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SCM & ERP SOFTWARE IMPLEMENTATION AT NIKE:FROM FAILURE TO SUCCESS

PRESENTED BY-

OVERVIEW
INTRODUCTION
NIKES SUPPLY CHAIN THE i2 DEBACLE WAS IT AVOIDABLE? LESSONS LEARNED

IMPLEMENTING SAP APPAREL AND FOOTWEAR SOLUTION


BENEFITS & CRITICISMS

INTRODUCTION FOUNDED IN 1957 BY PHILIP KNIGHT OUTSOURCING OF MANUFACTURING ACTIVITIES PROFITS DECLINED & NSC PROJECT LAUNCHED IMPLEMENTATION OF ERP,SUPPLY CHAIN AND CRM SOFTWARE ONTO A SINGLE SAP PLATFORM INTEGRATING BUSINESS PROCESSESS

THE i2 DEBACLE
SOFTWARE FROM i2 TECHNOLOGIES HIGH LEVEL OF CUSTOMIZATION REQUIRED

SOFTWARE BECAME SLOW AND VUNERABLE TO CRASHES LOSS SUFFERED BY NIKE

OPINIONS OF EXPERTS ON DEBACLE


NIKE DIDNT HIRE A THIRD PARTY INTEGRATOR COMMUNICATION GAP BETWEEN NIKE & i2 NIKE DIDNT STICK TO USUAL LEVEL OF CUSTOMIZATION A PILOT TEST WAS REQUIRED NIKE WANTED TO MANY THINGS TOO FAST

LESSONS LEARNED BY NIKE


TIME SHOULD BE GIVEN FOR IMPLEMENTATION OF SOFTWARES PROPER ANALYSIS OF BUSINESS MODEL

NIKE MOVED ON TO SAPS ERP BASED ON ORDERS & INVOICES IMPORTANCE OF PROPER TRAINING

IMPLEMENTATION OF SAP APPAREL AND FOOTWEAR SOLUTION(AFS) APPLICATION OF AFS UNDER SINGLE INSTANCE STRATEGY
ADOPTION OF BIG BANG APPROACH FOR ERP PROPER PLANNING AND TESTING AT EVERY STAGE COPERATION BETWEEN BUSINESS AND IT DEPARTMENTS

BENEFITS BETTER FINANCIAL MANAGEMENT,IMPROVED REVENUE FORECASTING DECLINING INVENTORY LEVEL REDUCTION IN THE LEAD TIME BETTER INTEGRATION BETWEEN VARIOUS DEPARTMENTS LIKE SALES AND LOGISTICS

CRITICISMS

HUGE COSTS INCURRED BY NIKE LESS ACCURATE FORECASTS STILL LEAD TIME WAS SIGNIFICANT

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