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Harvard Case - Jeffrey Dunn and Sesame Workshop: Bringing Big Bird Back to Health

"Jeffrey Dunn and Sesame Workshop: Bringing Big Bird Back to Health" Harvard business case study is written by Rosabeth Moss Kanter, Ryan L. Raffaelli, Jonathan Cohen. It deals with the challenges in the field of General Management. The case study is 27 page(s) long and it was first published on : Jan 6, 2017

At Fern Fort University, we recommend Sesame Workshop adopt a multifaceted approach to revitalize its brand and ensure its long-term sustainability. This strategy involves a combination of strategic partnerships, content innovation, and a renewed focus on digital platforms. By leveraging its strong brand equity and adapting to the evolving media landscape, Sesame Workshop can effectively bring Big Bird back to health and continue its mission of educating and entertaining children worldwide.

2. Background

Sesame Workshop, the non-profit organization behind the beloved children's television program 'Sesame Street,' faces a complex challenge. The organization's iconic characters, including Big Bird, Elmo, and Cookie Monster, have entertained and educated generations of children. However, Sesame Workshop faces a changing media landscape, with increased competition from digital platforms and a need to remain relevant to a new generation of viewers.

The case study focuses on Jeffrey Dunn, the newly appointed CEO of Sesame Workshop, who is tasked with revitalizing the organization and ensuring its continued success. Dunn must navigate the complexities of managing a non-profit organization, address declining viewership, and adapt to the evolving media landscape.

3. Analysis of the Case Study

The case study highlights several key challenges facing Sesame Workshop:

  • Declining Viewership: Traditional television viewership is declining, particularly among younger audiences who are increasingly engaging with digital content.
  • Competition: Sesame Workshop faces competition from a wide range of digital platforms, including streaming services, YouTube channels, and mobile apps, all vying for children's attention.
  • Funding Challenges: Sesame Workshop relies heavily on grants and donations, making it vulnerable to economic downturns and changes in philanthropic priorities.
  • Maintaining Brand Relevance: Sesame Workshop needs to adapt its content and distribution strategies to remain relevant to a new generation of children who are exposed to a vastly different media landscape.

To address these challenges, we can apply the SWOT analysis framework:

Strengths:

  • Strong Brand Equity: Sesame Workshop boasts a globally recognized brand with a strong reputation for educational and entertaining content.
  • Experienced Team: The organization has a dedicated team with expertise in children's education, media production, and marketing.
  • International Reach: Sesame Workshop's programs are broadcast in over 150 countries, providing a significant global audience.
  • Non-Profit Mission: The organization's commitment to educational and social impact resonates with donors and partners.

Weaknesses:

  • Dependence on Traditional Media: Sesame Workshop's reliance on television broadcasting limits its reach to younger audiences who are increasingly consuming digital content.
  • Limited Digital Presence: The organization's digital presence, while growing, lags behind competitors in terms of engagement and content innovation.
  • Funding Volatility: The organization's reliance on grants and donations creates financial instability and limits its ability to invest in long-term growth strategies.

Opportunities:

  • Growth of Digital Media: The rapid growth of digital platforms presents a significant opportunity for Sesame Workshop to expand its reach and engage with new audiences.
  • Global Expansion: The organization can leverage its international reach to develop new programs and partnerships in emerging markets.
  • Strategic Partnerships: Collaborating with technology companies, educational institutions, and other non-profits can help Sesame Workshop access new resources and expand its reach.
  • Content Innovation: Developing engaging digital content, including interactive games, educational apps, and social media campaigns, can attract a wider audience and enhance the organization's educational impact.

Threats:

  • Increased Competition: The digital media landscape is highly competitive, with numerous players vying for children's attention.
  • Changing Consumer Preferences: Children's media consumption habits are constantly evolving, requiring Sesame Workshop to adapt its content and distribution strategies.
  • Economic Uncertainty: Economic downturns can impact funding for non-profit organizations, potentially affecting Sesame Workshop's operations.
  • Technological Disruption: Rapid advancements in technology can create challenges for Sesame Workshop in keeping its content and platforms up-to-date.

4. Recommendations

To revitalize its brand and ensure long-term sustainability, Sesame Workshop should implement the following recommendations:

1. Embrace Digital Transformation:

  • Develop a comprehensive digital strategy: This strategy should encompass content creation, distribution, and engagement across multiple platforms, including streaming services, mobile apps, and social media.
  • Invest in digital content innovation: Create engaging and interactive digital content, such as educational games, interactive stories, and animated videos, tailored to the interests and learning styles of young audiences.
  • Leverage data analytics: Track user engagement and feedback to optimize content and platform performance.
  • Explore new technologies: Investigate the potential of emerging technologies, such as virtual reality (VR) and augmented reality (AR), to enhance the educational experience.

