A seasoned veteran takes the helm at nike

Assignment Help Accounting Basics
Reference no: EM131069657


Mark Parker: A Seasoned Veteran Takes the Helm at Nike

In January 2006, Phil Knight replaced CEO William Perez, his hand-picked successor, after only 13 months on the job and replaced him with Mark Parker. Reflecting on his resignation, Perez said, "Nike is an incredible organization with tremendous growth opportunities. However, Phil and I weren't entirely aligned on some aspects of how to best lead the company's long-term growth." In naming Parker as CEO and a director, the board turned to a seasoned Nike veteran with 27 years of experience at the company who has been involved in many of Nike's most significant product innovations and integrated brand companies. He also has been one of the key executives leading the company's long-term strategic planning. Mark Parker is described as someone who has a proven track record in driving creativity, innovation, and growth. "He's an experienced, talented executive and has played an instrumental role in building our business and making the Nike brand as strong as it is today," said Knight.155 Parker, 51, joined Nike in 1979 and has served in various management capacities in product design, development, marketing, and brand management. He is widely recognized as the product visionary for the Nike

Air franchise and many other industry-leading product design and performance innovations. Prior to heading the Nike brand, Parker ran the company's multibillion-dollar footwear and apparel businesses. "I've spent my life building the Nike brand, and I'm excited to lead one of the world's most dynamic organizations," Parker said. Since assuming the role of CEO of Nike, Parker's team has overhauled the way Nike runs, shifting the brand away from the previous sub-brand and product-based structure to a customer-driven structure. He has structured Nike into six "customer focused" categories, such as running, basketball, and women's fitness. Parker has personally shaped Nike's innovation processes. For example, he estabished a group for pursuing long-range innovation, called Explore.

He describes Explore as a multidisciplinary group pursuing "deep space" innovation possibilities with academics, inventors, and other companies. Explore, he points out, was chiefly responsible for the cooperation with Steve Jobs and Apple that led to the launch of the Nike Plus program in 2006. The Nike+ iPod is a wireless system that allows Nike + footwear to talk with your iPod nano to connect you to the ultimate personal running and workout experience.156 According to most analysts, Parker's biggest strength is his ability to key into consumer trends. In addition to being a product guru, he fits the Phil Knight mold and therefore will have a better working relationship with Knight than did Perez, who was an outsider to the athletic industry. Mark Parker has taken the helm of Nike at the time when the stakes in the U.S. market are particularly high, especially as Adidas has become more powerful with the acquisition of Reebok. However, Parker believes he is the right person to lead Nike through the challenges of the future. As he sees it, Nike's success depends upon its continuous focus on the customer. "At Nike we all work for one boss--the consumer," he said. As long as Nike stays connected to the consumer, it will be able to keep its products innovative and relevant.157 Parker believes his job is to help carry the torch to make sure Nike's passion for real innovation continues to thrive. Nike is still the world's largest sportswear company with over $18 billion in annual sales, employing more than 32,000 employees, and operating in more than 200 countries. How long this leadership position will last depends on the leadership effectiveness of Mark Parker and his team. GO TO THE INTERNET: To learn more about Mark Parker and Nike, visit their Web site (https://www.nike.com). Support your answers to the following questions with specific information from the case and text or with other information you get from the Web or other sources.

1. What external and internal pressures did Mark Parker face when he assumed the leadership of Nike, and how did he respond to these challenges?

2. Strategic management is about formulating strategies that align an organization's internal capabilities with external opportunities while avoiding or minimizing threats. How effective has Mark Parker been as a strategist so far?

3. Part of strategic management is accomplished via SWOT analysis. What is the evidence that the leadership at Nike is making use of this tool?

4. As revealed in the text, an effective strategist develops strategies that (1) enhance value to its customers, (2) create synergistic opportunities, and (3) build on the company's core competencies. What evidence shows that Mark Parker is pursuing this course or shares this viewpoint? CUMULATIVE CASE QUESTIONS

5. According to the Big Five Model of Personality, what traits would Mark Parker consider critical for his managers to possess (Chapter 2)?

6. The interactions among power, politics, networking, and negotiation are a common occurrence in organizational life (Chapter 4). CEOs have to deal with various stakeholders (shareholders, employees, board of directors, customers, suppliers, unions, government and state regulators, and so on). Describe how a CEO like Mark Parker would employ power, politics, networking, and negotiation as effective tools of leadership.

