NIKE- Failure in Demand

Forecasting
Veer Gupte
Akshay Agarwal
Sagar Kulkarni
Prathamesh Priyolker
Hardik Shah

Founded in 1957 by Philip Knight
Manufacture:
Sports equipment
Sports wear
Apparels
Accessory products
Products sold in over 140 countries



Supply Chain Management

Business network covering from buying, making, moving,
warehousing to selling






Selling
Buying
Making
Moving
Ware
housing
Distribution
network
configuration
Distribution
strategy
Information
Inventory
management
NEED FOR SCM
i2s Software Implementation
First part of supply chain strategy

Cost of this project was US $40 million

To match supply with demand

To reduce the amount of raw material

Used it as a legacy system rather than as apart of SAP ERP
project

REASONS FOR i2S SOFTWARE FAILURE
Third party integrator
Inexperience of i2
Customization
Trying to forecast too far out ahead
Pilot test
Problems in smooth integration
Inadequate information
Changing market conditions
Review meetings







Measures to overcome demand
forecasting problem
Well equipped and competent
system
Continuous interaction with
the customer
Proper analysis of data
Supplier and retailer feedback
Importance of demand forecasting
Determining the quantities
"make to stock" rather than "make to order
Reduces supply time
Efficient forecasting
Ways to avoid supply chain problems
Press and other reports
Assessment of Supplier financial situation
Report obligations
Coordinator for troubled situations
Monitor delivery performance
Lessons Learned
Be Patient

Define a business Goal

Re-engineering Process

Just Do It Over

Keep your eye on the price