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University of Bohol February 2, 2016

Total Quality Management Joyce Ann A, Cerezo


Francis Butal, Instructor Grade: ____
Book Summary: The Disney Way

SUMMARY
The Disney Way is a must read book! The book contains principles that are
totally essential not only in Walt Disney Company but also applicable to business
institutions that involves leadership organization, nurturing employees, long-term vision
and short term execution and the like. The book opens up ideas and principles that are
relevant and absolutely beneficial to the reader. In the book we will understand the
developmental programs at The Walt Disney Company and how it can help companies
achieve profitability and competitiveness in an increasingly volatile marketplace of the
21st century.
The Walt Disney Company or Disney was formed on October 16, 1923. It is the
world's largest brand in family entertainment. In the year 2011, the company operates in
over 40 countries, hiring 156,000 employees and cast members worldwide.
One of Disney's key responsibilities is to create a conducive, innovative and
competitive mass media environment that is pro-consumer and pro-business. To
support growth of the entertainment industry as well as to increase the bandwidth of
media and theatrical related activities throughout the world, Disney through the years
have been building and acquiring many large media and mass communications
companies to enhance the company's existential product and services.
The Walt Disney, being perceived as the driving force of growth for the family
entertainment industry, Disney provides creative products and innovative knowledge
capital aimed at maintaining and expanding its mass media presence worldwide. Disney
has five main business segments: Media Networks (television and internet operations),
Parks and Resorts (theme parks, holiday hotels and other traveling-relevant
establishments), Studio Entertainment (Disney studio, soundtrack recording and
theatrical & visual divisions), Consumer Products (play toys, Disney brand clothing and
merchandises) and Interactive Media (Disney's varied websites, video games and
online entertainment).
These five subsidiaries have equally contributed to Walt Disney's vision to build
the "Most Magical Place on Earth"; thus compelling Disney to sustain its top talents in
an increasingly competitive business environment. Disney has adopted certain strategic
measures in building a prominent, prevailing and comprehensive company. In addition,
the authors also seeks to share Disney's valuable insights; internal dynamics,
knowledge and experiences; to help other businesses advance a valuable workforce
within its organization.

The 4 Core Concepts of Walt Disney


As a progressive organization that nurtures and develops its people, Disney
provides a challenging; yet, enjoyable working environment for its employee's to grow,
both personally and professionally. In this book we find the four core concepts that form
the key essence to Disney's organizational culture, they are: 1) Dream, 2) Believe, 3)
Do and 4) Dare. Alongside of these four core concepts comes the 10 Management
Principles of Disney which encompasses the four core concepts.

A. Dream
The first core concept at Disney is Dream. Disney believes in providing its
employees with the opportunity to dream. In order to cultivate his employee's
imaginative faculties, Disney took his cast members on excursion trips, where a creative
environment is presented for his team to brainstorm and innovate. This concept was
implemented to employees at all levels of the organization; thereby created a positive
impact on his employee's career experiences, attitudes and expectations. Having
diverse sets of ideas from bottom to top management also enables Disney to have such
flexibility in thought which is key in remaining competitive in the marketplace. Also,
Disney was able to rely on its management team's internal knowledge and experiences
to further contribute to Disney's strategic objectives.
1. Make Everyone's Dreams Come True
The Disney principle Make Everyone's Dreams Come True highlights the
importance of fostering participation; where the organization can come together as a
collective whole, to work as one, towards yielding outstanding contributions for Disney.
In the past, Walt Disney used to communicate his visions in a highly detailed-
oriented and inspiring manner. For instance, he insisted on the castle at Disney Theme
Park to be built first before anything else, so that the standing physical structure can
powerfully stimulate the feelings of excitement and commitment needed to materialize
the vision. Walt Disney thereby formed a highly creative working environment in which
employees can perform their best.
Due to this reason, Disney employees can also anticipate a period of career
growth opportunities and promotions as a result of Disney's large scale undertakings; as
new projects would require employees to demonstrate new skills and competencies.

