Chapter 14, Problem 23DQ

Summary Introduction

Case summary:

Lululemon was founded by Dennis (Chip) Wilson, who had noticed in his yoga class that other student's yoga pants became see-through when they bent over after class to roll up their mats. Having just sold his athletic wear with the surging demand by yoga enthusiasts.

Wilson believed that women would prefer working out in clothes that actually fit them. So, in addition to fashionable styles, he concentrated on technical elements including seamless stitching and breathable fabrics. Lululemon was off and running. Like many smaller companies, executives focused on the product and not so much on the infrastructure side of the business.

When the chief information officer was hired, she actually found it fairly easy to implement the technology she felt was needed because there wasn't really anything in place to work around. One area where former executives felt focus was lacking was in production area. No rigorous model of manufacturing model was in place.

Characters in the case:

Dennis Wilson, Founder of Lululemon

Adequate information:

There were no schedules or deadlines at Lululemon. The company countered that by saying it wanted to remain flexible.

To discuss:

The way situation in exhibit 14-2 could have been prevented.