Seamless Supply Chain Management: One Company That Gets It, One Company That Doesn't...Does Now

[From iSource Business, September 2001] In certain retail stores around the country, fans of Nike's Air Terra Humara 2 running shoe have hit the jackpot. Once selling for over $100, now these shoes can sometimes be picked up for less than half that amount. But don't thank Nike for that largesse. The cheaper shoes are by-products of the now infamous breakdown in Nike's supply chain a breakdown that CEO Philip Knight dramatically attributed to software supplier i2 when the company issued an earnings warning earlier this year. This is what we get for our $400 million? he fumed to financial analysts.

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