THE WALT DISNEY COMPANY REINFORCING CULTURE AND VALUES

THE WALT DISNEY COMPANY: REINFORCING CULTURE AND VALUES TO EMPLOYEES ACROSS ITS GLOBAL FOOTPRINT By Sarah Mc. Clanahan, Stacy Cacciatore, and Wendi Muhonen

Disney’s Businesses The Walt Disney Company is a transnational entertainment company with five business segments: 1) Media Networks 2) Parks and Resorts 3) Studio Entertainment 4) Consumer Products 5) Interactive Media (The Walt Disney Company, 2014)

Disney’s Background � � � The Walt Disney Company was founded in 1923 (Global Footprint, n. d. ) Robert Iger has been the Chairman and Chief Executive Officer since 2000 (Jurevicius, 2013) In 2013, Disney brought in $45 billion in revenue (Business Week, 2014) Disney has built 45 resorts and 12 theme parks including Tokyo Disney Resort in 1983, Tokyo Disney. Sea in 2001, and Hong Kong Disneyland Resort in 2005 (The Walt Disney Company, n. d. ) Disney acquired ABC in 1996 and ESPN in 1997 (The Walt Disney Company, n. d. ) Disney’s media networks also include Lifetime, Hyperion Books, The History Channel, and A&E (The Walt Disney Company, n. d. )

• Disney’s Global Operations The Walt Disney Company is a global company with U. S. headquarters in Burbank, CA • Operates in 40 countries • Employs approximately 166, 000 • Africa: 20 • Asia and Oceania: 9, 120 • Europe and Middle East: 6, 080 • Latin America: 1, 270 • U. S. and Canada: 118, 070 (The Walt Disney Company, n. d. )

Organizational Culture Theory � According to theory, organizational culture is a company’s shared vision, values, symbols, language, beliefs, and habits that determine its priorities and guide its decision-making. Organizational culture is passed down through history and socialized into new members (Denison, 1996). � Four culture orientations: clan (teamwork and employee welfare), adhocracy (entrepreneurship, growth, and innovation), hierarchy (order, formalization, and control), and market (goals, tasks, completion of actions, and outcomes) (Kotter, 2012) � Organizational culture theory will serve as theoretical framework to understand Disney’s operations � Disney’s global success can partially be attributed to its enduring, positive organizational culture which it instills into employees worldwide.

Disney’s Mission and Values The Walt Disney Company’s organizational culture consists of its shared vision, values, symbols, language, beliefs, and habits. Innovation Decency Quality Be the leading global producer/provider of entertainment and information Make people happy Community Optimism Storytelling (Disney Careers, n. d. )

� Disney’s Recruitment Policy Centralized casting center recruits talent that embodies Disney’s core values and ensures that values are communicated consistently worldwide Enter into the Disney narrative with Mickey Mouse ear-shaped archways and Alice in Wonderland doorknobs (Ingelsson, Eriksson, & Lilja, 2012) �

� Disney’s Employee Training Cast members promote Disney’s organizational culture on the job to deliver a personal and magical experience to each individual Treat each attendee as a valued guest, not an impersonal consumer � “Smile factory”- Act cheerful whenever in front of the public � Acting rude, bored, or insincere could detract from each guest’s experience and undermine the entire Disney enterprise (Maanen, 1990)

Disney’s International Program � Maintaining a diverse workforce is critical for Disney’s vision and its goal of global community-building � Company offers international program where individuals from around the world can live and work at Walt Disney World. Participants can: Connect with diverse others � Be exposed to Disney culture and work ethic � Learn leadership, presentation, and customer service skills (Disney International Programs, n. d. ) �

Disney’s Employee Satisfaction � Despite rigorous on-the-job requirements, employee satisfaction is high due to: Social recruiting and selection process into the “Disney family” � Videos that set job expectations � Individuals matched with job that best suits their passions and interests � Significance and cooperation of roles highlighted through language- audition vs. job interview, cast member vs. employee � Creative empowerment through brainstorming sessions � Perks- free park admission, discounted merchandise (Nguyen & Kleiner, 2005) �

