Nike announces senior leadership changes, more job losses

NIKE Inc. has announced a series of senior leadership changes to support the company’s Consumer Direct Acceleration (CDA), a new digitally empowered phase of the strategy to unlock long-term growth and profitability.

Operational model changes to fully align against the CDA are expected to lead to a net loss of jobs across the company, resulting in pre-tax one-time employee termination costs of approximately $200 million to $250 million.

The leadership changes, combined with a strategic alignment of NIKE’s operating model against the CDA, will create even greater focus and agility that will be enabled by a nimbler, flatter organization in service of consumers. To drive this focus, NIKE will streamline its organization, including its Corporate Leadership Team (CLT).

“We are announcing changes to transform NIKE faster, accelerate against our biggest growth opportunities and extend our leadership position,” said John Donahoe, President & CEO, NIKE, Inc. “Now is the right time to build on NIKE’s strengths and elevate a group of experienced, talented leaders who can help drive the next phase of our growth.”

A shift to a new, simpler consumer construct of men’s, women’s and kids will allow NIKE to create product with deeper insights and drive even greater specialization through performance sport and sport lifestyle.

In the brand’s geographic operating segments, NIKE has also announced new leaders in Europe, Middle East and Africa (EMEA) and in Asia Pacific and Latin America (APLA).

The CDA will create a more premium, consistent and seamless consumer experience across NIKE’s owned and strategic partner ecosystem, align around a new simpler consumer construct and also unify investments in an end-to-end technology foundation to accelerate our digital transformation.

Admin Sportz Front

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