Organization and Design change

Project- Euro Disney Case study

Ms. Chanchal
Mr. Abhinav Chaddha
Mr Chander Kant
1
 Startup
0. Background
1. Disney opened Euro Disney in France- 1992
2. Willingness to become the biggest and most fun theme
park
3. Suffered massive financial losses and drop in shares due to
first year loss
4. After 5 years still there is problem with vistors
5. Cultural Chembryl
2
 Walt Disney Business Structure
Walt Disney Segment Revenue in 1991

1. Theme park $2865

Theme park-71%
Hotel- 21%
Others- 8%

Filmed Entertainment $2593

Consumer Product $723

3
 The Walt Disney Company Resorts
1. Walt Disney World Resort(Orlando , 1971)
Magic Kingdom
Disney –MGM Studios Theme Park
The EPCOT Center
2. Disneyland(1955- Los Angeles- California)
3. Tokyo Disneyland- Designed by Disney but operated and
owned by The Oriental Land Company
4
 Visitors
1. 50 million people visited Disney park in 1990
2. 90% of theme park visitors are repeat customers
3. 5% or Over 2 million people -from Europe annually
4. Adult visitors (in their late twenties and having young
children)

5
 EURO DISNEY NOW
Revenue down from $6182 to the $3488 (1988)
How we will know –An Organization is World Class

6
 TOKYO Disneyland
Opened- in 1983
Attendance- exceeded 16 million in 1991
Revenue- $ 988million in 1990
The Oriental Land Company owened and operated Tokyo Disneyland
Highlight- Cleanliness of the part and efficiency and politeness of the park,
special culture haven, most likely shows and attractions in English language

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 Euro Disney
Signed an agreement in 1987 with French Govt. to locate the complex in the
Marme-La- Vallee
Euro Disney – 49% Owened-The Walt DisneyCompany and 51% Euro Disney
SCA
Contactual concession given by the Govt made the project attractive(Extend
Highway and Metro railway to the site , built a high speed TGV Train extension,
tax reduction from 18.6% to 7% and provided over loan of $700 million at
subsidized rate 7.85%
Capacity of park- 50000 visitors

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 1. COMPANY PROFILE
Maruti Suzuki India Ltd (aka Maruti Udyog Ltd), an Indian holding company. Maruti
Suzuki, India’s largest passenger car manufacturing company. It is the market leader in
the automobile industry both in terms of production and revenue generation.
• Maruti Suzuki Limited(MSIL) was established in Feb 1981 through an Act of
parliament, as a government company with Suzuki Motor Corporation of Japan
holding 26% of stake. Headquartered in New Delhi, India.
• It was entrusted the task of achieving the following:
• Modernization of Indian automobile industry
• Production of vehicles in large volumes
• Production of fuel-efficient vehicles
• PRODUCT PORTFOLIO:
• 12 models with around 100 variants including
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Maruti 800, Omni, , Alto , Wagon R  ,Swift, Gypsy, Versa , SX4 , Grand Vitara,Desire,Baleno
 TOKYO Disneyland
Opened- in 1983
Attendance- exceeded 16 million in 1991
Revenue- $ 988million in 1990
The Oriental Land Company owened and operated Tokyo Disneyland
Highlight- Cleanliness of the part and efficiency and politeness of the park,
special culture haven, most likely shows and attractions in English language

10
 2. SWOT ANALYSIS OF MSIL
POSSIBILITY PROBLEMS / ISSUES
S1. Management vision for growth & commitment to retain leadership W1. Rotational Manpower

INTERNAL ENVIRONMENT
status. W2. Sustenance of human competency
S2. Deep market network, penetration and understanding of the W3. Inventory/Capacity obsolete
customers. W4. Legal Issues

DIRECT FACTOR
S3. Strong corporate & product branding
S4. Robust, responsive & flexible supply chain with ability to ramp up
quickly. (Duly vitalized by IT systems)
S5. Capacity generated higher than demand (to meet market fluctuation)
S6. Leveraging economies of scale.
S7. Fully Automated world class warehouse facility.
S8. IOT & Digitization

