Posts by Harish Iyer

Lessons in product transition and supply constraints, via adidas

HarishIyer

One of the scary supply chain campfire stories I like to tell is of the CEO who stands in front of Wall Street to explain a revenue miss due to lack of visibility into the inner workings of its supply chain. A real-life version of which was recently lived by adidas.

During its annual earnings call, adidas CEO Kasper Rorsted explained to investors that the company’s slow sales growth in North America was attributed to supply issues as the company expands from high-end products into a mid-price range. According to Rorsted the volume increased faster than anticipated, and they didn’t respond quickly enough to the demand signal.

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Apparel and footwear: At what point is missed sales better than excess inventory?

HarishIyer

Supply chain faux pas slows adidas sales growth

In adidas’s recent earnings call, CEO Kasper Rorsted warned that adidas would miss its 2019 growth target because its supply chain was unable to meet the huge demand for its mid-priced apparel, especially in North America.

adidas expected this to result in a one to two percentage point drop in its revenue growth, translating to a drop in revenue between €100 and €200 million.

For a company operating at almost 52 percent gross margin, that’s not an insignificant amount. 

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Unparalleled customer affinity on full display at Kinexions ’18

HarishIyer

Kinexions '18

It’s a month since I joined Kinaxis, and what a month it’s been! I’ve seen my fellow Kinaxisians (I think I just made up a new term – or not – but I’m using it) in action, I’ve seen the product in action, and most importantly, I’ve seen our customers in action.

Our annual customer conference Kinexions was the best capstone I could’ve hoped for at the 30-day mark, because I haven’t seen customers show such passion for a solutions provider in my 20+ years in this industry. On my flight back home last night after Kinexions, I found some time to reflect, and here it is:

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