Traditional monitoring audits symptoms, rather than root causes. Spillane is responsible for developing the strategy that drives the creation of all nike footwear, apparel and equipment, and he leads the merchandising of all product to the global marketplace. In particular, the case highlights nike s organizational structure that consists of a global matrix organization that is replicated at a regional level for the european market. Organization is the process of dividing up of the activities. Part 3 organizing chapter 5 organizational structure and design. Chapter 11 organizational structure of nike brendon bishop. The organizational chart of nike displays its 152 main executives including john donahoe, matthew friend and andrew campion.
Throughout nike, employees report to team managers who then relay the progress report to the department manager. Within the company, nike changed its organizational structure to better integrate sustainability within traditional corporate functions. It is how job tasks are formally divided, grouped, and coordinated within an organization. Footwear and apparel production is outsourced to independent. However, nike s model has specific benefits for the company and contributes to its longevity as a leader in the footwear and activewear space. At nike, innovation is a mindsetone that challenges us to dream bigger and get better, everyday. At nike, we hold ourselves to the highest standards and we take our local and global responsibilities seriously. Nike is an organization that is structured as a matrix. Only after a company uses these informal or soft systems can it use the formal or hard systems of strategy, struc.
Part 3 organizing chapter 5 organizational structure and. Integration, incentives and innovation nikes strategy to. Since he joined nike in 2007, spillane has held leadership positions with converse, umbro, greater china, and, most recently, global footwear. Inside the nike matrix reference number 000120 this case was written by barbara brenner institute for international marketing and management, wu vienna under the direction of bodo b. While this organizational structure allows nike to respond to local consumer tastes it also ensures that the company benefits from integration advantages such as global. Nike s organizational structure also has two global divisions. We will maintain our position by providing quality footwear, apparel and equipment to institutions and individual consumers of all ages and lifestyles. Our mission at nike is to be a company that surpasses all others in the athletic industry. If all of these other companies merely gain a small percentage of the market, nike will be one of the main companies to start losing market share. Employees work under both product managers and department managers. This case describes how nike, a consumer goods company with an ever expanding portfolio and a tremendous brand value, manages the tradeoff between local responsiveness and global integration. Organizational structure of nike nike is set up as a matrix organizational structure, meaning that there are multiple lines of authority and some individuals report to at least two managers.
And the athletes helped nike design and market the products and brand that. The american manufacturer, through its marketing strategy which rests on a favorable brand image, has evolved into a large. Rewiring nike s approach to supply chain sustainability has involved changes both at the company level and with its suppliers. Integration, incentives and innovation nike s strategy to. Apr 26, 20 nike is set up as a matrix organizational structure, meaning that there are multiple lines of authority and some individuals report to at least two managers. Nikes organizational structure is worthy of study due to the fact that it has been a successful organization since its inception. You can edit this template and create your own diagram. It is the worlds largest supplier of athletic shoes and apparel. While this type of organizational structure is based on clear roles and hierarchies, it can make it harder for employees to climb up the career ladder. Over the year, nike implements efficient innovation management structure that assists the company to achieve effective innovative process.
Due to the wide scale of businesses nike has developed a strong and effective organizational structure that ensures continuous innovation and improvement. Social media and advertising cookies of third parties are used to offer you social media functionalities and personalized ads. There will always be a need for monitoring to protect the most vulnerable workers in the supply. Nike organizational structure editable organizational chart. Oct 24, 2010 nikes organizational structure mgt 330 july 12, 2010 nikes organizational structure nike is a global marketer of athletic footwear nikebiz, 2010 nike operates in 160 countries and has many brands including nike golf and air jordan. Nike will now focus on auditing against a set of criteria to achieve results in ontheground improvements for workers.
Rewiring nikes approach to supply chain sustainability has involved changes both at the company level and with its suppliers. Nike is an american multinational company producing equipment, footwear. Nike corporation mission is known worldwide as the following phrase. Such regionalization promotes value chains that specifically fulfill customers expectations, especially in the area of service and marketing.
Organizational design of nike essay sample as most of us might already know, nike is a very popular sportswear and equipment manufacturer, based in the united states. A comparative analysis of strategies and business models of nike, inc. Nike s organizational structure mgt 330 july 12, 2010 nike s organizational structure nike is a global marketer of athletic footwear nikebiz, 2010 nike operates in 160 countries and has many brands including nike golf and air jordan. Nike organizational structure organizational chart use createlys easy online diagram editor to edit this diagram, collaborate with others and export results to multiple image formats.
May 18, 2018 org chart highlighting visualizing the organizational structure of nike. Schlegelmilch and bjorn ambos institute for international marketing and management, wu vienna. Nike has an organizational culture that encourages human resources to behave in ways that address business objectives. To bring inspiration and innovation to every athlete in the world mcglone and martin 2006. The company uses a matrix organizational structure. Nike aims to be a brand with purpose that moves the world forward. Profits have grown 57% and nikes market cap has more than doubled. Empire is a canadian foodretailing and real estate company based in stellarton, nova scotia, with more than. From a capital structure standpoint, we work to consistently increase. Click on the image to use as a template and modify. Decentralized organizations islamic university of gaza. An organizations culture may be one of its strongest assets or its biggest liability. Despite its track record of success, nikes matrix structure has its flaws. Org chart highlighting visualizing the nike organizational structure.