B. Believe
Disney's Believe concept is anchored on twin principles of being committed to
personal beliefs and sharing personal values with everyone in the organization. As a
result of the Believe concept, Disney was able to build an all-inclusive organization
where employees feel treasured, valued and empowered. This played a pivotal role in
reducing employee turnover, while at the same time increased employee's engagement
towards Disney and its customers.

2. You better believe it.


The Disney principle "You Better Believe It" ties in closely to the importance in
ensuring that employees understood the company's formal expectations and objectives;
so that they can engage in the right beliefs and attitudes needed to advance the
interests of Disney.
For instance, Walt Disney wanted all employees to display courtesy to its
customers. Even employees in the lower ranks of the organization such as security
officers, had to abide to the courtesy code of conduct. Even when the cost of training
the officers was more expensive than outsourcing the job, Disney viewed it as a
compulsory policy; in order to ensure that everyone displays courtesy. This resulted in
stronger brand equity for the Disney brand, as customers feel welcomed and treasured
when they visit Disney's theme parks and its other places of attraction.

3. Never a customer, Always a guest.


The Disney principle "Never A Customer, Always A Guest" illustrates Disney's
appreciation for its customer. It has always been a part of Disney's tradition to treat
customers as guest. Over the years, many of Disney's films and movies have been
observed to echo the theme of viewing customers as guest. For instance, in the 1991
picture film of "Beauty and The Beast", one of its best known songs was entitled "Be
Our Guest"; which coincides with the company's deep abiding philosophy to always
treat customers as guest. Due to Disney's immense efforts to inform customers that
they are the company's top priority; customers can thus expect to receive only the best
Customer Relationship Management (CRM) standards in the industry.

4. All for one, one for all.

Next, the Disney principle "All For One and One For All", addresses the power of
teamwork. To support growth, everyone within the Disney must assume equal
responsibility regardless of the individual's position within the company. Even then CEO,
Michael Eisner, had to make ground visits to front line employees at the Disney Theme
Parks to receive feedback. This non-discriminatory work ethic fosters trust, teamwork
and cohesiveness amongst all employees as any existing hierarchal structures within
the company was removed to facilitate a more transparent work environment, where

employees are motivated to give their best.

5. Share the spotlight.


The fifth Disney principle "Share the Spotlight" recognizes that through
harnessing partnerships, it can improve business productivity and competitiveness. This
illustrates that organizations can strengthen its existing capabilities through joint
partnerships to create a dynamic organization; that is a highly integral aspect in building
a sustainable global institution. Disney has since also partnered with other large
organizations such as DreamWorks Animation (DWA) and General Motors (GM); to
achieve and realize Disney's far-reaching corporate goals.

C. Dare: #3
The third core concept at Disney is Dare. In order to remain competitive, it is in
the first place necessary to have certain consideration for allowing employees to realize
the importance of making mistakes. Part of the Disney's success was hinged on Walt
Disney's "courage" in making mistakes. He was willing to take the risk; even if it might
end up becoming an unsuccessful venture.

However, it is important to note that despite Disney's risk taking persona, he held
a strong set of personal values which enabled the company manage risk. For instance,
newly proposed projects had to meet certain requirements before they can be
implemented. This helped the company cut back on the underlining disadvantage of risk
taking, placing the company in a much more favorable position to handle risk.

6. Dare to Dare.
The sixth Disney Principle "Dare To Dare" addresses the need for a company to
take calculated risks. Disney for instance took a calculated risk in disclosing more
confidential corporate information to employees holding lower-leveled positions in the
organization. Despite uncertainties, Walt Disney went ahead to keep all employees
equally well-informed; irregardless if one holds a senior position or a relatively low
ranked job.

D. Do: #4
The forth concept at the Disney is Do. In order to successfully nurture creativity,
Disney saw the importance in ensuring that its employees and also its most important
resource; received the best holistic training and development programs- where they are
able to make outstanding contributions to Disney's outlook.
Disney thus far strengthens its employee's competencies by adopting the
Performance Learning Cycle (PLC) framework in its HR training program, which
facilitates formalized learning channels through 4 crucial stages: (1) Training, by
empowering employees through acquisition of relevant skillsets; (2) Focused
Experiences, through up-scaling employees skillsets with role playing in an on-the-job
scenario under a supervised environment where these on-the-job experiences will
greatly develop employee's capabilities in meeting customer's actual needs; (3) Results,
via appraising employee in his/her effectiveness in meeting customer-centric standards;
(4) Recognition, by showing appreciation to incite intrinsic motivation needed to achieve
a desired outcome.

7. Practice, Practice, Practice.


The seventh Disney principle of "Practice, Practice, Practice" describes Disney's
commitment in providing abundant learning and developmental opportunities to its
employees. For instance, Disney provides a "refreshment" course for those employees
who have completed the mandatory Performance Learning Cycle (PLC) training track.
Under the reinforcement course; practicing, coaching and recognition programs
are implemented where employees are able to build on personal strengthens and
improve on their weaknesses so that they can reach a permanent level of competency.
Ultimately, this concept aims to put Disney employees on a continual quest for self-
improvement; where they can exhibit skills that would develop into invaluable assets for
the organization.

8. Make your elephant fly.


The eighth principle highlights the concept of "Make Your Elephant Fly" stresses
the need for managing creativity through planning and preparation. The Walt Disney
had a controlled management style when producing animated pictures. This suggest
that in reality, even a highly creative company like Disney required organizational
efforts; a focused set of guidelines and management tools to ground its creative
project's aspirations. Only with such high degree of meticulousness can the projects
produce accuracy that is much closer to its original visions.

9. Capture the magic with storyboards.


"Capturing the Magic with Storyboards" is the 9th principle which highlights the
effectiveness of using a creative technique called the storyboard method; in which a
structured exercise is formulated and to record the thoughts and ideas of a group of
participants. Today, many organizations use "storyboards" to promote better dialogue
and interaction between its employees. The technique also tends to highlight strong
likes and dislikes about a given subject that is captured on the storyboard. Hence, the
storyboard is able to clearly differentiate any irregularities which can be useful in
research studies or in the decision making process.

10. Give details top billing.


The tenth and final principle, "Give Details Top Billing", outlines the importance of
paying close attention to details. One key factor the authors note was Walt Disney's
steadfast pursuit for perfection. This perfection came through from Disney's tireless
attention to every detail. For instance, from the groundskeepers at the theme parks to
the number crunchers in the finance department, Walt Disney held them accountable for
doing whatever it takes to put on a good show for its customers.
Despite his tenacious search for excellence, Walt Disney recognized the need to
have a fine balance between his quest for perfection and the organization's bottom line;
otherwise details become unsustainable. Paying attention to small details also meant
working efficiently to ensure ever dollar is channeled to its most productive use.
APPLICATIONS TO TQM
Total Quality Management is described as a method of administration that aims
to improve the effectiveness, efficiency, flexibility and competitiveness of an enterprise.
It constitutes an attempt to move away from the erroneous perception that inspection
and control in order to detect and eradicate weaknesses can guarantee the provision of
high quality. There is a big relationship of what the Disney is all about with regards to
TQM. As far as Walt Disney is concern, their TQM is basically rooted on their four
mantras which are 1) Dream, 2) Believe, 3) Do and 4) Dare. And on these four core
concepts sprung up the 10 principles which maintains their companys credibility and
efficiency.
These words reverberate across the decades of Disney achievement. Everything
Walt did, every choice he made, every strategy he pursued, evolved from these four
principles. And as the bedrock upon which his life and work rested, they naturally
informed the basic values that dictated how he ran his company. Thus, the ways in
which the Walt Disney Company trained and empowered its employees, managed
creativity and innovation, and provided service to its customers were all influenced by
the four-pillared philosophy.
The Disney Way book in tells us a complex and multidimensional the company is.
They have gained their credibility and credentials through their hard works, from
theories, past mistakes, taking risks, revisions and the like. The book also shows that
when a person dreams, he/she must believe, dare and do. And on the middle part of the
book, there has been as stressing out on the application part which is the reality of the
entire system, as they functions, maintain their synergy and come out with one accord.
Walt Disney said in the book, I dream, I test my dreams against my beliefs, I
dare to take risks, and execute my vision to make those dreams come true. From
dreams spring ideas, and from ideas comes innovation, the lifeblood of any company.
Walt Disney instinctively knew, however, that an unshakable belief in ones principles, in
ones associates and employees, and in customers, is necessary before ideas can
successfully evolve into innovation.

