Finally, cost is not the only element of a supply chains performance, as well discuss later. Nike manufacturing and supply chain strategies market realist. Apqc membership snapshot supply chain management apqc helps supply chain management scm and product development professionals optimize current processes to reduce costs, improve cycle times, and add value through the use of benchmarking, best practices, and knowledge sharing. The ultimate solution of the complete model will yield the optimal supply chain network design.
Nike believes it will gain an advantage over its competition by improving its supply chain. This paper investigates the major implications of blockchain technology for operations management om with a focus on the decisionmaking processes in supply chain management scm from the. This gives the supplier, 7 the receiver and the distribution channel a realtime information on the status of the products. It improves profit margins, reduces inventories, minimizes price markdowns, and ensures that the customer receives the. Overview there is a great deal of confusion regarding what supply chain management involves. With the supply chain covering a broad range of disciplines, the definition of what is a supply chain can be unclear. Sitecollectiondocumentspdfaccenture outlook why sustainable sup. Nikes supply chain sources most of its raw materials in the manufacturing host country by independent contractors. Fao guidance for responsible agricultural supply chains.
Within the company, nike changed its organizational structure to better integrate sustainability within traditional corporate functions. The supply chain analyst will report to the supply chain manager. Todays supply chain challenges global supply chain with long lead times rising and shifting customer expectations increase in labor costs in developing countriesincrease in labor costs in developing countries increase in logistics costs importance of sustainability unprecedented volatility 11 unprecedented volatility. Historically, information flow has been a battle between the richness the. The diagram should include the end consumer and also the direct suppliers. These independent factories produce virtually all of the products marketed and sold by nike. An overview of nikes supply chain and manufacturing. Additional examples for scd are the consumer goods manufacturers nike. Up 16 stream of the cdp, supply chains are forecastdriven and downstream of the cdp, supply chains are demanddriven 18. This comprehensive research is the first, which compares literature to findings from semistructured interviews, based on supply chain challenges.
Practitioners and educators need a common definition of supply chain management, and a shared understanding of the processes. Want the latest procurement and supply chain news delivered straight to your inbox. Evolution of supply chain management roadmap to excel. Nike, strategy, product differentiation, innovative and. Backward integration nike currently relies totally on independent manufacturers for the production and supply of its products. Nike has joined an innovative partnership that can more quickly clean up its supply chain by giving the company easy access to sustainable materials and chemicals through switzerlandbased bluesign technologies which has created a tool for improving supply chains in the textile industry nike s suppliers will have access to online tools that help them find the most sustainable materials. The detailed requirements behind our code of conduct are contained in our code leadership standards. Within the company, nike changed its organizational structure to better integrate. Management and social performance in the nike supply chain. As with any emerging field, physical distribution logistics, scm, eds. The worlds top sneaker brands are in a race as their efforts to surpass each other continue. Supply chain network design due to the significant impact that supply chain design has on the cost and service provided by a company, it is critical that managers be knowledgeable about how to optimize the flow of products and goods within their supply chain. The supply chain index is designed to be used as a ranking system and benchmarking tool.
Answer of question no 3 yes nike been subjected to false statement lawsuits, as mr marc kasky sued nike in april, 1998 for its wrong behavior with the labors. Supply chain social responsibility supply chain social responsibility has been a key element of our procurement strategy since 2004, when ibm elevated this work based on the growing interest of stakeholders and our realization of the added responsibility that comes with having a supply chain dispersed over 100 countries. The importance of supply chain management scm has increased over the last. Pdf ip sustainability in global supply chains a stakeholder. Critical role of transportation in global economy 4 introduction 5 global supply chain flows 5 the economic basis and logic of improved global trade 11 absolute and comparative advantage 11 contributing factors for global flows and trade 12. Every day, each of us comes in contact with a multitude of products that have been produced outside the united states.
Expectations are set, and the potential supplier can view nike s playbook on how it executes its supply chain operations. The paper evaluates the contribution of factory disclosure and proposes that other companies should be urged to move toward supply chain transparency. Supply chain management i about the tutorial supply chain management can be defined as the management of flow of products and services, which begins from the origin of products and ends with the products consumption at the enduser. Nike moves faster to clean up its supply chain greenbiz. Strategic procurement bp01aae vakuumventile ag supply chain manual page 1 of 8 file name document created realease name index date pms document bp01aaeb mey b 19. Nike and adidas are two global companies try to improve their competitive advantage through strategically managing and utilizing their supply chain. It enables companies to rank supply chain improvement while gaining a better understanding of the relationship between supply chain and financial market capitalization performance. Innout, a private company, wont talk numbers, but the buzz is that its profitable. Supply chain management corina botnarevschi, ehab etani, akbar khan, amir garranah 2. This includes working to combat risks of forced labor, modern slavery and human trafficking. Nikes strategy to improve conditions in its global supply chain a. Supply chain management study resources course hero. Integrating the supply chain wood technology clinic 2002 page 3 conducted commerce for the last hundred or so years a supply chain that is decentralized and usually disconnected. Five secrets of the 21st century supply chain nbis.
