Business Finance
MGMT 410 IAU Critical Analysis of Adidas Company Research Paper

mgmt 410

International American University

MGMT

Question Description

I need an explanation for this Management question to help me study.

“Group Research Project”

It’s a group work and the members of the group had done most of the steps of this research. So, the required work here is only one stage and I should explain it in details to understand it deeply.

- You can find the general purpose of the research in the outlines uploaded

  • chapters related to project are: 5, 7 and 8

This research has two main points, and the required work is only stage two (The Analysis):

(The other points mentioned only to understand the project deeply).

1. Description of the selected topic in the company

// Describe the topics as practiced in your selected company. Organize this part in three subsections:

1.1 Location of the Company: Describe what are the locations of the facilities of the company and how they select them.

1.2 Product Design: Explain the types of products produced by the company (goods or services), how these products are linked to the strategic objectives of the company such as cost reduction and differentiation, as well as any environmental or ethical considerations in the products.

1.3 Process Design: Describe how the company produces the products you mentioned above by explaining the stages through which the products produced, the technology used in production, and any sustainability considerations in process design.

// Use charts, diagrams, and pictures in your description.

2. Analysis

//Provide a critical analysis of the practice of the three topics in your company with respect to the theories and guidelines offered in the Operations Management course or international standards.

//The analysis should include both positive points and negative points of the location, product design, and process design of the company.

  • Additional explanation of the second stage: The analysis should focus on the positive and negative points for each topic especially for the negative points, and the analysis must be related to the material of the course. You can also choose points that already mentioned by other members in the research. For example: if the company choose a location that is near to targeted customer will be considered a positive point, and explain why its positive according to the material. And you can say that the locations of the company is too far from raw materials and clarify that its a negative point with explaining. these example to understand the meaning of the analysis required.
  • I will upload the work of the other members because you need to read it before you start working (their research keep it private please).
  • The outlines of the project will be uploaded if anything not clear.
  • Plagiarism not allowed.
  • words should be in this range (450-600).