Disney’s Entertainment Landscape � Disney products serve as memory makers and memory takers (Brockus, 2004) � Disney films promote decency in viewers (Brockus, 2004) � � Encourage prosocial behavior- helping, sharing, and comforting others Disney committed to innovation- fills in gaps in marketplace to remain a viable global entertainment option ABC is first TV network to make programs available for download on Itunes (“Disney/ABC Television Group, ” 2010) � Glocalize theme parks- Hong Kong Disneyland with feng shui design, Chinese cuisine, and workers speaking local dialects (Matusitz, 2011) �

Disney Criticism � � A strong, unified organizational culture has drawbacks Expansion overseas seen as imperialistic- promotes Western values at the expense of the local cultures Extended alcohol ban to Paris Disneyland despite French norm of drinking a glass of wine with a meal (Wasko, Phillips, & Meehan 2001) � Exploited Chinese culture at Hong Kong Disneyland with Mickey Mouse shaped dim sum and traditional robes emblazoned with Disney characters (Fung & Lee, 2009) �

Conclusion � Disney’s domestic and international success is related to its strong organizational culture based on the values of decency, optimism, storytelling, innovation, quality, and community combined with its vision to make people happy � Its organizational culture is reinforced worldwide through its products as well as by recruiting and training cast members

Future Research � � How well is Disney’s vision achieved at home vs. abroad? Are there differences between domestic and international Disney employee satisfaction levels? Besides imperialism, are there additional drawbacks to Disney promoting a consistent organizational culture worldwide? Beyond organizational culture, which other factors contribute to Disney’s global success?

References Brockus, S. (2004). Where magic lives: Disney's cultivation, co-creation, and control of America's cultural objects. Popular Communication, 2(4), 191 -211. Denison, D. (1996). What is the difference between organizational culture and organizational climate? A native’s point of view on a decade of paradigm wars. Academy of Management Review, 21(3), 619 -654. Disney/ABC Television Group. (2010). Media. Week, 20(20), AEF 14. Disney Careers. (n. d. ) Culture & Diversity. Retrieved from http: //disneycareers. com/en/working -here/culture-diversity. Disney International Programs (n. d. ). Disney Careers. Retrieved from http: //ip. disneycareers. com/en/default. Fung, A. , & Lee, M. Localizing a global amusement park: Hong Kong Disneyland. Journal of Media & Cultural Studies, 23(2), 197 -208. Ingelsson, P. , Eriksson, M. , & Lilja, J. (2012). Can selecting the right values help TQM implementation? A case study about organisational homogeneity at the Walt Disney Company. Total Quality Management & Business Excellence, 23(1), 1 -11.

References Kotter, J. (2012, September 27). The key to changing organizational culture. Forbes. Retrieved from http: //www. forbes. com/sites/johnkotter/2012/09/27/the-key-tochanging-organizational-culture. Maanen, J. (1990). The smile factory: Work at Disneyland. Reframing Organizational Culture, 58 76. Matusitz, J. (2011). Disney's successful adaptation in Hong Kong: A glocalization perspective. Asia Pacific Journal of Management, 28(4), 667 -681. Nguyen, H. & Kleiner, B. (2005). Effective human resource management in the entertainment industry. Management Research News, 28(2), 100 -107. The Walt Disney Company. (2014, January). Fiscal year 2013 annual financial report and shareholder letter. Retrieved from http: //thewaltdisneycompany. com/sites/default/files/reports/10 k-wrap-2013. pdf. The Walt Disney Company. (n. d. ) Investor Relations. Retrieved from http: //thewaltdisneycompany. com/investors. Wasko, J. , Phillips, M. , & Meehan, E. (2001). Dazzled by Disney? The global Disney audiences project. London: Leicester University Press.