Supply chain management is the integration of key business processes from end user through. Optimal supply chain network design and redesign at minimal. Managing content across the digital supply chain the upsurge of digital media and commercial content distribution in life sciences is causing changes to the industry on a global scale. Thumbnails document outline attachments find more documents from this course fundamentals of supply chain m. This paper describes case studies of nike and levis, tracking the evolution from resistance to supply chain transparency through to the decision to be industry leaders in factory disclosure. In particular, it presents five powerful secrets that can help you move on from the linear tactics of the past, and take concrete steps toward a more dynamic future. Hamza amjad daniel arcaro alex quintana brett reardon samir reddy. At best, supply chain strategy can be the enabler of the business strategy. Nike s commitment to responsible business conduct in our supply chain is contained in our code of conduct. The supply chain index is a new methodology, rigorously based in operations research. By referring to legendary trackand field coach bill bowermans quotation, nike states that the vision of their company is to bring inspiration and innovation to every athlete in the world. Chain management lean supply chains and third party logistics pdf. Ardhi puji hariadi aswin budi pratomo danny dharmawan kosasih erry sunarli gede arya wiguna hari tarigan muhammad ahsin rogayya yuri pramono yudho 2. Watch the video nike supply chain management disaster.
Research methodologies in supply chain management 109 2 scoping scm in 1969, bowersox 1969 stated. Supply chain management scm is the oversight of materials, information, and finances as they move in a process from supplier to manufacturer to wholesaler to retailer to consumer. This case study highlights the failure and subsequent success of erp implementation in nike s supply chain project. A methodology to evaluate, describe and redesign a supply chain hernan david perez supply chain roadmap. Two visionaries, bill bowerman and his university of oregon runner phil knight, thought they could do a better job of designing and selling shoes to runners. Forced labor in the leather supply chain nike, inc. Apply professor delukes 3 fundamentals to the article you have just read. Analysis of challenges of medical supply chains in sub. Which chain do you think has fewer supplychain headaches. But the growth of the global supply chain has also created a new class of ethical.
Nikes manufacturing network has over 525 factories. Nike is working towards mapping these risks further up the supply chain and to expand engagement with tier 2 suppliers where additional risks of forced labor may occur. Course hero has thousands of supply chain management study resources to help you. The overall field would gain significantly from a clear definition of subject matter and. Integrating the supply chain information and supply chain. This fourarticle package describes all you should be tracking and why. Nike supply chain collaborative iis mm ugm ap 6b an implementation of information system in supply chain management super chain workgroup. The role and importance of transportation 3 transportation profile. Nike s vision of a lean, green, equitable and empowered sustainable supply chain required a fundamental shift in business relationships, but is now embedded within the new manufacturing index. Even in the information age where data access and sharing is easier than ever before, manufacturers face new sets of it and operational challenges in the quest to protect sensitive data, optimize the management of standard operating procedures sops and. However, technology is bringing about a fundamental change and supply chain 4.
Nike and i2 partnership with i2 for building supply chain management software. Supply chain management project nike shoes youtube. A few types of metrics that are useful for supply chain digitalization include output metrics, process metrics and value chain metrics. Our value chain includes nine tiers thats more than most other industries and thus is a challenge to address comprehensively, especially in the tiers where we have less control or influence. It can either acquire a few of them or build some of its own which will help it have a more agile and stronger supply chain and find faster growth. Doc global supply chain management case study nike. Nike supply chain collaborative iis mm ugm ap 6b an implementation of information system in supply chain management super chain. Nike s response to a supply chain crisis repositioned it as a sustainability leader, and raised the bar for an entire industry. Nikes strategy to improve conditions in its global supply. The method by hernan david perez is licensed under a creative commons attributionnoderivs 3. Boeings global supply chain for the dreamliner 787 a. For a company that moves over 900 million units per year, these savings amount to a serious competitive edge. Nike statement on forced labor, human trafficking and.
