Scribd
Upload
606 views

Reebok

Reebok manufactures the majority of its products in over 700 independently owned factories around the world, employing over 500,000 workers. Most of Reebok's footwear is produced in Asia, particularly China, Indonesia, Vietnam, and Thailand, with 88% manufactured in 11 factories. Reebok's apparel supply chain is larger, with factories in 45 countries, and production organized by region. Reebok works with factories directly, through agents who select factories, and factories may occasionally subcontract parts of orders.

Uploaded by

Neeraj Jaiswal
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
606 views

Reebok

Reebok manufactures the majority of its products in over 700 independently owned factories around the world, employing over 500,000 workers. Most of Reebok's footwear is produced in Asia, particularly China, Indonesia, Vietnam, and Thailand, with 88% manufactured in 11 factories. Reebok's apparel supply chain is larger, with factories in 45 countries, and production organized by region. Reebok works with factories directly, through agents who select factories, and factories may occasionally subcontract parts of orders.

Uploaded by

Neeraj Jaiswal
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 3

Supply Chain Management

The majority of Reebok products are manufactured in approximately 724 independently-owned and operated factories around the world. These factories employ more than half a million workers. A factory is defined as a manufacturing facility that: cuts, sews, screen-prints, embroiders, dyes, outsole placement/injection, stock-fits, washes, assembles, or packages at a primary or subcontract facility.

SUPPLIER RELATIONSHIPS There are three main types of commercial relationships: Direct relationships with contract factories: Reebok contract directly with some factories. These direct relationships account for 28% of apparel and 95% of footwear production by volume/spend. These factories are often part of a large company with factories in several locations. The Reebok country office in each location oversees this manufacturing. Sourcing through agents: Some orders are placed through agents, who select the factories subject to Reeboks approval. Most of their apparel manufacturing in Asia is purchased through agents. In footwear manufacturing most orders are placed directly, but Reebok also work with the agents. Subcontract factories: Occasionally factories may subcontract parts of an order to another factory.

Supplier Locations
Footwear: Reebok uses footwear factories in 14 countries. Most factories making Reebok footwear are based in Asiaprimarily China (accounting for 51% of total footwear production), Indonesia (21%), Vietnam (17%) and Thailand (7%). Production is consolidated, with 88% of Reebok footwear manufactured in 11 factories, employing over 75,000 workers. Apparel: Reeboks apparel supply chain is larger, with factories in 45 countries. The process of purchasing products from suppliers is organized by region. Most (52%) of their apparel sold in the US is produced in Asia, with the rest coming from countries in the Caribbean, North America, Africa and the Middle East. Apparel sold in Europe is typically sourced from Asia and Europe. Apparel sold in the Asia Pacific region is typically produced by Asian-based manufacturers.

Reebok has classified its retail stores in following three categories: Type A Stores: This type of store deals with new products and normally these stores do not provide any discount on products as the products are new in market. In India, Reebok is having 30 % of Type A stores. Type B Stores: This type of stores deals with only old products which they get from the franchisees after a poor demand of these products. B stores sales those products on a higher discount rate. Reebok is having 10 % of B stores in India. Also, there are some A plus B stores that deals with both new and old products. In India, Reebok has around 60% of A plus B stores.

Recommendations
We recognized that inefficiencies in Reeboks purchasing practices sometimes contribute to violations of their Standards. It is not always possible to determine whether production lead times and prices accepted by suppliers are consistent with full implementation of their Standards. For example, Reebok may have to make alterations to an order on short notice after an item is in production. Many of their suppliers have the expertise to manage such changes and deliver on time without compliance violations. However, some may be unable to complete an order without requiring excessive working hours. Reebok need to be aware of these potential issues in the future. They may think on the lines of standardizing this process

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy