SONY - Change Management
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SONY - Change Management
- 1. Management Skills Change Management Cagri Can Kaynak Mahesa Krishna Raditya Muhammad Umer Razi Nils Niederheide November 30, 2012
- 9. Introduction Problem Change Conclusion
- 10. 1. Sony Corporation Introduction Problem Change Conclusion •1946-Tokyo Telecom Engineering(Totsuko)
- 11. 1. Sony Corporation Introduction Problem Change Conclusion
- 12. 1. Sony Corporation Introduction Problem Change Conclusion •1946-Tokyo Telecom Engineering (Totsuko) •1955-Stock exchange
- 13. 1. Sony Corporation Introduction Problem Change Conclusion •1946-Tokyo Telecom Engineering (Totsuko) •1955-Stock exchange •1958-Totsuko Sony
- 14. 1. Sony Corporation Introduction Problem Change Conclusion •1946-Tokyo Telecom Engineering (Totsuko) •1955-Stock exchange •1958-Totsuko Sony •1960s&70s - Internalization
- 15. 1. Sony Corporation Introduction Problem Change Conclusion •1946-Tokyo Telecom Engineering (Totsuko) •1955-Stock exchange •1958-Totsuko Sony •1960s&70s - Internalization •1973-“Division-based” corporate organization
- 16. Sony Portfolio History Introduction Problem Change Conclusion
- 17. Sony Portfolio History Introduction Problem Change Conclusion Audio 1955
- 18. Sony Portfolio History Introduction Problem Change Conclusion Audio Video 1955 1968
- 19. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music 1955 1968 1968
- 20. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music 1955 1968 1975 1968
- 21. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music 1955 1968 1975 1979 1968
- 22. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music 1955 1968 1975 1979 1982 1968
- 23. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music Movie 1955 1968 1975 1979 1982 1968 1989
- 24. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music Movie Games 1955 1968 1975 1979 1982 1968 1989 1994
- 25. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music Movie Games 1955 1968 1975 1979 1982 1968 1989 1994 2000
- 26. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music Movie Games Phones 1955 1968 1975 1979 1982 1968 1989 1994 2000 2001
- 27. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music Movie Games Phones 1955 1968 1975 1979 1982 1968 2004 1989 1994 2000 2001
- 28. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music Movie Games Phones 1955 1968 1975 1979 1982 1968 2004 1989 2005 1994 2000 2001
- 29. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music Movie Games Phones 1955 1968 1975 1979 1982 1968 2004 1989 2005 2006 1994 2000 2001
- 30. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music Movie Games Phones 1955 1968 1975 1979 1982 1968 2004 1989 2005 2006 1994 2000 2006 2001
- 31. Sony Portfolio History Introduction Problem Change Conclusion Audio Video Music Movie Games Phones 1955 1968 1975 1979 1982 1968 2004 1989 2005 2006 1994 2000 2006 2001 2012
- 32. 1.2 Sony Product Portfolio Introduction Problem Change Conclusion
- 33. 1. Sony Corporation Introduction Problem Change Conclusion •Work-life balance •Hierarchical •Centralized •Think globally! Act locally!
- 34. 1. Sony Corporation Introduction Problem Change Conclusion
- 35. Introduction Change ConclusionIntroduction Problem
- 36. Introduction
- 37. 2.1 External Forces 2.2 Internal Forces 2. Problem Analysis Introduction Problem Change Conclusion
- 38. 2.1 External Forces Massive Corporate Financial Losses Global Recession and Strong Yen Strong Competition Introduction Problem Change Conclusion
- 39. Massive Corporate Financial Losses 2.1 External Forces Loss of 2,8 billion USD Introduction Problem Change Conclusion
- 40. Massive Corporate Financial Losses 2.1 External Forces Loss of 2,8 billion USD Introduction Problem Change Conclusion
- 41. Massive Corporate Financial Losses 2.1 External Forces Loss of 2,8 billion USD Introduction Problem Change Conclusion
- 42. Global recession and Strong Yen 2.1 External Forces Introduction Problem Change Conclusion
- 43. Global recession and Strong Yen 2.1 External Forces Introduction Problem Change Conclusion
- 44. Global Recession and Strong Yen 2.1 External Forces Mr. Nobuyuki Oneda (2008) Chief Financial Officer and Executive Vice President Introduction Problem Change Conclusion
- 45. Global Recession and Strong Yen 2.1 External Forces Mr. Nobuyuki Oneda (2008) Chief Financial Officer and Executive Vice President “Sony loses 7.5 billion yen in operating profit for each 1 yen gain against the euro…” Introduction Problem Change Conclusion 706 million EUR
- 46. Global Recession and Strong Yen 2.1 External Forces Mr. Nobuyuki Oneda (2008) Chief Financial Officer and Executive Vice President “Sony loses 7.5 billion yen in operating profit for each 1 yen gain against the euro…” and “... loses 4 billion yen for each 1 yen gain against the dollar.” Introduction Problem Change Conclusion 487 million USD 706 million EUR
- 47. 2.1 External Forces Strong Competition Introduction Problem Change Conclusion Digital Camera Market 2010 Game Console Market Smartphone Market 2011 Television Market 2011
- 48. 2.1 External Forces Strong Competition Introduction Problem Change Conclusion Digital Camera Market 2010 Game Console Market Smartphone Market 2011 Television Market 2011
- 49. 2.2 Internal Forces Lack of Internal Communication Loosing Innovative Edge
- 50. Lack of Internal Communication 2.2 Internal Forces Introduction Problem Change Conclusion
- 51. Lack of Internal Communication 2.2 Internal Forces Operation Centers Headquarter Introduction Problem Change Conclusion
- 52. Lack of Internal Communication 2.2 Internal Forces Introduction Problem Change Conclusion
- 53. Lack of Internal Communication 2.2 Internal Forces Silo Culture Introduction Problem Change Conclusion
- 54. Loosing Innovative Edge 2.2 Internal Forces Introduction Problem Change Conclusion
- 55. Loosing Innovative Edge 2.2 Internal Forces Became a FOLLOWER?! Introduction Problem Change Conclusion
- 56. 3. Change Management 3.1 Sony’s CEOs 3.2 8-Step Process for Leading Change 3.3 Current Situation / CEO Introduction Problem Change Conclusion
- 57. 3.1 Sony’s CEOs Introduction Problem Change Conclusion
- 58. 3.1 Sony’s CEOs Nobuyuki Idei 1998 - 2005 Sir Howard Stringer 2005 - 2012 Kazuo Hirai Feb 2012 - Present Introduction Problem Change Conclusion
- 59. 3.1 Sony’s CEOs Nobuyuki Idei 1998 - 2005 Introduction Problem Change Conclusion
- 60. Taking Advantages of the New Technology Creating Partnership Cost efficient policy Restructuring the organization Developing American-Style Corporate Governance 3.1 Sony’s CEOs Nobuyuki Idei 1998 - 2005 Introduction Problem Change Conclusion
- 61. Taking Advantages of the New Technology Creating Partnership Cost efficient policy Restructuring the organization Developing American-Style Corporate Governance 3.1 Sony’s CEOs Nobuyuki Idei 1998 - 2005 Introduction Problem Change Conclusion CATASTROPHE !
