Dec 09 2024 17 mins
In Episode 231 of Anecdotally Speaking, discover how Bob Iger used a simple story to drive a billion-dollar turnaround at Disney.
In Episode 231 of Anecdotally Speaking, Shawn shares a story from Bob Iger, former CEO of Disney, about the power of small stories in big settings.
In his first board meeting, Iger used a parade at Hong Kong Disneyland to illustrate the dire state of Disney Animation, setting the stage for a pitch that led to the 7.4 billion dollar acquisition of Pixar.
This episode highlights the effectiveness of everyday stories in leadership, decision-making, and inspiring change.
Shawn and Mark discuss why small stories resonate, their use in critical moments, and finding indicators of success or failure in business.
For your story bank
Tags: Storytelling, Change, Leadership, Strategy
This story starts at 1:09
In 2005, Bob Iger became the CEO of Disney. It was a big moment, as Disney had just gone through 20 years of leadership under Michael Eisner. Iger’s first board meeting was a highly anticipated event, with people eager to see what fresh ideas he would bring to the table.
That first meeting was an evening gathering. Iger had prepared by having his team conduct an in-depth analysis of Disney’s performance, with a particular focus on Disney Animation, which had been struggling. Standing in front of the boardroom, with all the executives seated around the table, he began bluntly:
“As you know, Disney Animation is a real mess.”
The room was silent. Iger had their attention. Instead of diving into dry financials and metrics, he shared a simple story. He told them about attending the opening of Hong Kong Disneyland two weeks earlier.
Iger described standing on Main Street in the scorching heat, watching the grand parade of Disney characters. He pointed out that it was a classic Disney line-up: Snow White, Cinderella, Peter Pan, The Little Mermaid, Beauty and the Beast, Aladdin, The Lion King, and even some Pixar favourites like Toy Story and Monsters, Inc.
He then turned to his colleagues who were with him at the time and asked, “Do you notice anything about this parade?”
They looked but didn’t see what he was getting at.
Iger explained, “There are barely any Disney characters from the last 10 years.”
In his book, The Ride of a Lifetime, Iger wrote that this simple observation encapsulated the problem Disney Animation was facing. Their recent films weren’t resonating with audiences, and it was glaringly obvious when their parade had no memorable characters from the past decade.
To drive the point home, Iger dimmed the lights and displayed a slide listing the animated films Disney had produced in the last 10 years: The Hunchback of Notre Dame, Hercules, Tarzan, Fantasia 2000, The Emperor’s New Groove, Treasure Planet, and Brother Bear. Most of the board hadn’t even heard of these films.
Iger then revealed the financial impact:
“We’ve spent over a billion dollars making these movies and lost over $400 million.”
With that foundation, he pitched a bold solution—acquiring Pixar. The move wasn’t an easy sell, as Pixar was highly valued and the acquisition would cost $7.4 billion. But Iger believed it was essential to revitalise Disney Animation.
The acquisition went through in early 2006, and it was just the beginning. Iger later led Disney in acquiring Marvel, Lucasfilm, and 21st Century Fox, transforming the company into a creative powerhouse.
By the end of Iger’s tenure (or what he thought was the end in 2020, as he returned in 2022), Disney’s share price had risen from $23 to $140, and its market value had grown from $48 billion to $250 billion.
In Episode 231 of Anecdotally Speaking, Shawn shares a story from Bob Iger, former CEO of Disney, about the power of small stories in big settings.
In his first board meeting, Iger used a parade at Hong Kong Disneyland to illustrate the dire state of Disney Animation, setting the stage for a pitch that led to the 7.4 billion dollar acquisition of Pixar.
This episode highlights the effectiveness of everyday stories in leadership, decision-making, and inspiring change.
Shawn and Mark discuss why small stories resonate, their use in critical moments, and finding indicators of success or failure in business.
For your story bank
Tags: Storytelling, Change, Leadership, Strategy
This story starts at 1:09
In 2005, Bob Iger became the CEO of Disney. It was a big moment, as Disney had just gone through 20 years of leadership under Michael Eisner. Iger’s first board meeting was a highly anticipated event, with people eager to see what fresh ideas he would bring to the table.
That first meeting was an evening gathering. Iger had prepared by having his team conduct an in-depth analysis of Disney’s performance, with a particular focus on Disney Animation, which had been struggling. Standing in front of the boardroom, with all the executives seated around the table, he began bluntly:
“As you know, Disney Animation is a real mess.”
The room was silent. Iger had their attention. Instead of diving into dry financials and metrics, he shared a simple story. He told them about attending the opening of Hong Kong Disneyland two weeks earlier.
Iger described standing on Main Street in the scorching heat, watching the grand parade of Disney characters. He pointed out that it was a classic Disney line-up: Snow White, Cinderella, Peter Pan, The Little Mermaid, Beauty and the Beast, Aladdin, The Lion King, and even some Pixar favourites like Toy Story and Monsters, Inc.
He then turned to his colleagues who were with him at the time and asked, “Do you notice anything about this parade?”
They looked but didn’t see what he was getting at.
Iger explained, “There are barely any Disney characters from the last 10 years.”
In his book, The Ride of a Lifetime, Iger wrote that this simple observation encapsulated the problem Disney Animation was facing. Their recent films weren’t resonating with audiences, and it was glaringly obvious when their parade had no memorable characters from the past decade.
To drive the point home, Iger dimmed the lights and displayed a slide listing the animated films Disney had produced in the last 10 years: The Hunchback of Notre Dame, Hercules, Tarzan, Fantasia 2000, The Emperor’s New Groove, Treasure Planet, and Brother Bear. Most of the board hadn’t even heard of these films.
Iger then revealed the financial impact:
“We’ve spent over a billion dollars making these movies and lost over $400 million.”
With that foundation, he pitched a bold solution—acquiring Pixar. The move wasn’t an easy sell, as Pixar was highly valued and the acquisition would cost $7.4 billion. But Iger believed it was essential to revitalise Disney Animation.
The acquisition went through in early 2006, and it was just the beginning. Iger later led Disney in acquiring Marvel, Lucasfilm, and 21st Century Fox, transforming the company into a creative powerhouse.
By the end of Iger’s tenure (or what he thought was the end in 2020, as he returned in 2022), Disney’s share price had risen from $23 to $140, and its market value had grown from $48 billion to $250 billion.