1. The Walt Disney Corporation

2. TABLE OF CONTENT Overview Situational Analysis Issue Statement Leadership Analysis Courses of Action Selected Course of Action Implementation Questions / Comments

3. 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

4. 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 world’s leading producers and providers of entertainment and information, which excels in being a diversified, international, family entertainment and media company.

5. 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

6. SITUATIONAL ANALYSIS Stakeholder Map (LH) Communities  Quality products / services  Environment protection  Compliance with laws  Involvement / support (LH) Business Partners  Fair dealings  Synergy  Free exchange of information  Negotiating ability (LH) Employees  Empowerment  Creativity  Dignity & respect  Professional Development  Safe work environment (LH) Customer / Guests  Quality products and services  Value prices  Innovative products  Knowledgeable service  Safety / Security (HH) Board of Directors  Return of shareholder value  Growth in dividend payments  Consistent dividend payments  Growth in net asset value  Involvement in decisions (HH) Major Business Segments  Creativity license  Free innovation  Independence Bob Iger

7. SITUATIONAL ANALYSIS Effectiveness Analysis Internal Efficiency - Suffers from advertising woes + Sales increase by 21.8% to $1.92B Resource Acquisition Employee Motivation - Employee moral / over internal disputes - Lack of empowerment - Lack of free innovation / creativity Customer / Client Satisfaction - Under appreciated brands - 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

8. SITUATIONAL ANALYSIS SWOT Analysis Strengths  Size of operations  Brand loyalty  Diverse businesses Opportunities 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  International development  Brand extensions  Create a digital market of products

9. 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?

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

11. LEADERSHIP ANALYSIS Moral Leadership Stage 1 Control Stage 2 Participation Stage 3 Empowerment Stage 4 Service Authoritarian manager Obedient subordinates Participative manager Team players Self- responsible contributors Stewardship- empow. leader Whole employees Servant leader Active Passive Control Centered in the Leader/Organization Control Centered in the Follower Follower Leader

12. LEADERSHIP ANALYSIS Motivation and Empowerment HOPE/FAITH (Effort/Works) Endurance Perseverance Do what it takes Stretch Goals Excellence Values/Ethical System Altruistic Love (Reward) Forgiveness/Acceptance Gratitude Integrity Honesty Courage Humility Kindness Compassion Patience/Meekness/Endurance Trust/Loyalty MEMBERSHIP Understood & Appreciated Organizational Productivity, Commitment CALLING Make a difference Life’s Meaning VISION/MISSION (Performance) Culture (Learning Organization) Empowered Teams Strategic Leaders TEAM Members (Personal Leadership)

13. Mind-set: Sees organization as machine, economics, plans Emphasis: Goals, systems, efficiency, formal authority Dangers: Rigidity and tyranny Mind-set: Sees organization as family, belonging, clan Emphasis: People, support, empowerment Dangers: Lack of content or substance Mind-set: Sees organization as jungle, power, schemes Emphasis: Resource allocation, negotiation, coalition building Dangers: Power plays for purpose of self-interest Mind-set: Sees organization as theater, spiritual meaning, dreams Emphasis: Vision, culture & values, inspiration Dangers: “Messiah” complex 1. Structural 2. Human Resource 3. Political 4. Symbolic LEADERSHIP ANALYSIS Leadership Power and Influence

14. External focus Flexibility Internal focus Stability Clan Culture Values: Cooperation Consideration Agreement Fairness Social equality Bureaucratic Culture Values: Economy Formality Rationality Order Obedience Adaptability Culture Values: Creativity Experimentation Risk-taking Autonomy Responsiveness Achievement Culture Values: Competitiveness Perfectionism Aggressiveness Diligence Personal initiative LEADERSHIP ANALYSIS Vision, Culture, and Values

15. 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.

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

17. IMPLEMENTATIONPhases 1. Establish a sense of urgency 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 6. Generate short-term wins 7. Consolidate gains, create greater change 8. Institutionalize changes in the org. culture

18. IMPLEMENTATIONTimeline

19. QUESTIONS / COMMENTS