Nike's Inventory Problem

Nike's Inventory Problem

Nike's Inventory Problem

Case Study

For a research project during my studies at Yonsei University, I was tasked in analyzing a company's productions and operations management,

Research

To begin, I had to narrow down a company.

Amongst options like Toyota, Nongshim, Amazon, and Kodak, Nike stood out to me as a top research pick due to the recognizability of the brand and the availability of information online. Next was actually tackling the operation systems.

Through my research, I uncovered Nike's inventory struggles as a result of a transition from B2B to B2C markets.

Calculations

Calculations done with the basic EOQ and Continuous Review Model

Findings

Based on my calculations, NIKE would benefit from a D2C operations strategy.