Media Management Lecture 2

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Media

Management
Dr. Kho Suet Nie
Lecture 2
 1. Hypothesize various relationships between management functions and the
success of media organizations
 2. Analyze and monitor the changing landscape of the media organization,
the market and its growing needs today and to identify the opportunities
available
 3. Distinguish trends and changes in value in media management
 4. Analyze qualitative empirical materials in a critical manner and how to
come into play with the functioning of the media organization and its
economics
The Learning  5. Assess critical and ethical issues arising in the conduct of qualitative
research

Outcomes You  6. Organize and integrate the various components of the media organization
and to develop a holistic and efficiently and effectively functioning media

Can Expect
organization.
 7. Evaluate and monitor key issues such as branding, corporate identity,
supply chain management, media selection, human resource management
and the use of social media in the marketplace to stay in touch with trends
and to gain relevance in today’s environment
 8. Produce a diverse and globally-focused mind set in the media organization
and establish good governance so as to facilitate an exchange of knowledge
cross-culturally for the future of the organization
Assessments

 40% Written Assessment


 Essay on successful media organization
 Essay on the current trend and value in media management
 60% Project/Research Assessment
 Project 1 – Media Organization Economics Comparative Case Study
 Project 2 – Comparative Case Study of Ethical Issues
Factors in organising


Strategy, mission and goals
1.

2. Technology –skill and specialisation


3. Human resource
4. Size – Big organisation, will need
more specialisation
 Definition: A process to determine the
structure of organisation so as to align
with the objectives, resources and
environment.

Organising the Elements:


 1. Specialisation of activities
Organization  2. Standardisation – method,
procedures, training and planning
 3. Coordination activities
 4. Centralisation and Decentralisation
 5. Size of employees
To achieve objective

Clear idea on responsibilities

Roles
Explain about power and authority

Accelerate information flow


Clarify job specifications

Undertake activities according to objectives

Organising Combine jobs according to logics

process Delegates and job division

Create coordinating mechanism – horizontal and


vertical

Monitor effectiveness and change aqccording to


needs
Job specialisation

 Job Depth: quality and authority

 Job scope: variety and redundancy

 Job characteristics: autonomy, varieties, skilled/expert,


feedback, importance, identity
(Hackman and Oldham , 1985)
TYPES OF ORGANISATIONS

 1. Formal organisation – clear role structure, proper


job cordination, goals achievement, maximising
employee creativity, combinations of individual works
Examples of formal organisation:
 Units and departments
 Status and positions
 Job span/responsibility(Top management 1:4-8; lower
management: 1:8-12)
Type of organisation


2. Informal organisation

Established/formed without the


involvement of the organisation; but
exists spontaneously; can lead to joint
output through individual activities
Informal organisational structure

DIRECTOR

PM1 PM2 PM3 PM4

E1 E3 E1 E3
E2 E4
E2 E4

PM (PROJEK MANAGER) E (EXECUTIVES)


ORGANISATIONAL CHART

Functions
 Job division
 Identification of manager and subordinate
 Group task segment
 Type of task
 Accountability
Organisational Chart

Advantages
 Visual structure
 Clear status and responsibilities
 Easy identification of individuals appropriate for a job
 Easy to detect conflict
Organisational structure

Disadvantages
 Did not spell out span of authority
 Did not indicate communication flow
 Minsinterpretation – Distance and hierarchy
Formal organisational structure

 1. FUNCTIONAL --- e.g. Newspaper organisation

 2. PRODUCT AND MARKET–


e.g: Sime Darby/Sime Tyres/Sime Developers/Sime Chemical

 3. MATRIX – consist of 2 structures


e.g Functional unit(permanent) .– Immigration ; Task Force
(Foreign workers) – (permanent)
Functional organisation
Functional organisation
 Advantages  Disadvantages
 Suitable for stable  Big organisation; slow
environment response rate; redtapes
 Fast development of  Shallow perspectives
skilled workers  Difficulty in innovation
 Easy coordination  Easy emergence of
 Need interpersonal skill conflict
 Mobilisation of experts  Manager difficult to
move
vertically/promoted
PRODUCT AND MARKET STRUCTURE

DIRECTOR

PM1 PM2 PM3 PM4

E1 E3 E1 E4
E2 E3
E2 E4

PM (PROJECT MANAGER) E (ENGINEER)


PRODUCT AND MARKET STRUCTURE

 ADVANTAGES  DISADVANTAGES
 EASY DEVELOPMENT  POLITICAL ISSUE –
 EASY IDENTIFY RESOURCE ALLOCATION
PRODUCTS  NO COORDINATION
 CLEAR RESPONSIBILITIES  CONFLICT – CORPORATE
 EASY TO TRAIN PRIORITIES AND
MANAGER DIVISION
 SIMULTANEOUS
 JOB DUPLICATION/
PRODUCT PRODUCTION WASTAGE
MATRIX STRUCTURE

