Nike’s brilliant decision to retain an in-house arm of ad agency Wieden & Kennedy
displays the concept of organizational design perfectly. When using organizational design
an organization is trying to to create structures that accomplish their mission and
objectives. Nike’s number one mission as an organization is to have the best advertising in
the business so they can have the best brand recognition possible. Since they don’t produce
very many of their own products they are able to focus mainly on the designing of their
new products and the advertising of their products. Only having to focus on two objectives
makes it all the easier for Nike to perfect those specific objectives and soar to the top of
the sports apparel industry. By housing Wieden & Kennedy inside of their headquarters in
Portland, Oregon, Nike is able to maximize the relationship between them and their
favorite marketing agency. Both companies are able to have full access to each other and
they should never have to worry about there being a lapse in communication between
them. This is the perfect structure for Nike and it will help them achieve both their
marketing mission, and objectives.
I think it would help Nike solve their sweatshop labor problems, and maybe even some
future problems they may have, if they were to use a more mechanistic design rather than