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Nike- Supply Chain
45
Transcript
Nike- Supply Chain
Josh Smithers, Jakob McCoy,
Ehte Sikander
Information and feedback
Stage 3-
End product manufacturer (focal firm)
Nike's supply chain practises have a heavy reliance upon China and India
Too much inventory?
Fluctuation in demand?
Increased lead time?
Seasonal fluctuation?
Information is key to managing a supply chain
The issue?
Stage 5- Retail
Stage 4- Distribution and wholesale
Stage One-
Raw material sourcing
and manufacturing
Stage Two-
Initial component and intermediate manufacturers
Red pins- Nike HQ's
Aqua pins- Subcontractors
Yellow pins- Distribution to warehouses
Reducing costs:
- Logistics costs
- Holding costs
- Lead time
- Explioting cheap/child labour
- Polyester
- Rubber
- Eva foam
- Cotton
- Synthetic leather
- Leather
Nike does not actively participate in this stage of the supply chain
Options for resolving issues
What is Nike's supply chain?
- Full visibility in supply network
- Audits
- Communication
- Planning
- Supplier selection
- Re-evaluation of plans
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