S W
O T

INDIRECT FACTOR
O1. Opportunity to expand globally. T1. Unable to pass on the cost increase (commodities / conversion) to customers

EXTERNAL
O2. Tie up with new system suppliers and source globally. due to intense competition.
O3. Adapting new technologies in products & processes. T2. Spurious Spare market.
O4. Enhancing parts revenue business catering to 70M & growing T3. Transit damage or theft.
customers. T4. Competition Commission of India ruling may impact parts business.
O5. Untapped Market T5. Raw material sourcing.
T6. Competitors Business

CORRESPONDENCE TO OPPORTUNITIES & STRONG POINTS CORRESPONDENCE TO THREATS & WEAKNESS POINTS

SHORT TERM MID TE

(ST1) >95% Service Ratio (ST1) Strengthen the outbound logistics for transit damage or theft reduction.
(ST2) Strengthening of Automated system (ST2) Focus on Daily Work Management & Root Cause Analysis for Raw material
sourcing.
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(MT1) Strengthening of Global Business (MT1) Employee Motivation through competency enhancement by providing
(MT2) To convert MSIL into Digital Enterprise. Trainings on various topics.
3a. Data Collection - AHP MODEL TECHNIQUE
Area of Total
Experts' name Code name Age Qualification
expertise experience

Saurabh Sharma A1 33 B.Tech(Mech) Machine Shop 16 years

Supplier
Chanchal Sindhu A2 30 B.Tech(Mech) 17 years
Quality

Chandra Kant A3 34 B.Tech(Mech) Engine Plant 20 years

Quality
Pankaj Goyal A4 36 B.Tech(Mech) 17 years
Assurance

Rakesh Yadav A5 37 B.Tech(Mech) Engine Assy. 10 years

Project
Shivani A6 30 B.Tech(Mech) 18 Years
Engineering 12
 3a. Data Collection

Very Strong

Very Strong
Main – attributes

Moderate
Moderate
Extreme

Extreme
Strong

Strong
Equal
Main
attributes
Profile of the People who were interviewed Visionary Customer Driven
9 7 5 3 1 3 5 7 9 Execution
Leadership Strategy

High
Objective –Evaluate Visionary Customer Driven Performance
Leadership Strategy Driven
Culture

a. Importance (or preference) of one Visionary Customer Driven

Structure
Leadership Strategy
main attribute over another.
Visionary Customer Driven Develop
Leadership Strategy Talent
Following are the different solved
Visionary Customer Driven Managing
questionnaire’s values filled by 6 experts Leadership Strategy Innovation

High
We have constructed a set of pairwise Execution
Performance
Driven
Culture
comparison matrices. Execution Structure
Develop
Execution
Talent
Each element in an upper level is used to Execution
Managing
Innovation
compare the elements in the level immediately High Performance Driven
Structure
Culture
below with respect to it. Below is the Blank High Performance Driven
Culture
Develop
Talent
Questionnaire given to each respondents/ High Performance Driven
Culture
Managing
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Innovation
Develop
Experts for giving their rankings. Structure
Talent
Managing
Structure
Innovation
 4a. ANALYSIS
Step 1 : Geometric Mean:
Using Analytical Hierarchy Process:

Visionary Customer Driven Leadership Strategy

High Performance Driven Culture

Managing Innovation
Develop Talent
 Attributes

Execution

Structure
 
Geometric mean

Visionary Customer Driven Leadership Strategy 1.00 2.05 0.69 0.83 0.17 14 0.26
Execution 0.49 1.00 2.24 3.56 0.27 0.37
High Performance Driven Culture 1.44 0.45 1.00 2.17 1.62 0.60
 4a. ANALYSIS
Step 2: Normalization of Matrix:
Value of each element of table column is then divided by the sum mentioned of the corresponding column.
We got the below matrix shown in table 3. For cross checking/verification purpose sum of each column is
checked. It should be 1.
Using Analytical Hierarchy Process:

Visionary Customer Driven Leadership Strategy

High Performance Driven Culture

Managing Innovation
Develop Talent
Execution

Structure
Attributes
Normalize matrix
Step 2

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Visionary Customer Driven

0.07 0.20 0.10 0.07 0.04 0.05
Leadership Strategy
 4a. ANALYSIS
Step 3: Find out the Weight of Matrix:
Visionary Customer Driven Leadership Strategy 0.09 Rank 5 8.98%
Execution 0.15 Rank 4 15.03%
High Performance Driven Culture 0.16 Rank 3 16.38%
Structure 0.08 Rank 6 7.89%
Develop Talent 0.29 Rank 1 29.10%
Managing Innovation 0.23 Rank 2 22.62%

Step 4: Matrix multiplication of weight matrix with Main Product Ratios

0.69 7.64
matrix is done. To find out ratio we divide corresponding 1.00 6.68
elements of product matrix mentioned below with 1.14 6.95
0.55 6.99
weightage mentioned in table 2.17 7.46
1.63 7.23
Step 5 & 6 : Find out CI & RI:
Consistency index(average of ratios - order of matrix)/
  0.23
(order of matrix -1) 16

Random index(CI/ RI) CI/Random consistency for matrix

  0.10 RI is 1.24 CI/RI
size 8
 5a. Conclusion through ahp model
As CI/RI is 0.1 which means the model is consistent
 
 Factor F5(Develop talent) is ranked no 1
 Factor F6(Managing Innovation) is ranked no 2

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3b. Data Collection – DEMATEL TECHNIQUE
Code Total
Experts' name Age Qualification Area of expertise
name experience
Saurabh Sharma A1 33 B.Tech(Mech) Machine Shop 16 years
Chanchal Sindhu A2 30 B.Tech(Mech) Supplier Quality 17 years
Chandra Kant A3 34 B.Tech(Mech) Engine Plant 20 years
Pankaj Goyal A4 36 B.Tech(Mech) Quality Assurance 17 years
Rakesh Yadav A5 37 B.Tech(Mech) Engine Assy. 10 years
Shivani A6 30 B.Tech(Mech) Project Engineering 18 Years
Manmohan suri A7 46 M.Tech(Mech) Weld shop 25 years
Sachin Gupta A8 38 M.Tech(Mech) Quality Assurance 20 years
Vikas Sharma A9 40 M.B.A Business 21 years
Rajiv Gupta A10 40 B.COM. Business 24 years
Ajit Kapoor A11 48 BA,LLB Lawyer 25 years
Meenakshi A12 35 MSC,I.T. Teacher 1418 years
3b. Data Collection – DEMATEL TECHNIQUE
Code Total
Experts' name Age Qualification Area of expertise
name experience
Saurabh Sharma A1 33 B.Tech(Mech) Machine Shop 16 years
Chanchal Sindhu A2 30 B.Tech(Mech) Supplier Quality 17 years
Chandra Kant A3 34 B.Tech(Mech) Engine Plant 20 years
Pankaj Goyal A4 36 B.Tech(Mech) Quality Assurance 17 years
Rakesh Yadav A5 37 B.Tech(Mech) Engine Assy. 10 years
Shivani A6 30 B.Tech(Mech) Project Engineering 18 Years
Manmohan suri A7 46 M.Tech(Mech) Weld shop 25 years
Sachin Gupta A8 38 M.Tech(Mech) Quality Assurance 20 years
Vikas Sharma A9 40 M.B.A Business 21 years
Rajiv Gupta A10 40 B.COM. Business 24 years
Ajit Kapoor A11 48 BA,LLB Lawyer 25 years
Meenakshi A12 35 MSC,I.T. Teacher 1419 years
 3b. Data Collection – DEMATEL TECHNIQUE
A DEMATEL method is used to evaluate the causal relations among the criteria/factors. It has been
widely accepted as one of the best tools to solve the cause and effect relationship among the
evaluation criteria (Chiu et al., 2006, Lieu et al., 2007, Tzeng et al., 2007, Wu and Lee, 2007, Lin and
Tzeng, 2009). This method is applied to analyze and form the relationship of cause and effect
among evaluation criteria (Yang et al., 2008) or to derive interrelationship among factors (Lin and
Tzeng, 2009). Based on Yu and Tseng (2006), Liou, et al., (2007), Tzeng, et al., (2007), Yang, et al.,
(2008), Wu and Lee (2007), Shieh et al., (2010), the procedure of DEMATEL method is presented
below:

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 4B. ANALYSIS– DEMATEL TECHNIQUE
Step 1: Gather experts’ opinion and calculate the average matrix ‘A’:

This is the same matrix which we made for AHP method. This matrix is made after gathering the
expert’s opinion & by averaging all the corresponding ranking of each pairwise comparison
With respect to the main objective of the scale of Very high influence (VH) = 4, High influence (H) = 3, Low influence (L) = 2,
Very low influence (VL) = 1, No influence (No) = 0
Please tick (√) in
appropriate box
With respect to: The Compare the influence of one main attribute over another
Overall Goal
Visionary Customer Driven Leadership Strategy

Main attributes

High performance driven culture.

Managing innovation
Develop talent
Execution

Structure
Effect

Main attributes 4 3 2 1 0 4 3 2 1 0 4 3 2 1 0 4 3 2 1 0 4 3 2 1 0 4 3 2 1 0
Visionary Customer 21
Driven Leadership 0                                                  
Strategy
Execution           0                                        
High Performance
 4b. ANALYSIS – DEMATEL TECHNIQUE
Experts Influencing Score One Factor to Another
F1 F2 F3 F4 F5 F6 F1 F2 F3 F4 F5 F6
F1 0 1 0 1 0 1 F1 0 1 0 1 3 1
F2 4 0 1 3 0 1 F2 4 0 1 3 0 1
F3 4 4 0 3 0 1 F3 4 4 0 4 3 1
 A1  A7
F4 3 1 4 0 1 1 F4 3 1 4 0 1 1
F5 4 4 4 4 0 4 F5 4 4 4 4 0 4
F6 4 3 3 4 1 0 F6 4 3 3 4 1 0
F1 0 1 4 1 0 1 F1 0 1 0 1 2 1
F2 1 0 1 4 0 4 F2 4 0 1 3 0 1
F3 3 4 0 3 3 1 F3 4 4 0 4 0 1
A2 A8
F4 2 1 4 0 1 4 F4 3 1 4 0 1 1
F5 1 4 1 4 0 4 F5 4 4 4 4 0 4
F6 1 1 1 4 1 0 F6 4 3 3 4 1 0
F1 0 1 0 1 0 4 F1 0 1 0 1 2 1
F2 4 0 1 2 4 1 F2 4 0 1 3 0 1
F3 4 4 0 3 4 1 F3 4 4 0 4 0 1
A3 A9
F4 3 1 4 0 1 1 F4 3 1 4 0 1 1
F5 4 4 4 4 0 4 F5 4 4 4 4 0 4
F6 4 3 3 4 1 0 F6 4 3 3 4 1 0
F1 0 1 2 1 0 4 F1 0 1 2 1 0 4
F2 4 0 1 1 3 1 F2 4 0 1 1 3 1
F3 4 4 0 1 0 4 F3 4 4 0 1 0 4
 A4  A10
F4 3 1 4 0 1 1 F4 3 1 4 0 1 1
F5 4 4 4 4 0 4 F5 4 4 4 4 0 4
F6 4 3 3 4 1 0 F6 4 3 3 4 1 0
F1 0 1 2 1 0 1 F1 0 1 2 1 0 1
F2 4 0 1 4 4 1 F2 4 0 1 4 4 1
F3 4 3 0 1 0 1 F3 4 3 0 1 0 1
A5 A11
F4 3 1 4 0 1 1 F4 3 1 4 0 1 1
F5 4 4 4 4 0 4 F5 4 4 4 4 0 4
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F6 4 3 3 4 1 0 F6 4 3 3 4 1 0
F1 0 1 4 4 0 2 F1 0 1 0 1 0 1
F2 4 0 1 4 3 1 F2 4 0 1 4 0 4
F3 4 4 0 2 3 1 F3 4 4 0 3 0 4
 4b. ANALYSIS – DEMATEL TECHNIQUE
Step 2 : Calculate the sum of Columns CT of matrix A

