...SNHU New Balance Case Study Ed Williams Introduction New Balance Athletic Shoe, Inc. (New Balance) is an organization that offers and makes athletic shoes, attire and extras for men, ladies and youngsters. It is the fourth biggest shoe maker on the planet. The organization was established by William Riley and was formerly known as New Balance Arch Company. In 1972, James S. Davis acquired the organization and renamed it The New Balance Athletic Shoe Company. The New Balance Company is a secretly held organization central command is situated in Brighton, Massachusetts and the organization utilizes 4,100 individuals all through the world. New Balance items are sold universally through their working divisions in the United Kingdom, Europe, Asia and Canada. James S. Davis is current executive and Robot DeMartini is the present President and Chief Executive Officer (CEO) of New Balance. (Business Line. 2014) In this New Balance Case study, I will examine the organization's CSR system by utilizing the Corporate Citizenship administration structure (CCMF), examination of the qualities and shortcomings of some procedures and how the New Balance Company is executing their Corporate Social Responsibility (CSR) method. Qualities and Weaknesses So, as to comprehend the organization's corporate citizenship, New Balance Company uses corporate citizenship administration structure (CCMF) to comprehend the organization's qualities and shortcomings. It incorporates four interrelated...
Words: 1324 - Pages: 6
...Executive Summary In analyzing the New Balance case we were asked to address four core topics: the current operations strategy of the company, the cost of maintaining 25% of manufacturing in the United States, the impact of the Adidas/Reebok merger on New Balance, and the future of the NB2E initiative. We organized our paper around the key areas of the business; beginning with an overview of the current operations strategy, followed by manufacturing and supply chain, and finally finishing up with marketing and sales. Within each of these sections we provide a summary of the current situation as well as our recommendations for New Balance moving forward in the wake of the Adidas/Reebok merger. The four core topics we were asked to analyze are addressed throughout the paper in the appropriate areas. In the overview of current operations we suggest that New Balance maintain its current strategy as a company focused on performance and operations rather than fashion and marketing, even in the face of the Adidas/Reebok merger. The manufacturing and supply chain section includes the calculations of the cost of maintaining 25% of production in the US and, based on these cost figures, suggests several strategies for reducing inventories, lead times, and costs. In the marketing section we recommend that New Balance utilize the Adidas/Reebok merger as a way to remind customers of who New Balance is and what the company stands for: quality and performance, not big business...
Words: 2950 - Pages: 12
...Bagaimana bentuk Toyota Production System yang diterapkan oleh New Balance dalam manajemen sumber daya manusianya? Toyota Production System (TPS) adalah tolak ukur untuk lean manufacturing yang dikembangkan dan melekat di Jepang untuk meningkatkan kualitas dan produktivitas. TPS didasari pada dua filosofi yang berasal dari kebudayaan Jepang, yakni eliminasi hal-hal yang tidak diperlukan dan menghargai sesama. Sebagaimana dijelaskan dalam buku Operations and Supply Chain Management (Chase Jacobs, 2011), yang dimaksud dengan hal-hal yang tidak diperlukan (waste) adalah “semua hal selain jumlah minimum dari perlengkapan, materials, parts, pekerja (working time) yang kesemuanya penting untuk proses produksi”. Menurut Fujio Cho, sebagai mantan Presiden Toyota, tujuh tipe waste utama yang harus dieliminasi adalah waste dari kelebihan produksi, waste dari waktu tunggu, waste transportasi, inventory waste, processing waste, waste of motion, dan waste dari kecacatan produk. Jika dikaitkan dengan kasus ini, pada tahun 2004, New Balance mengadaptasi New Balance Executional Excellence (NB2E) untuk mengaplikasikan TPS dalam produksi sepatunya. Melalui NB2E, New Balance mencoba mengurangi waktu antara order dari ritel dan delivery-nya, yakni waste dari waktu tunggu. Goal yang diharapkan adalah memaksimalkan 100% delivery dari produk yang dipesan dalam waktu 24 jam. Namun, hal ini masih belum maksimal karena masih ada 2-3% yang tidak bisa dikirimkan dalam kurun waktu 24 jam, yang diusahakan...
