Sony Corporation - Future Tense?
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Case Details:
Case Code : HROB130
Case Length : 19 pages
Period : 2005-09
Pub Date : 2010
Teaching Note : Available
Organization : Sony Corporation
Industry : Consumer Electronics
Countries : Japan
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Please note:
This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Excerpts
Background Note
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Sony was founded in 1946 as Tokyo Tsuchin Kyogo by Masaru Ibuka and Akio Morita (Morita). The company began with 20 employees and a capital of ¥ 190,000. Sony started off manufacturing telecommunications and measuring equipment and then began making transistor radios and tape recorders...
The Problems
According to industry experts, one of the main reasons for Sony's problems was its slowness in assessing product trends. The problems that it faced with most of its products were due to its silo culture, which prevented coordination among different product divisions...
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The Solution?
In his efforts to solve Sony's problems, Stringer decided to reorganize the company in February 2009 . He said,
"There is still a lot of the old Sony, and not enough of the new, which constrains our competitiveness. We simply have no alternative but to dramatically change the way we do things. Without those changes, it will be very difficult to return to profitability."...
Exhibits
Exhibit I: Sony Corporation - Consolidated Statements of
Income (2005-09)
Exhibit II: Sony Corporation - Balance Sheets (2005-09)
Exhibit III: Sony Corporation - Operating Income/Loss by Business Segment
(2007-09)
Exhibit IV: Sony Corporation - Format Failures
Exhibit V: Sony Corporation's Business Segments (2008)
Exhibit VI: Stock Price Chart of Sony Corporation
(October 1999 - September 2009)
Exhibit VII: Sony Corporation - Sales and Operating Revenue by
Geographic and Business Segments
Exhibit VIII: Sony Corporation's Organizational Chart (As of April 01, 2007)
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