Sony is famous the world over for its Walkman music player, PlayStation game console, TVs, and other electronic gadgets. Unfortunately, success rarely lasts forever: From 2000 to 2003, SonyÃ¢â‚¬â„¢s hot-under-the collar shareholders watched the value of their shares drop from $150 to $25. It was enough to force some major changes at the company.
In 2005, Howard Stringer became the first non-Japanese head of the company in its history and one of the few to ever lead any major Japanese company. Stringer was born in Wales (UK) in 1942 but moved to the United States in 1965. He joined Sony in 1997 as the head of Sony America, turning around the performance in that unit by establishing higher levels of integration and cooperation across its electronics, game, and entertainment units.
However, after taking over as CEO of the global enterprise, Stringer determined that SonyÃ¢â‚¬â„¢s problems were both broad and deep. It was facing mounting financial losses and increasing pressure from relatively new products, such as SamsungÃ¢â‚¬â„¢s LCD and plasma televisions and AppleÃ¢â‚¬â„¢s category killer- iPod. To compete, Stringer decided Sony had to streamline its business into five groups focusing more on electronics, televisions, digital imaging, DVD recorders, and portable audio. That would entail closing 11 plants and laying off 10,000 employees.
The cost of the restructuring? An estimated $1.8 billion. Because of the changes, Sony reported that it expected to incur a financial loss of about $90 million on sales of about $65.1 billion in 2005. Previously it had been expected to post a profit of $90million. Some people inside and outside Sony were sceptical of the change because past efforts to transform the company had failed. Ã¢â‚¬Å“We have made promises before, but we failed to execute themÃ¢â‚¬ Stringer said.
Stringer was determined to make change a success. A key part of the initiative involved giving SonyÃ¢â‚¬â„¢s Electronics division central decision making authority over key areas. Previously each unit had its own planning, human resources, finance, and sales functions and operated with considerable autonomy. Stringer believed the new structure would streamline and speed up decision making across SonyÃ¢â‚¬â„¢s product lines. It would also permit uniform software development across the lines so SonyÃ¢â‚¬â„¢s products would operate seamlessly with one another. This would, of course, also eliminate design and product redundancies and optimize the firmÃ¢â‚¬â„¢s Research and Development spending.
Stringer also hoped the change in structure would help change SonyÃ¢â‚¬â„¢s corporate culture. Sony had a tradition of engineering the best products. This approach had worked wonders for years. However, the development of AppleÃ¢â‚¬â„¢s iPod highlighted the fact that consumers were not just interested in technical superiority but the easy use of products. And some of SonyÃ¢â‚¬â„¢s products had become too complicated for customers to operate.
The change plan also affected specific technologies. For example, Sony executives declared that television was of the utmost importance to the company. The firm would scrap the production of cathode ray tube (CRT) television sets and focus on
LCD and rear-projection TVs and technology. Furthermore, Sony would focus on self-luminous flat Ã¢â‚¬â€œpanel organic light-emitting diode (OLED) displays, on high-definition technology, Blu-ray, and mobile technologies.
Ã¢â‚¬Å“Our target is for the Sony Group to achieve consolidated sales of over 8 trillion yen and operating profit margin of 5 percent (Electronics 4%) by the end of fiscal year 2007Ã¢â‚¬ said Mr Stringer. (Sony, 2006)
Answer the following questions:
1. Ã¢â‚¬Å“Change is the only constant Ã¢â‚¬Å“
Evaluate the different types of change that have occurred in Sony?
2. Analyse the internal and external forces that have created the need for change in Sony.
3. You have been appointed by Sony as a consultant on change management. Advise Sony on how they could implement the change by applying the various theories of change you have learnt.
4. Evaluate the likely sources of resistance that could occur in Sony and how you would deal with it as a manager.
Description of Assessment Requirements:-
1. Assignments will be graded on the basis of research done, analysis of the facts collated, stand taken and the justification of the stand.
2. All research must be referenced using the APA style of referencing both in-text and a Reference and Bibliography list attached. Improper or lack of either of these constitutes plagiarism.
3. Students found copying from other students will also be charged with collusion.
Module Learning Outcomes to be Assessed:-
1. Understand the key concepts, theories and practices which underpin the practice of management and the role of the manager in contemporary business organisations
2. Comprehend the complexity of management roles and functions and the diversity of management focus within modern organisations
3. Evaluate, describe and discuss the key concepts, approaches and skills which are necessary for the modern manager in contemporary organisations and cultures
ORDER THIS ESSAY HERE NOW AND GET A DISCOUNT !!!
Our Service Charter
Excellent Quality / 100% Plagiarism-FreeWe employ a number of measures to ensure top quality essays. The papers go through a system of quality control prior to delivery. We run plagiarism checks on each paper to ensure that they will be 100% plagiarism-free. So, only clean copies hit customers’ emails. We also never resell the papers completed by our writers. So, once it is checked using a plagiarism checker, the paper will be unique. Speaking of the academic writing standards, we will stick to the assignment brief given by the customer and assign the perfect writer. By saying “the perfect writer” we mean the one having an academic degree in the customer’s study field and positive feedback from other customers.
Free RevisionsWe keep the quality bar of all papers high. But in case you need some extra brilliance to the paper, here’s what to do. First of all, you can choose a top writer. It means that we will assign an expert with a degree in your subject. And secondly, you can rely on our editing services. Our editors will revise your papers, checking whether or not they comply with high standards of academic writing. In addition, editing entails adjusting content if it’s off the topic, adding more sources, refining the language style, and making sure the referencing style is followed.
Confidentiality / 100% No DisclosureWe make sure that clients’ personal data remains confidential and is not exploited for any purposes beyond those related to our services. We only ask you to provide us with the information that is required to produce the paper according to your writing needs. Please note that the payment info is protected as well. Feel free to refer to the support team for more information about our payment methods. The fact that you used our service is kept secret due to the advanced security standards. So, you can be sure that no one will find out that you got a paper from our writing service.
Money Back GuaranteeIf the writer doesn’t address all the questions on your assignment brief or the delivered paper appears to be off the topic, you can ask for a refund. Or, if it is applicable, you can opt in for free revision within 14-30 days, depending on your paper’s length. The revision or refund request should be sent within 14 days after delivery. The customer gets 100% money-back in case they haven't downloaded the paper. All approved refunds will be returned to the customer’s credit card or Bonus Balance in a form of store credit. Take a note that we will send an extra compensation if the customers goes with a store credit.
24/7 Customer SupportWe have a support team working 24/7 ready to give your issue concerning the order their immediate attention. If you have any questions about the ordering process, communication with the writer, payment options, feel free to join live chat. Be sure to get a fast response. They can also give you the exact price quote, taking into account the timing, desired academic level of the paper, and the number of pages.