Executive Leadership and Governance: A Case Study of Walt Disney Company

This report discusses the importance of leadership and governance in achieving organizational goals and objectives. It analyzes the organizational culture and role of the board, corporate governance, and management of risk and regulatory landscape using Walt Disney Company as a case study.

Executive Leadership
and Governance

Table of Contents
INTRODUCTION ..........................................................................................................................4
MAIN BODY...................................................................................................................................4
Organisational culture and role of the board...............................................................................4
Corporate Governance................................................................................................................5
Management of risk and regulatory landscape .......................................................................6
CONCLUSION ...............................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Leadership on executive level is the ability of those who direct or manage workforce in
an organisation to guide and influence the individuals. Leadership on executive level refers to
those business activities as strategic planning development, decision-making, fulfilling
organisational goals. Leadership in governance is the ability and willingness to take ownership in
part of an organisation and to do continuously those activities which is best for an
organisation(Cook and et.al., 2019). Solid governance principles are the base of effective
corporate leaders. Corporate governance becomes effective through leadership which provides
motivation and impulsion as well. Walt Disney Company is taken into consideration in the
present report(About the Walt Disney company). Walt Disney is an American media
conglomerate of multinational level that is headquartered in Walt Disney studios complex in
Burbank, California. The present report will cover discussion about organisational culture and
role of board. In addition to this, the report will cover analysis about the corporate governance.
Moreover, the report will cover discussion about regulatory landscape and management of risk.
MAIN BODY
Organisational culture and role of the board
When they had moved into the new studio where become more controlling and
domineering Walt Disney has adopted autocratic style of leadership. Initially Disney has treated
his employees like a family member but when they moved to new studio they became more
rigid. The organisational culture of Disney is related to American culture(Lim., 2017). The
corporate culture of Disney ensures that employees reflect those ideals which align with target
customers expectations and preferences in the mass media, entertainment industries and parks
and resorts.
The board of directors of Disney takes active role in terms of overseeing the company.
The main responsibility of board of directors of Disney is that to hire and fire senior management
It basically decides on major company decisions and also conduct other top-level duties. The
annual report of Walt Disney basically divides into four parts. The first part of report covers
discussion about business, risk factors, properties and legal proceedings. The second part of
annual report covers discussion about financial data, management discussion, quantitative and
qualitative disclosures about market risk.

Third part of report covers discussion about executive compensation, principal
accounting fees and services, security ownership and related transactions as well. Fourth part of
report cover discussion about exhibits and financial statement schedules.
All these pointers are included in annual report is to provide public disclosure of
company's financial and operating activities over the past years(McCulla and Degenhardt.,
2016). The report is basically issued to stakeholders and shareholders who use it to evaluate the
firm's financial performance.
Corporate Governance
In terms of achieving long-term shareholder value the Walt Disney company basically
believes in good board of governance which is integral. Provisions which are applicable to
directors of parent company where the board of directors has also adopted a separate ethics and
code of business conduct. The company is committed towards practices and policies related to
governance which ensures about commitment to thoughtful and independent representation of
interests of shareholders(Morisson and Doussineau., 2019). To assist and facilitate in terms of
execution of boards responsibilities the board has also established committees. The most
important committees include committee of audit level, committee of compensation level.
Illustration : Walt Disney Company
Source : Fun facts you didn't know about Disney

Remuneration committee role at Disney has basically followed by compensation
committee. The committee is basically responsible for compensation, appointment and oversight
of work of any compensation consultant, other advisor and independent legal counsel retained by
it(Oleribe and et.al., 2019).The committee also conduct annual review of performance in terms
of carrying out its responsibilities. Somewhere committee can't review performance into
appropriate manner due to which it gives false results to the company.
The work and compensation has also not done into appropriate manner due to which it
does not directly contribute in terms of direct performance of the company.
Management of risk and regulatory landscape
Walt Disney board's responsibility in terms of risk factor is that to develop procedures
and policies around risk which are consistent with organisation strategy and appetite risk. The
board also applies and design appropriate controls for minimizing the risks and monitors the
controls to ensure that they are working effectively (Pemer and et.al., 2020).
Illustration : Corporate Governance guidelines
Source : Disney board of directors, management decisions:Analysed [Investor guide]

With respect to regulatory landscape for Disney, there are certain laws which are applied
on specific employees and cast members as well. The company and its each member has to
follow antitrust laws, securities laws, environmental laws and food and drug laws which are
essential for proper working of the company. Disney faces number of risks which are associated
with industry. The primary concern is with respect to loss of subscriber ship for its ESPN
networks with consumers who don't want to pay high cable fees and instead they are moving
towards streaming services(Veronesi and et.al., 2015). According to recent period of time, the
pandemic situation has increases risk for their theme parks and their events also got cancelled
due to this difficult situation. The three major risks which are faced by Walt Disney are:
Financial losses and associated risks, theme parks and movie theatres are empty due pandemic
situation and cheaper products provided by competitors.
The board of directors has taken steps towards solving this problem and they have find
alternatives for it. Walt Disney has framed new rules and regulations and policies according to
this changing situation so that they can make improvement in terms of financial aspect as well.
In this way, board of directors manages these risks faced by the company.
CONCLUSION
The above stated report concludes that corporate governance and leadership plays a very
important role in this business world. It has been concluded that organisational culture is very
important in terms of achieving organisational goals and objectives. There are certain
responsibilities which needs to be fulfilled by the board of directors of company. It has been
determined that a good governance support in terms of leading the organisation into appropriate
manner. There are certain laws which needs to be followed by the company and its associate
members. Company has to majorly followed certain risks and these can be resolved through
taking appropriate steps by the board of directors.

REFERENCES
Books and Journals
Cook and et.al., 2019. Gender gaps at the top: Does board composition affect executive
compensation?. Human Relations, 72(8), pp.1292-1314.
Lim, S. H., 2017. Legislative Gridlock, Executive Unilateralism, and Policy Governance: The
Implications of US Nuclear Power Policymaking for Korean Politics. The Korean
Journal of International Studies, 15(2), pp.247-274.
McCulla, N. and Degenhardt, L., 2016. Journeys to school leadership: How action learning
identified what participants valued in a year-long Australian leadership development
program centered on principles of good practice. Educational Management
Administration & Leadership, 44(4), pp.558-577.
Morisson, A. and Doussineau, M., 2019. Regional innovation governance and place-based
policies: design, implementation and implications. Regional Studies, Regional
Science, 6(1), pp.101-116.
Oleribe and et.al., 2019. Identifying key challenges facing healthcare systems in Africa and
potential solutions. International journal of general medicine, 12, p.395.
Pemer and et.al., 2020. The role of chief executive tenure for public organizations' hiring of
management consultants. Governance, 33(2), pp.269-285.
Veronesi and et.al., 2015. Clinical leadership and the changing governance of public hospitals:
implications for patient experience. Public Administration, 93(4), pp.1031-1048.
Online
About the Walt Disney company,2021[Online]Available
through:<https://thewaltdisneycompany.com/about/>