Nike is eliminating approximately 1,400 roles within its Global Operations team as part of a broader restructuring effort aimed at streamlining the company’s technology, manufacturing and supply chain functions.
The majority of the cuts will come from the Technology division. Venkatesh Alagirisamy, executive vice president and chief operating officer, outlined the changes in a memo to employees Thursday, describing them as the “next phase” of work already underway across the organization.
“These changes are meant to make the company less complex and more responsive,” Alagirisamy said in the memo.
The restructuring spans four areas:
- Technology Modernization: Nike will consolidate its technology footprint and streamline operations around two hubs — the Philip H. Knight Campus and the Nike India Technology Center.
- Air Manufacturing Modernization: Changes to Air Manufacturing Innovation facilities in Beaverton, Ore.; St. Louis; and Vietnam will adjust staffing and streamline processes to increase resiliency.
- Converse Ground Game: Some Converse Footwear Manufacturing and Engineering resources will be moved closer to factory partners to improve real-time collaboration.
- Materials Supply Chain Integration: Materials work will be repositioned closer to Footwear and Apparel Supply Chain teams to enable faster, more synchronized decision-making.
Alagirisamy said the changes build on four priorities he outlined earlier this year: optimizing the supply chain footprint, accelerating technology deployment, investing in team upskilling and strengthening partner and supplier relationships.
“The Operations team has played, is playing, and will play an important role in helping Nike, Inc. strengthen its foundation and it will continue to play a critical role in the company’s comeback,” Alagirisamy said in a statement.
The announcement comes as Nike navigates a broader corporate turnaround. The company reported flat third-quarter revenue of $11.3 billion, with wholesale revenue up 5% but ongoing headwinds from inventory cleanup and softness in sportswear. CEO Elliott Hill said in April that Nike is in the “middle innings” of its transformation and cautioned that the overall process requires patience.
“This is complex work, and parts of it are taking longer than I’d like,” Hill said. “The direction is clear, the urgency is real, and the foundation is getting stronger.”
