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Introduction

In 1865, mining engineer Fredrik Idestam sets up his first wood pulp mill at the Tammerkoski Rapids in south-western Finland. A few years later he opens a second mill on the banks of the Nokianvirta river, which inspires him to name his company Nokia Ab in 1871. How apt that Nokia begins by making paper one of the most influential communications technologies in history.

Nokias Code of Conduct defines the companys overall principles and commitment towards legal compliance, ethical conduct, human rights, anti-corruption work and environmental protection. These high expectations extend to Nokia partners, subcontractors and suppliers, whom we encourage to strive beyond merely fulfilling legal compliance. This Policy provides further clarification to the principles of the Code of Conduct and Nokia Human Rights Approach regarding illegal trade of natural resources. This policy has been approved by Nokia Corporate Responsibility Steering Group, chaired by Nokias Executive Vice President of Corporate Relations and Responsibility. We are concerned about the link between the illegal extraction and trade of natural resources, and associated human rights violations, conflict and environmental degradation. Currently these issues are acute in the Eastern provinces of Democratic Republic of Congo (DRC) in the extraction and trade of ores of tantalum, tin, tungsten and gold, which flow to world markets through the DRC and adjoining countries. Once refined, these metals are commonly used within electronic products and by many other industries. Nokia does not procure metals directly and only a fraction of the worlds minerals produce originates from the DRC, but we are taking action to increase transparency, ensure responsible procurement by our suppliers and sub-suppliers, and drive positive change.

Our commitment
Nokia is committed to respect human rights and the environment in accordance with accepted international conventions and practices, such as those of the United Nations Universal Declaration of Human Rights, ILO Core Conventions on Labor Standards, UN Global Compact,

and OECD Guidelines for Multinational Enterprises. We want to ensure that all materials used in our products come from socially and environmentally responsible sources. We do not tolerate nor by any means profit from, contribute to, assist with or facilitate any activity that fuels conflict, leads to serious environmental degradation or violates human rights, as set forth by above mentioned international conventions and Nokia policies

Implementation of the Policy with Regards to Conflict Minerals


We prohibit human rights abuses associated with the extraction, transport or trade of minerals. We also prohibit any direct or indirect support to non-state armed groups or security forces that illegally control or tax mine sites, transport routes, trade points, or any upstream actors in the supply chain. Similarly, Nokia has a no tolerance policy with respect to corruption, moneylaundering and bribery. We require the parties in our supply chain to agree to follow the same principles.

10 OPERATION MANAGEMENT DECISIONS


Quality management Quality - the heart of Nokias brand promise In Nokia quality is the highest objective, not only being the characteristic of their products and services, but one of their most important essences. It is strictly linked with their pursue of continuous improvement, as they perceive it as exceeding customers expectation. Moreover as Nokia is one of the leading companies in the sector of telecommunications, high quality standards have to be maintained in every aspect of its operation. Nokia wants to achieve excellence in the following fields:
customer service and gaining customers loyalty (by taking care of the quality and reliability

or their products and services)


product leadership (improvement, innovation) operational modes - effective, efficient and ethical management

Service & product design In all its businesses, Nokia cares about developing products that meet specific need of its customers. Thus for example, all the products of Business Solution mode are tailored to the requirement of specific entrepreneur seeking the optimal solution or him. While in mobile phone section, the lifestyle of the target group is also analysed.

Supply-chain management For Nokia, supply chain management is a very important operational area. They perceive it as a significant competitive advantage of their business .They require that all products and services sold under the Nokia brand comply legally with human rights and workplace practices throughout the value chain. The efficiency of their supply-demand network helps them in meeting the growing demand for their products. The close cooperation with customers and suppliers is one of our core development principles. Moreover it promotes diversity in the supply chain (including companies owned by minorities, women etc.) and strives to include suppliers from all over the world. Nokias supply chain includes direct sourcing (material supply for Nokia products, such as components, parts, packaging, contract manufacturing, software development, and research and d

Human resources, job design In May 2007 Nokias personnel was over 68.000 employees. The staff includes fulltime, part time and contract employees. As Nokia recognizes their needs and different life styles, it provides them flexible working conditions including teleworking or working at remote. One of the Nokia strength are the employees. Thats why it aims to created them the best working environment and growth opportunities. It conducts several programs to encourage them to submit their own ideas and contribute to the companys growth such as Listening to You annual survey or conducted by intranet "Ask HR" that gives a prompt and openly published response for all queries.