Supply chain management description of nike company nike inc. Products move from several distribution centers across a network of thousands of retail. Green supply chain improves operations by employing an environmental solution. This report explores how nike s approach to improving social and environmental conditions in its global supply chain has evolved through integrated management of sustainability and innovation, increased supplier incentives, and systems innovations intended to prevent problems before they arise. Evolution of supply chain management roadmap to excel business efficiency what is scm supply chain management scm is a business strategy, whereby the trading partners within the supply chain commit to work in tandem to bring maximum value to the consumers andor their customers for the least possible total supply chain cost and time. Other dimensions must be considered and balanced when designing the supply chain, including. Integration, incentives and innovation nikes strategy to. The analyst will play a role in identifying bad inventory and helping. One companys unprecedented disclosures raised the bar for an industry in april 2005, nike surprised the business community by releasing its. Nike manufacturing and supply chain strategies market. Best practices in green supply chain management final.
Integrating sustainability with supply chain management rewiring nike s approach to supply chain sustainability has involved changes both at the company level and with its suppliers. We denote the supply chain network consisting of the graph g n,l, where n denotes the set of nodes and l the set of links. Jan 03, 2017 key issues of supply chain management 1. Delivery precision in a multiproduct and multijurisdictional company like nike, inc. Nikes evolving supply chain clelia peters mba 09 these days, your new sneakers are far more likely to have spent more time traveling than you have.
Supply chain management microsoft word templates are ready to use and print. Nike uses the enterprise resource planning erp software, sap to manage all their inventories, deliveries, logistics and supply chain activities. Supply chain strategy is not simply a linear derivative of the business strategy. Smart and digital solutions for supply chain management. Nike has reaped the benefits of moving to lean manufacturing with shorter lead times and fewer product defects in its supply chain.
Fao guidance for responsible agricultural supply chains oecd and fao have developed this guidance to help enterprises observe standards of responsible business conduct and undertake due diligence along agricultural supply chains in order to ensure that their operations. Supply chain 2020 special report the new decade promises to be one of challenge and opportunity in supply chains. Fifteen years ago, nike underwent arguably more intense scrutiny and brutal attacks for its global supply chain management policies and priorities. The key to nike s efficiency is its low overhead manufacturing costs. Ecommerce and supply chains appendix content opening case. Information is the glue that holds a supply chain together. In case of any conflict arising, the original version hereof in swissgerman language shall apply exclusively. Economic order quantity model eoq and the supply chain operations reference model scor are used to fostering operational efficiency. Improves agilitygreen supply chain management help mitigate risks and speed innovations.
Understanding your value chain, and how china fits into it, can lead to tremendous tax savings. Nike is a member of a number of corporate responsibility and sustainability organizations and we are committed to solving critical issues that affect the people in our value chain. Nike a leading manufacturer of shoes and other sports equipment in the world faced lots of problems in adopting new software to streamline its supply chain and. Often times scm can be confused with the term logistics management. Nike supply chain report reveals problems in china. Upss 2012 pain in the supply chain survey, now in its fifth year, reveals the latest data on healthcare executives views on the state of the healthcare industry. Increases adaptabilitygreen supply chain analysis often lead to innovative processes and continuous improvements. As a result, nike has created the following standards for their supply chain. Note that g represents the topology of the full supply chain network possibilities as in figure 1, for example.
This is a brief introductory tutorial that explains the methodologies applied in the rapidly. Supply chain management word templates design, download now. Find supply chain management course notes, answered questions, and supply chain management tutors 247. The survey also explores global healthcare decision makers top business and supply chain concerns and probes priorities and plans around upcoming supply chain.
Its products are made in 42 countries at 567 independent factories that employ more than 1 million workers check out nike s manufacturing map. Performance metrics for supply chain digitalization when talking about kpis and metrics, the group had various ideas to measure the success of a digital supply chain. Capability building and social performance in the nike supply chain greg distelhorst jens hainmueller richard m. Create a supply chain diagram of the texas innout burger supply chain.
Accueil du module supply chain et logistique vous allez acquerir les connaissances generales en logistique et supply chain necessaires pour. Nikes approach to managing supplier responsibility has greatly evolved since the 1990s, when the media uncovered claims of child labor, underpaid workers, and. The paper contributes to a growing area of knowledge about challenges and approaches of medical supply chains in subsaharan africa. From quartermaster to sunshop executive summary many seemingly unrelated cyber attacks may, in fact, be part of a broader offensive fueled by a shared development and logistics infrastructurea finding that suggests some targets are facing a more organized menace than they realize. Download this document for fundamentals of supply chain management at maastricht university for free and. Supply chain management adidas free download as powerpoint presentation. He or she will support the companys inventory and supply chain needs with data analytics and purchasing responsibilities. Stanford initiative for the study of supply chain responsibility sisscr. Download supply chain management word templates designs today. We recommend the definition of supply chain management developed and used by the global supply chain forum. It is imperative that a mutual understanding exists between nike and its suppliers to ensure quality throughout the supply chain.
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