Analysis of Disney's Employee Motivation, Leadership and Structure

This report provides a comprehensive analysis of The Walt Disney Company, focusing on its employee motivation strategies, leadership styles, and organisational structure. The report begins by critically discussing Disney's approach to employee motivation, exploring the application of models such as Maslow's hierarchy of needs and Hertzberg's two-factor theory, and examining the use of reward programs, communication strategies, and recognition programs. The report then evaluates Bob Iger's transformational leadership style, justifying its appropriateness and exploring the potential benefits and drawbacks of this approach. Finally, the report investigates and analyzes how Disney's organizational structure contributes to its overall success, providing insights into how the company fosters a motivated and engaged workforce. The report concludes with a summary of the key findings and offers recommendations for the future.

Leading Business
Organisations

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
1. Critically discussing the way Disney motivates its employees using models and theories.....1
2. Critically evaluating Bob Igner’s leadership style and justifying the one that is the most
appropriate at this time................................................................................................................3
3. Investigating and analysing the way in which Disney’s organisational structure contributes
to its success................................................................................................................................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
1. Critically discussing the way Disney motivates its employees using models and theories
The employee motivation is very important for the success and growth of the
organization it is because workforce which are highly motivated tend to contribute towards the
success of the business in a more effective manner. However, businesses uses several approach
to understand the need or requirement of the workforce and then accordingly offer them
motivation so as to ensure their contribution towards the success of the business. According to
the case scenario, Disney ensure to include the personnel under the decision making procedure
and provide them opportunities to share their views (Lăzăroiu, 2015). This aids to boost their
morale and ensure their retention for longer time span. However, the feeling of involvement
enable employees to stay connected with the business and put their efforts in a more effective
manner. Further, appropriate mode of communication is very important for the organization to
stay connected with workforce and provide them timely information. For example, Disney opt
strategies such as bulletin boards, newsletter and update briefing in order to keep the employees
update regarding the current practices and new aspects of the business (Disney Training: The
Magic in Disneyworld’s Way of Motivating Their People, 2017).
In addition to this, reward programs are implemented by the corporation so as to make
the personnel highly satisfied. For this purpose, both monetary and non-monetary kind of
rewards are provided to personnel. It leads to cater their requirement effectively and generate
positive attitude among them. Not only this but serving employees in such as manner aids to
create the competitive edge of the Disney. Apart from this, employee turnover is reduced and the
turnover of the firm increased due to inclusion of highly satisfied. Moreover, recognition
program are provided for the workforce under which their success can be celebrated in the
marketplace. It enables to meet the expectations of stakeholders in an effectual manner as
workforce get highly involved under the operation of the business. Apart from this, ceremonies
are organized for the rewarding the employees and accordingly their morale is boosted so as to
determine their cooperation towards the success of the business as Disney (Porter, Riesenmy and
Fields, 2016).
Maslow's need hierarchy
For this purpose, Maslow's need hierarchy can be applied by the corporation which
divides the need of the personnel under the 5 sections. The first level of model covers the
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physiological needs under which requirement related to shelter, water and food are considered.
For this purpose, Disney ensures that these basic needs are fulfilled effectively met. The second
need is related to safety wherein company provide the personal as well as financial security for
the workforce in term of health insurance etc. At the fulfillment of second level need, workforce
feel the requirement for love and belongingness so as to interact with personnel at workplace.
This in turn they feel happy to get the proper work environment and contribute their best towards
achieving the long as well as short term objectives. Furthermore, esteem is considered as the
forth level of need through which workforce want to move forward and show their caliber to
create their goodwill. Apart from this, last level of need reflects of self-actualization which is
fulfilled by using promotional activities. It proves to be effective for creating positive attitude
among personnel and determine the success of corporation like Disney. In addition to this,
motivation theory must be applied at workplace as per the clear communication and
understanding the requirement of personnel. It enables employees to focus on their goals and
contribute in the process of creating the competitive edge of the business.
Hertzberg’s Two-Factor Theory
Hertzberg's two factor theory shed light on two aspects such as motivator and hygiene
factor where the former one contribute towards the satisfaction of employees and increase their
attention towards the work. On the other hand, hygiene factors consists of company policies,
incentive, salary and better relationship with colleagues. According to Devito and et. al., (2016)
better work condition, involvement of workforce and their proper appreciation enable
management to determine the greater level of motivation among personnel. This is helpful for
corporation to achieve the greater level of success. It shows that companies like Disney ensure to
have both hygiene and motivator factor to retention of employees and increase their efficiency
for growth and development of the business. For this purpose, businesses shed light on presence
of the satisfactory factors and for the same working conditions are improved for providing the
comfort zone of the employees. On a critical note, Graves, Sarkis and Zhu (2013) explained that
involvement of personnel in the decision making procedure and focusing upon their continuous
learning are two approaches used by the business. This is more useful for deriving the valid
outcome for the business and ensuring its expansion at the large marketplace. However, the
importance of clear communication leads to derive the greater level of motivation among
personnel.
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According to Mikkelsen, Jacobsen and Andersen (2015) several techniques are applied
for the motivation of workforce such as job enlargement and job enrichment as well as job
rotation. For this purpose, job enrichment facilitates to ensure better control of the personnel for
their allotted task which aids to develop feeling of achievement among them. On the other hand,
job rotation make it possible for personnel to become multitasking as they are moved from one to
another job. It leads to determine the wellbeing of company. On a critical note, frequent change
in the job might become the reason the dissatisfaction among workforce. Moreover, the job
enlargement is done by extensive the responsibilities of employees. Such kind of approaches are
applied under Disney so as to provide the comfortable zone for the personnel whereby they are
allotted to communicate with their higher authorities effectively.
Kim and Scullion (2013) argued that workplace motivation can be offered by offering
both monetary and non-monetary reward under which personnel are motivated to work in a
better manner on the basis of set objectives. For example, they are provided basic amenities to
accomplish their task on right time as per the set objectives. Furthermore, case study of the
Disney is shows transformation leadership of CEO which made the employees over-confident.
Owing to this, use of democratic leadership style was followed for better integration of
employees and making them more focused. Owing to this, companies shed light on better
controlling and supervision aspects also through which people can be motivated and become
more focused towards their task (Motivation in the workplace to improve the employee
performance, 2014). For example, autocratic leader might disappoint employees by neglecting
the views and suggestions provided by them. Such kind of situation become difficult for the
organization and employee turnover increased. Hence, such kind of situation is managed through
which implementation of suitable leadership style. In this manner, several aspects are considered
for the purpose motivating employees and providing them higher level of satisfaction effectively.
It leads to cater requirement of all related parties and support business to determine the long run
survival (Ashkenas, Ulrich, Jick and Kerr, 2015).
2. Critically evaluating Bob Igner’s leadership style and justifying the one that is the most
appropriate at this time
In accordance with the given case study of The Walt Disney Company, it can be inferred
that the CEO of firm has adopted transformational leadership style as he is the one who values
creativity and innovation at workplace. As Bob is handling a large corporation, he understands
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the value of team as well as organisational structure which leads the firm to run operations in a
smooth manner and attain the set targets in a successful manner. Bob is the person who goes
beyond managing day-to-day operations as he always make initiatives and crafts strategies in
such a way that his company, department or work team can be taken to the next level of
performance and success (Granovetter, 2010). The CEO of Disney has adopted transformational
leadership style can be justified by the information given in case study, that is, on the success of
plan made by seven team members, Bob has offered 100 shares of Disney stock along with 25
$1,000 bills and a hand-written note from Walt which was saying that “It’s fantastic. You’re
fantastic. Do it again.” This shows that he is highly concerned about his team and to keep them
motivated, he offered different rewards and incentives so as to keep their spirits high. As per the
transformational leadership style, major focus of the leader is on team-building, motivating
people and encouraging collaboration among employees at different levels and so as the motive
of Bob in the organisation so that change for the better can be accomplished. Being the
transformational leader, Bob has set different goals as well as provided incentives so that the
employees can be pushed to higher performance levels (Osterwalder and Pigneur, 2010). Along
with that, he provided many opportunities to them in order to develop and grow the employees in
terms of personally and professionally both.
However, it can be said that this leadership style is not effective in every kind of situation
as by getting incentives every time, employees expect to be rewarded in each successful
completion of the task. Also, many-a-times, they get over confident with getting incentives for
the performance every time that can hamper their quality of work. Thus, it can be said that
transformational leadership style proves to be very helpful in keeping the workforce motivated
and encouraging their ideas and innovation. But, to provide incentives every time is not possible
as well as it is also not necessary that contribution of all individuals will be equal. So, if one will
be rewarded and another would not, it may create conflicts at the workplace and there are
chances that some of them might get demotivated (Haeckel, 2013). Therefore, it can be critically
assessed that transformational leadership style is proving to be helpful for Disney but it is not
very effective in the long run. As per the case study, while getting success on the plan of “Magic
Kingdom Club” for the second time, team was again rewarded with 25 $1,000 bills, a car
(Ferrari) key and a handwritten note from Walt saying “It’s fantastic. You’re fantastic. Do it
again.” It has proved to be very helpful in increasing the morale of team and but company had to
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bear huge loss because of these rewards. It is because; the seventh, the lady who had given the
idea for calendar and clock, took her $50,000 and100 shares of Disney stock and then got into
her new Ferrari and drove away. It shows that the leadership style adopted by Bob ultimately
proved to be ineffective for the organisation and led to business to bear losses.
Therefore, from the case, it can be inferred that, if Bob will adopt the democratic
leadership style in the firm, it will be helpful for the organisation to gain better results. It is
because; in this leadership style, it is not essential to give the rewards and incentives to
employees as there are other ways too considered by this style of leading people by which
employees can be made highly motivated. Under this leadership style, Bob being the CEO of
Walt Disney Company has to involve people in the process decision making by the way of
inviting them in meetings and taking their participation in seminars and conferences
(Galaskiewicz, 2016). This will prove to be highly helpful in keeping the employees motivated
as well as to feel valued and recognized in the organisation. It will play a significant role in
improving their morale and efficiency towards work with which they will be able to render high
quality services. Democratic leadership style always make leader to respect the views, opinions
and thoughts of employees that helps in increasing the level of efficiency with which they
perform their tasks. By providing equal opportunities to all in the firm as per this leadership
style, Bob will be able to gain the major benefit of loyalty of employees and will become
successful to retain them in the long run. As per the given case study, when Walt has promoted
his brand spanking new MBA to vice president based on merit, it shocked the other team
members as according to them the decision was not fair (Haugh and Talwar, 2010). It is because;
Walt neither informed the employees of firm; nor it involved them in the decision and instead of
giving this position to some experienced or deserving candidate, he promoted that person on the
designation of vice president who is just an MBA. This decision might have resulted in making
other employees demotivated as well as unvalued because of which they might leave the firm.
Therefore, to keep all motivated and satisfied, it is important for the organisation to involve
employees in management decisions so that they would feel valued as well as if they will be
informed with the upcoming changes in firm, there will not be risk regarding their dissatisfaction
(Wilden and et. al., 2013).
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3. Investigating and analysing the way in which Disney’s organisational structure contributes to
its success
The Walt Disney Company is following divisional organisational structure as it is large
corporation which is having separate smaller organisations as well as firm is operating in a wide
geographic area within an umbrella group with an aim to cover the different types of products as
well as market areas. The major segments in which the firm is operating is making animated and
cartoon movies as well as amusement park where children can have fun and enjoy to the fullest.
This organisational structure is contributing high efforts in the success of company as the major
benefit associated with the same is that company’s needs can be met at a very fast pace under the
same. Along with that, in a very specific manner, targets can be achieved with which firm
reaches to its ultimate aim in an effectual manner (Fan, Wong and Zhang, 2013). As The Walt
Disney Company has adopted divisional organisational structure, it is proving to be highly
beneficial for the organisation to attain success in the market as with the same, firm is able to
operate in a smooth manner with which operations are being carried out at a fast pace as well as
with high coordination. However, there is one limitation associated with this organisational
structure, that is, communication is inhibited because employees in different divisions are not
working together. This is the reason; firm is required to improve the culture as well as structure
in such a way that every employee working in the organisation would be able to contact the
others whenever required for the purpose of work.
Apart from that, it can also be said that divisional structure of The Walt Disney Company
is costly because of its size and scope but that is not the matter of concern for organisation as it
can easily afford the same and having no issues as it is leading the firm able to attain targets ( Ali
and et.al., 2010). As per the given case study, it can be said that the present organisational
structure The Walt Disney Company is highly contributing in its success as divisions always
work well due to the reason that they have team which focuses on a single target and thus, it
leads them to perform their roles in more effectual manner as every individual in team has his
own set of skill, knowledge and abilities which gives perfection to the work done by them. As
this organisational structure provides the major benefit of team working, it is having a leadership
structure that plays a crucial role in supporting its major strategic objectives. It can be seen in the
case study as well that team of seven people did wonders which were not expected if they would
have done it individually and this is the reason; by their combined efforts, firm gained such a
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huge profits. Along with that, the fact cannot be ignored that having its own president or vice
president, the division gets benefitted in terms that it receives the resources it needs from
company (Doz and Kosonen, 2010). In addition to this, it can be also said that a division's focus
is always on creating a common culture and esprit de corps that proves to be highly helpful in
increasing the morale of employees with which they become able to render better and high
quality services to the firm.
However, it can be suggested to The Walt Disney Company for becoming successful that
it should manage the divisions in a well-managed way. Under this organisational structure, the
single most important determinant of success is executive leadership with which the firm attains
success in the market. Therefore, it is important for the organisation to focus on leadership style
that it will use the most suitable one depending on the situation as well as nature of business in
the current scenario so as to gain best results. It is very important for the top leaders The Walt
Disney Company to understand what each division is doing so that if any deviations are there in
the process being carried out, corrective measures can be taken on time. It is vital for the
organisation to provide leadership to the division chiefs regarding the way in which new strategic
directions can be accommodated in order to attain the set targets within stipulated time period
and in the most effective and efficient way (Granovetter, 2010). Apart from that, it can also be
suggested to the firm that executives working here should have a solid grasp on the use of
available resources so that they would not get wasted as well as maximum profits at low cost can
be achieved by the organisation. It proves to be highly beneficial for reducing the organizational
complexity and thus, it can be said that The Walt Disney Company is gaining huge benefits out
of the organisational structure it has applied in the firm.
The selected organization structure of the Disney is found as the most effective through
which company opt the suitable culture and workforce are communicated effectively. Here,
organization structure is defining the role of each workforce and assisting them to hosting the
events on right and accordingly accomplishing the basis purpose of the business. However,
workforce get the better span of control with the definition of suitable organization structure. For
this purpose, management of Disney adopted the division structure and accordingly function of
the company are described and communicated among personnel. It aids to make the workforce
informed regarding the schedule and targets effectively. However, the structure of an
organization is also helpful to assess the performance of employees (Camisón and Villar-López,
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2014). It is because roles and responsibilities of personnel are defined in the right manner which
leads to save the time and utilize the limited resources of the organization in the right manner.
In addition to this, application of division organization structure make it possible
management of Disney to understand the wrong practice, if any. Accordingly solution can be
provided with the adoption of suitable strategies. However, the firm is operating the very flexible
work environment wherein workforce can easily interact with their supervisor (Hill, 2017). Not
only this; but they can also provide the information related to innovative practices regarding their
own division. It proves to be effective for meeting basic need of the business and completing the
respective task of each unit working in Disney. Moreover, the reporting relationship has also
been determined effectively by adopting the suitable organization structure. It aids to resolve the
conflicts occur in team and ensure the better integration among workforce for accomplishing the
set common objectives (Kim and Scullion, 2013).
CONCLUSION
The aforementioned report concludes that employee’s motivation is very helpful for
success of the business. It is made possible through offering varied kind of rewards such as
monetary and non-monetary. Furthermore, application of reward is based on the requirement of
personnel and their need. Owing to this, suitable leadership style is adopted by the organization
whereby views of the personnel can be understood and accordingly they can be provided reward.
It can also be concluded that, transformation leadership style adopted by the CEO of Disney
proved to be less effective for the success of the business. At this juncture, introduction of
leadership style as democratic is found as the most effective under which workforce are provided
proper guidelines. Apart from this, divisional structure is adopted by the business for handling
the work of different small units of the business. Therefore, suitable leadership style,
organization structural and motivation techniques create the leasing position of the business.
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