- Nike's incoming CEO is an old face at the firm, having joined as an intern in 1988.
- Over the course of more than 30 years, he worked his way up to top management before retiring in 2020.
Nike's incoming CEO is an old face in the company, having worked his way up the ranks from intern to C-Suite exec.
The sneaker maker has pulled Elliott Hill, one of its company veterans, out of retirement. He's set to take over Nike's outgoing CEO, John Donahoe, who has led the company since 2020. Hill's new appointment will be effective October 14, per the company's statement.
According to Hill's biography, which Nike shared with BI, he started in the company as an apparel sales representative intern in 1988.
He rotated through numerous roles in the company over the course of more than 30 years.
"I started my career at NIKE as an intern in 1988, taking on 19 different roles within the organization before retiring in 2020 as President — Consumer and Marketplace," Hill wrote in his recently-updated LinkedIn bio, as seen by Business Insider.
In a company statement on Thursday, Hill said that Nike has always been a "core part" of his identity.
"I'm eager to reconnect with the many employees and trusted partners I've worked with over the years, and just as excited to build new, impactful relationships that will move us ahead," he said.
Hill's return also appears to be part of a hiring trend where Nike falls back on its company veterans in a bid to turn things around. In June, it hired another retired exec, Tom Peddie. Peddie, who worked at Nike for 30 years, joined as its vice president of marketplace partners.
Hill's depth of experience with the company will benefit Nike, experts say
Hill is taking over Nike amid a rough patch for the sporting goods brand. Nike has since December 2023 been executing a plan to save $2 billion in three years, with part of that coming from layoffs.
The company has particularly struggled after it tried to sell directly to sellers, and its relationships with marketplace retailers like Foot Locker soured.
But Nike's now redoubling its focus on retailers. It's boosted partnerships with companies like Designer Brands, Macy's, and Foot Locker, particularly after cracks started to show in its direct-to-consumer sales push.
Management experts BI spoke to said hiring a Nike veteran who knows the company intimately could benefit the company during this crisis.
"A veteran insider like Elliott Hill brings a lot of valuable firsthand experience that could be useful in addressing Nike's current challenges, like rebuilding strained relationships with its retail partners," David Daniels, an assistant professor of management and organization from the National University of Singapore, told BI.
Daniels added, however, that insider CEOs run the risk of being "too deeply entrenched in traditional ways of thinking, which could limit their ability to introduce the kind of bold, innovative strategies that are often needed in a crisis."
"By contrast, outsider CEOs can offer fresh perspectives and a greater diversity of thought, which are important for effectively navigating complex changes," Daniels added.
But Hill's years at the company also mean he knows its structure — and many of the people working there.
Peter Cappelli, a management and human resources professor from the Wharton School of the University of Pennsylvania, told BI: "That depth, which all CEOs had 40 years ago, means you know who the people are already, who's and who's not."
"You also know what is worth preserving," Cappelli added.
But that may be a double-edged sword, too. Cappelli added that there may "be a reluctance to change in ways that hurt people still there, especially former mentors."
Jim Duffy, a Nike analyst for Stifel Institutional, told BI's Lloyd Lee that Hill's return as a Nike insider may well bring about a "revitalization of the Nike culture."
"I also expect you're going to see kind of a renaissance in the innovation and product development process," Duffy added.
Not many CEOs can say that they've worked their way up from interns to the top job in a company. Xerox's former CEO, Ursula Burns, was one of them.
She started working at Xerox in 1980 as a mechanical engineering summer intern while completing a master's degree at Columbia University.
Burns worked her way up from positions in product development and planning to executive assistant and vice president. She was named CEO in July 2009.
Nike representatives did not respond to a request for comment from Business Insider sent outside business hours.