Abstract

The case examines the measures taken by the UK-based British Broadcasting Corporation (BBC) under the leadership of Director General Mark Thompson, after its editorial and complaint investigation processes were found defective in the Hutton Report. The case discusses the need for restructuring the BBC by Thompson and the organizational changes that were made by his predecessors. It explains the steps taken by Thompson to simplify the organizational structure and prepare the BBC for the digital transformation (shifting from analog to digital transmissions) by 2012. The case puts forth the issues raised by the UK government during the Charter Review and the BBC's response to overcome them. It also discusses Thompson's Creative Future strategy aimed to attract young audience, improve BBC's programming content and prepare the BBC for the digital future. The case also presents the views of analysts on Thompson's efforts and funding of the BBC through license fee.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Understand how a public broadcaster has failed to transform itself in the light of rapidly changing business environment in the media industry
• Understand the importance of having a simpler organizational structure
• Examine the role of IT and the Internet in the media industry
• Understand how lack of innovation, differentiation and customization affect a broadcaste
• Appreciate the need for visionary leadership in a highly competitive and dynamic industry.

Keywords

BBC, Digital Transformation, Mark Thompson, Greg Dyke, Organizational Restructuring, Public Sector, Innovation, Change Management, Hutton Report, Organization Structure, Neil Report, Transparency, License Fee, Creative Future, Performance Measurement