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Nike faced challenges in establishing performance measures in their strategy approach due to the complexity of evaluating contract manufacturers based on health and safety, environmental, and labor-management standards. The most challenging part of the process was setting the performance measures and communicating them effectively. Nike's Director of Global Apparel and Corporate Responsibility, Mike McBreen, acknowledged that holding the company accountable to these measures was a difficult task.
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As a part of the initiative, Nike implemented a strategy approach, which means that contract manufacturers are being evaluated based on health and safety, as well as environmental and labor-management standards. Although Nike reviews its unique balanced scorecard criteria monthly, the company Director of Global Apparel and Corporate Responsibility, Mike McBreen, admits that the most challenging part of the process is establishing the performance measures. "We are communicating the set of measures by which we hold ourselves accountable," McBreen said. And in one of his corporate responsibility newsletters, McBreen wrote that business partners meeting Nike's goals will witness increased, higher-margin business and industry recognition for better performance.
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Visualize your organization’s strategy so that all team players understand how to work together and identify where they fit in. Use our Strategy Maps...
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