There are two activities Under Armour uses to get its name and products recognized to new audiences as well as testing their products. The company has no facility to wear test products. Under Armour prefers real -world conditions including different terrains and different weather conditions. The also prefer to get their feedback from athletes and consumers (SI.com). The products are tested in real world conditions during the various Under Armour Combines and the Power in Pink "She's A Fighter" campaign. The Combines are an extension of the company's mission statement: to make all athletes better through passion, science and the relentless pursuit of innovation. The Combines are open to high school, college, and professional athletes and coaches in various sports and offers learning, training and testing of athletes and coaches to reach their full potential. The participants receive Under Armour shirt and shorts and answer questionnaires, attend seminars, and participate in various drills according to their sport. From these tests, the athlete is given a C360 score that creates a benchmark and customized recommendation for improving athletic performance. (Website: http://combines.underarmour.com). The second activity is the Power in Pink campaign is used to find a new spokesperson for its' Power in Pink brand. The overall goal of the campaign is to raise awareness to the important link between physical activity and overcoming breast cancer. During September and October, consumers can purchase Under Armour products with the pink ribbon imprinted on certain styles. With the purchase of every Power in Pink item, Under Armour donates ten percent of the proceeds to a number of organizations dedicated to fighting breast cancer. (website: http://investor.underarmour.com/releasedetail.cfm?ReleaseID=470919)
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There are various processes within Under Armour that leaders control and measure. One involves a Code of Conduct for Suppliers that holds suppliers and subcontractors to a set of work practices. The Code of Conduct covers the following areas: forced labor, child labor, harassment or abuse, nondiscrimination, health and safety, freedom of association and collective bargaining, wages and benefits, hours of work, overtime compensation as well as legal and ethical business practices. (website: http://www.uabiz.com/corpResponsibilit.cfm) If any supplier or subcontractor violates these practices it is viewed as a breach of the Manufacturing agreement and can lead to termination of any business relationship between Under Armour and the supplier. Under Armour's independent third party suppliers are inspected for compliance of their legal and contractual obligations as well as the Supplier Code of Conduct. Inspections are carried out by internal Under Armour employees as well as independent third party monitoring firms. (website: http:// www.uabiz.com/monitoring.cfm).
Under Armour also maintains a small manufacturing site at their distribution facility in Maryland. This site is called the Special Make-Up Shop and is used to produce products in a quick turn-around time for high profile athletes, leagues and teams. The revenue for this site is insignificant but the site is used to provide superior service to select customer customers. ( website: http://www.uabiz.com/products.cfm)
Besides manufacturing, Under Armour has a fabric lab that looks at textile innovations and introducing new technologies to improve their products (website: www.uabiz.com/company/techspecs.cfm). One new technology is Under Armour Green collection. Under Armour is trying to bring together performance products and green technology. They have done this by creating a fabric made from recycled plastic bottles. In 2009, the company estimated that it will convert 250,000 one liter plastic bottles into performance products. The company is always seeking to improve the manufacturing, packaging, dying and printing of their products in an effort to lessen their impact on the environment (website: www.underarmour.com/shop/us/en/ua-green-product)
A final process that is measured involves the distribution of their products. The rapid growth of the company has put a strain on the shipping and storage of products. To address the increase in demand and the expansion of product lines, Under Armour has installed state of the art Warehouse management system (WMS). The use of a WMS that uses slotting technologies enables the company to maximize storage and shipping efficiencies. (Allbusiness).
Evaluating the performance of the company and Executive Management
Always on Time
Marked to Standard
The executive management team is evaluated by the oversight of a committee. The behavior of the company is monitored to assess that it is being effectively managed. This includes regular meetings of the non-management Directors. Usually there is no other management present during this process. The succession of the Chief Executive Office and other members of executive manage are evaluated as well as their compensation as the board deems necessary. In addition, the company's strategic plans and objects are also reviewed for risk exposure, providing advice and counsel to the CEO. The company is also monitored to make sure it complies with applicable laws and regulations. The management team is also monitored to make certain that the company's assets are safeguarded though the maintenance of appropriate accounting, financial and other controls.
District Manager Monitoring of store sales
According to one of the associates at an Under Amour Store at the Crossings in Pennsylvania, The outlet stores are broken down into regions. These regions which comprise of at least 10 stores are monitored and evaluated by a District manager. The District manager sets goals for each store for the week. These weekly goals are based on profits for the stores. There are weekly meetings and status reports to inform the sales staff at the outlet stores on how they compare to other stores in their region. Stores that come in with the top sales will be recognized and those associates will receive recognition for their sales efforts. Although the stores are part of a region under one district manager, it becomes very competitive to always have the best sales profits. When stores are not making their goals there will be team meetings on how to improve their sales.
Internal control is another form of monitoring processes within the organization. This is done by the internal audit team. Management is evaluated by setting the appropriate tone for all employees by communication and they take the appropriate steps to ensure that employees have an understanding of their roles and responsibilities. Management will review with the auditors the internal control report and report to the committee any significant deficiencies in the design or operation of the company's internal controls, material weaknesses in internal controls and any fraud involving management or other persons having a role in the internal controls.
Product Line Director
The director of product line develops comprehensive business plans to maximize revenue potential for Under Armour. They establish processes for management of product requirements throughout the product lifecycle. In addition, they manage and monitor product demand and inventory levels.