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Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies Case Study Analysis

CASE ANALYSIS

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Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies Case Study Analysis

Background and Facts

Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies a workplace materials seller for little and medium sized organisations has recently been involved in preparing for a merging with its competitor Residence Deport, which has actually influenced effectiveness degrees in departmentswith the elderly supervisor associated with legal complications put forth by the federal Profession Payment. With the Advertising and marketing Head advancing the news of his departure from the firm in one year, Jeannie Lewis, the existing head of operations has actually been asked to take the duty in the future. With obstacles in the kind of a prospective social modification and also low employee spirits, the organization wants a complete reengineering initiative at the marketing department.

Trouble Statement
Porter's 5 Forces Analysis
The possible social change at the advertising and marketing department of Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies is increasing unpredictability in the workplace causing numerous challenges for the Jeannie Lewis that would certainly be changing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a major role in influencing critical choices considering that Stapes Inc. needed to desert its plans of merging with Workplace Deport after the Federal Trade Compensation's intervention in the process. Given the fact that the shop has a global existence with branches in UK, U.S.A., Canada and also Germany, political factors in each of these countries may be able to affect efficiency or tactical goals. Federal Trade Commission's antitrust match versus the merger took up important time of the organization's elderly administration recommending that 'political' factors can have major ramifications for an international business.

Economic Factors: Financial factors such as the development of small businesses in the global situation suggest that Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies is thriving in an environment where there is potential development of services. Along with this, fact that shop clients are primarily trying to find office products for office suggests that the marketplace has an increasing pattern of entrepreneurs as well as home organisations.

Social factors: Social fads in the economy reveal that consumers are seeking comfort as well as attractive rates. Market research shows how the customer for Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies does not have awareness about locating solutions which can supply a combination of convenience and also low costs.

Technological factors: Technology plays an essential duty in Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies's organisation approach especially as the organization is piloting Innovation centers which would certainly offer modern technology sales as well as support in the type of memory upgrades, outer installments. (Summary of PARASITE in appendix 2).

OB Issues and Manifestations.

Several underlying Business Actions issues can be seen in Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies's case as highlighted in this section.

Uneasiness concerning cultural modification: There is concern concerning a cultural adjustment that would certainly take place when Todd Krasnow leaves from his position as the Exec Vice Head Of State of Marketing with most of the team member already showing discontent over this prospective action. This expected modification has actually produced stress and anxiety in the workplace which has been paired with the past tension of preparing the company for a prospective merging with Residence Deport.
Pest Analysis
Difficult Task Setting for Newcomers: There is lack of workers that can match the demanding atmosphere of a busy company. Not just does this cause problem in finding the best people, it places stress on brand-new hires as can not withstand the rate as well as stress that the organization anticipates them to birth.

Double Reporting Lines: Beginners find this organizational culture troublesome as well as hard to deal with especially as populated line partnerships are suggested to be weaker generally and also unbiased setting as well as performance assessment is still done by the strong line supervisor. This indicates that beginners could shed quality regarding their respective roles and purposes particularly as populated line reporting does not maintain them in direct communication with the strong line supervisors.

Bitterness From Cross Departmental Hiring: Krasnow's decision to make Lewis his follower rather than Bridget Coles despite the fact that it had actually been guessed that the last would take Krasnow's position came as a blow to her spirits. Lewis may have been capable and also suitable for the work however the reality that Kransnow's separation would certainly make Coles a direct record to Lewis might have been the reason for Coles' resignation from solutions.

Anxiety & Job Insecurity: Anxiety and insecurity can be recognized as 2 significant concerns that Lewis would certainly be taking care of particularly as the merger has currently be cancelled and 2 elderly execs of the advertising and marketing division would certainly be leaving. The entire duty of the department would certainly be falling on Lewis's shoulders who would not simply be in charge of brining regarding a cultural adjustment but would certainly likewise need to show herself in her brand-new role.

Inappropriate Administration Design of Leader: Lewis's management style and also its conflict with the marketing department's duty can additionally be seen as an OB challenge particularly as she has actually been made use of to taking care of issues in the operations department where employees are taught to concentrate on procedures and also get them right. The advertising division on the other hand can be seen as a team of individuals that are utilized to being nurtured by Krasnow that focused much more on result than processes.

Interdepartmental Arguments: Interdepartmental disputes in between 3 departments, marketing, merchandizing and also procedures specifically over the allocation of the advertising mix can be determined as one more OB problem. Although the advertising division does not share the same vision as the other two departments regarding the aloocation of the advertising mix twoards promotions as well as advertsing, the merchandizing as well as operations departments do not agree over the marketing mix appropriation amongst each other either.

Disintegration in Marketing Department: Fragmentation between the marketing and advertising divisions can be recognized as an additional OB issue which can need more attention. The fact that the marketing and advertising areas in the advertising division are separated is stopping both divisions from getting from each other's experience as well as expertise. Assimilation of marketing with retailing and also procedures would end up being harder if the advertising department itself is degenerated which can be one more prospective OB concern.

Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies Analysis

Various theories have been made use of to explain the situations to obtain further clearness about the circumstance handy.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Theory X, the majority of managers believe that staffs are passive and also careless, have little passion and also stand up to change. The scenario at Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies is not completely following Theory X, it can be seen that new hires are locating this setting instead difficult which might ultimately lead to a better disposition of the administration in the direction of Theory X. Even while evaluating Lewis's administration design, theory X might have been appropriate in the procedures department to some degree however the Advertising and marketing division would certainly call for dependence on Concept Y in order to get the imagination and originality from the teams.