2. Build Strategic Partnerships:

  • Collaborate with technology companies: Partner with leading technology companies to develop innovative educational apps, games, and interactive experiences.
  • Engage with educational institutions: Partner with schools and universities to create curriculum-aligned content and provide professional development opportunities for educators.
  • Form strategic alliances with other non-profits: Collaborate with organizations focused on child development, literacy, and other social causes to expand reach and impact.

3. Reimagine Content and Programming:

  • Develop new content formats: Explore innovative content formats, such as short-form videos, interactive stories, and educational games, to appeal to a wider audience.
  • Incorporate contemporary themes: Address contemporary issues and challenges faced by children, such as diversity, inclusion, and social-emotional learning, in a relatable and age-appropriate manner.
  • Reimagine classic characters: Update the look and feel of iconic characters, such as Big Bird and Elmo, to appeal to a new generation of viewers while maintaining their core values and personalities.
  • Explore new markets: Develop culturally relevant content for emerging markets, leveraging local partnerships and talent.

4. Enhance Funding Strategies:

  • Diversify revenue streams: Explore new revenue streams beyond traditional grants and donations, such as licensing agreements, merchandise sales, and corporate sponsorships.
  • Develop a robust fundraising strategy: Implement a comprehensive fundraising strategy that includes online giving platforms, donor events, and targeted outreach to potential supporters.
  • Seek strategic investments: Explore opportunities for strategic investments from philanthropists, foundations, and venture capitalists.

5. Basis of Recommendations

These recommendations are based on the following considerations:

  • Core Competencies and Mission: The recommendations align with Sesame Workshop's core competencies in children's education, media production, and marketing. They also support the organization's mission of educating and entertaining children worldwide.
  • External Customers and Internal Clients: The recommendations address the needs of both external customers (children and families) and internal clients (educators, parents, and donors).
  • Competitors: The recommendations acknowledge the competitive landscape and aim to differentiate Sesame Workshop by leveraging its unique brand equity and content expertise.
  • Attractiveness: The recommendations are expected to enhance Sesame Workshop's financial sustainability by diversifying revenue streams, expanding reach, and increasing engagement.

6. Conclusion

By embracing digital transformation, building strategic partnerships, reimagining content and programming, and enhancing funding strategies, Sesame Workshop can effectively revitalize its brand and ensure its long-term sustainability. These recommendations will enable the organization to continue its mission of educating and entertaining children worldwide, ensuring that Big Bird and the other beloved characters remain relevant and engaging for generations to come.

7. Discussion

Alternative Options:

  • Focusing solely on traditional television: This option would be a risky strategy, as it would fail to address the decline in viewership and the growth of digital media.
  • Merging with another media company: This option could provide access to resources and expertise, but it could also compromise Sesame Workshop's non-profit mission and brand identity.

Risks and Key Assumptions:

  • The success of digital transformation depends on the organization's ability to adapt to the rapidly evolving media landscape. Sesame Workshop needs to invest in talent, technology, and content innovation to stay ahead of the curve.
  • Strategic partnerships require careful selection and management. The organization needs to ensure that partners share its values and commitment to educational and social impact.
  • Reimagining content and programming requires a deep understanding of children's interests and learning styles. Sesame Workshop needs to conduct thorough research and engage with target audiences to ensure its content resonates.

8. Next Steps

  • Develop a detailed implementation plan: Outline specific actions, timelines, and resources required to implement the recommendations.
  • Establish a dedicated team: Assemble a cross-functional team to oversee the implementation of the strategy.
  • Communicate the strategy to stakeholders: Engage key stakeholders, including donors, partners, and staff, to ensure buy-in and support.
  • Monitor progress and make adjustments: Regularly track progress against key performance indicators (KPIs) and make adjustments as needed.

By taking these steps, Sesame Workshop can effectively navigate the challenges of the evolving media landscape and ensure its continued success in educating and entertaining children for generations to come.

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Case Description

Sesame Workshop was transforming in 2016. CEO Jeff Dunn had reorganized and shifted the iconic institution to respond to digital disruption and a consensus culture. This case examines his efforts to turn Sesame Workshop around. It notes Sesame's storied history and the underlying financial troubles that Dunn confronted upon taking over in 2014. It shows how Dunn's leadership changes, increased communication, new partnership deals, and a focus on digital, sought speed, innovation, and accountability to better fulfill Sesame's educational mission. By 2016, Sesame was in the middle of its change, and Dunn contemplated how best to position the organization for success in the future.

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