Step 3 : Calculate sum of Rows RT of matrix A

Step 4 : Find out the inverse of maximum value of sum of Columns CT (Obtained in step 2)

Step 5 : Find out the inverse of maximum value of sum of Rows RT (Obtained in step 3)

Step 6 : Find out M- the minimum value obtained from Step 4 & 5

Step 7: Prepare a Matrix D by multiplying each & every element by the value M = 0.2667

Step 8 : Prepare a Unit/Identity Matrix

Step 9 : Prepare a Matrix by subtraction of matrix I – matrix D

Step 10 : Draw/find out Cause & Effect relationship based on RT-CT value. If RT-CT value is negative then the factor has
Effect relationship other the factor is having Cause relationship.
F1 F2 F3 F4 F5 F6 ROW TOTAL
F1 0.000 1.000 1.000 1.250 0.417 2.000 5.667
F2 3.750 0.000 1.000 2.833 1.500 1.750 10.833
F3 3.917 3.917 0.000 2.750 1.083 1.833 13.500
STEP 2
F4 2.750 1.250 3.667 0.000 1.000 1.250 9.917
F5 3.583 3.833 3.750 4.000 0.000 4.000 19.167
F6 3.750 2.833 2.750 4.000 1.000 0.000 14.333 23

COLOUMN TOTAL 17.750 12.833 12.167 14.833 5.000 10.833 STEP-3

 4b. ANALYSIS – DEMATEL TECHNIQUE
STEP 4 MAX COL 19.167 0.052
STEP 5 MAX ROW 17.750 0.056
STEP 6 MIN OF TWO 0.052
STEP 7 F1 0.000 0.052 0.052 0.065 0.022 0.104
MATRIX ,D=M*A F2 0.196 0.000 0.052 0.148 0.078 0.091
F3 0.204 0.204 0.000 0.143 0.057 0.096
F4 0.143 0.065 0.191 0.000 0.052 0.065
F5 0.187 0.200 0.196 0.209 0.000 0.209
F6 0.196 0.148 0.143 0.209 0.052 0.000

STEP 8 F1 F2 F3 F4 F5 F6
F1 1.000 0.000 0.000 0.000 0.000 0.000
F2 0.000 1.000 0.000 0.000 0.000 0.000
PREPARE
F3 0.000 0.000 1.000 0.000 0.000 0.000
IDENTITY
MATRIX F4 0.000 0.000 0.000 1.000 0.000 0.000
F5 0.000 0.000 0.000 0.000 1.000 0.000
F6 0.000 0.000 0.000 0.000 0.000 1.000

F1 F2 F3 F4 F5 F6
STEP 9 F1 1.000 -0.052 -0.052 -0.065 -0.022 -0.104
F2 -0.196 1.000 -0.052 -0.148 -0.078 -0.091
F3 -0.204 -0.204 1.000 -0.143 -0.057 -0.096
IDENTITY
F4 -0.143 -0.065 -0.191 1.000 -0.052 -0.065
MATRIX - D
F5 -0.187 -0.200 -0.196 -0.209 1.000 -0.209
F6 -0.196 -0.148 -0.143 -0.209 -0.052 1.000
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 4b. ANALYSIS – DEMATEL TECHNIQUE
Step 10: Prepare a Matrix by doing the Inverse of [matrix I – matrix D]
  F1 F2 F3 F4 F5 F6
STEP-10 F1 1.118 0.131 0.130 0.157 0.059 0.164
INVERSE OF I-D F2 0.368 1.134 0.190 0.290 0.133 0.207
F3 0.420 0.340 1.160 0.320 0.130 0.234
select matrix ,put equal F4 0.320 0.200 0.294 1.152 0.109 0.178
sign ,select ID matrix, then
press ctrl+shift+enter F5 0.520 0.424 0.414 0.471 1.113 0.396
F6 0.427 0.306 0.303 0.385 0.131 1.154