Employees are encouraged to be responsible for their own development and to take advantage of the various development opportunities available such as submit your venture proposal. In turn, Nokia offers them a company-wide incentive and bonus systems to trigger innovativeness and help to sh Moreover Nokia co operates also with students, giving them opportunity to get experience and in future become a part the company. Location As a global company, Nokia operates in over 130 countries with the headquartered in Espoo in Finland, in the origins of Nokia. To create cutting edge technologies, it carries out researches in technologically advanced countries. Moreover, according to its diversity and location policy, Nokia wants to cooperate with companies form different locations as gaining new markets is one of the companies goals

Process, capacity design Due to the inherent properties of the telecommunications market, Nokia is required to be very flexible. Each quarter new technologies, solutions and cutting edge products are introduced. Thats why it is critical to be able to quickly adapt to changes. In this case incorporating new technologies in all the processes is invaluable and helps to achieve flexibility Although telecommunication products have rather short lives, Nokia has design the capacity to ensure meeting all the demand ( Layout design Nokia as a international company also uses global manufacturing network that gives them the ability to respond quickly to changes in demand and technology. They have suppliers in all parts of the world so that they can easily introduce changes to their processes and the utilization of resources is optimal.

Scheduling

Average life cycle of a mobile phone is about 2 years and during one year many new models are introduced. Thats why production of one line of products is done simultaneously with the research and design process of new products. Scheduling and taking measures in anticipation of new ventures is in this case a critical issue.

Inventory management Thanks to joint ventures and close cooperation with their supplier, Nokia can optimize their inventory levels. The suppliers as Nokia partners also participate in product development process, what helps better assess the needs of the future production. Efficient management of the inventory is also supported by the diversification of the location of suppliers. Moreover Nokia builds its inventory in view of demand, minimum levels of the inventory has to be maintained. Maintenance Providing training and development for their employees is one of the Nokias promises. They pay much attention to be in touch with all new technologies and maintained the high level of well trained staff.

Nokia Distribution Channel Structure


Nokia (India) Mobile Handset Distribution Channel Structure With Special Reference To Dibrugarh Town Distribution (or place) is one of marketing element in marketing mix and hence designing a distribution Network for a product is very important aspect for any companys product. The success of the channel design will be declared as the product is readily available at ease for the consumers. Here we as a group have chosen the Nokia mobile company for doing this assignment. The company established in 1865 having its foundation in Finland. Nokia is one of the leading mobile communications in the world, it has 9 manufacturing plants throughout the world and they have 130,000 employees. The company owns R&D centres in Japan and China. Nokia mobile company plays a major role in India and have huge market share In comparison to other players. They have started its process in India in 1995 and have their offices in major cities like New Delhi, Mumbai, Chennai, Kolkata, Hyderabad, and Bangalore. And also they have targeting all class of people by releasing different kind of mobiles with different features. China started mobile services in 1988 whereas, India started mobile services in 1995. By 2001 India exceeded Chinas growth rate in mobile services. This shows how the distribution channels of the mobile companies working in India. Here in this report we are trying to bring out the efficient network of distribution addressed by Nokia in India.

Nokia manufactures low budget mobile handsets, costing below RS. 3500 in Chennai manufacturing plant, located at Sriperumbudur, Chennai and then it transfers to Nokias mother depot which is located in Gurgaon. Other multimedia and smart phones of Nokia costing Rs 3500 & above are manufactured at other Nokia plants but the mobile handsets shipped to India are from two plants located at China, one at Beijing and the other at Dongguan.

Environmental record
Since 2001, Nokia has provided eco declarations of all its products and since May 2010 provides Eco profiles for all its new products. In an effort to further reduce theirenvironmental impact in the future, Nokia released a new phone concept, Remade, in February 2008. The phone has been constructed of solely recyclable materials. The outer part of the phone is made

from recycled materials such as aluminium cans, plastic bottles, and used car tires. The screen is constructed of recycled glass, and the hinges have been created from rubber tires. The interior of the phone is entirely constructed with refurbished phone parts, and there is a feature that encourages energy saving habits by reducing the backlight to the ideal level, which then allows the battery to last longer without frequent charges.

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