How is Nike changing the Supply Chain Game? MBA Case Study.

The Nike supply chain can be divided into three main stages: sourcing, manufacturing, and distribution.

Sourcing

Nike sources its raw materials from suppliers all over the world. The main raw materials that Nike uses are leather, rubber, and textiles. Nike works with its suppliers to ensure that they meet its high standards for quality and sustainability.

Nike’s sourcing process begins with identifying potential suppliers. Nike has a team of sourcing professionals who travel the world to visit potential suppliers and assess their capabilities. Nike also uses a variety of tools to identify potential suppliers, such as online directories and trade shows.

Once Nike has identified potential suppliers, it evaluates them based on a number of factors, including quality, price, sustainability, and delivery time. Nike also conducts audits of its suppliers’ factories to ensure that they meet its labor standards.

Manufacturing

Once Nike has sourced its raw materials, it sends them to its contract manufacturers to be produced into finished products. Nike does not own any of its own factories, but instead relies on contract manufacturers to produce its products.

Nike’s contract manufacturers are located in over 40 countries. Nike works closely with its contract manufacturers to ensure that they produce its products according to its specifications. Nike also has a strict quality control process in place to ensure that its products meet its high standards.

Distribution

Once Nike’s products have been manufactured, they are shipped to Nike’s distribution centers. Nike has a network of distribution centers all over the world. Nike’s distribution centers help to get Nike’s products to retailers quickly and efficiently.

Nike’s distribution process begins with receiving products from its contract manufacturers. Once Nike has received products, it inspects them to ensure that they meet its quality standards. Nike then sorts and packages the products for shipment to retailers.

Nike ships its products to retailers using a variety of transportation methods, including air, ocean, and ground transportation. Nike also uses a variety of logistics providers to get its products to retailers.

Nike’s supply chain is essential to its success. Nike’s ability to produce high-quality products at a competitive price is due in large part to its efficient and effective supply chain.

Key Features of Nike Supply Chain

Global reach: Nike’s supply chain is global in reach, with suppliers and contract manufacturers located all over the world. This allows Nike to take advantage of lower labor costs in some countries and to be closer to its target markets.
Efficiency: Nike’s supply chain is very efficient. Nike uses technology and innovation to streamline its operations and to reduce costs.
Flexibility: Nike’s supply chain is also very flexible. Nike is able to quickly respond to changes in demand and to new trends in the market.
Sustainability: Nike is working to make its supply chain more sustainable. Nike has set a number of goals for itself, including reducing its environmental impact and improving the working conditions of its suppliers’ workers.
Transparency: Nike is working to make its supply chain more transparent. Nike has published a number of reports on its supply chain, and it allows third-party auditors to inspect its suppliers’ factories.

Examples

Global reach: Nike has a network of over 800 contract manufacturers in over 40 countries. Nike also has a network of distribution centers all over the world. This allows Nike to get its products to customers quickly and efficiently.
Efficiency: Nike uses a variety of technologies to streamline its supply chain operations, such as RFID tags and automated picking and packing systems. Nike also has a strong focus on continuous improvement, and it is constantly looking for ways to improve the efficiency of its supply chain.
Flexibility: Nike’s supply chain is designed to be flexible and adaptable. Nike has a number of suppliers and contract manufacturers that it can work with, and it is able to quickly shift production to different locations as needed. Nike also has a strong focus on product development, and it is able to quickly bring new products to market.
Sustainability: Nike is working to make its supply chain more sustainable in a number of ways. For example, Nike is working to reduce its environmental impact by using more sustainable materials and by reducing its energy consumption. Nike is also working to improve the working conditions of its suppliers’ workers by implementing a code of conduct and by conducting audits of its suppliers’ factories.
Transparency: Nike is working to make its supply chain more transparent by publishing a number of reports on its supply chain and by allowing third-party auditors to inspect its suppliers’ factories. Nike is also a member of a number of industry initiatives that are working to improve the sustainability and transparency of the global apparel supply chain.

Nike Quotes from Advertisements

“Yesterday you said tomorrow. JUST DO IT.”
“Greatness is not born, it is made.”
“Run the day. Don’t let it run you.”
“Be legendary.”
“With each step comes the decision to take another. You’re on your way now. But this is not the time to dwell on how far you’ve come.”
“Don’t believe you have to be like anybody to be somebody.”
“If people say your dreams are crazy, if they laugh at what you think you can do, good. Stay that way. Because what the non-believers fail to understand is that calling a dream crazy is not an insult. It’s a compliment.”
“You’re in a fight with an opponent you can’t see but you can feel among your heels. Feel them breathing down your neck. You know what that is? That’s you. Your fears, your doubts, and insecurities all lined up like a firing squad ready to shoot you out of the sky. But don’t lose heart. While they’re not easily defeated, they’re far from invincible.”
“What you do is up to you. Just do it.”