NIKE, Inc. Announces Changes to Its Operating Model

NIKE, Inc. today shared the following note with employees regarding changes to its operating model.

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Team,

Today we're announcing changes to Nike's operating model that will help us accelerate and scale the Sport Offense and position Nike for long-term growth.

The future will belong to companies that can move faster, serve athletes and consumers more locally, and invest more aggressively in innovation. To do that, Nike must make changes to become a more agile, efficient and athlete-focused company.

This work will result in fewer roles across Nike, and I want to acknowledge that news like this creates uncertainty. I don't take that lightly. Throughout this process, we will communicate directly, act with transparency and treat people with respect. Decisions about impacted roles related to this work will begin in calendar year 2027 and beyond.

For most teammates, the work immediately in front of you remains the same. We have shared some financial information, but these numbers are estimates and could materially change. Anything you may see in media reports around impacts is speculative because we do not yet know the number of roles or specific locations of positions.

I want to further explain the changes we’re making and what we’re building to drive sustainable, profitable growth. I also encourage you to listen to our Q1 earnings call to understand more.

Building Nike for the Future

Over the past year, we've put sport at the center of everything we do. We're seeing encouraging signs of progress, but we have more work to do to win over the long term. We must get closer to athletes and consumers, make decisions faster, and focus our investments on the areas that create the most value.

We’re calling these efforts Pace.

Pace

Pace is not a new strategy, and it is not a reaction to one quarter. Pace is built around four priorities:

• Accelerating our supply chain modernization efforts
• Organizing into three geographies
• Establishing a new campus in India
• Changing our work and workforce

Together, these shifts will create a company with global scale, local speed and the flexibility to serve athletes in a rapidly changing marketplace.

Supply Chain Modernization: Flexible, Responsive and Efficient

We started this journey more than one year ago and it’s showing considerable progress.

Our Supply Chain and Technology teams have concrete plans underway to deliver a more responsive and flexible model through the strong partnerships they have built in the industry.

These changes include technology solutions and a more variable cost structure. They will improve speed, service and profitability while giving us greater flexibility to respond to consumer demand.

At our scale, these efforts matter.

Moving Closer to Athletes and Consumers: Three Geographies

We plan to organize Nike into three geographies to bring more decisions, accountability and resources closer to the markets we serve.

The three geographies will be: 

• Americas, bringing together North America and Latin America
• APGC, bringing together Asia Pacific and Greater China
• EMEA, which will continue operating where it does today

As part of this change, the APGC leadership team will be based in Singapore, and some roles currently supporting the region from Beaverton will move closer to the athletes and markets they serve. We expect teams to move into this new formation in Fiscal Year 2028.

Bengaluru: A New Nike Campus for Future Capabilities

We are establishing a new Nike campus in Bengaluru, India. India is already an important growth market and manufacturing hub for Nike, with strong capabilities and access to talent. The Bengaluru campus is a long-term investment in new capabilities and talent to strengthen how we serve athletes around the world, including in India. Full-time Nike teammates on this campus will support work across Nike, Jordan Brand and Converse.

Teammates already in India will move in phases, and the campus will grow over the next several years.

Evolving Our Work and Workforce

As we change how and where we work, Nike will require fewer roles over time.

These decisions are about redirecting investment toward the areas most critical to winning: product innovation, brand storytelling, consumer connection, sport and growth. 

Again, decisions about impacted roles related to this work will begin in calendar year 2027 and beyond. Teammates affected by these changes will hear directly from their leaders, with clear timelines and support as decisions are made. Where local consultation is required, we won’t finalize proposals until that process is complete.

Looking Ahead

Tomorrow at our NIKE Team Meeting (NTM), we’ll spend more time walking through these changes, and we’ll continue sharing updates through our employee hub on Workvivo.

At our Investor Day on Nov. 16-17, we’ll share more details about Nike’s next phase of growth, the financial plan behind it, and how Pace supports our long-term competitive position. We’ll come together again as a company for our next NTM on Nov. 18 to continue the conversation about Investor Day and our strategy.

The work ahead is significant, but the objective is simple: Build a faster, stronger Nike that is closer to athletes, more responsive to consumers and better positioned to win.

Thank you for what you do for athletes and consumers, for Nike and for one another.

And thank you for the passion, commitment and resilience you bring to this company. 

Elliott Hill
President & CEO, NIKE, Inc.