Tuckman's Teamwork Concept: As far as Lewis's concern regarding bringing consistency in between the marketing and also advertising and marketing division is concerned, this would at first lead to contrast as gone over by Bruce Tuckman in his 'Team effort Concept'. By combining the advertising and marketing as well as advertising division's job, there may be the exact same first disconnect which can lead to the second phase of 'storming' where the teams test one an additional.

Bridges' Shift Design: According To William Bridge's theory (appendix 4), people are fairly uneasy with adjustment, which is obvious by the circumstance at Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies The situation can be seen as a typical training course of life if is examined according to Bridge's concept where he describes that individuals experience three stages of transition when they experience adjustment. 'Closing, losing and Releasing', The Neutral Area and also 'The New Starting' (Bridges, 2004). When people exist with modification, they go into stage one therefore there may be emotions like sadness, unpredictability, frustration, anger, fear, denial and disorientation.The circumstance at the marketing department of Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies is comparable so Lewis can get comfy with the idea that it is not phenomenal habits. In the 2nd phase, there might be a requirement to bridge the space in between the brand-new as well as old culture so Lewis may need to face this challenge once Krasnow leaves. There might be low spirits and also low productivity at this phase which need to not be taken as an obstacle. It is throughout this stage that Lewis will have to offer advice to the department to make sure that they can find a sense of direction. It can be seen exactly how Krasnow has already made this change easier by making Lewis obtain associated with the division a year prior to his real separation. As per Bridges' Model, phase 3 will produce openness to knowing, High power and dedication as individuals will certainly welcome the adjustment (Bridges, 2004).
Vrio Analysis
Abraham Maslow in his Concept of 'Requirements Pecking order' (appendix 5) has goes over the value of 'protection requires as being a lower level need of a human for activating motivation. As seen in the pyramid shared in appendix 3, we can see how 'the demand to feel safe as well as out of danger' is at the second level of needs. Prior to an employee can be made to establish psychologically, he needs to have his 'Physical 'as well as 'Security' needs met.

SWOT Analysis for Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies Case Study



Effects of Analysis.

The OB analysis has checked out different theories to comprehend how to handle the current situation at hand. The following 3 choices have been suggested to aid Lewis handle the organizational challenges in the marketing division. Each of these alternatives has been suggested for alleviating the shift needed to bring the advertising and marketing department in line with the requirements of the market and also for making the social adjustment that would follow once the current leader leaves.

Integration of marketing and advertising functions. Dividing Adverting and also Production functions. Integration of Marketing with Procedures.

Evaluation of Alternatives.

Integration of Advertising & Advertising And Marketing Functions: The internal marketing company of Tokyo Disneyland And The Disneysea Park Corporate Governance And Differences In Capital Budgeting Concepts And Methods Between American And Japanese Companies is already toughness for the organization in regards to conserving up on overheads associated with advertising and promo. Because no brand-new recruitment has been done after Bridget Cole's separation with the coverage line being directly assigned to Krasnow for the advertising function, this is a desirable chance for incorporating the advertising and marketing features. Judith Shapiro who has actually earlier been talked to by Lewis throughout the earlier merging days has knowledge in business-to-business marketing together with company as well as retail advertising and marketing experience. Once Krasnow leaves, Lewis can hire Shapiro as an EVP for advertising to take care of both marketing and advertising functions.

The advantage of this technique is that it will certainly integrate the two features while minimizing the demand for working with an extra source for marketing. In addition to this, Lewis would be heading the advertising department and also regardless her substitute would be needed for the existing role that she is doing. The downside of this option is that external hiring may produce animosity from internal employees who may be eying the position of EVP after Lewis takes control of Krasnow's setting.

Dividing Adverting as well as Production: Offered the affordable stress and also high quality job needed from the marketing agency, it is advised that Lewis needs to permit the production unit to be a separate feature from the advertising device. Since many marketing firms had these two functions as different units, it makes even more feeling to comply with the norm.

Integration of Marketing with Workflows: Because Lewis is already taking care of the marketing and also procedures divisions all at once; it makes sense to incorporate the 2 functions since she has been effectively taking care of both ends. The truth that Lewis has to adapt her administration style for the advertising and marketing division suggests that these two divisions would certainly be culturally diverse.

Recommendation.



An evaluation of the three alternatives indicates that combination of advertising and operations would certainly not be a practical action because of the huge distinctions in between both departments although that presently Lewis is handling both. While separation of the production feature might have been a beneficial relocation for the marketing department, the fact that it would imply placing a 3rd feature under Lewis's wing implies this ought to be stayed clear of too. The combination of the advertising department is the very best choice in terms of getting the optimum results from the division. An action plan for this option is discussed listed below.

Action Plan.
Recommendation
Lewis will take control of the duty of EVP Marketing after Krasnow leaves.

Marketing and advertising functions would be merged.

Judith Shapiro will certainly be employed to take Lewis's area as SVP of marketing and advertising.

Manufacturing function will certainly remain component of marketing under advertising and marketing feature.

Lewis will certainly separate herself from procedures.

A democratic leadership design with employee empowerment will certainly be made use of in advertising department.

Open door plan and also emphasis on cross department communication will be targeted at getting rid of discord.

Contingency plan.

If the integration does not work out as prepared, a backup plan would certainly comply with which would divide the manufacturing function from the marketing function to reduce the lots on the SVP of advertising and marketing. In case Judith Shapiro does not get employed, Lewis will be heading the advertising division without an SVP. Because case the production feature will absolutely be divided by placing it under an SVP manufacturing.