Analysis of Nike Company State

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Nike is one of the foremost companies that has been a leader for several years. However, due to economic development, no organization can shift its position without making decisive advances. The objective of the research paper is to examine the company’s current state and identify weaknesses and strengths. Based on the data obtained, changes will be proposed that will help to bring the business to a new level in the competitive market.

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The paper will explore academic sources to propose organizational change. The first paragraph describes the function of human resources in the firm and the existing principles of HR management (Ahammad, 2017). A significant role is provided to the functions of continuous development and training of employees (Nwaeke & Obiekwe, 2017). Forms of creating healthy competition are also noted in the research by assessing worker productivity (Naznin & Hussain, 2016). The main focus is on the critical elements of organizational culture as an integral part of the company (Yoo et al., 2021) and (Paais & Pattiruhu, 2020). The dynamics, purpose, and factors required to achieve the strategic goals are analyzed.

Much attention is paid to the necessary changes to better develop future strategies. Diversity, collaboration, and decent working conditions are discussed as the key to an influential organizational culture (Warrick, 2017) and (Kim, 2020). The study points to the current leadership model within Nike Corporation (Ardichvili et al., 2016). However, the paper proposes changes that relate to establishing effective relationships with employees and compliance with the principle of respect (Ferkins et al., 2018) and (Luria et al., 2019). That is, such changes will assist strengthen the organizational structure of the company.

Various Functions of Human Resources

Human resource functions are crucial to create an efficient workforce. Therefore, the design of a strengthened policy in the field of human resources and qualified management in Nike is a component of its success. It is essential to remark that the organization has developed a guide to human resource management (Ahammad, 2017). However, there are specific points that need changes and improvement to ensure the progress of the business.

Organizational Culture

Training and Development

One of the objects of human resources is focused on the gradual introduction of training for employees. Thus, the goal of HR in the near future Nike is to increase the availability of educational programs for all production workers worldwide (Nwaeke & Obiekwe, 2017). The company should implement available education programs because it is crucial to have employees willing to learn and show interest in self-development. Considering that the Nike recruitment policy provides for the contracting of only those employees who wish to improve their skills and level of knowledge. Therefore, it is essential that, after hiring, workers can increase their education theoretically and practically. It can be achieved by conducting seminars and workshops for factory managers to improve their production and management abilities. The main benefit of this policy to advance the quality of human resources is to increase the value of individual resources. Furthermore, the advantage is to create a favorable learning environment in the firm, which is helpful for extension in a highly competitive global economy.

Function Evaluation and Rewards

In addition to providing continuing education, the company must pay attention to compensation. In Nike, wages are calculated according to the qualifications of the workers. However, a system has been developed to compensate for overtime. Moreover, the business may benefit employees interested in advanced training and who have completed any educational program. For example, to provide a certain amount of funds or to suggest a better position (Naznin & Hussain, 2016). Thus, there will be a stimulation of inflow of highly skilled labor that will positively influence the quality of the goods and profit of the corporation. Similarly, an excellent way to advance employees’ quality of work is a monthly assessment based on which benefits can be provided. Thus, if a worker is the most productive in his department, he may receive a bonus or several paid days off. Such human resource management strategies will retain highly proficient employees and reduce the outflow of personnel.

Basic Concepts of Nike’s Current Organizational Culture

Nike’s organizational culture includes various significant standards that are critical to the company’s operations and competitiveness. The most generally applied principles are a constant search for innovations, dedication to goals and reputation, and eagerness to reply to developments in the external environment. Senior executives are constantly stressing the idea that Nike has to respond quickly to new trends in the market. Moreover, the company should not be satisfied with its current successes because such an attitude could eventually lead to stagnation and ultimately decreased productivity (Paais & Pattiruhu, 2020). This means that the organizational culture is dynamic and adapts to new goals. Willingness to succeed and the authenticity of human behavior are considered essential points. To a large extent, these conditions are vital to the long-term performance of this corporation.

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The organizational culture is dominated by openness, which should be understood as a positive response to changes. It is essential to emphasize that Nike employees are deeply committed to the strategic goals. They contribute to the success of this company because they willingly share ideas. On the one hand, promoting cultural values and cohesion within the company contributes to effective performance (Yoo et al., 2021). It is the reason why Nike is a true innovator in the market. However, this characteristic is at the same time a significant source of its weakness. In particular, deliberation should be provided to the generic identity as it is argued that the organizational culture of Nike is insular.