A comparative analysis of strategies and business models. Nike, proudly commented on the companys 2008 performance. Today, corporate social responsibility is a core part of nike s culture. For example, local nike managers ingermany made the decision to sign an endorsement contract with worldchampionracecar driver michael. Creately diagrams can be exported and added to word, ppt powerpoint, excel, visio or any other document. For example, intheworld of soccer, nike was only a minor factor 10 years ago. Nike is a powerful example of corporate culture because parker is serious about reinvigorating his organization on a regular basis. Nike s unique flat, aka matrix, structure defies the traditional ceowithmultiplesubordinates model that many businesses of nike s stature rely on. Training programs are designed to uphold such corporate culture that aligns with the nike brand image for sports footwear, apparel and equipment. When managers develop or change the structure, they are engaged in organizational design, a process that involves decisions about. Nike asks you to accept cookies for performance, social media and advertising purposes.
Organizational structure characteristics analysis updated may 8, 2016 andrew thompson nike incs organizational structure reflects the abilities and limits of the business in its operations. Nikes policies are a formal, accepted standard or approach to the way nike conducts business, relating to social and environmental issues. Works cited images image 1 related cliparts iceberg clipart. Which elements of a companys structure make a difference in how we behave and how work is coordinated. To achieve that, we need all parts of our value chain to understand and deliver on our goalsfrom our leaders to product designers, to the employees in our stores, and workers in contracted factories who make our products. Prearrival selection to inform prospective employees about organizations ensure that values of firm and recruits fit conveys to those admitted that they are members of an elite reinforces image of organization to future applicants encounter new recruit learns about organizational expectations. Nov 14, 2016 nikes organizational culture rodisel 1. May 04, 2018 nike ceo mark parker apologized to employees for permitting a workplace culture where some felt excluded and management didnt take complaints seriously, according to a copy of the speech obtained.
It has grown froma small beaverton,oregon,company intoa globalgiant witha presence in many different sports. Nike has delegated a great deal of decisionmakingauthority to the localmarketlevel. Edit it online with your organizational information and import it as an image or pdf. Apr 02, 2016 chapter 11 organizational structure of nike brendon bishop. In this type of organization, authority flows from top to bottom. An organizational structure outlines the various roles within an organizational, which positions report to which, and how an organization will departmentalize its work. Organizational chart organizational structure tree structure transport companies pdf floor plans nike image house floor plans org chart highlighting visualizing the nike organizational structure. May 26, 2016 a glimpse into nikes culture written by bianca bartz on may 26, 2016 with a single 1997 new york times expose, its famous swoosh lost its cool icon status, and was no longer a logo people wanted to wear. January 1, 2016 strategic marketing plan of nike page 27 marketingmix nike. By continuing your navigation, you consent to their use. We are fortunate to have built a strong and deep bench of talent across our organization. Building blocks of structure what exactly do we mean by organizational structure. Organizational chart design organizational structure nike company geneva city nike presents work function cover photo quotes fashion company cover photos.
Nike s organizational structure is worthy of study due to the fact that it has been a successful organization since its inception. For example an employee might work in the marketing department, but they maybe be assigned to a golf specific project. Use pdf export for high quality prints and svg export for large sharp images or embed your diagrams anywhere with the creately viewer. Chapter 11 organizational structure of nike duration. One global division is responsible for managing the worldwide operations of converse, which is another footwear brand and subsidiary of nike inc. Nike ceo apologizes to employees for workplace culture after. Doc case study analysis on nike corporation sachin. Analysis of nikes innovation management structure bartleby. Profits have grown 57% and nike s market cap has more than doubled. An effective organizational management structure could contribute to the acceleration of the innovation in the contemporary business environment. The advantage of the semiautonomous regional geographic divisions is flexibility in satisfying regional marketspecific consumer preferences for nike s athletic shoes, apparel and equipment. Take note than an organizational structure is an arrangement of positions thats most appropriate for your company at a specific point in time. An organization s culture may be one of its strongest assets or its biggest liability.
This can affect employee morale and motivation as well as retention rates. Global corporate leadership has the advantage of facilitating control on the entire organization. The nike brand includes footwear, apparel and equipment in six core categories. Nike organizational structure editable organizational. By partnering with the greatest roster of athletes on the planet, we can transform their insights into products that empower every athlete, everywhere. Organizational culture using nike as an example by gina. Types of organization types of departmentalization centralization and decentralization organization is a system of cooperative activities of two or more persons. Organizational structure organizational change the role of ethics and national culture.
Corporate social responsibility goes beyond the profits of a corporation, but tries to include all. In fact, it has been argued that organizations that have a rare and hardtoimitate culture enjoy a competitive advantage. Nike is an american multinational company producing equipment, footwear, clothes, and accessories. The lower in the organization that authority is delegated, the greater the decentralization. To be effective, organization must adjust structure consistent with. Chapter 11 organizational structure of nike youtube. Building an organizational structure engages managers in two activities. It currently holds the record as the worlds leading manufacturer and supplier of athletic shoes and other sports equipments and apparel.
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