History
The brothers Walt and Roy Disney founded Disney in October 16, 1923. Furthermore in the same year in Kansas City, Missouri Walt signed a contract with M.J. Winkler to produce a series of Alice Comedies–– this date is considered the start of the Disney Company knows as The Disney Brothers Studio.
In January 1926 with the completion of the Disney Studio on Hyperion Street, the Disney Brothers Studio’s name was changed to the Walt Disney Studio. After of the discontinued of the Alice Comedies, Disney developed an all-cartoon series. In November 18, 1928 Steamboat Willie is released at the Colony Theatre in New York–– this was the first release of Mickey Mouse Cartoon and also the first appearance of Minnie Mouse. In December 26, 1939 the Disney Studios move to Burbank, California, from the Hyperion Studio in Los Angeles.
Walt Disney Productions issues its First Stock in April 2nd in 1940. Moreover, in October first of 1949 the company formed the Walt Disney Music Co.
An important event happened in October 27, 1954, the Emmy Award-winning Disneyland television show airs on ABC, Starring Walt Disney. Furthermore, the first park of Disney opened in Anaheim, California called “Disneyland”.
Walt Disney, the visionary who made the impossible possible, turning dreams into reality and building the foundation of The Walt Disney Company of today, dies at age 65.
Roy O. Disney, who worked with his brother Walt Disney, passed away in December 20 of 1971.
In 1991, the Walt Disney Company joins the Dow Jones industrial Average. In the same year, home videos, hotels and Disney merchandising became the 28 percent of total company revenues with international revenues contributed 22 percent of revenues (thewaltdisneycompany.com).
In January 1926 with the completion of the Disney Studio on Hyperion Street, the Disney Brothers Studio’s name was changed to the Walt Disney Studio. After of the discontinued of the Alice Comedies, Disney developed an all-cartoon series. In November 18, 1928 Steamboat Willie is released at the Colony Theatre in New York–– this was the first release of Mickey Mouse Cartoon and also the first appearance of Minnie Mouse. In December 26, 1939 the Disney Studios move to Burbank, California, from the Hyperion Studio in Los Angeles.
Walt Disney Productions issues its First Stock in April 2nd in 1940. Moreover, in October first of 1949 the company formed the Walt Disney Music Co.
An important event happened in October 27, 1954, the Emmy Award-winning Disneyland television show airs on ABC, Starring Walt Disney. Furthermore, the first park of Disney opened in Anaheim, California called “Disneyland”.
Walt Disney, the visionary who made the impossible possible, turning dreams into reality and building the foundation of The Walt Disney Company of today, dies at age 65.
Roy O. Disney, who worked with his brother Walt Disney, passed away in December 20 of 1971.
In 1991, the Walt Disney Company joins the Dow Jones industrial Average. In the same year, home videos, hotels and Disney merchandising became the 28 percent of total company revenues with international revenues contributed 22 percent of revenues (thewaltdisneycompany.com).
Current ProductsWalt Disney produces infinity kind of products in the market right now, Such as:
· Toys · Movies · Clothes · Home and décor · Collectibles · Entertainment · Accessories · Food · Amusement Parks such a Walt Disney World and Disneyland. The Disney store operates in North America, Europe, and Japan providing the best quality in their products. |
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LocationWalt Disney Company is located at 500 South Buena Vista Street, Burbank, California, 91521, USA. The company is international. It has business in differences part of the world mostly in Europe and Tokyo. |
CultureIn Walt Disney Company’s wed site, there are twenty-five pages about the culture part of The Walt Disney Company. As far a can concluded, the company is based in six important keys values; integrity, honesty, trust, respect playing the rules, and teamwork. These defined not only the operating principles of the company, but also the essence of its diversities in their functions.
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Lawrence Kohlberg's StagesLawrence Kohlberg’s stages of moral development have 3 kinds of level; pre-conventional, conventional, and post-conventional, and 6 different types of stages (Ghillyer).
The Walt Disney Company is in level one and stage one. Disney strongly believes in following the rules ethical, so that everyone can enjoy the park while working. An example of that is in the page of the Walt Disney Company says, “We are committed to compliance with our Standards. Anyone who violates them is subject to disciplinary action, up to and including termination. Remember, one of the best resources for solving an ethical dilemma is your conscience. If an action you’re contemplating feels dishonest, unethical or illegal, it probably is”. |
Code of EthicsWalt Disney company web site has forty-three pages long talking about code of ethics, where it is easy to find under Business and Ethics standards.
Even thought the code of ethics is very extensive, it is very organized with pictures of the unmemorable moments that always happen in Disney. The code strongly emphasizes in the variety and diversity on bring great hospitality to their guests. |
FunctionResearch and development is one the most important function of the company. Disney’s mayor focus is to create a magical universe for its visitors. They want them to believe in the magic of Disney.
Disney emphasizes for the growth of the company, and to innovate their products frequently which allows to maintain the best position in the industry. |
Human ResourcesHuman Resources keep the relation between the company and its employees. Currently, human resources fit into the 3 levels because the company strives to create an ideal employee’s experience while they are meeting their business needs (thewaltdisneycompany.com).
Human Resources of Disney has a lead role. Human Research is the key of the company. HR’s chore beneficed to its employees in Disney like employee communication, labor relations and many benefits such as 401k. Without the benefits of the HR, Disney wouldn’t be the company that is today. |
Conflict of Interest Conflict of interest is a situation where one relationship or obligation places you in direct conflict with an existing relationship or obligation (Ghillyer).