Unformatted Attachment Preview

Executive summary: This report provides an analysis of the most three important operations management decision which they are location strategy, product design and process design. First, the location strategy objective is that to increase the benefit of the location to the Adidas company. Second, the product decision is to develop and implement a strategy that meets the demands of the market with a competitive advantage. Third, the process design strategy objective is to make a production process that meets both product specifications and customer requirements within cost and other managerial constraints. The purpose of this report is to analyze these three decisions in Adidas Company which one of the most popular sport companies worldwide. The methodology of data collection sources was by using the operation management book written by Heizer and Barry and reliable online websites as well journals and articles. Furthermore, we found out from the analysis we conduct top positive results which are(……………), top negative results which are (………..). Finally, our top recommendations to Adidas are(………… ) Adidas Background: Adidas is one of the largest companies in the world in the manufacture of sports equipment, especially shoes, as it was established in Germany in 1924. Adidas' fame began in the Olympic Games in 1928, during which time it manufactured a set of special shoes for important athletes. Adidas is the source of the idea of soccer shoes with nails to help players stabilize more on the slippery muddy ground of the stadium. Although Adidas is the first company in Europe, it is the second company in the world in the field of sports products, as the American Nike company is classified as the largest sports products company in the world and is the largest competitor of Adidas, as there is very intense competition between the two companies. Adidas has many offers with many clubs and national teams around the world such as Real Madrid and Chelsea. Logo, clothing and footwear designs usually feature three parallel lines that express an abstract mountain drawing and demonstrate goals that can be achieved through pursuit and perseverance. Today Adidas is a pioneer in its field and is a group of companies including Reebok and Rockport. 3.1 Location of the Company: The lead at Adidas company is taken by their headquarters in Germany and other main additional location which are in Boston, Portland, Shanghai, Moscow, Latin America, Amsterdam, Hong Kong, Switzerland and Dubai. Adidas company knows that if they have additional key location, they’ll be closer to their customer and satisfy them by offering several services at a faster and professional way. Nowadays, Adidas Company reached its level of success globally by choosing the optimal location to benefit the firm which is by minimize the cost of production and maximize the profit. Adidas supply chain it considers globally and multi-layered, as they work with more than 1000 independent national and international factories and manufacture their products through 67 different major manufacturing countries such as China, Vietnam, Indonesia, Thailand, Turkey or India. Furthermore, Adidas to keep their production cost effective they outsource 100% of production to independent manufacturing partners, and the majority (73%) located in Asia. As shown in Figure 1: Adidas use effective location strategy of selection wisely their manufacturing locations in these countries due to some factors such as for availability of supplies, lower labor costs, cheaper location market, lower political risk, less restricted government rules, lower economic issues and lower currency risk and other many factors. For these significant factors, Adidas operations and location strategy decisions are always making and changing judiciously. For instance, they shift portion of their production from China to Vietnam as the labor costs and wages lower compared to China. Therefore, this efficient decision help Adidas to diversifying their manufacturing and reduce the risk of sourcing largely from China. Moreover, most of Adidas factories that deal with raw material are located in Asia countries like India, Pakistan, Indonesia and Vietnam due to the availability of supplies and raw material factor. 3.1 product design Adidas manufactures many products, such as sports shoes, sport uniform it's known that most of football clubs that won the World Cup wear Adidas sports uniforms, And sports bags that are used for several things, for instance school bags for both sexes in different sizes and shapes, and other accessories for athletes such as dumbbells, barbel and rubber bands. But the main product of the company is the shoes. Adidas manufactures different types of shoes, such as walking shoes, running shoes ,soccer shoes, and sneakers shoes. The company focuses on various aspects in the design of adidas shoes. they focus on the quality of the shoes. Adidas uses the finest raw materials. such as leather as the company cleans the animal skin, also interested in textiles such as cotton, polyester and nylon.in addition the rubber and foam of the shoes, which is an important component to produce comfortable high-quality shoes that allow the customer to walk for extended periods of time without feeling tired. On other hand, they are also interested in designing the latest fashion footwear, where the logo of the designers at Adidas is “Be Tomorrow” to get out of the boring traditional framework of shoes. as well adidas company cares about the different tastes of their customers, so they manufacture one design in more than one color to satisfy all the tastes of customers in the market. The most important thing in this company’s design processes is that it has become an adidas company global leader in sustainability because it uses less water, reduces energy consumption, and helps keep plastic garbage away from the ocean. Adidas' corporate-wide sustainability initiatives are impressive because they are broad. 