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Try for a moment to wrap your mind around this extraordinary number. In 2006, mobile-phone giant Nokia (NOK) will handle more than 100 billion parts in its 10 factories scattered around the world. To put that in more comprehensible—if still somewhat mind-boggling—terms, it means that every day, from Mexico to Hungary to China, Nokia's giant production plants will take in an average of around 275 million components—and then spit out 900,000 finished mobile phones at the other end of the line.

Today, the company operates nine major handset factories—three in Europe, three in Asia, and three in the Americas—and it is ramping up a 10th facility in India that will be able to produce tens of millions of phones per year. A vast and sophisticated software system manages the procurement and delivery of those 100 billion parts, which range from basic electronics such as resisters and capacitors, to pricey processors and color LCDs, to mechanical pieces such as screws, keypad buttons, and covers. About one-fifth of Nokia's 66,000 employees work in manufacturing.
Aside from contending with ever-increasing volumes—Nokia is on track to ship more than twice as many handsets in 2006 as it did just four years ago.

On average, Nokia spends about $88 to build a phone—though the actual costs vary widely, from $20 or less for basic models to hundreds of dollars for decked-out multimedia gizmos. The average selling price for Nokia's entire product portfolio in the most recent quarter was $130. That works out to a gross margin of nearly 33%, which in turn lets Nokia pull down the highest operating margins in the business.

Courtesy of BusinessWeek.If you want to read full story click the link.
http://images.businessweek.co[....]08/makingof_nokia/index_01.htm

In its nine (soon to be 10) factories around the world, mobile-phone giant Nokia will churn out approximately 325 million handsets this year alone. That's 10 phones per second, every hour of every day, all year long.


Please post your thoughts.............
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Posted: 2006-08-16 12:03:46
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Thats a very good report...Nokia does have a huge operation compared with other manufacturers.
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Posted: 2006-08-16 13:25:23
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325m phones a year!

shit a brick..

thats a few..

fatreg
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Posted: 2006-08-16 13:43:59
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but do they need to produce that many phones of diffrent models? is it really enviromentaly friendly with all these phones that are jus sat on your desks collecting dust y do they need to push out hundreds of milions when germany has 600,000 phones more than its population
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Posted: 2006-08-16 13:45:55
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