SCM and ERP Software Implementation at Nike: From Failure to Success

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Case Details:


Case Code : OPER049 For delivery in electronic format: Rs. 500;
For delivery through courier (within India): Rs. 500 + Rs. 25 for Shipping & Handling Charges


Case Length : 18 Pages
Period : 1996 - 2005
Organization : Nike
Pub Date : 2005
Teaching Note : Available
Countries : United States
Industry : Footwear & Apparels


The case gives a detailed account of the failure of Supply and Demand Planning software implementation at Nike, a leading Footwear and Apparel company. The case traces the history of supply chain and ERP software implementation at Nike and presents the rationale behind their implementation. It details the circumstances that led to the SCM software implementation failure and also examines the steps taken by Nike to fix the problem. Finally, the case explores how Nike was able to use the learning from the failure to its advantage and emerge successful with the SAP implementation, a part of the Nike Supply Chain Project.


Study and analyze the problems faced in supply chain management (SCM) and ERP software implementation

Examine the reasons for SCM software implementation failures

Analyze the suitability and implications of 'Single Instance Strategy' of Nike for global ERP projects

Understand how companies can learn from their mistakes in SCM and ERP software implementation


  Page No.
Introduction 1
Nike's Supply Chain 2
The i2 Debacle 4
Was it Avoidable? 5
The Lessons Learned 6
Implementing SAP Apparel and Footwear Solution (AFS) 8
The Benefits 9
Exhibits 13


Nike, Supply Chain Management, SCM, Software Implementation, Failure Enterprise Resource Planning, Single Instance Strategy, Enterprise Application Implementation, Nike's Supply Chain Project, i2 TradeMatrix Plan Solution, Demand Planning, Business Contingency Planning

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