A case study.

A CASE STUD

As you read this case account consider the following 1. Refer to the change kaleidoscope and identify the contextual constraints and enables affecting the changes that Erick Thohir and his management team want to implement 2. Based on your analysis of the context, what advice can you give to Erick Thohir and his team about the chance implementation design options that they should consider 3. Also based on your content analysis, wat major mistakes would you advise them to avoid when implementing the proposed changes? The Background The Indonesian business tycoon Erick Thohir acquired a 70 pereen share in the famous Italian focallu r Milena 2013. The previous owner of Inter Milan Massimo Mori retained the remaining share. Their thus became the first Indonesian business to buy a leading European team, and only the second foreign owner of a top Italian club. A sports fan, Thohir had previously set up the Indone ha a l association, but then he became interested in US sports which are much more business-oriented. He invested in the Philadelphia 767 basketball team in 2011. and in the Washington major league soccer cam DC United in 2012 The Problem In 2013. Inter Milan had animated prewal of around 375 million but was heavily in debt. Inter Milan had won five Italian championships between 2006 and 2010, also won the Champions League in 2010. Since then however, the team's performance had been poor, fing only fifth in Italy's premier league known as Series A) between 2011 and 2013. The team's fans were disappointed The club culture was heavily italo-centric. wsing Italia players and management Italy Handre forhall fanshe "ultras" had a reputation for xenophobia, mcism. and violence. In 2011 with 169 million in revenues, the club dropped to fifteenth in the Football Money care produced by the accounting group Deloitte The Series Alcapuchada reputation for being corrupt and mand-looking and it was only now opening up to overseas investment Fow clubs de significant profits, and ageing stadiums were not suitable for families and corporate hospitality Inter Milan was one of six teams under investigation by the governing body, the Union of European Football Association (UEFA) for breaching "financial fair play rules. The Solution As the new owner Thohir wanted to develop a different approach to running the club: Football is changing. I want to use the US model, where sport is like the media business with income from advertising and content, mixed with the consumer goods industry selling jerseys and licensed products. Tho 's goal was to barn Milan into one of the world's 10 biggest revenue gener clubs. However, he had to change the club's organization culture, as well as fixing the finance. He decided to British and American ences with experience in medias well as sport. Michael Bolingbroke, previously chicf operating officer al Manchester United one of the most profile football clubs in the world, was appointed as chief executive Thohir recruited a marketing director from Apple iTunes a head of global partnership from the US, sports and culem ent group AEG, and a chief financial officer o D.C. United Inter Milan had 250 million fans around the world. 60 percent of whom were in Asia, with 18 million in Indonesia alone. Thohir and is now m apement team therefore, wanted to focus on Asia, where Imer Milan was so as popular with middle class football fans as Manchester United. Liverpool, and Real Madrid Thor wrong opportunities Asia to develop the Inter Milan band increase merchandise sales, sign country-based sponsorship deals, and generate more revenue from clos e to When he recruited Nemanja Vidic from Manchester United in 2014, Inter Milan fans asked what this apcing defender could do for their club. The answer was that Vidic was a good brand for the Asian market. The management team asked "Will this player help us compete on the field, and what about on the marketing side? Considering the pressure from fans and the Italian sporting media. Their commented Whe you're standing on top of the Will the windows hard