Analysis of Mattel's Core Issues: Quality and Digital Adaptation

This report examines the core issue faced by Mattel, focusing on quality management and the impact of digital advancements. The analysis highlights that Mattel struggles to innovate and adapt to the changing landscape of the toy industry, particularly due to the rise of digital gaming. The report indicates that lower quality management has affected productivity and brand reputation. It also notes that Mattel must address its lack of sustainable materials and a skilled workforce. Furthermore, it emphasizes the need for Mattel to improve its digital media offerings to engage consumers and to identify quality-related issues in its products. The report concludes that addressing these quality issues and embracing digital transformation is essential for Mattel's sustainability in the international markets, and the company should consider using innovation and recruiting skilled workers to bring changes in the business.

Running head: CORE ISSUE OF MATTEL
CORE ISSUE OF MATTEL
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1CORE ISSUE OF MATTEL
Alternative solution #2
The issue that is faced by the organization, Mattel, is based on the quality management of
the same, which has resulted to the lower rates of innovation in the systems to cope up with the
digital advancements of the era. The emergence of digitalization has changed the concept of
gaming and this has affected the productivity of the organization while operating in the
international markets (Forrest and Cao 2013). The lower quality management of the
organization has affected the productivity of the business in the market. Reports portrayed that
the company has taken steps to improve the quality of the toys that they are marketing to the
international markets. The major issues that are faced by the organization are based on the lack
of usage of sustainable material and skilled workforce. It has not only affected the productivity
of the organization but also the goodwill of the same.
On the other hand, digitalization posed a serious threat to the sustenance of the
organization in the market. The enumeration of the digital gaming zones has affected the
products that are manufactured by the organization as per the analysis of the needs of the
children in the market (Mangematin, Sapsed and Schüßler 2014). There are reports, which
portrayed the diminishing rate of demand for the Barbie dolls that are manufactured by the
organization. The percentage of the fall in demand for the commodity was accounted to be 1.7%
of the net sales. The emergence of the digital technology has affected the functioning of the
organization while coping up with the expectations of the consumers (Zhang and Xia 2013).
Quality management is one of the major steps that the organization is required to
undertake to support their sustainability in the international markets. The utilization of favorable
innovations and the recruitment of skilled workforce might help the organization in bringing in

2CORE ISSUE OF MATTEL
changes in the situation of the business. The business must focus on improving their digital
media games to involve the interests of the buyers. On the other hand, the company must take
steps to bring in changes in the system through the proper identification of the quality related
issues in the toys that are manufactured by them. It will be helping the organization to bring in
changes in the systems of the business that is undertaken by them (Narasimhan and Schoenherr
2012). The identification of the needs of the organization helps in the enumeration of the
different possible outcomes that might help to formulate strategies to cope up with the different
risk factors that are faced by the same.
Therefore, from the above discussion it can be stated that the identification of the quality
related issues will be helping Mattel to bring in changes in the market situation. The key issues
that are faced by the organization is based on the advancement of the digital games and the
manner in which their toys are outdated in the market. The sustainability of the organization is
assured through the changes in the systems and the functions of the same.

3CORE ISSUE OF MATTEL
References
Forrest, E. and Cao, Y., 2013. Digital Additive Manufacturing: A Paradigm Shift in the
Production Process and Its Socio-economic Impacts. Engineering Management Research, 2(2),
p.66.
Mangematin, V., Sapsed, J. and Schüßler, E., 2014. Disassembly and reassembly: An
introduction to the Special Issue on digital technology and creative industries.
Narasimhan, R. and Schoenherr, T., 2012. The effects of integrated supply management practices
and environmental management practices on relative competitive quality
advantage. International Journal of Production Research, 50(4), pp.1185-1201.
Zhang, G.P. and Xia, Y., 2013. Does quality still pay? A reexamination of the relationship
between effective quality management and firm performance. Production and Operations
Management, 22(1), pp.120-136.