Step 11: Prepare a Matrix T by multiplying the Matrix D by the Inverse of [matrix I –
matrix D]

  F1 F2 F3 F4 F5 F6

STEP 11 F1 0.1178 0.1311 0.1302 0.1573 0.0587 0.1636

T=D*(INVERSE OF I-D) F2 0.3676 0.1340 0.1895 0.2898 0.1334 0.2068
F3 0.4197 0.3404 0.1599 0.3201 0.1302 0.2339
select matrix ,put equal
sign ,mmult (d matrix & F4 0.3196 0.1999 0.2943 0.1524 0.1086 0.1776
INVERSE OF I-D),then F5 0.5205 0.4235 0.4138 0.4708 0.1130 0.3955
press ctrl shift enter 25
F6 0.4271 0.3060 0.3029 0.3846 0.1306 0.1538
 4b. ANALYSIS – DEMATEL TECHNIQUE
Step 12,13,14,15: Find out Sum of Rows RT, Sum of columns CT, RT +CT, RT-CT
Step 16 Step 16: Rank/priorities the factors based on RT +CT value
Step 17: Draw/find out Cause & Effect relationship based on RT-CT value. If RT-CT
value is negative then the factor has Effect relationship other the factor is having Cause
relationship.
 
    Step 14 step 15 step 16 step 17  
 
sum of row sum of col R+C R-C Rank Impact  
0.7587 2.1723 2.9310 -1.413 6 effect influenced by others

1.3211 1.5350 2.8561 -0.213 4 effect influenced by others

step 12  1.6042 1.4907 3.0949 0.113 5 cause influence to others

1.2524 1.7750 3.0274 -0.522 3 effect influenced by others

2.3371 0.6745 3.0116 1.662 1 cause influence to others

1.7050 1.3312 3.0362 0.373 2 cause influence to others

F1 F2 F3 F4 F5 F6
step 13 2.172 1.535 1.491 1.775 0.675 1.33126
 4b. ANALYSIS – DEMATEL TECHNIQUE
Step 18: Calculate Threshold value
Threshold value = Sum of the Sum of Columns CT/64

Step 18 (alfa) α 0.2494

R-C
2.0000

1.5000

1.0000

0.5000

0.0000
2.8000 2.8500 2.9000 2.9500 3.0000 3.0500 3.1000 3.1500
-0.5000

-1.0000

-1.5000

-2.0000

1) According to DEMATEL:
Factor 3 (High Performance driven culture), 5 (Develop Talent), 6 (Managing Innovation) are influencing on other factors.
2) According to AHP:
Factor F5 (Develop talent) is ranked no 1
Factor F6 (Managing Innovation) is ranked no 2 27
 5. CONCLUSION
People at all levels are the essence of an organization and their full involvement enables their abilities to be used for
the organization’s benefit. Employees must be treated with dignity and respect and they must be trained to build
competence where required each employee must know what exactly is required to be done and where possible must
be able to assess the quality of his work. Fear must be totally removed from the organization and employees must be
encouraged to bring out weakness in the system. Empower employees to take appropriate action in their area of work
for improvement. In case of a mistake, examine the system rather than the man to prevent its recurrence. Involve
employees in quality plans and draw upon their intimate knowledge of processes for improvement. Assess employee
satisfaction level and take appropriate measures to improve their morale so that they take pride in belonging to the
company. 

Innovation is the key to success in the 21st century. Creativity is the ability to produce new and original ideas and
things. Innovation makes the idea practical and usable. The innovative activity in any business enterprise depends
upon the creative contributions of its members. It also depends upon how the organization taps the creativity of its
talented members 

We are able to establish the relation between talent development and managing innovation with the success of the
organizations by using the expertise of experts and formulating the relations through mathematical model AHP &
DEMATEL technique.

Hence we have accomplished our Primary Objective of the research to Identify the key factors associated with World
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Class Leaders that is Talent development & Managing Innovation and same is submitted to Prof Dr. Manoj Dash for his
kind guidance.
Thank you
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