5.1: Stakeholders At Nike, Inc. stakeholders are involved in decisions through constructive engagement.

On Nike, Incs website they state our stakeholders help us prioritize key issues and develop our corporate responsibility policies (1.4.4 Stakeholder Engagement and Report Reviews, NIKE Inc., 2009). Nike uses the following criteria for selecting stakeholders (Stakeholder Engagement and Report Reviews, 2012):

Understanding and ability to comment on the company through previous interactions Ability to provide new and distinct perspectives Expertise and reputation in corporate responsibility strategy and specific content areas Geographic, gender and issue diversity

Stakeholders report on whatever Nike, Inc. has planned. Stakeholders generally engage in meetings that are formal, facilitated and sometimes casual about specific topics. At Nike, Inc. they do not target specific stakeholder groups. Nike, Inc. prefers to have candidates from each stakeholder group represented when feedback or decisions need to be made. Nike, Inc. ensures all stakeholder interests are heard; In order to assure diversity of voices and reduce carbon impact, the stakeholder engagement process was run virtually (1.4.4 Stakeholder Engagement and Report Reviews, NIKE, Inc. 2012). My personal experience as a customer has been a rewarding one. As a soccer player at SNHU, in my first year with the team (2007) we used Nike gear. My favorite soccer cleat at the time was Nikes Total 90. Not only was I satisfied with the quality of the equipment we used, I was also satisfied with Nikes customer service and how they treat their customers. I recall the experience I had when I ripped my cleats. I called Nike, Inc., they asked me to send the cleats back to them and they sent me a brand new one for free and with free shipping. That experience stuck with me till today. Even when SNHU switched to Adidas in 2008, I still wore Nike cleats not only because they were comfortable, durable, and cool, but they made me better; my touches were better. Also, Nike, Inc. offers me the ability to design and customize my footwear the way I want. This is an example of how Nike, Inc. involves their stakeholders in the decision making process of the company. Companies with successful employee practices know that there are significant benefits to be gained by treating employees with dignity and respect by providing employment security, comparatively high compensation, extensive training, and sharing relevant information with employees so that they can perform their job effectively and efficiently (Waddock, 2009 p. 193). Nike's deliberate approach to lean manufacturing includes worker empowerment - giving factory workers the skills and abilities needed to manage production and immediately address issues as they arise, such as quality or process improvements (3.1 Overview - NIKE, Inc. Corporate

Responsibility Report 2009, June 26). These changes put decisions closer to the worker, and require a high level of support to ensure all workers have the skills and confidence to consistently produce quality products. We believe our lean manufacturing approach holds great promise for worker empowerment and for building a more skilled and equitable work force (3.1 Overview - NIKE, Inc. Corporate Responsibility Report 2009). NIKE, Inc. engaged Business of Social Responsibility (BSR) to facilitate a stakeholder engagement process around its FY07-09 Corporate Responsibility Report (with performance data from May 31, 2007 through May 31, 2009) in order to enhance the credibility of its report (1.4.4 Stakeholder Engagement and Report Reviews - NIKE, Inc..2009). BSR, a nonprofit that advises its 250 member companies on corporate responsibility strategies and practices since 1992, played the role of a neutral facilitator in this process. In this capacity, BSR jointly selected stakeholders with Nike, coordinated the overall process, led stakeholder discussions and consolidated overall feedback. Nike's Sustainable Business and Innovation team managed the overall reporting process, and actively participated throughout the stakeholder engagement as an information provider and listener (1.4.4 Stakeholder Engagement and Report Reviews - NIKE, Inc. (2009). According to the companys mission statement, Nike, Inc. aims to lead in corporate citizenship through proactive programs that reflect caring for the world family of Nike, Inc., [its] teammates, [its] consumers, and those who provide services to Nike, Inc. (Alian, 2011) With that in mind and with its vision to bring inspiration and innovation to every athlete in the world, Nike, Inc.s corporate values and vision affect the decision in the sense that Nike, Inc. has learned to involve stakeholders by engaging and listening to their opinions. Nike, Inc. takes their stakeholder opinions into consideration when making any decision however if it conflicts with the corporate values or vision then they may not necessarily consider it.

References Alian, S. (2011). Nike Financial Axnalysis. Upload & Share PowerPoint presentations and documents. Retrieved May 6, 2012, from http://www.slideshare.net/SarahAlian/nike-financialanalysis Stakeholder Engagement and Report Reviews - NIKE, Inc.. (2009.). NIKE, Inc. - The official corporate website for Nike and its affiliate brands.. Retrieved May 6, 2012, from http://www.nikebiz.com/crreport/content/about/1-4-4-stakeholder-engagement-and-reportreviews.php?cat=governance-accountability 3.1 Overview - NIKE, Inc. Corporate Responsibility Report. (2009). NIKE, Inc. - The official corporate website for Nike and its affiliate brands.. Retrieved April

1.4.4 Stakeholder Engagement and Report Reviews - NIKE, Inc.. (2009,). NIKE, Inc. - The official corporate website for Nike and its affiliate brands.. Retrieved April 15, 2012, from http://www.nikebiz.com/crreport/content/about/1-4-4-stakeholder-engagement-and-reportreviews.php?cat=governance-accountability. Waddock, S. A. (2009). Leading corporate citizens: vision, values, value added (3rd ed.). Boston: McGraw-Hill Irwin