3.3 Process Design: The design process for Adidas products begins with the design stage, which is considered one of the most important stages where designers use computers in the Adidas Design Studio to create the idea and draw it with all the details such as choosing colors and the type of fabrics until the design is completely completed. In this part, it is important that designs are appropriate for the target market of Adidas, which is often targeting athletes. New materials and designs are tested before being sent to manufacturing at Adidas headquarters in Germany, where this headquarters is the brain of development and this test is done by a team of makers, robots and athletes. After that, in the production factories, the raw materials are collected and converted into products, which Adidas is keen in selecting sustainable materials such as organic cotton, recycled polyester and recycled rubber. The manufacturing process which includes cutting and shaping is done according to the design drafts. Modern technologies are used, which are a strong example of artificial intelligence, such as robots, 3D printers and knitting machines, as there is a department in the company that specializes and focuses on new technologies, which is called the Future Team. After the assembly is completed, the workers fill and label the final products and ensure that all the elements will not corrode and that they are strong enough to the satisfaction of the customer, then they are shipped all over the world. When the customer sees the final product, it is difficult to imagine all the manufacturing complications that this product has gone through. As for the mass customization focus process, Adidas offers a customized “miAdidas” program, which enables customers to design their own shoes and clothes themselves and in their own style via website. College of Business Administration Department of Managemen Group Research Project Course: MGMT 410 - Operations Management Project Announcement Date: Feb. 6, 2020 Marks: 15 Submission mode: Soft copy via Blackboard only Submission Date April 9, 2020 PURPOSE The purpose of this project is to describe and analyze the operations management practices of a selected company. The project provides the students with an opportunity to link theoretical aspects of the course with real-world situations and to learn the challenges faced by companies in the application of the principles of operations management. PROJECT DESCRIPTION • Select any company of your choice working in Saudi Arabia or abroad (the company could be Saudi or Non-Saudi) as long as you can gather sufficient information to provide a good analysis of the company’s operations in the following areas: 1. Location of the company 2. Product design (goods or services provided by the company) 3. Process design (stages and methods of production) • Your project should include a proper description of the above topics as practiced in the selected company, as well as detailed analysis of the topics that involve evaluation of positive and negative points of company practices with reference to what you studied in the course. 1 College of Business Administration Department of Managemen INSTRUCTIONS 1. It’s a group-based project composed of a written report, so all the group members are required to participate equally. The number of students in each group should be between 4-5 students. Use books, electronic databases, company websites, social media, search engines, and any other suitable sources to collect your data. 2. The report should include an individual contribution report for each group member. And the project report should be between 2000 and 3000 words. Students are required to submit softcopy via Blackboard by the group leader only. 3. Submit your report as early as possible. Due dates will be firmly adhered. If the report is not submitted by the due date, a penalty of 20% per day will be deducted from the assessment mark. The format for the report structure is attached. 4. Writing Guidelines: Paper size: A4, Line Spacing: 1.15, Margins: 1” (inch)all sides, Font: Times New Roman, Font Size: 12 for text 14 for heading and 13 for the subheading. 5. Your report should be grammatically correct, well punctuated, clear, neatly presented, and easy to read. Failure to comply with these requirements will result in a significant loss of marks. 6. Referencing: Plagiarism will not be tolerated at all and will lead to serious action. All sources must be referenced. The Harvard Referencing style must be used to support all sources of information. Students must provide in-text references as well as reference list at the end of the document. Harvard Referencing guide is available on blackboard. Evaluation Criteria: Rubrics and forms for evaluation of project report and format of individual contribution reports are provided on pages 3 and 4. 2 College of Business Administration Department of Managemen Report Structure The report may follow the structure given below. ➢ Title page with project topics, company name, student names, and their IDs, section number. ➢ Table of contents 1. Executive Summary // Clear, concise overview/outline of the entire research report. Include objectives of the project, the method followed to do the project, sources data collection, top results (positives & negatives) and top recommendations 2. Company Background // Background of the selected company (ownership, brief history, organizational structure, products, markets) 3. Description of the selected topic in the company // Describe the topics as practiced in your selected company. Organize this part in three subsections: 3.1 Location of the Company: Describe what are the locations of the facilities of the company and how they select them. 3.2 Product Design: Explain the types of products produced by the company (goods or services), how these products are linked to the strategic objectives of the company such as cost reduction and differentiation, as well as any environmental or ethical considerations in the products. 3.3 Process Design: Describe how the company produces the products you mentioned above by explaining the stages through which the products produced, the technology used in production, and any sustainability considerations in process design. // Use charts, diagrams, and pictures in your description. 4. Analysis //Provide a critical analysis of the practice of the three topics in your company with respect to the theories and guidelines offered in the Operations Management course or international standards. //The analysis should include both positive points and negative points of the location, product design, and process design of the company. 5. Conclusion &Recommendation //Brief summary of the report and your recommendations for improvement. 6. List of References (use Harvard referencing style) 7. Individual Contribution Report (Contribution of each member in the group in the activities of the project (use the form on page 5). 3 College of Business Administration Department of Managemen Project Report Evaluation Form Project Title: _____________________________________________ Name: _1.____________________________________________ Section No. _____________________ Student ID _____________________ _2.____________________________________________ _____________________ _3.____________________________________________ _____________________ _4.____________________________________________ _____________________ _5.____________________________________________ _____________________ _6.____________________________________________ _____________________ MARKING CRITERION 1. Presentation • Fulfilled the required structure, cover sheet, word limit, organization, design, etc. 2. Introduction • Background to report. • Statement of purpose. • Outline of the report. 