Management and Organizations in King Digital Entertainment Ltd

This report provides an overview of management and organizations in King Digital Entertainment Ltd, a successful social game developing company. It discusses the organizational structure, modern management approach, cultural framework, and strategic management objectives of the company.

Running head: MANAGEMENT AND ORGANIZATIONS
Management and Organization
Name of the Student:
Name of the University:
Authors Note:

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Table of Contents
Introduction:...............................................................................................................................2
Task 1.........................................................................................................................................2
About the Organization:.............................................................................................................2
Task 2.........................................................................................................................................3
Organizational Structure and the way It Facilitated Functionality............................................3
Task 3.........................................................................................................................................5
Modern Management Approach in Improving Functionality....................................................5
Task 4.........................................................................................................................................6
Charles Handy’s Cultural Framework and Its Relevance to Organizational Culture................6
Task 5.........................................................................................................................................8
Two Innovative Strategic Management Objectives of the Company........................................8
Conclusion:................................................................................................................................9
References:...............................................................................................................................10

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Introduction:
The report focuses on providing an overview on management and organizations of
video gaming industry, King Digital Entertainment Ltd popularly known as King. The
company generates huge revenue of £3.35 billion through its offerings in the United
Kingdom (king.com 2018). The King Digital Entertainment Ltd ensures the development of
games for web, mobile, windows and social media platform, Facebook. They are in fact the
founders of one of the financially successful games Candy Crush Saga that utilized the
Freemium model. There were close to 200 fun titles and games developed by the company
enjoyed across the world.
Task 1
About the Organization:
King Digital Entertainment designs and distributes games with a broader appeal in
various platforms in United Kingdom. Thus, the company represents an interactive
entertainment company offering games for mobile world and has close to 285 million active
users across social, web and mobile platforms. The primary offerings of the company include
the Candy Crush Saga, Pet Rescue, Bubble Witch and Farm Heroes (king.com 2018).
However, the games offered by the company remains synchronized across the platforms
thereby allowing the players in seamlessly switching between the platforms and the devices
and continuing the game from wherever they left thereby allowing them in playing anytime,
anywhere and on any of the devices.
King Digital Entertainment Ltd logs revenue through micro transactions of the virtual items
that provides the players with boosters, extra lives and better game content. The company has

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a net income of $575 billion and revenue generation of close to $1.59 billion. The company
was found as the developer of video games in Sweden in the year 2003. The video games
developed have been primarily browser based. Melvyn Morris was the serving Chairperson
with Riccardo Zacconi and Toby Rowland as the co- chief executive officer.
Task 2
Organizational Structure and the way It Facilitated Functionality
The organizational structure represents a system outlining the fact as to how some
activities remain directed towards the achievement of the organizational goals (Ashkenas et
al. 2015). The structure of an organization also helps in determining the flow of information
from one level to another within an organization.
The organizational structure of King Digital Entertainment Ltd is designed in a
manner that the primary motive for the creation of user-friendly games with the help of
expert graphics and latest technology. Therefore, in addition to game designers there exists a
lot of job description and positions that accounts for all operations for successful outcomes.
This includes the company owner, game designers, programmers and the artists (Tran and
Tian 2013).

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Artists
1. Concept artist
2. Artist Managers
3. Assistant Artist
4. Senior Artist
5. Junior artist
6. Artist
Secretaries
Organizational Structure
Company Owner
1. Marketing Manager
2. Business Manager
3. Administrative
Manager
4. Sales Manager
5. Publicity Manager
6. Coordinators
7. Assistant Manager
Game Designers
1. Senior Game
Designer
2. Junior Game
Designer
3. Designing Manager
4. Visual Designers
5. Team Leads
6. Designing Experts
Programmers
1. Lead
Programmers
2. Senior
Programmers
3. Junior
Programmers
4. Coders, Testers
5. Programming
Assistants
Figure: Organizational Structure of the Company
Source: (Ashkenas et al. 2015)

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The organizational structure improves the functionality by the following means (Camison and
Villar 2014):
1. Helps in Streamlining Operations: The organizational structure ensures effective
completion of the business functions in an effective manner.
2. Improvement in the Business Decision Making: The companies can use the
organizational structure for improving the decision making process.
3. Improvement in the Performance of Employees: Organizational structures help
in outlining the task of the employee and the manager responsible for overseeing every
employee
4. Increased Focus on Customer Sales and Services: Organizational structure
enables the firms in focusing extra time on the customer service than on the operational
issues.
5. Enables Operation in Multiple Locations: Organizational structure enables the
business owners in creating management chain for ensuring that all the business locations
operates as per the standard procedures of the company.
Task 3
Modern Management Approach in Improving Functionality
King Digital Entertainment Limited can adopt the contingency approach for
improving its functionality. This approach focuses at the integration of the theory with the
practice in the systems framework. The contingency approach represents an approach where
the behaviour of a sub unit remains dependent on the environment and the relationship it has
with the other units or the sub units that has some amount of control over sequences desired

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by that particular sub unit (Wu et al. 2014). Thus, the behaviour inside an organization
remains contingent on the environment and if the manager seeks to bring about a change in
the behavioural aspects of the organization then he must focus on changing the situation that
influences it.
The contingency approach is different from the system approach in the sense that it
leads to recognition of the fact that the organizational system acts as the product of
interaction of the environment and the sub systems. In addition, the approach seeks in
identifying the exact character of the inter relationships and inter actions (Stock, Six and
Zacharias 2013). Thus, the contingency approach leads to the identification of the external
and the internal variables that helps in critically influencing the organizational performance
and the managerial revolution. This approach stresses on the fact that there does not exist any
ideal means of doing things. Management refers to the situation and managers should align
objectives, prepare strategies and design organizations in accordance to the prevailing
circumstances. The approach also provides an insight to the fact managerial policies must
adjust with the environmental changes to become effective. Further, the approach also puts
forward in improving in the diagnostic skills for anticipating the environmental changes
The contingency approach helps in designing of the organization, developing the
communication and information, following the appropriate leadership approaches and the
preparation of the suitable policies, strategies, objectives, practices and programmes (Miner
2015).

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Task 4
Charles Handy’s Cultural Framework and Its Relevance to Organizational Culture
The four types of culture followed by the organization as per Handy’s Cultural
Framework include (Hays 2016):
Power Culture: In this of culture, the subordinates do not have an option but to
strictly follow the instructions of the superiors. The employees do not possess the liberty of
expressing their views or sharing ideas on open forum and follow the instruction of the
supervisor. The managers belonging to such kind of culture can act partial towards someone
that might be a reason for unrest amongst the others.
Task Culture: In this culture, there are close to four or five members in each of the
team. This is a culture where each member needs to have equal contribution in accomplishing
a task in the most innovative manner.
Person Culture: The organization with this type of culture eventually suffers. This is
because here the employees develop no attachment towards the office and only works for the
sake of money. They hardly remain loyal towards the management and take a decision in
support of the organization.
Role Culture: In this type of culture, each individual remains accountable for some
activity and takes ownership of the assigned work. In such type of culture, power comes to
visibility with responsibility.
Kings Digital Entertainment Limited follows a power culture where only few
individuals spread across the organization is responsible for determining its success holds the
power, for determining its success. There exist few rules and regulations in the company as it
follows a power culture. Here the employees remain judged by their achievement instead of

