Essay on Eisner 's Own Decisions And Actions

Essay on Eisner 's Own Decisions And Actions

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While in the chairman role, Eisner always promoted his own decisions and actions. Also, the rest of the directors had sizable conflicts of interests, which may have stopped board members from asserting themselves against Eisner, despite their duty to act in the foremost interest of all shareholders. Quite a few of the directors had their children employed by the company. They may have feared for their jobs, back pay, severance, or any other compensation due to them in ending employment at Disney. Other board members relied on Eisner because Eisner’s sons went to their schools and could have feared retribution regarding the circumstances regarding Eisner donations to their schools or damage to the school’s reputation, if the board members were to disagree with Eisner.
With Mitchell in place as chairman instead of Eisner, this new arrangement seemed to work fine for a few months. However, in September of 2004, Eisner submitted a letter to the board indicating his intention to retire when his contract was up on September 30, 2006. Along with his retirement intentions, he included a succession plan that named Bob Iger, Disney 's President and Chief Operating Officer since 2000, as the new CEO. Eisner offered that he was proud of the accomplishments of his 20-year tenure and offered that Disney was “now poised for its brightest days in the years ahead under the able and insightful leadership of Bob, who has not only the qualities to succeed, but also has a keen sense of the Disney brand and how to maintain its leadership position and grow it on a worldwide scale” (Downes, Russ, & Ryan, 2014). In the end, it seems Eisner felt it was best to bow out of his role as CEO, perhaps realizing that the task of leading the company through a tra...


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...ing the CEO role, he will continue to serve as executive chairman of Disney 's board through June 30, 2016. Many media outlets such as the Huffington Post (Richwine, 2011) had been covering Bob Iger’s succession plans, speculating that Iger was grooming Thomas Staggs as his successor. Staggs had been with the company since 1990, most recently as head of the parks and resorts division of Disney. He has also been the company 's chief financial officer. He assumed the role of COO immediately, the role had been vacant since Iger became CEO in 2005. He will keep leading the parks and resorts division until a successor is named. This seems to have been true to form, as five years later “The Walt Disney Company on Thursday named Thomas Staggs as chief operating officer, an indication that the company might be planning a successor for CEO Bob Iger (Associated Press, 2015).”

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