On this focus, I would like to point out three things in relation to TQM as evident
also in the book, the Disney way. These are Continuous improvement, Emphasis on
procedures and Delegation of responsibilities.

Continuous improvement
Continuous improvement is a never ending process. The more the company
improves the more it grows and it becomes big. Improvement is the key to growth. It is
characterizes mode of operation of the whole organization. In the context of the
competitive climate that characterizes our present situation, any organization that does
not seek higher levels of quality lose ground against their competitors, since stagnation
is considered a negative and inhibitive behavior.
When we sat continuous improvement, this deals also with constant assessment
as to how the strategies and motions take place. Like for example a system has been
used for like 5-10 years and the business institution stagnates from its growth, the
company needs an immediate evaluation. Evaluation should be thorough and should
cover all the areas of the business. The book also entails us that evaluation should take
place outside the business perimeter so that the people who are involved in the
business could see the business as a whole and have a clear birds-eye perspective on
all areas of the business as subject for assessment.

Emphasis on procedures
Next is emphasis on procedures. Emphasis on procedures deals with the
behaviors that cause incorrect results and focuses its interest on the examination of
activities which are responsible for causing or avoiding errors in a particular
organization. Procedures are behaviors that has to be taken care of by all. These
procedures are the ways in which the Dream, Believe and Dare takes place.
It is not just the evaluation that matters but also the application of the
assessments identified and needs improvement. We see in the book that ideas are very
important and it is shown also that an idea could change the game of business. In the
book, we find that the Disney company has its own Big Idea team in which they do
brainstorms on how the improve the service procedures of the company.

Since the Walt Disney is a complex and multi-dimensional company, they need to
really put an extra mile as to how the procedures are to be applied. It is not just on the
Disney land park but all aspects of their service. People are involved and encourage to
contribute their unique ideas and these ideas, when mixed will create an impact to
improve the service of the company.
In other words, it concentrates the improvement of procedures in order to prevent
the reoccurrence of problems. We should be convinced that a refusal to compromise
such procedures is necessary if an organization is to scale the heights. Whats more
important is not necessarily the content of a companys core procedures, but rather how
consistently that procedure is expressed and lived.

