Organizational Theories in Nike

Nike is considered the leading company in the footwear and apparel industry. Alsaffar (2020) states that it has an asset of about $26.2 billion, and its revenue is $41.3 billion. The motivational theory applies to the company. Its mission brings innovation and inspiration to its employees since they can expand their motivation (Beresin, 2010). Continuous innovation has made the products sustainable. The company has more than 74 000 employees, and it motivates them to be part of its decision-making process. The company matches the employee donations, and it offers the volunteers to pay means that it provides the employees with stability in the workplace.

In addition, the decision theory also exists in Nike, and it is mainly related to making choices based on specific alternatives. Nike makes its decisions by setting goals and analyzing the competitive environment. All the employees put the purposes of the company from different departments. They also work together to explore the competitive environment and find any gaps that they can fill to their advantage (Weirich, 2013). They also find strategies to ensure that they align with the organization's goals. Strategic management is vital in the organization, and Nike uses all its resources to achieve its goals effectively.

Moreover, the human relations theory is a management approach that emphasizes the need for interpersonal relationships, group dynamics, employee attitudes, and leadership styles in achieving a company's effectiveness. Nike has facilitated teamwork by ensuring that the employees work to learn something from each other (Lavelle et al., 2010). The organization also employs a diverse workforce and uses transformational leadership. This kind of leadership aims at making positive changes for the company. Similarly, the diverse workforce helps in the decision-making process since they help the organization understand different cultures where they would like to venture in.

References

Alsaffar,H. (2020, August 3). (PDF) Marketing and services management Nike's marketing mix and PESTEL analysis in China. Research Gate. https://doi.org/10.13140/RG.2.2.11298.86722

Beresin,A.R. (2010). "Nike, Nike, who can do the Nike?". Recess Battles, 63-76. https://doi.org/10.14325/mississippi/9781604737394.003.0005

Lavelle,J., Gunnigle,P., & McDonnell,A. (2010). Patterning employee voice in multinational companies. Human Relations, 63(3), 395-418. https://doi.org/10.1177/0018726709348935

Weirich,P. (2013). Decision theory. Philosophy. https://doi.org/10.1093/obo/9780195396577-0207