Lean Operations in Adidas and Nike

Document Type:Essay

Subject Area:Management

Document 1

Nike and Adidas companies are two of the best soccer boots manufacturing firms in the world and these brands have competitively been in the market for decades. Having a look at the implications for operations management for these two companies is the best way to scrutinize how good they perform in the shoe industry. Production Processes Adidas The production process of Adidas involves the conversion of several pieces of raw materials into the final product that athletes usually use in the soccer sport. The raw materials used include cotton, rubber, polyester, and leather. These materials are cut and shaped according to the consumer specifications or the design drafts for the boots that are going to be consumed by the general consumer in the market.

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After the sole is ready the sewed upper part is then attached to the sole through a process called lasting, before the final process of, heeling. Nike takes a slightly different approach when it comes to engaging the customer in the production process. The interactions with consumers at many times happens on the official website of the company where people who have previously had experiences with Nike soccer boots have an opportunity to post their comments on the online platform. On the other hand, the potential buyers can also customize their products by engaging with support team on Nike so that by the time their orders are delivered then the product is made to suit what the client wished. This has been very vital in the sales of this company over the years.

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Commitment to Quality and Excellence Nike’s business strategy is evidence enough that it is trying to get to the customer’s by making sure their resources are worth paying for a Nike soccer boot. The firm has over the years produced quality boots but employed the cost provider strategy where it sells its boots are relatively lower prices in order to get to as many consumers as possible. The resultant effect of this move is that revenues increase and the company consequently, excels. Part of the reason why Nike is able to sell quality soccer boots at cheaper prices is because of its ability to link up with suppliers with whom they work very well. This has enabled the firm to produce at relatively low costs and that is why the boots can be sold at a lower price as well.

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Hence, the measure of quality for Nike pretty much begins at the production stage. Adidas’s process of testing the quality of their shoes is slightly complex than that of Nike. This company is dedicated to ensuring that the shoes it produces are of high quality and that the consumers are assured of safety when using them. Adidas subjects its materials for the production of soccer boots and other products to a rigid compliance process. They are tested based on the standards that are set internationally which dictate the qualities of materials that are used to make different products. The Movement towards Lean Processes Nike Through the culture of empowerment, Nike has been able to shift to towards lean management. The human resource management has played a big part in ensuring Nike moves towards the lean processes.

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This is because by surveying workers, the firm has been able to get insight into the critical issues about the firm and the processes that go on, together with consumer information. In other words, Nike is essentially using the practices of continuous improvement that are as a result of the surveys, to get into lean management. The linkage between projects and strategies has picked up well and this is why the focus is more on producing quality soccer boots and other products as well (Stevenson, 2014). The acquisition of raw materials and sewing process to a large extent look alike. Once the upper and lower layers of the boots are intact the boots undergo further processes that are meant to ensure the products suit the specifications of the consumers.

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