Reference no: EM132957707
Strategic HR Integration at The Walt Disney Company
With its corporate headquarters located in California, The Walt Disney Company is one of the largest media and entertainment companies in the world. Founded on 16 October 1923 by brothers Walt and Roy Disney as a small animation studio, the company today boasts of having one of the largest Hollywood studios and owns theme parks and several television networks. It currently has over 150,000 employees working over 40 countries to make the company a success. From small beginnings as a cartoon studio, the company continues to provide quality entertainment around the world. The company strives to create an optimal employee experience while meeting its business needs. Its human resource is key to its strategic advantage. The company is committed to developing an inclusive and employee-friendly workplace. Disney's values focus on the human element of their business-not only their guests, consumers, and audiences, but also their employees and cast and crew members. The company has a conscious process of linking HRM with strategic goals and objectives in order to improve business performance and foster innovation. Issues such as the recruitment of staff, development, succession planning, and retention are accommodated in HR plans. The company's priority is to strategize on how they are managing their human resources in the current global environment. This requires adapting HR plans to meet the strategic goal of global expansion and excellence. Integrating and aligning different teams and departments is a key part of this strategy. At Disney, managing cross-cultural adaptability is an important HR imperative. HR policies are aimed at supporting and building the desired organizational culture. The company has a unique ability to harness the imagination in a way that inspires others, improves lives across the world, and brings hope and smiles to everyone. Together as one team, employees embrace the values that make the company an extraordinary place to work. The hallmarks of this culture are commitment to a tradition of innovation and focus on quality and a high standard of excellence. These values live in everything that is done. They create a unified mission that all the people believe in and work towards. The company considers its employees and cast members as the most valuable part of the organization. The motto is simple-everyone is important. It is based on the idea put up succinctly in the acronym RAVE that stands for 'Respect, Appreciate, and Value Everyone'. The company offers a comprehensive total rewards package that helps one to get rewarded for the results they deliver. The rewards of working at Disney include an attractive salary, incentive and special recognition programmes, employee stock option plans (ESOPs), retirement and financial benefits, complimentary theme park admissions, transport assistance, and so on. The health and wellness benefits include various medical benefits, Disney Health Pursuits Wellness Resources, employee assistance programme (EAP), dental and vision care, dependent day care, insurance, time-offs, paid holidays, and vacations. Their world-class training programmes are customizable to suit individual's goals. The Walt Disney Company promotes a learning environment that encourages everyone, no matter what their role, to increase their engagement and assist them in reaching their goals.
Contribution of HRM strategy in achieving objectives
At Disney, employees are aware of the fact that innovation is their primary mandate. The company has adopted the phrase 'Dream as a team', which works really well in achieving its business objectives. The company has regular brainstorming sessions among employees where new and innovative ideas are developed for future growth of the business. Strategic decision-making, thus, is not done by the top echelons. It flows from below. And this is what makes Disney a truly participative organization. 'Innovative', 'creative', and 'profitable' are the key words of their mission statement. Employees are clear and aware of their roles and how they can contribute to the strategic objectives. They employees are made well equipped with the technical, professional, and managerial skills needed for making that contribution. HR planning is done to ensure that it has the right personnel, who are capable of completing those tasks that help the organization to reach its objectives. Development of new theme parks and animation studios makes manpower forecasting and planning a very vital function. Attracting and retaining the right people who will help foster innovation, creativity, and profitability is an essential part of the HR plan. The Walt Disney Company incorporates best-in-class business standards as well as strong HR practices. Disney's workplace policies and practices include commitment to nondiscrimination and freedom from workplace harassment. Considering the varied cultural contexts in which Disney operates, training and socializing employees to be more receptive of the cultural nuances is very important.
Disney's future
n today's business context, the right approach and management of the company's employees can greatly affect its overall performance. A strategic approach to managing its HR is vital to its growth. Aligning HR strategy with business strategy and operational strategy is key to their future growth. A sound and efficient HR plan will contribute to achieving the organizational objectives in an effective manner. At Disney, strategically aligned culture and HRM policies play a vital role. Despite its innovative people-related initiatives, the company has faced several HR problems. There have been serious industrial relations (IR) issues from time to time relating to formation of unions, which the company has been discouraging. Disney also has been grappling with a high employee turnover rate. Further, increases in costs of pension and postretirement benefits have inflated the HR budget for Disney.
Having a diverse workforce is critical to the business. The Walt Disney Company seeks to work towards an inclusive environment that fosters diversity, creativity, innovation, and camaraderie. However, there have been problems in handling this culturally diverse workforce. There have been instances of ethnic conflicts in the company. Some employees have refused to participate in certain entertainment programmes because they felt it contradicted their cultural or religious beliefs. There were also issues related to the hiring of expatriates since the locals felt that the foreign hires were taking away their jobs. A toplevel manager says, 'Our people make our films great, and we strive to build a culture that feeds and respects their spirit.' The challenge is how to sustain that spirit.
Question
- What are the impending concerns for the company and how can it cope up with the challenges discussed in the end?