ORLANDO, Fla.—How does Disney do it? By over-managing.
“It” is the famed ability to consistently deliver “Disney magic,” and that question is the one company executives get most often, according to one such exec who offered some insights into the company’s “secret sauce.”
According to Susan Pearsall of the Disney Institute, which was formed to share the company’s best practices, it all comes down to this: “Disney’s consistent business results from over-managing certain things that most companies undermanage or ignore and that is a key source of what differentiates us. We have learned to be intentional where others are unintentional.”
Speaking to NACUSO’s annual meeting here, Pearsall acknowledged that the word “over-managing” immediately brings to mind the negative “micro-managing.” But there is a difference, she said.
‘Fanatical Amount of Time on Detail’
“Disney spends an enormous amount of time, a fanatical amount, thinking about detail,” said Pearsall. “This is the secret sauce. We do all the things you do, hire people, pay them, service customers. What we try to do is over-manage all the processes so we don’t have to micromanage our people. We take processes like leadership, how we hire people, et cetera, and we over-manage that at a fanatical level of detail. I will tell you this is not an easier way to run your business. You have to really do a lot of work ahead of time.”
As an example of that detail, Pearsall pointed to the Festival of the Lion King in Animal Kingdom. That show includes Eleanor the Elephant, a minor character in a cast of many. “We worry about having a person in that puppet to make sure the eyes blink,” said Pearsall. “Eleanor is a cast member, and you might ever have realized that she was there or that her eyes were blinking. Why do we over-manage that small detail of entertainment? If we want to bring you into our fantasy, we can’t have you reminded of reality that Eleanor is a stiff puppet.”
Pearsall called Eleanor a metaphor for what over-management really means.
Integrated with that philosophy of over-management is the Disney Circle of Excellence, and its five components: Culture. Service. Innovation. Brand. Leadership.
Pearsall offered five overarching themes to credit unions on how to over-manage their own organizations to achieve the kinds of outcomes Disney does at its properties. Those include:
1. When it comes to creativity, the key to business innovation is the ongoing integration of inherent personal creativity with intentional organizational innovation processes.
To translate that, Pearsall said, “We believe at Disney that everyone comes to us with inherent levels of creativity, and we have to make sure that our organizational processes do not get in the way.”
She stressed that by definition this is a give and take process, because not every idea is one that is going to be executed. “But we have to be inordinately careful that are processes don’t shut down creativity because that idea wasn’t used.”
2. While big ideas are important, the vast majority of innovations are incremental improvements, rising from creativity embedded in ongoing work.
Pearsall cited some of the suggestions that have come from Disney cast members as examples of how the company has made improvements at its parks, hotels, etc.
3. Creativity tools must be highly concerned with protecting fragile ideas, but much less concerned with protecting the personal sensitivities of contributors.
Pearsall acknowledged that point can seem counterintuitive. The key, she said, is to have processes around idea generation to ensure the fragility of ideas is protected. “How easy is it to kill an idea? Often it just takes the body language of a leader to shut it down,” said Pearsall. “We don’t want to shut down an idea before its time.”
This is the stage in which brainstorming takes place, said Pearsall, who offered the following guidelines for productive brainstorming:
- Someone must guide the discussion. “Here’s a tip; choose someone who is not attached to the project. They don’t have any skin in the game, they act like a scribe. They just capture, they don’t have any body language.”
- Someone must take notes. “This is often forgotten. You come up with terrific ideas and 30 minutes later it’s ‘What did we just say?’”
- Clearly state the goal. “We often don’t talk budget or time frame at this point. Here we just want to know where this fits in the brand promise.”
- Criticism is not permitted. “That’s the one guideline that most people have had drilled into their heads, and there’s a reason for it.”
- Unusual ideas are welcomed. “You can always bring it back to the real world. Let them reach for the stars.”
- Quantity is wanted. “Linus Pauling had a very simple quote: ‘If you want a great idea, you need a lot of ideas.’ More is better. Don’t shut down anything.”
- Combination and improvement are sought. “Make sure your culture is open so people are contributing ideas.”
“Brainstorming has a bad rap, and one of the reasons is it isn’t done well,” said Pearsall. “We find brainstorming as a tool for idea generation to be unparalleled. If we can be more systematic and over-manage our processes for idea generation, as you move into idea execution you will be in a better place.”
Another key: too many companies make mistake of thinking that the brainstorming sessions is also the execution discussion, said Pearsall. “This is just pure ideation.”
4. Storytelling is an essential strategy for the communication of new ideas. People are much more engaged and inspired by information presented through compelling narratives.
“For too many of us we think of storytelling as kind of weak,” acknowledged Pearsall. “It’s been proven time and time again that people remember stories better than a chart or a graph. The concept is what engages people to figure out how they fit in. For us to be able to connect with an organization, through something we probably do almost unconsciously every day, is incredibly powerful.”
What are stories? Pearsall offered five types of business stories.
- Who I Am. Reveal a flaw, e.g., fallible characteristic or a successful failure. “This is particularly powerful when taking over a new team; it allows you to express that you are a human and put people at ease that you don’t expect perfection. Sometimes it’s just a story that illustrates ‘how did I get here.’
- Teaching. “Demonstrate purpose and teach a lesson.”
- Vision. Inspire hope, stimulate action, or raise morale. “I think this is one of the most powerful words that we as leaders have.”
- Values in Action. Define a value that shows what your organization stands for.
- I Know What You’re Thinking. Acknowledge others’ opinions; show respect for other viewpoints while persuading others to your point of view.
5. Include these essential elements of storytelling to better communicate on an idea.
Those essential elements, said Pearsall, include:
* Structure. “This is very basic. You need a beginning, a middle, and an end. And please don’t tell a story unless you know how it’s going to end.”
* Flow. “You don’t want people to get lost in your story. If it’s an important story, practice.”
* Dynamic Tension. “This is body language, how you modulate your voice. This is the ‘Stay tuned, we’ll find out.’”
* Character. “Remember the little details. A story only works when you make an emotional connection, and your characters will hide a multitude of sins.”
* Tone. “What is it you should be feeling, what your audience should be feeling.”
* Mood. “The mood is what I leave you with when I finish with my audience. It might be transformational.”