DIRECTOR

E1 E2 E3

PM1
PM
PM2 (PROJECT
MANAGER)
E
PM3 (EXECUTIVE)
MATRIX STRUCTURE

 ADVANTAGE  DISADVANTAGE
 FLEXIBILITY  POWERSTRUGGLE
 COOPERATION  MORE DISCUSSION THAN
 INCREASE EXECUTION
SKILL/PROFESSIONALISM  NEED LOTS OF
 MORE TIME FOR TOP INTERPERSONAL SKILLS
MANAGEMENT  MORE BUDGET FOR
 EMPLOYEE MOTIVATION IMPLEMENTATION
 EXPERT MOBILISATION  JOB DUPLICATION
 FOKUSFOCUS ON OUTPUT  LACK DEDICATION BECOZ
WORKERS BEING
TRANSFERED
Wide span
WIDE SPAN

 DISADVANTAGES
 ADVANTAGES
 BOTTLENECKS BECOZ
 JOB DIVISION
TOO MANY MANAGERS
 CLEAR POLICY  SUPERIOR LOST
 PROPER SELECTION OF CONTROL
STAFF  NEED MANAGER WITH
QUALITY KNOWLEDGE
VERTICAL SPAN
VERTICAL SPAN

 ADVANTAGES  DISADVANTAGES
 CLOSE SUPERVISION  MANAGER TOO
 EASY CONTROL INVOLVED IN WORKERS
 FAST SUPERIOR SUBORDINATE TASK
COMMUNICATION
 MANY LEVELS OF
MANAGERIAL POSITIONS
 TOO MUCH COST
INCURRED BECOZ OF
VARIOUS LEVELS
 TOOMUCH DISTANCE
BETWEEN TOP AND
BOTTOM
EFFECTIVE ORGANISATION SPAN

BETTER EFFECTIVE
TRAINING COMMUNICATION
CLEAR PERSONAL
DELEGATION CONTACT
CLEAR LEADERSHIP
PLANNING SKILL
OBJECTIVE
STANDARD SET
PETER DRUCKER – ORGANISATION STRUCTURE

 CLARITY  STABLE AND LONG


 ECONOMICAL LASTING
 CLEAR DIRECTION –  FLEXIBILITY AND EASY
PRODUCT ORIENTED TO ADJUST
 CLEAR INDIVIDUAL TASK  INTERNAL EMPLOYEE
DEVELOPMENT
 DECISION MAKING AT
ALL LEVELS
Discussion:
Which structure do you think work best for future
media business model?
What happens when
merger/acquisition happens?
Corporate strategy, corporate finance & management dealing with
buying, selling, dividing & combining of different companies/similar
entities that can aid/finance/help enterprise grow
Merger & Acquisition

Merger Acquisition
 When two companies/more  Purchasing by one company by
combine into a single company another company
where one survives and the other  Can happen through purchase of
lose their corporate existence stock through stock market
 Survivor will acquire assets +  Agreement with majority
liabilities of the merged companies shareholders
Acquisition

 50% acquisition are not successful


 Can be friendly/hostile
 Friendly – negotiation
 Hostile – the board/management is unwilling to be bought or the target’s
board has no prior knowledge
 Usually bigger firm buy smaller firm
 Company A + Company B = Company A
Merger

 Company A + Company B = Company C


 Both companies lose its identity
 Reverse merger – smaller firm buy bigger public listed company (shell
company) with no assets/business
 Merger of equals – two companies decided to go ahead as a new company
together
But why merge/ buy

 Reducing redundant departments


 Larger scopes can be covered
 Increase revenue/ market share
 Cross selling
 Synergy
 Taxation reduction
 Geographical diversity
 Resource transfer
 Vertical integration
 Acqui-hire
Discussion:
Consequences of management for media companies
Read the articles below. What can the
management do?
 Locally
 https://www.nst.com.my/news/nation/2018/12/436319/goodbye-malay-mailour-o
ldest-newspaper
 https://www.thesundaily.my/local/utusan-melayu-not-closing-down-publications-t
o-cost-50-sen-more-EK1286521
 Internationally
 https://variety.com/2017/music/news/traditional-radio-faces-a-grim-future-new-s
tudy-says-1202542681/
 https://www.theatlantic.com/technology/archive/2019/03/local-news-is-dying-an
d-americans-have-no-idea/585772/

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