What factors drive Nike’s decision to stick with some form of network organizational structure rather than own its manufacturing operations?

Network organizational structure

1.  What factors drive Nike’s decision to stick with some form of network organizational structure rather than own its manufacturing operations?

2.  Could a shift toward a more mechanistic organizational design help Nike avoid past reputational problems with its global supply chain, such as bad labor practices by some of its foreign contractors?

3.  Draw a diagram that shows what you believe Nike’s present organizational structure looks like.  Be sure to include all possible components. Next look at the diagram as an organization design consultant. Ask: How can this structure be improved? How can Nike gain even more operating efficiency without losing its performance edge in terms of continually coming up with innovative, high quality, top-design shoes?

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