Designing a Retrofit That Meets Corporate  Capacity & Financial Goals

Company Information
Nike is a world leader in sports apparel, footwear & equipment and consists of an International network of distribution centers. This project was focused on footwear distribution and was a strong / true commitment to the corporate mantra of “just do it”.

Business Problem

• Portland, OR distribution center had not had a substantial upgrade in over 15 years
• Management under pressure to reduce dependence on satellite storage

TPG Challenge

• Re-design the facility to be most efficient for the primary flow of footwear products
• Increase storage capacity and productivity
• Phased project aligned with capital constraints
• Keep the facility operating while the transition occurs

Results

• Facility designed that virtually eliminated the need for outside storage
• Business case for the redesign with approx 20% return on capital
• Plan was developed that sequenced the implementation around major business events and fit within overall corporate financing targets