History Of Supply Chain Management Of Nike

NIKE Inc., known for its athletic shoes, apparel, and it wide variety of sporting goods is located in the state of Oregon. NIKE Inc. previously known as Blue Ribbon Sports was originated in 1964 with the idea of importing shoes from Japan and sells them locally. Once successful, the founders, Bill Bowerman and Phil Knight, decided to market their own brand of athletic shoes. As a result, NIKE Inc. was established. From there, NIKE Inc. has a long history of success in producing quality, durable athletic merchandise that focuses on the athlete. In

Nike, Inc. is a world’s leading supplier and a major manufacturer of athletic shoes and sports apparel. It was founded on January 25th, 1964 as Blue Ribbon Sports by Philip Knight and Bill Bowerman. It officially became Nike, Inc. in 1978. Currently their brands include Nike Golf, Nike Pro, Nike+, Air Jordan and Nike Skateboarding, while their subsidiaries are Cole Haan, Hurley International, Umbro and Converse. During this stage, the Nike brand has become so strong as to place it in the list of recession-proof consumer branded giants, in the company of Coca-Cola, Gillette and Proctor & Gamble.

The forces of Nike’s customer-supplier relationship is based on joint efforts of improved quality, mutually beneficial partnerships, reduced costs, and increased market share for both parties. According to Nike building customer-supplier relationship is one of the most important goals because it is the analysis of the value chain which is defined as the collection of all activities involved in designing, marketing, manufacturing, delivering and supporting Nike’s products. Having strong relationship with both parties helps Nike to predict and notice any problem at might rise in the supply chain; as a result Nike will be able to develop better solutions to avoid it (Wankel, 2009). The first tier supplier of Nike is located mainly in Taiwan and South Korea, which work closely with R&D personnel in Oreon making the most expensive footwear. Strategies have shown that Nike implements include the vertical integration strategy. In general, the vertical integration strategy allows a firm to gain control over distributors, suppliers and competitors (Nike report, 2015). Nike has implemented forward integration by having its own retail locations throughout the United States, foreign countries & online stores. Every partner has a hugely significant

Since its creation, Nike has proven itself as a popular brand and it has created niches by selling products such as footwear, apparels and various types of sports equipment. This paper will attempt to trace the product development of Nike shoes from its origins in conception and design to the manufacturing and production process located in contract factories in developing countries to advertising and marketing of Nike as a cultural commodity and finally, the retailing of the footwear around the world.

Nike was founded under the name Blue Ribbon Sports in 1964. In 1972 the first pair of sports shoes was sold and experienced enormous growth and achieved a 50% market share within the sports shoe market in the US only eight years later.

Nike is the world’s leading supplier of athletic shoes and merchandise. Within the United States alone Nike has exceeded $3.7 billion in total sales, and they make up more than 47% of the U.S. athletic sneaker market. Nike has been supplying the world with the top athletic sneakers and apparel since 1978. Originally founded as Blue Ribbon Sports by Bill Bowerman and Phil Knight in 1962, the brand didn’t see increases in success until they rebranded in the late 1970’s.

Nike is an American multinational business that is occupied in design, development, manufacturing, international marketing and it sales clothing, footwear and other sport equipment. The company was established in January 25, 1964, as Blue Ribbon Sports, by Bill Bowerman and Phil knight, and in the end the company was officially called Nike. Nike has so many factories that located around the world, but the most famous factories that produce the clothing and other sport equipment are in China, Vietnam, Indonesia, Mexico, and in many other countries. Furthermore, Nike searches for countries that have people are willing to work for the factory in order to make a living for their family.

Supply management is a complex function that’s critical to business success, responsible for delivering efficient costs, high quality, fast delivery and continuous innovation throughout companies’ entire supply chains. The strategic contribution of supply management is measured not only in savings made, but also in increased shareholder value (Niezen, Weller & Deringer, 2007). Nike and Adidas are two global companies try to improve their competitive advantage through strategically managing and utilizing their supply chain. The purpose of this report is to compare and evaluate the supply chain management practices of Nike & Adidas.

The Supply-Chain Council defines supply chain management as “[m]anaging supply and demand, sourcing raw materials and parts, manufacturing and assembly, warehousing and inventory tracking, order entry and order management, distribution across all channels, and delivery to the customer” (Wisner, Leong & Tan 2005).

Nike is a company that provides clothing and sports equipment trade large public and is headquartered in the United States. This company faces a number of trends which significant impact its supply chain management.

In 1984, Nike owned just 16% of the athletic-shoe market, and for much of the 1980s it was running neck-and-neck with Reebok (Wilson 1). Now, with somewhere between 43-47% of that market, Nike is the undisputed leader. However, things are not perfect with the company. In the late 1990's, Nike began to see the results of many unresolved issues concerning competitive forces exterior to the company and a value chain, unrepresentative of its marketplace and enormous growth, interior to the company. Both issues affected its bottom line negatively. One significant issue was simply a function of poor inventory management and demand forecasting, coupled

It includes the transformation of products from raw materials through to the delivery of the finished product; it conjointly includes the management of key info flows. Supply Chain Management involves the combination of those activities and aims to boost relationships between the varied parties, whereas achieving a property competitive advantage through prime quality and lower price merchandise. Provide Chain Management is closely connected with enterprise resource coming up with and electronic commerce

Supply chain management refers to a management mode that is putting suppliers, manufacturers, distributors, retailers

Nike’s global supply chain is an extremely complex network that impacts a wide range of stakeholders around the world. The supply chain was initially built through the outsourcing of manufacturing directly to suppliers. Since 1990 the company’s supply chain had many problems such as ineffective forecasting and an inability to keep up with changing consumer trends. As a result, Nike launched the Nike Supply Chain project in 2000 with goals of implementing enterprise resource planning and customer relationship management software into an integrated platform. This project proved to be a disaster for Nike.

Back before the Swoosh logo and long before the days we were called Nike, there was Blue Ribbon Sports (BRS). It was the company Phil Knight, our founder, and legendary track coach Bill Bowerman created in 1964 to provide athletes with better shoes. Their first year sales totaled around $8,000. It wasn’t until 1971 that BRS introduced the concept of the Greek winged Goddess of victory—Nike. In December 1980 we went public. Nike employs more than 33,000 people globally. Our Nike World