Nike's Global Women's Fitness Business Essay Example | Topics and Well Written Essays - 2000 words

Nike's Global Women's Fitness Business - Essay Example Improve the integration levels within particular divisions. Goal â€Å"To take a more consumer-oriented approach to the market, optimizing the company’s activities to give customers holistic collection of everything they want and need in a particular sports category.† Analysis Structure Currently, Nike uses the matrix organizational structure. This type of structure groups employees according to their functions and by product type that they are involved in production. In this type of structure, there is a horizontal flow of information and skills. The following components are distinctively identified with the matrix structure of organization: there is a top manager who is in charge of the entire matrix and is charged with the responsibility of balancing the two chains of command. Then there are two matrix managers who are in charge of their respective sub-groups. One of them is the product manager and the other is the functional manager. Pros: there is coordination to m eet dual customer demands. It is suited for complex decisions. The structure is also suited for an organization with multiple products, like Nike. Cons: there are frustrations brought about by dual authority. This type of structure is time-consuming in decision making and conflict resolution. People This is a highly populated organization with more than 26,000 employees. There is specialized expertise in the organization with employees only working in their areas of specialization; such as footwear, equipment and apparel. Nike’s senior executives are supportive of the employee’s activities. For example, the executives offered support to the Change the Game team when the team made its presentation on the strategy to approach the women’s market. Most people in Nike, especially those who have been there for a long time like Darcy Winslow, know a large percentage of the community. The company, in its effort to move to a consumer-based organization from the current p roduct-based, appointed team captains who would set-up and run different categories of sport. These captains were responsible for bringing together the right people to spearhead a business plan for the particular sport category that they are in charge of. People were also supportive of the company’s ideas and it is clear that they wanted these ideas to succeed. They attended meetings with enthusiasm and commitment. Pros and Cons The support that the executive gives to the other employees boosts their morale and working spirit. The employees are motivated and the quality of their output is bound to improve. Knowing a big percentage of the community helps the company to get the necessary feedback on their products and services. The people can also give recommendations about a particular type of product. Using team captains and a group of specialists guarantees the company of quality results. There was resistance from retailers who were not willing to allocate more space to Nike . These retailers did not want to change their traditional practices. Incentives Nike worked out an incentive methodology that was aimed at motivating the performance of the employees. Most members were measured according to the results that they achieved, for example, selling shoes. In areas where there were added responsibilities, incentives were also increased to match up to the work. Cash bonuses were also offered