Decision Style (Bloisi, Cook, & Hunsaker, 2007)
Nike Incorporate has a participative style of management (UK Essays). The top management leadership style can be characterized by the team management approach. The group is team oriented, but is capable and does work independently recognizing the common stake that each places in Nike. The company culture lends a hand to the fact that top management's teamwork style has spread throughout the organization (Enderle, Hirsch, Micka, Saving, Shah, & Szerwinski, 2000).
Nike's board of directors consists of both management directors and dependent directors. The combination of these two types of directors benefits Nike in that there is a presence of those directly involved with Nike as well as others indirectly involved who bring outside experience, provide another frame of reference and can assist in overall board in thinking 'outside the box' (Enderle, Hirsch, Micka, Saving, Shah, & Szerwinski, 2000).
Nike Incorporate uses the decision style 'systemic', because of the diversity in the board of directors and the focus on teamwork between managers. This leads to people who are open for different ideas to solve a certain problem. So a problem will be viewed from many points of view and it will be explored with multiple solutions. After examining many options, however, the board/management becomes more hierarchic, subjecting various alternatives to a rigorous analysis that ends with a clearly prioritized set of solutions (Bloisi, Cook, & Hunsaker, 2007). So at the end the board/management of Nike has a couple of solutions to solve a certain problem. They will use the different solutions to explore what the best solution will be for a certain problem.
The organizational decision making process
Nike pushes toward upstream decision making; sustainability is at the core of their decision making. A more integrated sustainable thinking is at the core of their growth plans and corporate strategy, this is also the case in each of their affiliate companies. (Nike Inc., 2007) These decisions are made by the corporate officers, which includes the president/ Chief Executive officer and Chairman of the Board of Directors. The corporate officers make the ultimate decisions, however the stakeholders and investors are also taken into consideration. An important stakeholder that the decisions are based on is the environment. Nike bases their decision making on sustainability as was said before.
Validity of data is of great importance to Nike, seeing that Nike strives to be as transparent as possible. Nike Inc. has qualified employees and systems that specifically collect and review data. Information is gathered internally and also externally, information gathered externally is confirmed through third parties such as Fair Labor Association. (Nike Inc., 2014)
The data that Nike Inc. reports are reviewed by Nike Inc.’s internal audit team. The internal audit team found several improvements that can be done, therefore the Nike...