7. Communication, coaching, and conflict management are said to be skills that have a direct and significant impact on a leader's career success (Chapter 6). Given the weak market and financial position that Nike was in prior to Mark Parker's appointment, how critical are these skills in his efforts to reposition the company and address its weaknesses?

CAS E EX E R C IS E AN D RO LE -P LAY Preparation: Assume you are part of the leadership of an organization or organizational unit that is in need of training the management team of its foreign subsidiary to embrace and practice diversity at the highest levels. Under Mark Parker, Nike is leading the way in diversity.

Reference no: EM131069657

Questions Cloud

Culture a contributing factor to its success : Andrea Jung has been CEO of Avon Company since November 1999. The oldest child of Chinese immigrants, Jung grew up speaking both English and Mandarin Chinese.
Create an overall strategy : How do the CNCI, the National Strategy to Secure Cyberspace, and Executive Order 13636 integrate? How are they interrelated, and how do they work together to create an overall strategy?
Possibility of plastic deformation in the vicinity of hole : What is the transition crack size, lt, below which the growth of the fatigue crack is affected by the elastic strain field of the notch?
Explain the steps for new patient registration : Explain the steps for new patient registration and tell why it can be a complicated process. Discuss major types of medical insurance plans: indemnity, managed care, Medicare, Medicaid, and Health Reimbursement Arrangements (HRAs).
A seasoned veteran takes the helm at nike : In January 2006, Phil Knight replaced CEO William Perez, his hand-picked successor, after only 13 months on the job and replaced him with Mark Parker. Reflecting on his resignation, Perez said, "Nike is an incredible organization with tremendous g..
Explain the six steps in decision making : Explain the six steps in decision making. Discuss how the concepts of power and authority are integral to decision making. Identify the four steps involved in developing a plan in sport administration. Provide examples for all four steps from the sp..
Describe some of the specific tactics : Resistance to change is more likely to succeed if the forces resisting the change are stronger than the forces driving the need for change. Describe some of the specific tactics that resisters would employ to thwart change efforts.
Register and combinational logic : Terminal count output tc should be 1 only when the 4-bit counter output is 1111. Thecounter rolls over to 0000 after 1111 (if cnt is asserted for counting up). After deriving thecontroller's FSM, implement the controller as a state register and co..
Demonstrates understanding of concepts : Complete and coherent response to discussion topic, fully addressing the discussion topic or question. Demonstrates understanding of concepts.


Write a Review


Accounting Basics Questions & Answers

  Variable selling costs

How many units must be sold to break even if variable selling costs are $2 per unit, variable production costs are $31 per unit, and total fixed costs

  During november 2000 helmets were produced 10600 lbs of

garcia company produces hockey helmets. the standard cost for each helmet is as followsper helmetdirect material 5.0

  Executives of studio recordings inc produced the latest

executives of studio recordings inc produced the latest compact disc by the starshine sisters band titled

  Leesburg sold a machine for 2200 on november 10th of the

leesburg sold a machine for 2200 on november 10th of the current year. the machine was purchased for 2600. leesburg

  On august 31 jenks co partially refunded 180000 of its

on august 31 jenks co. partially refunded 180000 of its outstanding 10 note payable made 1 year ago to arma state bank

  Deferred tax liabilities

Alamo Inc. had $300 million in taxable income for the current year. Alamo also had a decrease in deferred tax assets of $30 million and an increase in deferred tax liabilities of $60 million.

  On october 10 tridant inc purchased 5000 desks at an

1. on october 10 tridant inc. purchased 5000desks at an invoice price of 300 each and paid for them on october20

  What is the amount of the overall tax

For the current year, Maple Corporation, a C corporation, reports taxable income of $200,000 before paying salary to its sole shareholder, Diane.

  In what circumstances will negotiated transfer price be used

When determining the minimum transfer price, what is meant by the "opportunity cost"? In what circumstances will a negotiated transfer price be used instead of a market-based price?

  What amounts will book mart report

What amounts will Book Mart report on the 2013 W-2s for each employee?

  Problem regarding the annual financial statements

You are one of three partners who own and operate Marys Maid Service. The company has been operating for seven years. One of the other partners has always prepared the companys annual financial statements.

  Company cost of goods sold

A company has $8,200 in net sales, $1,100 in gross profit, $2,500 in ending inventory, and $2,000 in beginning inventory. The company's cost of goods sold is?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd