How Leaders Addressed the Challenge
Admitting the Fault The chief executive officer, Phil Night, delivered a speech in 1998, where he acknowledged that his company had indeed failed and introduced measures to be taken to stop the illegal practices in the contacted countries (Harrison & Scorse, 2010). Phil Night also admitted that his business was associated with low wages, abuse and overtime work. However, he affirmed that the company managers were going to raise the minimum wage, enhance monitoring and also adhere to OSHA clean air standards (Harrison & Scorse, 2010). Phil Knight further mentioned that they upheld high employment standards and child labour incident could have happened by mistake (Harrison & Scorse, 2010). The CEO promised to develop initiatives that would improve the conditions of work in the company and adhere to the human rights instruments provisions.
Training of Managers Nike educated its managers on fair trading practices and the codes of conduct in the working environment (Harrison & Scorse, 2010). Most of the managers were accused of
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The company also improved the working environment in the various factories. Also, it installed better ventilation and allowed employees to work fewer hours (Harrison & Scorse, 2010). Nike further worked to ensure that all the factories employed workers of appropriate age (Powell & Zwolinski, 2012). The company provided compensations for those who had not received their salaries due to disciplinary matters and made sure that all the employees have signed a contract entitling them to the proper remuneration (Harrison & Scorse, 2010). The company also followed OSHA’s standards and offered their employees gears that would protect them from some of the chemicals they were using during the manufacturing
The article “The Noble Feat of Nike” by Johan Norberg talks about how Nike is gaining numerous benefits because of its location in a Third World communist country, Vietnam. Majority factory workers have endured extreme conditions in life, which is why they do not demand or expect too high, unlike Americans who would not accept such circumstances without increased wages. Nike has been providing factory workers with favorable wages, education, medical aid, and meals, but all this is only possible because Nike has always targeted a poor country. Indirectly, Nike not only obtains money through making quality gym shoes, but also through investing in poor country and earning extra dollars. Furthermore, this article also shows statistics on how Nike has improved, within a decade by saying that $54 a month of income leads to workers buying a bicycle after 2 years; otherwise every individual has to walk several miles a day.
An ethical dilemma can occur at any given time to any organization. But, regaining public trust will be one of the most complicated processes to deal with for an organization that finds itself with this problem. In the case of the American Red Cross, for many years this organization has seen donations fall due to unethical leadership and some citizens still has problems handling the organization’s tarnished image. Furthermore, the organization had gained a long-desired reputation of being ethical and above reproach. Therefore, one can see way there was such a disheartening feeling between the ARC and many of the organization’s donors.
David Montero explains that in Sialkot, Pakistan there is a business, Saga Sports, that creates the Nike soccer balls by hand, the problem Nike has with the company is that they employ children to work in unjust conditions. “In November, Nike severed its contract with Saga Sports, its chief supplier, saying Saga's poor management exposes Nike to the threat of child labor and other labor violations,” (Montero). The chief executive of Nike is trying to reduce the amount of children that produce their goods in unfair conditions. The executive wants consumers to know that they are buying products that were manufactured the proper way of not having children make these items in appalling conditions that could threaten their health. The evidence suggest that working conditions is another reason that the United States consumers should not buy products that are made by
For Nike to be well known as a company, it comes to a conclusion that they are working in a right way
Know Your Business Environment Unit No. 1: The Business Environment Pervez Ghazi Shaikh Date Submitted: 31/10/2016 Carl Loraine Cruz 20154176 Target is the organization that I have chosen for this assignment. Target is a famous discount retailer in United States that was founded by George Dayton. It was formerly called Dayton’s Company in 1910.
UNETHICAL BUSINESS CASE STUDY ON NIKE Summary This project is focused onthe unethical behaviors of Nike. The essay will be exploring the ethical situation of Nike, the unethical behaviors, as well as the company’s role in reducing and correcting its unethical issues. Nike is no doubt one of the world’s leading footwear and apparel company, but continues to outsource its manufacturing to factories in Asian countries like China, Thailand, Bangladesh, India, and South Korea.
