Nike has made major changes to their company this year to decrease their operations domestically and increase operations globally. Nike laid off 1,400 and restructure employees in the United States and restructured operations. Nike has narrowed their focus on 12 cities including New York, London, Paris, and Beijing. In order to streamline new products globally Nike’s strategy is to rely on a big portion of their sales to come from a digital platform using Nike.com, the Nike app, and retail partners websites. Nike has also finally launched a pilot program with Amazon after resisting the partnership for many years.
NIKE INCORPORATION15In 2015 Nike announced their partnership with Flex, a world-class global manufacturer, to jump start Nike’s vision to bring advanced innovation to their supply chain. By adding Flex to the team Nike is able to get products out to consumers faster with customized solutions and increased performance innovation. Nike has been actively developing new technologies to enhance its manufacturing business model investing in automation, modernization, sustainability,and innovative new methods of manufacturing products. Nike is working with Flex testing new manufacturing methods and automation techniques using new technologies. Nike believes their phased approach to testing, developing, and creating new methods of production will enable Nike and Flex to develop an eco-system of suppliers and vendors to support long-term, sustainable manufacturing closer to major markets. Flex is a leading solutions company that designs and builds products for a connected world. They have 200,000 employees throughout 30 countries with the vision of to help the world live smarter. The company provides innovative design, engineering, manufacturing, real-time supply chain insight and logistics services to companies of all sizes in various industries and markets. Compensation and appraisal systemCompensation at Nike Inc. seems to be quite fair overall. Entry level jobs such as store clerks range from minimum range all the way up to around $23.00/ hour. (Nike – Indeed, 2018) And many workers say that there is great room for growth in the company. The company also offers great compensation to its’ more executive roles in the company. With operation managers and directors average salaries ranging from $79,000 all the way up to $254,000. (Nike – Indeed, 2018)Nike Inc. is not without its’ faults when it comes to providing fair compensation for all ofits workers though. In recent years they have had complaint raise against the company, that they
NIKE INCORPORATION16are not treating all employees fairly when it comes to compensation. Nike Inc. has been quick to act on these accusations and made plans to address and fix these issues. “Nike Inc. is raising salaries for more than 7,000 employees after an internal pay review and changing how it awards annual bonuses to its global staff, part of a broad overhaul of compensation at the sportswear giant.” (Germano, 2018) Nike Inc. overall has been working to better compensate all of its