Change Management of Nike Company

Change management cannot be separated from the organization. It is because change is inevitable. But some people do not like the change itself. They tend to think about the bad effect of the change in the organization, such as layoff, downsizing, pay cuts, or relocation. In fact, the change can be the good improvement, such as the improvement of the technology, building new products, and increase the market. The management has to be prepared of the change management in order to make the effective change management. The change is needed to improve the performance of the organization.

The change is used to make the good development of the organization, such as emerging in the bigger market place, getting the bigger revenue, etc. In this globalization era, the organization has to be dynamic in order to adapt to the environment that keep changing day by day. If the organization cannot implement the change management, the organization will not be competitive in the market because the other organizations keep improving and change the management to adapt in the change environment.

Change management is the process of planning, organizing, coordinating, and controlling the compositions of the environment, internal and external of the organization, in order to make sure that the changes are implemented to approved plans and objectives of the changes is going well and has the little disruption (Oseni, 2007). Change management is the art or science of making changes with the certain systems or methods to make sense out of the organizational chaos that happen in the company and affect its employees, its suppliers, its vendors, and its customers (Ledez, 2008).

External factors are the factors that force the company to do the change management. For example, the company need to adjust the price of the products to make it same as the market price, or to attract the customers. Process of the Change Change must be realistic and attainable. Instead of forcing change, it is better to ensure the number of participant that join into the change and the process of the change itself.

Change can be caused from the organization itself or outside of it. The question is best answered when the limitations of the process are identified. The answer of this question should be able to address why the change is necessary. To what should it be changed? It is one thing to know that there is a need to change the current system, but another question is to what it should be changed. Change cannot be justified into the organization that doesn’t know the better alternative to the current system. The change must be offering the better benefits to the new system than the current system does.

How should this change happen? Some changes are ended as a disaster. It only wastes the management time and investment. Whatever approach is adapted to effect the change must address the issue of how to minimize disruption to the system and minimize the cost also. How can the change be sustained? If this question is not well addressed, all efforts are only a waste in the long run. This is the stage where many process changes face the problems.

It is necessary for management to set up a standing committee to be proactive in identifying problems and resistance during the implementation and finding solution. When it cannot prevent problems and resistance, it should at least find effective solutions. All of the stakeholders need to be carried along as the implementation progresses for better understanding and cooperation. 3. Post implementation Stage This stage is ensuring that the process change achieves the predetermined objectives and that post implementation stage problems are identified and sorted out quickly. Management should ensure that all staff members affected by the change.

All members should be given the feeling of importance in the successful of implementation of the process change. Change in any organization in one of stressful condition that company will have to deal with. How a company deals with change can, decides whether the company will continue to be profitable and forge ahead with new ideas and products and renew the organizational life cycle. Most companies that have continued to stay in business and stay profitable have continually added, renewed, and change the product line, the customer base and the general way to do the business. Based on John P. Kotter theory, there are eight steps that will enhance the change in the organization and help lowering the amount of stress.

The Company sells sports apparel and accessories, as well as athletic bags and accessory items. It also markets apparel with licensed college and professional team, and league logos. The Company sells a line of performance equipment under the NIKE brand name, including bags, socks, sport balls, eyewear, timepieces, electronic devices, bats, gloves, protective equipment, golf clubs and other equipment designed for sports activities. It also sells small amounts of various plastic products to other manufacturers through its wholly owned subsidiary, NIKE IHM, Inc.

In addition to the products the Company sells directly to customers through its Direct to Consumer operations, the Company has entered into license agreements that permit unaffiliated parties to manufacture and sell certain apparels, digital devices and applications and other equipment designed for sports activities. The Company’s wholly owned subsidiary, Cole Haan (Cole Haan), designs and distributes dress and casual footwear, apparel and accessories for men and women under the Cole Haan trademark. The Company’s wholly owned subsidiary, Converse Inc. Converse) designs, distributes and licenses athletic and casual footwear, apparel and accessories under the Converse, Chuck Taylor, All Star, One Star, Star Chevron and Jack Purcell trademarks. The Company’s wholly owned subsidiary, Hurley International LLC (Hurley), designs and distributes a line of action sports and youth lifestyle apparel and accessories under the Hurley trademark. The Company’s wholly owned subsidiary, Umbro International Limited, designs, distributes and licenses athletic and casual footwear, apparel and equipment, primarily for the sport of football (soccer), under the Umbro trademark.

Strategic Management Changes Nike changed some people in some positions in order to driving deeper consumers’ connection and expanding the market share. Nike hopes that the changes will strengthen the global management team and look forward to the leadership in these key roles. The changes are: (www. info. nike. com, 2010) Global brand and general management veteran Joaquin Hidalgo as Vice President of Emerging Markets reporting to President of Nike Global Operations, Gary DeStefano.

Hidalgo brings over 20 years of Nike experience to the role, and most recently served as Vice President of Global Brand Marketing, where he was instrumental in building and expanding Nike’s brand globally through innovative product launches and highly successful marketing strategies. Jayme Martin, a strong and strategic business leader with 13 years of Nike experience, becomes the company’s Vice President of Global Running reporting to Global Brand ; Category Management Vice President, Trevor Edwards. Martin has held various senior key global and geographic management roles across the Nike senior management team. Davide Grasso, a proven and seasoned brand leader becomes Vice President of Global Brand Marketing reporting to Global Brand ; Category Management Vice President, Trevor Edwards. Grasso brings 15 years of experience in various senior global and geographic marketing management roles in the U. S. , Europe and Asia Pacific regions. Leslie Lane becomes the Managing Director and Vice President of the Nike Foundation, reporting to Nike Foundation CEO and President Maria Eitel. He will be responsible for leading the team to deliver the Foundation’s next exciting chapter of global impact.