Behind the Swoosh is a documentary about sweatshop labor. As a class we watched the documentary and as I learned more about how Nike was running their business; I felt bad for the people that were working. I could not believe that those people were working hard making that company so much money and was getting nothing in return. Then again, I really was not shocked because I know that they are people that put a lot of blood, sweat and tears into a company and do not make enough money.
EXECUTIVE SUMMARY This report presents an analysis of The Walt Disney Company. It is one of the global’s leading manufacturers and providers of entertainment. The company manages through its five business segments which includes parks and resorts, media networks, studio entertainment, consumer products and interactive. The Disney’s objective is to be one of the world 's leading manufactures and companies of entertainment and information, by using its portfolio of brands to differentiate its content, services and consumer products.
Process and tools Target Corporation uses tolls and process for product safety and quality assurance. The company assesses a program for risk –based product safety and quality at every stage in the product life cycle, from development through the life of brand product. Target global team implement a program across 36 countries and 2228 factories producing target product, during the process will require independent third-party testing to validate safety and quality before the guests purchase product. the vendor in the company are expected to employ best practices, including clearly defined and well-documented manufacturing and quality processes including staff training , and record keeping. What does the TC required to do the job?
1) Question: If you were consulting with the HTE board of directors soon after Harold started making changes, what would you advise them regarding Harold’s leadership from a transformational perspective? Answer: Firstly, transformational leadership is a process that does exactly how it sounds, it transforms people. Through this sort of leadership, it is involved in being concerned with things such as standards, values, ethics, emotions, and long-term goals. If I were consulting with the HTE board of directors I would advise regarding Harold’s lack of awareness for those around himself and how that was making him an ineffective president.
2-human resources management: -Minimize the costs associated with high employee turnover. -Improve retention of skills, knowledge, motivation and moral, which in time impact productivity. -Give employees job security and money in their pockets and give employees opportunities to learn new skills and gain more knowledge. -Nike salary and compensation include information about base salary, signing and year –end bonuses, stock option, vacation time and other special perks and reimbursement that make up total compensation at nike. 3-Technology development: Nike has a history of developing innovative and new impact protection systems.
Company Description Nike believes diversity and inclusion drives innovation that lead to a competitive advantage. Nike has a broad base of suppliers that actively and significantly support their business requirements. Nike’s Global Procurement team manages the procurement process, including selecting and contracting with the right suppliers for the right goods and services. They have also begun to reduce Nike 's footprint and lessen their impact.
Nike has managed to shift their Manufacturing unit into Asian country’s were the labor is cheap to be exact wages of USD1 an hour were so little as one-tenth of those given in the US. No wonder that a pair of shoes which were sold for $150 in 1991 is made by indoasian women who were 58 cents a day but the situation has started to change and due to that reason the company has managed to minimize cost of production and not only double triple the the revenue as comparing to the year 1996. Finally we come up with promotion and advertising campaigns which became a grand success not only because they introduced sportspersons , they also introduced innovative ideas and wise strategies and the image of the Product, due to this process we can say that Nike targeted a huge no of audience and created a Prestigious brand which will be easily available for average people . they also came up with great tag lines such as ‘there is no finish life’ , and in the 1980 they changed it into “ JUST DO IT “ these quotes of tag lines are considerd very simple but very attracting and extremely encouraging for the customers .
Her teary apology and activism makes it a national issue. • 1996: Nike establishes a department tasked with working to improve the lives of factory laborers. • 1997: Efforts at promotion become occasions for public outrage.
Therefore Nike’s new priorities is making sure that their factories were not taking advantages of its workers anymore, and to ensure for a competitive wage and a safe work environment is provided for each worker. So, some ways to overcome these problems are: a) They need to establish a worldwide monitoring system of their countries spread all around the