Sony in Reinvention
Sony Overhaul
Introduction:
This paper will analyze how Sony is struggling to reinvent itself in the market by transforming its corporate culture, cutting costs and introducing new product lines in its ailing electronics division.
Recommendation.
Corporate culture needs to be cohesive and organic: The corporate culture at Sony is bureaucratic and the job for life mentality has created Empire building in departments. Each department or unit looks to gain control over key projects and ignores the company well being as a whole, Sony eventually suffered leading to a loss of $1 billion for the year ending in March. 2009. This culture needs to be changed to be more constructive and the communication within the departments needs to be improved. Cross functional teams across departments and units need to be created to overcome this silo effect in the organization. A corporate culture that values innovation needs to be developed for employees to come up with new product ideas that can give back its competitive edge in the consumer electronics division. The vertical chain of command should not be adhered to and it should be organic promoting horizontal communication to foster ideas within employees.
New Leadership to create buy in from the employees: Sir Howard Stringer who took over as the CEO of sony in 2005 is the only American CEO sony has ever had since its inception, even though he has a team of 4 musketeers in their late 40’s and 50’s helping him in his transformation in addition to a Chief Transformation officer that Sir Howard Stringer hired, the 4 musketeers that Sir Howard Stringer hired were originally overseeing some departments and Stringer broadened their responsibilities. While that is not totally a wrong approach, Stringer might have hired 2 of his transformation people like that and 2 withint he organization who were young superstars, this would create more diversified thinking. Groups of employees with a head should be created to listen to
Introduction:
This paper will analyze how Sony is struggling to reinvent itself in the market by transforming its corporate culture, cutting costs and introducing new product lines in its ailing electronics division.
Recommendation.
Corporate culture needs to be cohesive and organic: The corporate culture at Sony is bureaucratic and the job for life mentality has created Empire building in departments. Each department or unit looks to gain control over key projects and ignores the company well being as a whole, Sony eventually suffered leading to a loss of $1 billion for the year ending in March. 2009. This culture needs to be changed to be more constructive and the communication within the departments needs to be improved. Cross functional teams across departments and units need to be created to overcome this silo effect in the organization. A corporate culture that values innovation needs to be developed for employees to come up with new product ideas that can give back its competitive edge in the consumer electronics division. The vertical chain of command should not be adhered to and it should be organic promoting horizontal communication to foster ideas within employees.
New Leadership to create buy in from the employees: Sir Howard Stringer who took over as the CEO of sony in 2005 is the only American CEO sony has ever had since its inception, even though he has a team of 4 musketeers in their late 40’s and 50’s helping him in his transformation in addition to a Chief Transformation officer that Sir Howard Stringer hired, the 4 musketeers that Sir Howard Stringer hired were originally overseeing some departments and Stringer broadened their responsibilities. While that is not totally a wrong approach, Stringer might have hired 2 of his transformation people like that and 2 withint he organization who were young superstars, this would create more diversified thinking. Groups of employees with a head should be created to listen to