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Submitted to: Group Members:

1.Amal Mathew 1
Dr. Durgaprasad All Day I Dream About 2.Amal Mathew 2
SMM - IMU 3.Geethanraj
Sports 4.Goutham
Sub: Warehouse & 5.Manish. K
Inventory Management 6.Raunak Paul
7.Shishanshu
8.Vivek Thakur
Contents
Introduction
Logistics & Reverse Logistics
Packing & Labelling
Replenishment & Maintaining stock
E-commerce
Storage Methods
Stores Administration
Revenue Management
Introduction
Adidas was founded by Adolf Dassler, following the
split of Gebrder Dassler Schuhfabrik between
him and his older brother Rudolf.
The brothers split up in 1947, with Rudi forming a
new firm that he called Ruda from Rudolf
Dassler, later rebranded Puma, and Adi forming a
company formally registered as Adidas AG from
Adi Dassler on 18 August 1949.
Myth & Tagline
Although it is a popular urban myth that the
name is an acronym for
All Day I Dream About Sports.
The brothers parted ways to form two
different companies on their accord, Adidas
and Puma. Today it has truly lived up to its
tagline Impossible is Nothing
Adidas Group
Adidas, a German multinational corporation that design
and manufactures sports clothing and accessories.

In the Adidas Group, it consists of the Reebok sportswear


company, TaylorMade-Adidas company, Golf company
(including Ashworth), and Rockport.

Adidas is the largest sport-wear manufacturer in


Germany and Europe and the second biggest sportswear
manufacturer in the world from 2012
Adidas India
1989 - Entered India in license agreement with Bata.
1996 - Joint venture with Magnum International Trading Co ltd.
1998 Sachin Tendulkar selected as Brand Ambassador for Adidas India.
1999 - Introduced the cheapest range of budget shoes for Indian market
2001 1st televised advertisement for India starring Leander Paes & Sachin.
2005 - Andreas Gellner is new MD, India.
The following year they signed up Indian Player Ravindra Jadeja. Besides
currently sponsored cricketers include Rohit Sharma, Suresh Raina, Virat
Kohli, Lasith Malinga, Kieron Pollard and Dwayne Bravo.
In the Indian Premier League (IPL), Adidas sponsored the team Mumbai
Indians from 2008 to 2014 and Delhi
Currently, from 2015 Season of IPL, Adidas sponsors Royal Challengers
Bangalore.
Logistics
Adidas are rapidly become more strength, 69 countries
across the globe were involving in producing Adidas
goods, such as Africa, Asia, Europe, Australia and New
Zealand.
Adidas has rank by the largest sportswear manufacturer
in Germany and Europe. Besides that, it also is
second biggest sportswear manufacturer in the world.
A logistic networks are dynamic constructions that
require a permanent flow of products, funds and
information between their divided stages, including the
end customer.
In fact, the primary purpose of logistic network is to
satisfy customer needs, and in the process, generate
profit for itself.
A typical logistic network may involve a variety a stages,
such as component or raw material suppliers (S),
manufacturer (M), wholesalers (W), retailers (R) and
customers (C).
Every single stage of the logistic network is multiply
connected with the others not only through the flow of
products, funds and information, but also through a
complex mechanism of coordination.
It is designed to generate and support trust, which is
essential for knowledge transfer.
The lack of coordination leads to a degradation of
responsiveness and an increase in cost within the logistic
network, which will eventually turn into diminished
profitability of the entire network.
Adidas Large Logistics Network (LLN) includes freight
forwarding networks, container cycles, transportation
networks, production and supply networks.
Adidas Logistics in India
The Indian unit of Germanys Adidas AG sells Adidas and
Reebok sports shoes and clothes in India through local
distributors.
Adidas, which was among the first foreign sports brands
to enter India in 1989, operates 760 stores through
franchisees
Adidas Group India has consolidated its distribution
centres in the country to a single facility of 260,000 sq. ft
facility near Delhi, Gurgoan.
Logistics part of it is managed by DHL Supply Chain.
It has a Distribution Warehouse in Ambattur, Chennai.,
from where the products are distributed to the south
indian zone.
Reverse logistics
Reverse logistics is the set of activities that is
conducted after the sale of a product, such as
servicing, refurbishment and recycling, for the
purpose of recapturing value or proper disposal.
It typically involves returning a product to the
manufacturer or distributor or sending it along
for processing in the final stages of the product's
lifecycle.
Reverse logistics is sometimes also called as
aftermarket supply chain, aftermarket logistics or
retrogistics.
The aftermarket processes that a product can undergo in
reverse logistics are numerous and include:
Remanufacturing - rebuilding the product with reused,
repaired or new parts
Refurbishment - resale of a returned product that has
been repaired or verified to be in good condition
Servicing - a broad category that includes customer
service, field service and product returns, such as
issuance of return merchandise authorizations
Returns management
Recycling and waste management
Warranty management
Warehouse management
PACKAGING
Packaging is an important activity because it
decides the kind of shelf life the product is
going to have. Apart from just being attractive,
packaging has to also include other important
characteristics. The container that goes into the
packaging of the product has to be not only
attractive to stand out and useful; it has to be
also be environment friendly
LABELLING

Labeling is a very important task for


manufacturers, because the information contained
on the label is a very important determinant of the
companys integrity. When the label says
something and the product has something else, it
is a poor reflection on the organizations ability to
have a good image in the market. Moreover, the
expiry date has to be properly written without
causing confusion to the user.
IMPORTANCE OF PACKING AND
LABELLING
1. Function
2. Attraction
3. Promotion
4. Facilitates purchase Decision
5. Differentiation
In Adidas
From warehouse to Retail outlet
Segregation and show casing
From Retailer to Consumer
Replenishment
Replenishment is the process by which something is
made full or complete again.
Stock replenishment is the process of adding more
stock to replace what has been sold.
The purchasers buy a certain quantity of the product,
and when it is sold out, replenishment from the
supplier takes place. The replenishment rate depends
on sales volume as well as consistency of supply.
Stock replenishment is the process of adding more
stock to replace what has been sold.
How to maintain stock in the store
1. Developing an Inventory Tracking Method

i. Choose an inventory monitoring method.


ii. Create inventory groups and tags
iii. Count your inventory.
iv. Record your inventory count.
2. Implementing Your Inventory Tracking Method

i. Schedule your inventory updates.


ii. Make periodic inventory adjustments

3.Restocking Your Inventory

i. Plan your purchasing cycle.


ii. Seek opportunities to automate.
iii. Adjust your purchasing based on your
experience
Inventory Managing Techniques

Set Par Levels


First-In First-Out (FIFO)
Manage Relationships
Regular Auditing
Prioritize With ABC
Accurate Forecasting
Storage methods

Inventory consists of products awaiting purchase


How the products are stored, it depends on space, costs, spoilage
concerns, needs for better efficiency and whether you want to unload
your most recent acquisitions or longer-held stock. In particular, when
you move inventory -- whether first-in, first-out or last-in, first-out --
affects how you value inventory and, thus, your enterprise's profits and
taxes.
Storage is an important component in the care and maintenance of shoes
and clothing. However, it is a component frequently overlooked until a
problem occurs. Proper storage can and does reduce the time and money
involved in upkeep and prolongs the life of the material stored
Various storage methods used in Adidas stores
Racks
Storage racks afford the support and convenience
which is lacking with a block-stacking approach.
How you design racks is tied to whether you
employ last-in, first-out or first-in, first-out
inventory management.
Last-in, first-out operations use drive-in racks or
push-back racks that are closed at the upper level.
In these racks, employees access stock from only
one end.
Drive-through racks allow loading and unloading
in multiple places and flow-through racks rely on
gravity to push stock from top to bottom; these
methods work with first-in, first-out management
Clothing storage

