The Boston Globe has been a staple of New England households since its founding in 1872. Unfortunately nearly 130 years later the paper is faced with a dramatic decline in in readership. Technology which so often is the lifeline that rescues dying industries has, in this case, hastened the decline of the printed paper. It is in this climate that Rick Daniels, Anne Eisenmenger and the rest of the Globe’s staff find themselves contemplating earlier delivery times as a solution to their problem of readership decline.
The first challenge that the organization is facing is their shortsighted goal of moving morning delivery times from 7 am to 6 am. Between 1950 and 1997, the number of U.S dailies suffered a 15% decline. Since that time there has been a steady decline in circulation of the paper, by 1997 circulation had dropped by over 5% in the preceding 5 years, sinking to 1955 level.
An earlier delivery time is shortsighted because the scope of the project is too narrow for the company’s situation. The bigger picture is the overall decline in readership. The organization is faced with operating in a decline phase of the industry. Their current approach works to prolong the life of the company but it does not address the probable obsolescence if nothing more drastic is done.
The second challenge that is facing the organization is Rick Daniels the Globe’s vice president of strategic planning. Rick Daniels does not appear to be fully engaged or committed to the project’s success. The case explains that there was “little attempt to “cost out” the benefits of earlier delivery” rather the implication is that the decision to move to an earlier delivery time was made because the 7am delivery was “obviously too late.” Rick Daniels had not even appointed a person in charge of the project full time until Anne Eisenmenger was appointed. A further example of Rick Daniels deficiency is illustrated by the lack of deadlines provided to Anne. It appears that Rick Daniels does not have the skills that are necessary to lead the company through this turbulent time.
The third challenge facing the organization is the failure of Anne Eisenmenger to understand what the culture of the organization is and what leadership skills are required to implement any changes. Although Anne had been with the organization for seven years, it is apparent that she did not fully understand the embedded culture of the paper. The Globe is filled with employees who have been in the industry, and the company, for a long time and are resistant to change. Anne leads the project with a democratic style that is very positive and inclusive. The drawback of a democratic style is very evident during Anne’s tenure, endless meetings without consensus.
The final challenge facing the organization is the resistance and fear of the impending changes to the company and the industry. All organizations face changes throughout their lifecycle which often met with resistance from employees. The problem is that this employee mindset creates an entire organization paralyzed with fear. Ultimately the Globe’s fear of change is rooted in the other challenges, lack of direction and leadership from the senior management.