The Walt Disney Corporation

TABLE OF CONTENT Overview

Situational Analysis Issue Statement Leadership Analysis Courses of Action Selected Course of Action

Implementation Questions / Comments

OVERVIEW
Michael Eisner steps down as CEO Management style Investment timidity Unclear vision Broken Fences Employees Business Partners Board members Robert Iger steps up as CEO Vision Reduce turmoil Leadership role

SITUATIONAL ANALYSIS
Vision / Purpose / Mission Vision: The Walt Disney Company is to be the
preeminent leader in the field of family entertainment.

Purpose: Commitment to producing

unparalleled entertainment experiences based on its rich legacy of quality creative content and exceptional storytelling.

Mission: The Walt Disney Company is to be one

of the worlds leading producers and providers of entertainment and information, which excels in being a diversified, international, family entertainment and media company.

SITUATIONAL ANALYSIS
Values

Innovation follow a strong tradition of

innovation

Quality strive to follow a high standard of

excellence; maintain high-quality standards across all product categories Community create positive and inclusive ideas about families; provide entertainment experiences for all generations to share Storytelling every product tells a story; timeless and engaging stories delight and inspire Optimism entertainment is about hope, aspiration and positive resolutions Decency honor and respect the trust people place in us; fun is about laughing at our experiences and ourselves

SITUATIONAL ANALYSIS
Stakeholder Map
(LH) Communities (LH) Business Partners
Quality products / services Environment protection Compliance with laws Involvement / support Fair dealings Synergy Free exchange of information Negotiating ability

(HH) Major Business Segments

Creativity license Free innovation Independence

Bob Iger

(HH) Board of Directors

Return of shareholder value Growth in dividend payments Consistent dividend payments Growth in net asset value Involvement in decisions

(LH) Customer / Guests

Quality products and services Value prices Innovative products Knowledgeable service Safety / Security

(LH) Employees

Empowerment Creativity Dignity & respect Professional Development Safe work environment

SITUATIONAL ANALYSIS
Effectiveness Analysis
Internal Efficiency
- Suffers from advertising woes + Sales increase by 21.8% to $1.92B

Resource Acquisition
- Reduction in share price by 15% + Shed underperforming assets + Rise in stock shares from $15 to $22 + $698M to $7.8B increase in revenues - New market development

Employee Motivation
- Employee moral / over internal disputes - Lack of empowerment - Lack of free innovation / creativity

Customer / Client Satisfaction

- Under appreciated brands

SITUATIONAL ANALYSIS
SWOT Analysis
Strengths
Size of operations Brand loyalty Diverse businesses

Opportunities
International development Brand extensions Create a digital market of products

Weaknesses
Reliance on relationships Seasonal fluctuations Diseased culture Lack of advertisement

Threats
Vulnerability to outside factors Foreign business risks Increasing competitive pressures Soft economy Investor confidence / bad publicity

ISSUE STATEMENT
How can Iger improve the company culture while allowing for freedom of creativity to aid in the expansion of brands into international markets and create a break through in new product develop?

LEADERSHIP ANALYSIS Leadership Mind & Heart

Self-Awareness
Emotional self awareness Accurate self-assessment Self-confidence

Social Awareness
Empathy Organizational awareness Service orientation

Self-Management
Emotional self-control Trustworthiness Conscientiousness Adaptability Optimism Achievement-orientation Initiative

Relationship Management
Development of others Inspirational leadership Influence Communication Change catalyst Conflict management Bond building Teamwork and collaboration

LEADERSHIP ANALYSIS Moral Leadership

Stage 1 Control
Active Authoritarian manager Participative manager Selfresponsible contributors

Stage 2 Participation

Stage 3 Empowerment

Stage 4 Service
Whole employees

Team players

Stewardshipempow. leader Servant leader

Passive

Obedient subordinates

Control Centered in the Leader/Organization

Control Centered in the Follower

LEADERSHIP ANALYSIS Motivation and Empowerment

VISION/MISSION
(Performance) Strategic Leaders Culture (Learning Organization)

CALLING
Make a difference Lifes Meaning

HOPE/FAITH
(Effort/Works) Endurance Perseverance Do what it takes Stretch Goals Excellence Empowered Teams TEAM Members (Personal Leadership)

Values/Ethical System

Organizational Productivity, Commitment

Altruistic Love
(Reward) Forgiveness/Acceptance Gratitude Integrity Honesty Courage Humility Kindness Compassion Patience/Meekness/Endurance Trust/Loyalty

MEMBERSHIP
Understood & Appreciated

LEADERSHIP ANALYSIS Leadership Power and Influence

4. Symbolic
Mind-set: Sees organization as theater, spiritual meaning, dreams Emphasis: Vision, culture & values, inspiration Dangers: Messiah complex

3. Political
Mind-set: Sees organization as jungle, power, 2. Human Resource schemes Mind-set: Sees Emphasis: organization as Resource allocation, 1. Structural family, belonging, negotiation, coalition clan building Mind-set: Sees Emphasis: People, Dangers: Power organization as plays for purpose of machine, economics, support, empowerment self-interest plans Dangers: Lack of Emphasis: Goals, content or systems, efficiency, substance formal authority Dangers: Rigidity and tyranny

LEADERSHIP ANALYSIS Vision, Culture, and Values

Flexibility
Clan Culture
Values: Cooperation Consideration Agreement Fairness Social equality

Adaptability Culture
Values: Creativity Experimentation Risk-taking Autonomy Responsiveness

Internal focus Bureaucratic Culture

Values: Economy Formality Rationality Order Obedience

External focus Achievement Culture

Values: Competitiveness Perfectionism Aggressiveness Diligence Personal initiative

Stability

EVALUATION OF ALTERNATIVES
1. Keep the status quo, change nothing.

2. Create empowered business divisions, through the development of a learning organization built on spiritual leadership.
3. Change the bureaucratic culture to one focused on adaptability. 4. Expand the Disney brand to new markets to increase visibility.

RECOMMENDED ALTERVATIVE
Change the culture, while adapting to the strategic leadership creating empowerment and employee commitment, needed to expand brands and increase visibility.

IMPLEMENTATION
Phases

1. Establish a sense of urgency

8. Institutionalize changes in the org. culture 7. Consolidate gains, create greater change 6. Generate short-term wins

2. Form a powerful guiding coalition 3. Develop a compelling vision and strategy

4. Communicate the vision widely

5. Empower employees to act on the vision

IMPLEMENTATION Timeline
Task to Change Sense of urgency Shared commitment Compelling vision and strategy Communicate the vision Empower employees Generate short-term wins Consolidate gains Changes in the org. culture Changes complete Time Frame 1-2 mnths 3-4 mnths 6 mnths 1 year 1-2 yrs 1-2 yrs 1-2 yrs 1-2 yrs 1-2 yrs Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8

QUESTIONS / COMMENTS