The strictly code of ethics of Disney determinate that each employee has the obligation to make decisions by their own except it is personal conflict comprised. Disney states that it is prohibited on doing business with family members, and don’t ask others to do something you are prohibited from doing, also on investing in other companies and receiving gifts (thewaltdisneycompany.com). |
Triple Bottom LineThe triple bottom line is a method of reporting that includes three important points: Financial, Social, and Environmental (Ghillyer).
Disney believe that being a good company isn't enough, however, they need to be beneficial their customers. in other words, Disney principal focus on doing the good. They update their TBL every year in around September. |
Corporate Social Responsibility (CSR)
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Through the reading of the “Our Commitment to the Community”, I can determinate that the Walt Disney Company is altruistic, which according to the book of “Business Ethics Now” “is a philanthropic approach to CSR in which specific initiatives to give back to the company’s local community””(74).
A good example of that is that in June 27, 2013, Disney donated 30,000 books in support of the US military families. Also, Disney supported to those who were affected in the Typhoon Haiyan in the Philippines, grants to protect wildlife and green places. Moreover, they have the VoluntEAR projects that help children in need. The company gave in total donations more than $370 million. |
Evolution of the Company
Disney Company is a level one a cause of the recently abuses of system from part of the disabled people and theirs families who taking advantage of it by skipping the line on the rides. Thus, The Walt Disney is look forward by improving the system of the amusing parks.
Even thought the effort of Disney to strive on its beliefs; they still had some problems that need to overcome. For example, a “Mother of 16 children and adults with disabilities filed a lawsuit against Walt Disney Parks and Resorts. They had alleged that children are not receiving the special care they need in the park according to law of the American With Disabilities Act” (Diament).
Disney claims that they fully comply with all requirements that states in the ADA.
Today, Disney is giving special card to disabled people “The disability Access Cards”, which allow people to schedule their rides and skip the line. Also, they can only schedule one time for one ride, so they wont be able to abuse the system again.
Even thought the effort of Disney to strive on its beliefs; they still had some problems that need to overcome. For example, a “Mother of 16 children and adults with disabilities filed a lawsuit against Walt Disney Parks and Resorts. They had alleged that children are not receiving the special care they need in the park according to law of the American With Disabilities Act” (Diament).
Disney claims that they fully comply with all requirements that states in the ADA.
Today, Disney is giving special card to disabled people “The disability Access Cards”, which allow people to schedule their rides and skip the line. Also, they can only schedule one time for one ride, so they wont be able to abuse the system again.
Corporate Governance
President and CEO:
Robert A. Iger
Walt Disney Company shows clear evidence of corporate governance. Disney has its board of directors the limit of 9 to 21 members, however, the board believes that the perfect number is not less than 9 and not over of 13 members depending on the circumstances of that moment. Currently, the Disney’s board of directors contains 10 members.
According to the web site of Disney, they always tried to foster a culture of open dissent. The board is responsible to elect their own members and to empower the new directors. Therefore, The directors of the company evaluate its members annually the board of directors. In order to select new candidates, they should follow all the standards and qualifications.
The audit committee is responsible for the financial statements and reports of the company. According to the web site of Walt Disney, they “meet periodically with the company’s independence auditors (in private, as appropriate) (a) to review their reasoning in accepting or questioning significant decisions made by management in preparing the financial reports; (b) to review any audit problems or difficulties and management’s response; (c) to review any outstanding disagreements with management that would cause them to issue a non-standard report on the Company’s financial statements; (d) to examine the appropriateness of the Company’s accounting principles (including the quality, not just the acceptability, of accounting principles) and the clarity of disclosure practices used or proposed; (e) to determine if any restrictions have been placed by management on the scope of their audit; and (f) to discuss any other matters the Committee deems appropriate”(thewaltdisneycompany.com).
Thought the company Disney fulfills all the steps for effective corporate governance, the CalSTRS (California State Teachers Retirement) is against Disney’s decision about combined the presidency and the CEO role in the Disney Company. They claim that both position are different and may have controversy decisions in the future (CalSTRS).
According to the web site of Disney, they always tried to foster a culture of open dissent. The board is responsible to elect their own members and to empower the new directors. Therefore, The directors of the company evaluate its members annually the board of directors. In order to select new candidates, they should follow all the standards and qualifications.
The audit committee is responsible for the financial statements and reports of the company. According to the web site of Walt Disney, they “meet periodically with the company’s independence auditors (in private, as appropriate) (a) to review their reasoning in accepting or questioning significant decisions made by management in preparing the financial reports; (b) to review any audit problems or difficulties and management’s response; (c) to review any outstanding disagreements with management that would cause them to issue a non-standard report on the Company’s financial statements; (d) to examine the appropriateness of the Company’s accounting principles (including the quality, not just the acceptability, of accounting principles) and the clarity of disclosure practices used or proposed; (e) to determine if any restrictions have been placed by management on the scope of their audit; and (f) to discuss any other matters the Committee deems appropriate”(thewaltdisneycompany.com).
Thought the company Disney fulfills all the steps for effective corporate governance, the CalSTRS (California State Teachers Retirement) is against Disney’s decision about combined the presidency and the CEO role in the Disney Company. They claim that both position are different and may have controversy decisions in the future (CalSTRS).