Disney
Disney
Lama Khoury
Nathalie Estephan
Nehme
Rana Najm
Rania Jaber
Jalal Abdallah
The land of magic
• The Walt Disney Company was funded in 1922.
• The first purpose of the studio at the time was to produce animated
films.
• Runs vast theme parks and resorts that serve tens of thousands of Guests
daily on three continents.
• The first Walt Disney theme park and resorts was originated in Anaheim
California on 1955. Today, it encompasses of eleven theme parks operating
in five different countries on three continents.
• Disney World is comprised of 4 different Parks with each having their own
personality with different attractions and entertainment.
• You will find Various attraction and rides, characters and parades, Nightlife
and entertainment , restaurant and dining.
• Disney’s value chain is comprised of four primary segments:
– media networks
– parks and resorts
– studio entertainment
– consumer products
• Each one of its value chain operates as its own company with their own separate
management team.
• Each also has its own Marketing, research, and sales function.
• Is diverse and substantial (To get things right, they take many different approaches. )
Core Competencies
• Employee satisfaction and retention, superior customer value and
employee empowerment.
• Cursory review shows sizeable assets are deployed to support Disney North American
merchandise supply chain activities
– More than 20 warehouses owned or operating on behalf of Disney
– More than 900 retail locations across the stores, parks, and resorts
• The majority of costs and assets are in Disney Consumer Products, Parks and Resorts, and
Buena Vista Home Entertainment
• An overview of activities and suppliers across BUs indicate that there are more
opportunities for cross-BU synergy than are currently in operation
– Most supply chain activities are managed independently
– Many contracts are negotiated and managed separately
– Internal warehousing is underutilized,
Supply Chain
• The Walt Disney Company has a large portfolio of intellectual property that
the company manages through relationships with a range of licensees,
vendors and retailers. Products bearing Disney characters, stories, songs and
brand names include a wide range of categories such as apparel, footwear,
toys, stationery, published materials, food, CDs and DVDs, home furnishings
and consumer electronics, among others. Disney has granted rights to more
than 8,000 businesses to use our intellectual property in the manufacture of
such products. Some of these licensees are large, even global, companies and
retailers, while many others are medium-sized and small companies located
around the world.
• The majority of Disney-branded products are manufactured by licensees,
managed by Disney Consumer Products (DCP). Studio Entertainment, Parks
and Resorts, Media Networks and Disney Internet Media Group also source
Disney merchandise for retail sale or for promotional purposes through
licensee and vendor relationships.
Supply Chain Characteristics
Major BU initiatives
• DC Operations (Warehousing)
stores the inventory that cannot be immediately
and profitably consumed by the customer
“Show Business” Supply Chain
I - Customer Response: Focus first on the guest
• Study the demand and set the appropriate
customer service.
• Determine demand through forecasting and
market trends.
• Measure performance through feedbacks and
guest satisfaction measures.
II – Inventory Management:
Balancing guest, show, and profitability
• Planning mixture:
– Life cycle management
– Optimization “making what works, work for us”
• Location optimization
• Develop in-house advanced business solutions
III – Sourcing:
combination of sourcing strategy to manage global
volume and costs.