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Case Studies > adidas Group implements Manhattan solutions to support global distribution operations

adidas Group implements Manhattan solutions to support global distribution operations

Technology Category
  • Functional Applications - Enterprise Resource Planning Systems (ERP)
  • Functional Applications - Remote Monitoring & Control Systems
  • Functional Applications - Warehouse Management Systems (WMS)
Applicable Industries
  • Apparel
  • Consumer Goods
  • Retail
Applicable Functions
  • Business Operation
  • Logistics & Transportation
  • Warehouse & Inventory Management
Use Cases
  • Inventory Management
  • Process Control & Optimization
  • Supply Chain Visibility
  • Warehouse Automation
Services
  • Software Design & Engineering Services
  • System Integration
  • Training
The Challenge
The adidas Group, a global leader in the sporting goods industry, faced the challenge of improving its supply chain systems platform across all its brands. The company needed a solution that could handle the increased complexity of its global distribution network, manage labels of different brands, and address the many variables associated with the distribution of sporting goods on a global scale. The goal was to standardize the distribution systems model, enhance supply chain control and visibility, and improve inventory accuracy across its distribution centers in the USA, Europe, and Asia.
About The Customer
The adidas Group is a global leader in the sporting goods industry, offering a broad range of products across three core segments: adidas, Reebok, and TaylorMade-adidas Golf. Headquartered in Herzogenaurach, Germany, the company operates multiple distribution centers worldwide, including significant facilities in Spartanburg, South Carolina, USA; Manchester, United Kingdom; and Seoul, South Korea. The company is known for its innovative products and strong brand presence in the market. With a focus on enhancing its global distribution operations, the adidas Group aims to maintain its competitive edge and meet the growing demands of its diverse customer base.
The Solution
To address its supply chain challenges, the adidas Group selected Manhattan Associates' Distribution Management solutions for implementation at three strategic sites in the USA, Europe, and Asia. The company purchased several components of Manhattan’s Distribution Management suite, including Warehouse Management for Open Systems, Labour Management, Slotting Optimisation, and Supply Chain Intelligence. The project was managed by a combination of adidas Group’s internal team and consultants from Manhattan Associates, with coordination from the IT headquarters in Germany. The implementation involved integrating Manhattan Associates’ software with the control systems managing the on-site material handling equipment (MHE) at the highly automated distribution centers in the UK and USA. Despite the complexity, the implementations were completed on time, with only minor configuration changes needed during the live testing phase.
Operational Impact
  • The implementation of Manhattan Associates' solutions led to a standardized distribution systems model across the adidas Group's global distribution network.
  • Enhanced supply chain control and visibility were achieved, allowing for better management of inventory and distribution processes.
  • The distribution centers running on the Manhattan Associates solution are now operating at a faster transaction processing rate than any of the company’s other warehouses.
Quantitative Benefit
  • The Spartanburg, South Carolina distribution center spans 100,000 square meters.
  • The Manchester, United Kingdom distribution center covers 50,000 square meters.
  • The Seoul, South Korea distribution center occupies 14,000 square meters.

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