Clothing storage includes hanging as well


as flat or folded items
Drawer and shelf space have become a
modern storage necessity that is
sometimes in too short supply.
The amount of storage space needed is
dependent upon the amount and type of
clothing; therefore, space requirements
become very individualistic and
specialized.
Shelves
A shelf is a flat horizontal plane which is used in
business, store, or elsewhere to hold items that are
being displayed, stored, or offered for sale.
It is raised off the ground and usually
anchored/supported on its shorter length sides by
brackets. It can also be held up by columns or pillars.
Most of the shoes items and other accessories which is
packed in boxes are mostly kept in the shelves
Point-of-Use Storage
Inventory is placed with its users at a station or the
store.
Point-of-use means fewer handlers and lower operating
costs
There exists little need for a warehouse or central
location and the maintenance, security or utilities for
such a building.
Your employees can readily obtain inventory through
point-of-use storage. Just-in-time and repetitive
production operations also employ point-of-use storage.
E-commerce
German sportswear company Adidas AG, which sells
Adidas and Reebok brands in India, saw 25 percent of the
company's total revenue in India coming from e-
commerce business in financial year 2016-17, driven by its
renewed global online strategy.
Today e-commerce business accounts for 25 percent of the
total turnover of Adidas India in a matter of 3 years.
The company started selling through e-commerce
websites in 2014 and in 2015 created its own franchise run
e-commerce portal as it looked to cash in on the booming
e-commerce market in India.
Adidas India at present sell its products through four
pure-play e-commerce players including Amazon and
Flipkart, through its own e-commerce portal and through
the large retail network of its franchised retail stores.

The majority of the e-commerce business for Adidas


India still comes from e-commerce players Amazon,
Flipkart, Myntra and Jabong.

At present 80 percent of the revenue for Adidas India


comes through pure play e-commerce players and the
remaining 20 percent through its own e-commerce
channel but own e-commerce has grown 100 percent
between 2016 and 2017.
Adidas India is also coming up with a new feature
'Ship from Store' by the end of this year and it will be
rolled out at 5 different stores to begin with. By the
means of this new feature, the company will map the
store inventory online and will enable online
customers to buy products through offline stores
anywhere in the country.
STORE ADMINISTRATION
Store administration information aid in manufacturing
organisations and for that, no manufacturing
organisations can ever survive without an effective
store administration.

Decisions have to be made as to how to make use of the


available resources in order to attain the corporate
objectives through the use of store administration.
Components of store administration
Management of premises
floor space management
managing store inventories, cash receipts and displays
customer service and crm
managing promotions, events etc
Managing premises :-
a) working hrs- duration of business hrs, opening , closing
responsibilities
b) maintenance and cleanliness store faade and display windows
c) managing required permissions and
licenses
d) time keeping of store staff.
Managing inventory and display.
STORE ADMINISTRATION
STORE MANAGER

DY. STORE MANAGER

SALES SALES SALES


CASHIER
REPRESENTATIVE REPRESENTATIVE REPRESENTATIVE
(PRODUCT) (PRODUCT) (PRODUCT)
What is Revenue Management?
Revenue management may be defined as the use of
differential pricing based on customer segment, time
of use, and product or capacity availability to increase
profits
Revenue management helps to predict consumer
demand to optimize inventory and price availability in
order to maximize revenue growth. The purpose of
Revenue Management is not selling a room today at a
low price to sell it tomorrow at a higher price.
Revenue Management also means selling a room at
low price today if you do not expect higher demand.
Exclusive outlet
An exclusive outlet is a store in which manufacturers sell
their stock directly to the public, cutting out the middle-
men. exclusive outlet sell they sell their latest thing at
regular market price
Exclusive brand outlets are vendor centric models
They provide complete fashion solution keeping clothes
both fashionable, and functional.
Exclusive store only sells premium/newly released products
(which come at a premium price.)
A branded outlet includes the exclusivity of a brand and
creates a store image to convey its brand image.
Unique promotional strategies are followed.
Drawbacks
An EBO requires high investment.
It is challenging for a retailer to find the right
location to set his store.
If he is a new player in the market, he would face
issues running the store without prior retail
experience, as it deals with one specific brand.
Factory outlets
Factory outlets, the products sold are from one
brand only. Manufacturers who sell only their own
products at a reduced price.
Factory outlet also sell latest as well as other
irregular (surplus or outdated) at discounted price
to clear the stock and keep the capital cash-flow
rotation.
An outlet store provides a way to get name-brand
merchandise for less than exclusive premium price.
WHY EXCLUSIVE & FACTORY OUTLETS ?
Companies may use both exclusive outlets stores and
factory outlets to display and sell their products. The
difference between them is the exclusive store usually
has new released items or hot items, people who are
very passionate this facility attracts them.
Anytime a newer version or some new products of a
shoe or other merchandise come out, they mark them
down for a short time and then ship them off to the
factory outlets to make room in our store for further
storage.
In factory outlets a lot of which is still fairly new
product but not new enough to be carried in exclusive
store so they sell them up to 30-70% discount to
maintain capital cash-flow rotation.

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