Delegation of responsibilities
Lastly is the delegation of responsibilities. We already see as to how the
continues improvement works and emphasis on procedures works. It is important also
to see the delegation of responsibilities. Delegation of responsibilities is not just to
delegate but to entrust a job to a qualified person who is capable to the job description.
Creative people contribute ideas to make the outcome creative. Same as in the Disney
way, they hire people and delegate tasks that is synonymous to their line of talent.
In the context of Total Quality management, it is important that people should
know the ability at that they are capable of. Other else, the person who is working that is
not line of his/her interest is just a waste of money and effort. When we say delegation
of responsibilities, the person is happy to do what he is like to do and at the same time,
making a good profit out of it. The company benefits from his/her service and in return
he/she gets the reward. Another thought also is that if person us happy of what he is
doing the expected outcome will be great. If a person is motivated by he/she is doing,
he/she will excel and give his/her best.
The combination of the continuous improvement, emphasis on procedures and
delegation of responsibilities boils down the customers service satisfaction as our point
of reference and impact. These three when practice and applied well in a business
institution will do a remarkable asset and impact to the customers. The business needs
consistency of direction wherein these three Total Quality Management factors when
applied, will be a great success.
We cannot deny that the Walt Disney Company is a customer service business
as stated in the book, it is this consistency of direction, obsession with customer
service, commitment to people, and creative excellence that make the Walt Disney
Company a standard by which others might be judged and an exemplary enterprise
from which others can learn.
Offering your customers the best product or service means not only establishing
certain procedures and improvements, as Walt Disney did, but also having the good
sense to recognize when the situation dictates that one principle takes precedence over
another. Walt insisted on safety, courtesy, the good show, and efficiency, but he
expected common sense to prevail. We should never jeopardize the power of the
customers service satisfaction.
In the end, of course, Disneys adherence to basic principles of Total Quality
Management and companys willingness to spend time and money to deliver the
excellence it values have been amply rewarded by the huge success of its films, theme
parks and other ventures.
PERSONAL LEARNING
The book is really enlightening. For me it is not just the Disney way but it is all
about imparting the knowledge that Walt has and imparting it to others. I really loved the
four simple principles, the Dream, Believe, Dare and Do. Between these four core ideas
comes the 10 practical principles that shape up the four core ideas. I believe on the
statement of the Walt Disney when he said we keep moving forward, opening new
doors, and doing new things, because were curious and curiosity keeps leading us new
paths. This is a powerful statement with lots of embedded principles to take into
ponder.
There are insights that I personally learned as I read the book. I am a person with
many dreams. I learn that in dreaming, we practice envisioning which is very important
as a person. Dreaming should be put into practice even if the dream is untried and
impossible. I learned also that in the life of Walt Disney, he understood that success
comes from the entire team and is enhanced by solid partnerships. He refused to follow
the paths of others and he is also a master of creating detailed plans that not only
ensured results but inspired the entire team to act.
The life of Walt Disney is a huge blessing to the creative world. I believe in the
statement that all our dreams can come true, if we have the courage to pursue them.
The dreaming stage is the foundation of anything that exist today. The culture that Wald
Disney created over three quarters of a century ago has withstood the test of time and
history.
The products of today are just simply the results of the creative mind dreamed
before by those people who are committed to contribute to the world to become a better
place. I learned also that there is magic in every person. This magic has to be nurtured
and enhanced and sometimes tested by hard and difficult circumstance to measure its
power and impact. I learned that I can exercise my magic each and every day by
empowering others, from the classroom to the function room, to live with their dreams
also, create new, distinct and unique ideas, guided by our values, daring to make
difference and most of all, never to be satisfied with the average.
I believe that dreaming is a powerful tool to change the world. It is like searching
and discovering the indescribable and unthinkable. Walt also taught me how to think
outside the box which means that I should not limit myself in dreaming as well as daring
to act upon my dream.
I learned also to believe in myself. I notice also that every generation seems to
blame the one before it for something. Like families and this is certainly true. It is quite
amazing how the children when they grow up, credit their success to their parents for
shaping their beliefs and values in life. Parents should help their children formulate their
fundamental beliefs and values. Without the help of the parents, the next generation will
become catastrophic. I learned that the key to live your dreams is to believe on it and
dare to act on it. It is not just a mere product of guessing, but taking into account that we
know it.
I am inspired by Walts statement You dont build the product for yourself, you
need to know what the people want and build it for them. This is not a self-centered
statement. In my part, the people that surrounds me are the people that is going help
me achieve my goals in life. No man is an island. It is not just believing on myself alone
but to let others believe also that you can and they can.
I learned also to see the visitors not just only customers but guests, that they
should be treated well. That they should be the priority. I was struck by the statement in
the book that says Each of us carries around a crippling disadvantage: we know and
probably cherish our product. After all, we live with it day in and day out. But that blinds
us to why the customer may hate it or love it. Our customers see the product through an
entirely different set of lenses. Education is not the answer; listening and adapting is.
Yes of course, education is important for me, but in the context of the area of making the
customers happy and make them as guests, what I should do is to listen and adapt. I
learned that I should know my guests, treating them honestly and with respect and I
know that they will keep on coming. I learned also in the book that most of the
companies that worked with Walt have studied wholeheartedly and adopted his belief
that customers should be treated as honored guests and many of these companies are
not in the service business yet they have simply made it their business to provide the
excellent service. I know that If should apply the belief values, I may be near to
ultimately spell success.
I was struck also by the aspect of dare to dare. Which means for me, act upon
my dream and beliefs. Im afraid of committing mistakes. One thing learned from the
book is that about business in life, that everybody make mistakes. And everybody
should be encouraged to feel that if they commit mistakes, its okay. I realize that I have
to dare myself of daring even if it takes to commit mistakes and through mistakes I
learned. I learned that not acting upon my dream is not a goal at all. I realized that Walt
dared himself that is why he went to this far and as I compare myself to him, it may take
a long time for me to grasp the daring capability of myself and I should make a step of
daring to dare. Walt Disney is a risk taker. I learned that a risk taker is someone whose
fear of failure was outweighed by the need to tackle new challenges.
I learned in the book that the Disney experience illustrates how a company willing
to take a calculated risks can advance the level of development of a product or service
and, in the process reap huge reward. I learned also that not all corporate executives
and managers fall into the enviable category in which too many opt for the safest route
because they fear failure or loss and they allow themselves to get bogged down in
corporate bureaucracy, which can keep the management process from flowing as it
should.
I was struck also by the process of which I should do my dreams. The process is
should have the right knowledge that produce right attitude and right attitude produce
good skills and it becomes a habit. I learned that right knowledge leads to right
application and right application leads to right results. I highly regard the idea of right
practice makes perfect, not just practice and practice not knowing that what we are
practicing is not correct. Proactivity is one key to achieve the doing part of my dream.
Vision without a means of execution is like a plane without wings. I learned that no
matter how deep a companys resources are, progress of company projects greatly
depends on the strength of execution, and proper execution requires thorough and
detailed planning and it is a reality in which Walt Disney understood completely.
Grasping this idea is such a treasure.
I like to summarize my learnings in one of Walts statements in the book, he said
All the adversity Ive had in my life, all my troubles and obstacles, have strengthened
me, you may not realize it when it happens but a kick in the teeth may be the best thing
in the world for you. This may sound awkward for me but I guess I really need to push
myself in becoming a better person, to dream, believe, dare and do.

