SELECTION OF
ORGANIZATION
adidas AG
HISTORY OF ADIDAS AG
Early years:
The history of Adidas started in 1924 when Adolf
"Adi" Dassler, a young German cobbler's son,
started creating shoes in his mother's laundry
room. Adi had a strong love for sports and thought
that athletes should have better shoes than what
was offered at the time.
The business was joined by Rudolf "Rudi" Dassler,
Adi's elder brother, in 1925. Dassler Brothers Shoe
Factory, also known as Gebrüder Dassler
Schuhfabrik, was established by the Dassler
brothers together.
The two brothers' relationship was not always
pleasant. Due to the disparities in their
personalities and business views, Adi and Rudi
parted ways in 1948. On August 18, 1949, Adi
established his own business, which he registered
as Adidas AG. On the other hand, Rudi started a
brand-new business called Ruda, which eventually
adopted the Puma name.
Adidas was the biggest sportswear brand in the
world by the 1970s.
Adidas Today:
Today, Adidas is a global leader in the sportswear
industry. The company has over 57,000 employees
and operates in over 160 countries.
Entrance of Adidas Outlet
Interview with supervisor
Adidas Originals Shoe Section
Adidas Sportswear Section
Adidas Football Section
INTERVIEW
Name: Karam
Designation: Branch Supervisor
1. Who has the authority to give orders?
Ans] the store manager has the authority to give orders.
2. Do you have all the authority connected with your work?
Ans] yes, we have all the authority connected with our
work.
3. What are the disciplinary measures taken by adidas in
case an employee misbehaves?
Ans] Adidas have a set of policies in case an employee
misbehaves, and the actions taken will depend on the
level of misconduct.
4. How do different units go hand in hand in their
operation?
Ans] The different divisions like inventory control, sales
associates, customer service, checkout have their own
heads and work towards meeting the corporate
standards.
5. Do all employees give priority to the interest of the
company?
Ans] Yes, employees give priority to the interests of the
company.
6. Do employees receive reasonable remuneration?
Ans] Yes, all employees receive reasonable remuneration.
7. Does your boss communicate with your subordinates?
Ans] Yes, the boss communicates with my subordinates
and sometimes communicates through me.
8. How are the products and employees placed for
maximum efficiency?
Ans] Product are placed according to the category they
belong to, and employees are placed in different parts to
help the customers.
9. Are all employees equal in the eyes of the management?
Ans] Yes, all are equal and treated fairly in the eyes of
the management.
10. How long have you been with adidas?
Ans] I have been here for 2 years.
11. Do adidas give priority to employee retention?
Ans] Yes, adidas gives priority to employee retention
and believes in experience.
12. Does your boss give importance to yours and your
subordinates suggestions?
Ans] Yes, our boss gives importance to our suggestions
for the day-to-day operation of the outlet.
OBSERVATION
From the above interview I have identified that
the following 14 principles of Henri Fayol are
being implemented:
1. Division of Work
The work divided into small tasks like sales, inventory
management, store management, etc and adidas follows a
structured approach for the smooth operation of the outlet.
2. Authority and Responsibility
The right to give orders lies with the store manager and is
responsible for overseeing the overall operation of the outlet
and ensuring that it meets the standards.
3. Discipline
There is obedience to organisational rules by the employees
which is necessary for the working of the outlet due to strict
disciplinary measures and policies set by Adidas AG
4. Unity of Command
Unity of command is followed since each employee
receives orders from only one boss in the adidas outlets.
5. Unity of Direction
Adidas as brand has many departments each of which has a
head and plan and thrives to achieve the common
organisational goal, the same goes with small adidas outlets.
6. Subordination of Individual Interest to
General Interest
All the employees give priority to the general interest of the
organisation since adidas focuses on implementing
organisational practices and cultivating a culture that
integrates individual efforts with the broader goals of the
organization.
7. Remuneration of Employees
All employees receive reasonable remuneration because
adidas believes that all workers should earn enough for
themselves and their families’ basic needs and have income
remaining to cover discretionary spending as well as
savings.
8. Centralisation and Decentralisation
There is a balance between centralisation and
decentralisation as big issues like global merchandising,
global branding and strategy decisions are all centralised
and decisions day to day operations of the outlet, customer
service, local marketing are all decentralised.
9. Scalar Chain
This principle is violated in some small outlets as the
employees have direct communication with the boss of their
boss, but in larger outlets or corporate structures they have
more complex scalar chain and chain of communication as
compared to small outlets.
10. Order
This principle of order is implemented as different types of
products are divided and placed into various units inside the
outlet and there are certain points like high-traffic areas and
seasonal displays which leads to maximum efficiency.
11. Equity
This principle of equity is followed as adidas focuses to be
a discrimination free environment even though achieving
full equality is a challenging aspect due to experience, roles,
performance, skills, and responsibility.
12. Stability of Personnel
This principle is also implemented the interview shoes that
the employee turnover is less and adidas also focuses on
employee retention by highlighting a stable workforce by
encouraging expertise and continuity.
13. Initiative
This Principle is also adopted by adidas as the higher
authority gives priority to the suggestions of the
subordinates, adidas also has an employee suggestion
system to encourage employees to contribute ideas.
14. Esprit De Corps
Teamwork and collaboration are very important to adidas as
it focuses to create a workplace that stimulates innovation,
collaboration, and engagement.
CONCLUSION
This project helped me to understand the techniques and
principles of F.W Taylor and Henri Fayol and enabled me
to be aware of how the 14 principles of Henri Fayol are
being implemented in real life in an organisation.
Visiting the adidas outlet and interviewing the supervisor
made me to understand the principles of management
and their application better. This project also enabled me
to talk and interact with different employees and gave me
an insight into the organisational management of a store
and the day-to-day operations of an outlet.
Through this project I was able to understand that Adidas
by implementing these principles thoughtfully,
strategically, and with a focus on human development,
Adidas has established itself as a global leader in the
sportswear industry. The company's success serves as a
valuable inspiration for organizations of all sizes and
across all industries, by showing the power of good
management practices which leads to organizational
excellence. In conclusion it is very evident that success
of an organization depends on the combination of the
traditional management principles along with innovative
approaches.
BIBLIOGRAPHY
The following are the sources I used for this project:
• https://ncert.nic.in/textbook.php?lebs1=2-8
• https://www.adidas-group.com/en/
• https://bard.google.com/chat/aefb96285e0efe0f
• https://en.wikipedia.org/wiki/Adidas
• https://www.thinkwithgoogle.com/intl/en-emea/
• https://www.indeed.com/