3. Report Body • Paragraph structure (topic sentences etc.). • Main points are debated (strategy formulation, implementation, and evaluation) • Cohesion (logic sequence between paragraphs). 4. Conclusion • Restate the report & relates to its purpose. • Summarize the main points. • Consistency between the arguments provided in the body section and the statement of conclusion 5. Academic English • Grammar, spelling, syntax, punctuation, expression, tone, vocabulary, flow. 6. Critical analysis and use of evidence • Critical approach. • Appropriate & sufficient evidence. • Integration of evidence & depth of analysis. Total Mark WEIGHT 20 MARKS COMMENTS 10 30 10 10 20 100 4 College of Business Administration Department of Managemen Individual Contribution Report Project Title: _____________________________________________ Student Name ID Student General Role in the Project Section No. _____________________ Detailed activities are done by the student and evidence in the project (page numbers) 5 5 Product Design PowerPoint presentation to accompany Heizer, Render, and Al-Zu’bi Operations Management, Arab World Edition Original PowerPoint slides by Jeff Heyl Adapted by Zu’bi Al-Zu’bi 5-1 Outline •Goods and service selection • Product decision • Product Strategy Options Support Competitive Advantage • Product Life Cycles • Life Cycle and Strategy • Product-by-Value Analysis 5-2 Outline - Continued • Generating New Products • New Product Opportunities • Product Development • Product Development System • Organizing for Product Development • Manufacturability and Value Engineering • Ethics, Environmentally Friendly Design, and Sustainability 5-3 Outline - Continued ◆ Time-Based Competition ◆ Purchasing Technology by Acquiring a Firm ◆ Joint Ventures ◆ Alliances ◆ Defining a Product ◆ Service Design ◆ Transition to Production 5-4 Learning Objectives When you complete this chapter you should be able to : 1. Define product life cycle 2. Describe a product development system 3. Describe how time-based competition is implemented 5. Describe how products and services are defined by operations management 6. Describe customer participation in the design and production of services 5-5 Goods and Service Selection: Product Decision • Most products have limited or predictable life cycles. • Companies must constantly look for designing and developing and offering the new products to the market. • Thus companies must take product decision. 5-6 Goods and Service Selection: Product Decision The product decision includes: selection, definition and design of the products. The objective of the product decision is to develop and implement a product strategy that meets the demands of the marketplace with a competitive advantage 5-7 Product Decision ◆ Involve choosing the good or service to provide customer ◆ Top organizations typically focus on core products ◆ Customers buy satisfaction, not just a physical good or particular service ◆ Fundamental to an organization's strategy with implications throughout the operations function 5-8 Product Strategy Options Support Competitive Advantage ◆ Differentiation ◆ EyeHosp, Jordan ◆ Low cost ◆ Kudu, Saudi Arabia ◆ Rapid response ◆ Toyota 5-9 Product Life Cycles ◆ May be any length from a few hours to decades. ◆ The operations function must be able to introduce new products successfully. 5 - 10 Sales, cost, and cash flow Product Life Cycles Cost of development and production Sales revenue Net revenue (profit) Cash flow Negative cash flow Introduction Loss Growth Maturity Decline Figure 5.1 5 - 11 Product Life Cycle Introductory Phase ◆ Fine tuning may warrant unusual expenses for 1. Research 2. Product development 3. Process modification and enhancement 4. Supplier development 5 - 12 Product Life Cycle Growth Phase ◆ Product design begins to stabilize ◆ Effective forecasting of capacity becomes necessary ◆ Adding or enhancing capacity may be necessary 5 - 13 Product Life Cycle Maturity Phase ◆ Competitors now established ◆ High volume, innovative production may be needed ◆ Improved cost control, reduction in options, paring down of product line 5 - 14 Product Life Cycle Decline Phase ◆ Unless product makes a special contribution to the organization, must plan to terminate offering 5 - 15 Product-by-Value Analysis ◆ Lists products in descending order of their individual dollar contribution to the firm ◆ Lists the total annual dollar contribution of the product ◆ Helps management evaluate alternative strategies 5 - 16 Generating New Products New Product Opportunities 1. Understanding the customer 2. Economic change 3. Sociological and demographic change 4. Technological change 5. Political/legal change 6. Market practice, professional standards, suppliers, distributors 5 - 17 Product Development System Ideas Figure 5.2 Ability Customer Requirements Functional Specifications Scope of product development team Product Specifications Scope for design and Design Review engineering teams Test Market Introduction Evaluation 5 - 18 Organizing for Product Development There are four common approaches to organizing product development. 1. 2. Organization with distinct departments ◆ Traditional U.S. approach ◆ Duties and responsibilities are defined ◆ Difficult to foster forward thinking A champion ◆ Product manager drives the product through the product development system and related organizations 5 - 19 Organizing for Product Development 3. Team approach ◆ ◆ Cross functional – representatives from all disciplines or functions These teams are called • Product development teams, • design for manufacturability teams, • value engineering teams 4. Japanese “whole organization” approach ◆ No organizational divisions 5 - 20 Manufacturability and Value Engineering ...
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Adidas Company Report
Executive Summary
This project will explore three primary operations of Adidas Company. Three main
activities enable the organization to undertake its process effectively. The first operation is the
location strategy, and this helps to improve the location benefits of the company. The Adidas
Company can reach its customers efficiently, and this makes the distribution of products more
accessible. The second operation of the company is the product decision, which helps to meet
customer specifications. When the company can meet customer specifications, there can
penetrate the market effectively. Another essential operation is the design strategy that aims to
meet product specifications. Also, the design strategy helps to meet customer requirements, and
this promotes an increase in sales. Sources of data collection were a book written by Browoski,
Haig and online sources, which are related to Adidas Company. The primary purpose of this
report is to analyze these...

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Purdue University

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