- 62. 1. Sense of Urgency Action Result 3.2 Leading Change Introduction Problem Change Conclusion
- 63. 1. Sense of Urgency Reviving Sony Consumer Product Service Business Failed to restructure the TV business Action Result 3.2 Leading Change Introduction Problem Change Conclusion
- 64. 2. Creating the Guideline Coalition Action Result 3.2 Leading Change Introduction Problem Change Conclusion
- 65. 2. Creating the Guideline Coalition Combine cutting-edge technology with entertainment content Launch PS3 and PS Network. Some hacker breach the customer credit card data on PS Network Action Result 3.2 Leading Change Introduction Problem Change Conclusion
- 66. Action Result 3.2 Leading Change Introduction Problem Change Conclusion 3. Developing a Change Vision
- 67. Restructuring plan Cut 10,000 jobs and shed a number of unprofitable devision & product Action Result 3.2 Leading Change Introduction Problem Change Conclusion 3. Developing a Change Vision
- 68. Action Result 3.2 Leading Change Introduction Problem Change Conclusion 4. Communicating the Vision for Buy-in
- 69. Focus on three core sector: Electronic, Games & Entertainment Success at Blue Ray Disk, PS3 and Movie Picture Action Result 3.2 Leading Change Introduction Problem Change Conclusion 4. Communicating the Vision for Buy-in
- 70. Action Result 3.2 Leading Change Introduction Problem Change Conclusion 5. Empowering Broad-Based Action
- 71. Centralization decision-making and Develop “top-down leadership” Sony start to respond faster to change in the operating environment by focusing software & service Action Result 3.2 Leading Change Introduction Problem Change Conclusion 5. Empowering Broad-Based Action
- 72. Action Result 3.2 Leading Change Introduction Problem Change Conclusion 6. Generating Short Term Wins
- 73. Reinventing the Consumer Product Service Developing the software environment to support electronic device (hardware) Action Result 3.2 Leading Change Introduction Problem Change Conclusion 6. Generating Short Term Wins
- 74. Action Result 3.2 Leading Change Introduction Problem Change Conclusion 7. Never Letting Up
- 75. Focusing on Kaizen, continues improvement to incrementally increase their market share Sony is too slow to adapt to new market opportunities and changes Action Result 3.2 Leading Change Introduction Problem Change Conclusion 7. Never Letting Up
- 76. Action Result 3.2 Leading Change Introduction Problem Change Conclusion 8. Incorporating Change into the Culture
- 77. He is not creating radical change No internal resistance regarding “Foreign” CEO Action Result 3.2 Leading Change Introduction Problem Change Conclusion 8. Incorporating Change into the Culture
- 78. Vision of “ONE SONY” Restructuring the organization Focusing on Mobile, Entertainment and Digital Imaging Building Partnership with Google 3.3 Current CEO Kazuo Hirai Feb 2012 - Present Introduction Problem Change Conclusion
- 79. 4. Conclusion 4.1 Change Obstacle 4.2 Recommendations Introduction Problem Change Conclusion
- 80. 4.1 Change Obstacle Copyright © 2005 by South-Western, a division of Thomson Learning. All rights reserved. 28 OD Approaches to Culture Change Traditional Organizational Development Model Large-Group Intervention Model Change Process: Incremental Change Rapid transformation Focus for action: Information Source: Distribution: Time frame: Learning: Specific problem or group Organization Limited Gradual Individual, small group Entire system Organization & environment Widely shared Fast Whole organization SOURCE: Adapted from Barbara Benedict Bunker and Billie T. Alban, Conclusion: What Makes Large Group Interventions Effective, The Journal of Applied Behavioral Science 28, no 4 (December 1992), 579-591. Introduction Problem Change Conclusion
- 81. 4.2 Recommendations Headquarter and Operation Centers should be coordinating with each other. Developing communication network technology like Google. Outsource Research and development for a short term period or decentralize R&D. Introduction Problem Change Conclusion
- 82. 4.2 Recommendations Limit their product lines and focus on core business product like P&G did it. Use of command and control leadership. Developing new communication network management decrease top to bottom& vice versa. Introduction Problem Change Conclusion
- 84. Thank You! November 30, 2012 Cagri Can Kaynak Mahesa Krishna Raditya Muhammad Umer Razi Nils Niederheide