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their way of doing things. The quick decision making process in this culture drives an
organization towards its success. The decisions in this type of culture are taken irrespective of
the interest of the organization (Berkenkotter and Huckin 2016). This type of culture portrays
a stronger culture that can quite easily turn toxic.
Task 5
Two Innovative Strategic Management Objectives of the Company
Innovative strategic management refers to the objectives that help in determining a
company’s competitive advantage. Two innovative strategic management objectives of King
Digital Entertainment Limited include (Wheelen et al. 2017):
1. Inspiring people through creation of value since King Digital Entertainment Ltd
represents the one of the most successful social game developing company for mobile
devices. Presently the company boosts of having three amongst the top ten available games
on the App store with 356 million users monthly and a profit of $1 billion.
2. Providing direction to the company in becoming a winner through offering games
like Bubble Witch, Candy Crush, Pet Rescue and Candy Crush that have synchronization
across various platforms thereby portraying the idea of the bite-sized entertainment.
SWOT Analysis
Strengths
 Possession of a dedicated fan base
 Holding a position in global market
 Acting as leader in response to the
demands of the customer
Weakness
 Lack of innovation in relation to
current internet protocol
 Narrowing of the competitive base
 Having prolonged release window

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 Using discrete campaigns for
focusing solely on research and
development
 Extreme popularity of the games
like Candy Crush Saga
for achieving newer titles and
further expansion
 For determining the growth,
increased dependence on other
brands
 Existence of streamlined market
with nearly 75 percent of revenue
from the mobile channels
 Increased stagnancy in the sales
taking place globally
Opportunities
 Enhancement in the uptake of
online and mobile gaming
 Expansions in the various mediums
for the purpose of entertainment
 Developments taking place in the
gaming and mobile facilities
 Initiation of the means of pay games
available through mobile
 Getting hold of the smaller and
popular internet protocol
Threats
 Change in demand of the customers
for newer games
 Presence of other competitors who
adopts the blending of different
genre of games
 Prevalence of illegal, pirated and
private servers

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Conclusion:
The report ends by highlighting the strategic management objectives through the
SWOT framework. The report also puts forward discussion on the cultural aspect of the
company based on Handy’s cultural framework. The report also discusses how the
contingency approach improves the functionality of the company. There is also discussion
about the organization along with a brief introduction of King Digital Entertainment Ltd. The
company offers games for mobile devices. One of the most successful amongst them is the
Candy Crush with embedding of special features for enhancing the experience of the players.
The company also has a passionate culture based on the humility, respect and collaboration.

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References:
Ashkenas, R., Ulrich, D., Jick, T. and Kerr, S., 2015. The boundaryless organization:
Breaking the chains of organizational structure. John Wiley & Sons.
Berkenkotter, C. and Huckin, T.N., 2016. Genre knowledge in disciplinary communication:
Cognition/culture/power. Routledge.
Camison, C. and Villar A., 2014. Organizational innovation as an enabler of technological
innovation capabilities and firm performance. Journal of business research, 67(1), pp.2891-
2902.
Hays, P.A., 2016. Addressing cultural complexities in practice: Assessment, diagnosis, and
therapy. APA Books.
king.com 2018. [online] Available at: https://discover.king.com/about/ [Accessed 30 Jun.
2018].
king.com 2018. [online] Available at: https://discover.king.com/press_releases/king-gives-
social-casino-gaming-royal-treatment/ [Accessed 30 Jun. 2018].
Miner, J.B., 2015. Organizational behavior 1: Essential theories of motivation and
leadership. Routledge.
Stock, R.M., Six, B. and Zacharias, N.A., 2013. Linking multiple layers of innovation-
oriented corporate culture, product program innovativeness, and business performance: A
contingency approach. Journal of the Academy of Marketing Science, 41(3), pp.283-299.
Tran, Q. and Tian, Y., 2013. Organizational structure: Influencing factors and impact on a
firm. American Journal of Industrial and Business Management, 3(2), p.229.

12MANAGEMENT AND ORGANIZATIONS
Wheelen, T.L., Hunger, J.D., Hoffman, A.N. and Bamford, C.E., 2017. Strategic
management and business policy. pearson.
Wu, T., Wu, Y.C.J., Chen, Y.J. and Goh, M., 2014. Aligning supply chain strategy with
corporate environmental strategy: A contingency approach. International Journal of
Production Economics, 147, pp.220-229.