Organizational Culture Improvements

It can be difficult for a new person who comes to work to integrate into a new environment. This argument is especially relevant when talking about new managers, who are often perceived as strangers; therefore, their initiatives may be ignored, even though they can significantly improve the company (Kim, 2020). Thus, these signs can turn into weaknesses over a period of time. This problem shifted critical when Nike became a multinational corporation that operates in different regions of the world. Under such circumstances, senior executives must emphasize the diversity of the organizational culture. They should give newcomers a voice, even if those thoughts are critical of current practices. This policy can help avoid groupthink in this organization. In addition, company management should encourage cooperation among employees representing different divisions of the company. These units may be located in diverse regions, and their cooperation can facilitate the introduction of innovative products.

In particular, this intervention can promote the dissemination of best practices across Nike’s various visions. In addition, in this way, senior managers can make sure that newcomers can better adapt to the company’s requirements. To some extent, this policy may strengthen this company, which already has a complex organizational culture. Moreover, promoting employee engagement additionally increases the burden on managers (Warrick, 2017). Therefore, it is also necessary to expand investment in management personnel to balance the impact of the corporate culture.


Nike is an organization of organic type of administration. Since the company deals with a complex and dynamic environment, where constantly changing external conditions. Therefore, it needs decentralization of power for quick decisions and workers’ more excellent initiative, contributing to the rapid adaptability of production to the environment. Successful in the market requires the company needs to develop a leadership style. Accordingly, the style of CEO Nike should be demanding but assuming to provide support to employees (Ardichvili et al., 2016). The company leader should encourage ordinary workers and managers to submit ideas for the development of the firm. It can be reached by practicing interaction with subordinates through regular meetings.

It is also vital to use the company’s own talents to assist employees in appreciating the potential of the manager. This may seem unconventional for the CEO, but the active participation of the leader in product development brings the team together (Ferkins et al., 2018). At the same time, respect for employees must alternate with demanding since a practical approach motivates employees to work at sufficient strength and recognize management. Moreover, it is essential to improve the relationship between the leader and workers and provide supervisors with the necessary powers (Luria et al., 2019). Hence, due to the fact that the corporation is extensive, they will ensure compliance with the core principles of leadership in the representative offices of the organization.


The human resources role should be to improve employees’ skills and reward them according to their achievements. Additionally, while Nike is a successful and innovative organization, a close organizational culture does not offer new leaders’ opportunities. Therefore, it is valuable to listen and evaluate new ideas to raise the status of the corporation. The leadership style of the manager requires the establishment of communication with workers and at the same time maintaining the authority of managers. In this way, these changes will assist businesses to make significant profits and take care of workers at the same time.


Ahammad, T. (2017). Personnel management to human resource management (HRM): How HRM functions. Journal of Modern Accounting and Auditing, 13(9), 412-420. Web.

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Ardichvili, A., Natt och Dag, K., & Manderscheid, S. (2016). Leadership development: Current and emerging models and practices. Advances in Developing Human Resources, 18(3), 275-285. Web.

Ferkins, L., Skinner, J., & Swanson, S. (2018). Sport leadership: A new generation of thinking. Journal of Sport Management, 32(2), 77-81. Web.

Kim, M. (2020). How Phil Knight made Nike a leader in the sport industry: examining the success factors. Sport in Society, 23(9), 1512-1523. Web.

Luria, G., Kahana, A., Goldenberg, J., & Noam, Y. (2019). Leadership development: Leadership emergence to leadership effectiveness. Small Group Research, 50(5), 571-592. Web.

Naznin, H., & Hussain, M. A. (2016). Strategic value contribution role of HR. Vision, 20(2), 135-138. Web.

Nwaeke, L. I., & Obiekwe, O. (2017). Impact of manpower training and development on organizational productivity and performance: A theoretical review. European Journal of Business and Management, 9(4), 154-159. Web.

Paais, M., & Pattiruhu, J. R. (2020). Effect of motivation, leadership, and organizational culture on satisfaction and employee performance. The Journal of Asian Finance, Economics, and Business, 7(8), 577-588. Web.

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Warrick, D. D. (2017). What leaders need to know about organizational culture. Business Horizons, 60(3), 395-404. Web.

Yoo, S. C., Piscarac, D., Kang, S. M., & Truong, T. A. (2021). Brand Activism in the Age of Transmedia: Lessons Learned from Business Practices. International Journal of Advanced Culture Technology, 9(1), 64-69. Web.

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