Words: 440 - Pages: 2
...Q: What are the key elements of the New Balance’s operations strategy? Key elements of Operations strategy are * Customization/Personalization - A shoe with multiple width size option to support superior performance and comfort * Focus on manufacturing and operations and not on marketing * Marketing spend much lower than competitors * Product focused strategy with campaigns like “Endorsed by No One Campaign “ * Special focus on Product design * Incremental Design for existing product to suit evolving customer needs * New Design – Absorb EX and Zip oriented towards on younger customer base * Shoe Manufacturing(25%) in United States to provide customization and speed to market * Sales and Distribution * Distribution through small retailers. Building strong relationship with retailers * Leveraging independent sales force. Effective relationship management leading to long tenured Sales force. * More Sales and low inventory/inventory holding cost at retailers site * Shipment delivered to retailer day after the order placed. This way retailer has to hold less inventory and hence less inventory holding cost. Also improves speed to service the customer. * All the risk with New Balance company * Supply Chain and Manufacturing * Placing order weekly vs monthly and placing small orders to decrease lead time from 12 weeks to 9 weeks. * Building stronger relationship with suppliers...
Words: 983 - Pages: 4
...Problem Statement Two of New Balance main competitors, size and product wise, Adidas and Reebok, recently announced their intention of merging. Together, they become a counterweight large enough to rival with Nike, the world’s dominant player in athletic footwear and apparel. The Davises, sole owners of New Balance, know that this transaction will have an impact on the industry and their business. They wonder how to react to ensure long-term business profitability and whether they should adjust the company’s priorities in light of the changing competitive landscape. New Balance wants to grow and needs to find the appropriate strategy to effectively support this endeavour. At the same time, the company’s leaders wish to remain committed to its core values, philosophy and heritage. The athletic footwear industry is very competitive and each player tries to differentiate itself from the rest of the pack. Although New Balance produces cutting-edge, high performance running shoes, their style, or lack of, plays against them. The market has evolved since the successful introduction of its iconic 990 running shoe, and more and more people are now wearing sneakers for casual purposes. The Adidas-Reebok merger will certainly have consequences on the industry. Many stakeholders, including New Balance’s own employees, will soon begin to ask questions about the company’s response. In order to secure its assets, the Davises must quickly determine how to tackle the situation and capture...
Words: 2561 - Pages: 11
...Pergunta 1 Pergunta 2 Pergunta 3 Pergunta 4 New Balance A empresa foi fundada em 1906, inicialmente como uma companhia que fazia calçado ortopédicos, e ao longo dos tempos foi evoluindo, nos anos 60, para uma empresa que fabricava sapatilhas inovadoras para certo tipo de desportos, nomeadamente para atletismo. A empresa foi evoluindo de estando centrada apenas nos Estados Unidos, como uma empresa global, numa operação comandada pelos então empregados Jim Davis e Anne, que mais tarde viria a casar com Jim, e ambos tornar-se-iam donos da New Balance Vários contratos de distribuição foram feitos nos anos 80, que catapultaram a empresa para o valor de 60 milhões de dolars em 1982. A criação do modelo 990, feito para corrida, elevou a fasquia de produtos de grande qualidade da empresa, com um preço record de 100 dolares por par, quando a maioria da concorrência vendia os seus produtos a 50 dolares. A empresa tinha como estratégia criar produtos com uma grande evolução tecnológica e que se adaptasse à reais necessidades dos consumidores, nomeadamente nos tamanhos, e em contraponto com os rivais que apostam em produtos da moda que davam mais valor à imagem e não tanto ao conforto dos pés. Além disso, a empresa apostou em manter em inventário grande parte dos seus produtos, de modo a que sempre que tivesse pedidos pudesse satisfazer entregas, ao invés dos rivais, que diziam aos retalhistas que tinha de fazer as suas encomendas seis meses antes. Os donos da empresa assumiam-se...
Words: 660 - Pages: 3