CONCLUSION
In summary, this book is recommended to businesses both large and small
because it provides very original, simple and insightful ways of managing an
organization. Looking at future developments, the authors predict management
leadership to vertically increase in importance and priority across various industries and
hence, the importance for a total integrated approach to develop its internal Human
Resource (HR) capabilities, as the key essence in building a sustainable successful
global institution; to bring great value not just for Disney, but for the public sector and
customers as well.
At the present, Disney is best known for its picture films such as Beauty and the
Beast, The Lion King, The Little Mermaid and Aladdin. These films where all produced
in the iconic Walt Disney Studios. Till this day, Disney owns and license 14 theme parks
globally and still uses its longest standing cartoon character: Mickey Mouse, as its
official mascot.
Some of today's widely recognized business to have adopted Disney's 4 core
concepts; where they implement the Disney key frameworks in daily operations. and
established them at the which have taken the four pillars of Disney and placed them at
the heart of their organization. From these real life illustrations, it revealed that building
or scaling up a company does not require adopting highly complex frameworks: but one
that can be as straightforward as Disney's 4 core concepts of (1) Dream, (2) Believe, (3)
Dare and (4) Do.
Overall, Walt Disney considered four key success factors in building a successful
organization: First, one must have the courage to envision and dream; second, one
must believe in solid values; third, one must dare go after one's vision, and forth, one
must venture out to do it. Walt Disney's unwavering philosophy of creating a magical
experience for his customers; showcased how success was achieved his way-through
uncommon discipline and preparation, but with lots of excitement, creativity and
enthusiasm along the way.
Moving into the 10 management principles of Disney; like Total Quality
Management (TQM), Disney wanted to provide customer service of the highest
standards that it could possibly offer, by ensuring every employee had a role to play in
contributing to only the most excellent products and services. The 10 management
principles of Disney; like IDEO (Innovation, Design Engineering Organization) a design
and innovative consulting firm, practices a non-hierarchical organization culture. IDEO's
employees are not rewarded based on their seniority or rank with the company, but
instead are rewarded based on the number of projects that the employee undertake.
Similarly, by allowing every employee's voice to be heard, Disney removed any
existential hierarchy within the organizational culture through Walt Disney's willingness
to disclose corporate information to everyone in the organization. By facilitating
openness and transparency in communication; Disney effectively conveyed the
important message to all his employees that no one is more or less important than the
other and that everyone had an equally important role to play within the organization.
More importantly, Disney strives to provide an environment that is both productive and
enjoyable; where employees can realize their full potential and fulfill their career
aspirations.
Again this book is highly recommended. A must read book!