Strategic Leadership

Nike has a corporate governance system that is made up of Mark Parker, President and CEO of Nike, along with 11 other board of directors members that have various backgrounds in business administration. These people come from a variety of backgrounds, which helps to bring different viewpoints and perspectives to the business, making it more well rounded. The board of directors is made up of both males and females, and only one member, Mark Parker, is a member of the board of directors and the main management team, which is good for the company, as too much overlap can cause problems within the organization. By having outside members as a part of the board, Nike attempts to avoid too many like-minded people, so there is more information and idea generation, rather than falling into the groupthink trap.

Along with the people serving on the board and through top management, Nike tries to be an ethical organization, and has policies that attempt to prevent any unethical behavior. While most organizations deal with unethical behavior at some point, Nike is proactive and regularly updates their policies. Their Code of Ethics, which they call Inside the Lines, outlines different areas of ethics, including respect, the environment, safety and health, protection of Nike property and ideas, fraud and theft, compliance with laws, conflict of interest, and other potential areas of ethical violations. Each and every employee must abide by these policies. While not every situation can be avoided, by having this document and informing employees about the expectations of ethical behavior, Nike has significantly helped the perception of their company, to a more ethical company overall.

By having a respectable company, brand image, and powerful corporate governance system, Nike has created a culture of success and ethical behavior, which is seen from the top down, with transparency in their financial statements, and easy access for employees and customers alike. This creates a confidence in the behavior of the organization as a whole. By taking steps to maintain their positive reputation as an ethical company, while also creating a direction and designing the organization around their strategic goals, Nike can continue to climb the ladder of success.