Adidas'Asian Race : How its training in Japan is helping it win in Asia?
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adidas’Asian Race : How its training in Japan is helping it win in Asia?
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20th September, 1957How did We Do It?
9 Think Global Act Local (products / campaign)
9 Focus on the “Revenue Line” (ie. Gemba) (Performance)
9 People Focus (KPI’s / Rewards-Demotion / Young Org /
Emotional Intelligence)
9 Operational Excellence (category focus / back office / retail /
supply chain)
9 Keep the brand “Authentic”Where did it start …
• 1997 – adidas decided to go it alone after 25 years with distributor
• February 1998, we were 3 employees and we had no –
2 Office
2 Staff
2 Stores
2 Accounts / Customers
2 Brand value
2 Tenjikai in four months
2 No product
2 No Venue
2 No coat hangers!
• No ProblemSo what actually happened …
• 1998
9 Foundation (vision / mission)
9 Building the team
9 Finding the office
9 Integrating international
9 First tenjikai
9 Brand identity – salaryman
9 Building the company
9 Team building
9 Third party logistics Set-up
Mission Impossible ?Video
Where we want to be as a brand? … casual to performance
In the minds of …with strong
the youth… connections to football…
…adidas is an
Innovative
sports brand
…. with strong inspirational
connection across categoryA vision matching the brand strategy
Product first … ! Think Global Act Local
Video
What has gotten us here so far?
Distribution portolio
Wholesale (60% Æ 18%)
Creation center
Trading Performance Æ Casual
companies +
innovative
supply chainConnect with “gemba”
PR
HR
IT
Finance
GAConnect the Brand with consumers
The major strokeVideo
People & Emotional Intelligence
Concentration of effort / peformance
Focus on target
Time spending
A culture of performance (KPI’s/rewards) and funContinual training was required … and still today
Celebration is a must … to connect to employees
Own Retail
Retail Focus
We spent money in the right places and create a brand experience …
with the right economics2002 –
be there for the final!
9 The Countdown from 98 …
9 World Cup – “Execution of
Execution”
9 Teamwork – all employee
involved
9 The pre-final party at Atago
Hills
9 The Time of Our Lives
9 Hit JPY54 bio + licensees = 62
bioSurprise consumer with out-of-the-box ideas …
Creating a love story with consumers …
Video
How did we do it / learn?
9 Products is key in Japan
9 Own attributes of champion (efforts/training/compassion/no
complacency/be ready for the final)
9 Refuse inefficiency (Nemawashi, golf discussions, traditional ways)
9 Focus, focus, focus (category – core business – priorities)
9 Young organization (but training is key)
9 Mission/vision and employees commitments
9 Operational discipline
9 Communicate reluctantly
9 Disciplined brand building + surprise consumers
9 Speed of execution
9 Emotional intelligence at all levels / stakeholders
•Employees
•Trade partners
•consumers2003 - 2008 Winning in Asia
SET COUNTRIES PRIORITIES
North Asia
Korea as a Driver
Nepal Japan
Pakistan China
Myanmar Vietnam Taiwan
India HK
Thailand Laos
Philippines
Malaysia
Singapore Indonesia
Power Horses
Solid Markets
Small/Mid Size Markets Australia
New Zealand
Potential MarketsWe started with a vision / mission and …
2008
THE AGENDA STAIRCASE 04-08 Winning in Asia
2007 No. 1 in Region Asia
Leading in Asia
Shared services initiatives
2006 No. 1 in customer satisfaction & brand equity
WB/OPEX efficiency programs
Orchestrating Asia
Full area management
Pan Asia marketing initiatives
Excellence in account management
2005 Full deployment of customers
relationship
Educating Asia
Range management
Supply chain initiatives
2004 Pan Asia sales initiatives
Training programs deployed
Organizing Asia
Integrate Japan
Identify key players for change (regional / local)
Design a common language
Communicate plans & Vision Asia
Set task force & virtual teamsOrganization & people aligned + internal communications
People first !
Regional initiatives – clear accountabilities countries/region
Creation centers & range efficiency
Retail was the fastest changing part of adidas through 2008
8
6,471 stores
56 million
customers
828,000m2B
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DWINNING GOLD AT THE PEOPLE’S GAMES WE THOUGHT ABOUT IT AND TOOK OUR TIME INITIALLY TO GET IT RIGHT
WAS IT A SUCCESS?
In terms of revenues, adidas
Group sales in China
increased over 60% on a
currency-neutral basis in the
first half of 2008 making
adidas the number 1 sports
brand in China. Based on
this growth, China will
become the second-largest
market for the adidas Group
after the USA by the end of
2008Continue to celebrate …
ADVERTISER OF THE YEAR
Asia’s Top 10 Brands
TextVision Asia 08 celebration
Positioning as a strong brand & increased operational efficiency
Double digit growth 04-08
Group leading growth margin
Positive and leading operations
improvements
The largest controlled space in the Group
A collaboration region for the Group
A talented team with committed players
2008 Sales Target > EUR 2 bioEconomic climate in the world – what’s up now!?
A sea of change required
Crises management
Change management
(Orga+Japan model)
Vision 2010 –
productivity/efficiency
China challenges
A new set of responsibilitiesVideo
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