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mi adidas Case Analysis

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further support from corporate in the areas of marketing, IT, production & distribution logistics,<br />

and monetary budget were and are needed to achieve efficient and successful operational<br />

duration. Through this corporate support, Rolf Reinsch<strong>mi</strong>dt has the ability to truly achieve<br />

exponential profitability in the Forever Sport Division of Adidas Salomon-AG. Corporate<br />

recommendations are detailed below in regards to creating efficient <strong>mi</strong> addidas operations.<br />

Recommendations:<br />

The <strong>mi</strong> addidas process needs an overhaul in an effort to achieve efficient mass<br />

custo<strong>mi</strong>zation equilibrium. Why? Current MC problems originate in several areas: First,<br />

communication of customer-specific information i.e. identification / measurement process.<br />

Second, flexibility such as technology dependency and inventory prediction. Lastly, logistics by<br />

way of direct-to customer distribution. As a result of these unfortunate characteristics, MC<br />

problems all draw from too much flexibility and custo<strong>mi</strong>zation for successful large scale<br />

operations. Just look at each of the MC shoe predecessors to <strong>mi</strong> addidas. They have all failed.<br />

The overhaul recommendation is to create a <strong>mi</strong> <strong>adidas</strong> modular configuration, build from<br />

a predeter<strong>mi</strong>ned set of choices which are even more streamlined than the initial <strong>mi</strong> <strong>adidas</strong> pilots.<br />

An example would be Subway, many combinations and choices, but all stem<strong>mi</strong>ng from a set<br />

array of ingredients and quantity per ingredient. In essence, <strong>mi</strong> <strong>adidas</strong> would need to take the<br />

flexible flows of their current MTO process (make to order) and redesign the production process<br />

for intermediate flows incorporating an ATO process (assemble to order). Marketing, retail<br />

stores, and <strong>mi</strong> <strong>adidas</strong> kiosk’s would all need to parallel the production process change over. This<br />

would allow the customer to still create a “custo<strong>mi</strong>zed” shoe but lower the overall costs and lead<br />

time needed to complete the <strong>mi</strong> addidas order. This ATO process overhaul combined with much<br />

enhanced corporate support will greatly encourage a successful <strong>mi</strong> <strong>adidas</strong> business segment.

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