possible without blunt pre-screening filters. You can watch the full webinar here.

Have a recommendation for something I should read, watch, or listen to? Let me know here!

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Finally...

Thanks so much for reading. I’d love to know what you think about this issue and how I can make it more useful to you.

If you have suggestions or topics you’re interested in seeing me address, shoot me an email!

Want more?

If you’d like to read more of my writing on the supply chain, entrepreneurship, or the future of work, check out my website.

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Happy reading this weekend!

-- Naseem