A powerful and instantly recognized global brand has been a key feature of lego. This case describes the lego groups journey to become a successful. It was 2003 and the lego group, one of the most famous toy producers in the world, was on the brink of a gigantic crisis. Got it lego group is not new in the toy industry and they are well aware of the requirements of the target market. Learning more about creativity and innovation from lego. Oct 05, 2016 lego case analysis and recommendations 1. The lego case study, the great turnaround 2003 20 john ashcroft. Lego group meets with its consumers and allows them to. Outsourcing case study find, read and cite all the research you need on researchgate. Apr 11, 2016 lego case study the great turnaround 1. Given the information from the lego case study 5 and broad information. Lego group case study scenario planning innovation scribd. Transforming the lego group for the digital economy mit ctl.
Today, it stands high as a global player among other. In order to do this lego group are involving the consumers in their market research on a new level. Innovation management based on proactive engagement of customers. Usually, the design team is locked inside the ideas room with no contact with the rest of the world until it delivers the idea that gets approved by the client or project manager. Many of its innovation effortstheme parks, clikits craft sets marketed to girls, an action figure called galidor supported by a television. Welcome to this short introduction to lego group, the case study for this module. An outsourcing journey case study solution, in recent years, and an adventurous journey from 2004 to 2009 he taught the fifthlargest toy maker in the world the company lego group. The current case study approach continues the first part of the paper highlighting the lego group company and the innovation management, where there were analysed the history of the company and management team, companys organizational products and services, the philosophy of the company.
Im guessing that many of you may have enjoyed playing with building block toys in your childhood. An outsourcing journey case solution, the lego group the importance of managing the global supply chain effectively the last few years rather adventurous journey from 2004 to 2009 had taught. The case describes lego gradual rise, rapid decline, and the recent revival as to keep up with a changing market. Many companies and design agencies tend to look at the design and creativity stage from a narrow perspective.
Not all was well in legoland as would prove to be the case in the following year. The lego group was established in 1932 in denmark by ole kirk christiansen. Lego group wants children of all ages to create something of their own and to take ownership of the brand zeitgeistminds, 2011. Lego group is the world fourth producer of play materials and fifth largest producers of toys. It was a challenging time for the company and, given the role that lego played in most current students childhood years, we found it to be a great case topic. Lego lego is a privately held consumer product company engaged in the manufacture and distribution of a wide range of toys, video games and online games. But managing the enterprise has not always been fun and games. Innovation management at lego group g rusu and s avasilci lego lhc the lego brick collider recent citations frode heldal et al this content was downloaded from ip address 157. To write an emphatic case study analysis and provide pragmatic and actionable solutions, you must have a strong grasps of the facts and the central problem of the hbr case study. Pdf on may 1, 2019, robert kolowitz and others published lego group. Only in 1958, godtfred kirk christiansen, son of the company founder, created the lego brick, later praised toy of the century, by both fortune magazine and the british association of toy retailers 1, 2. Pdf the impact of digitalization on international companies. Lego group, marketing and operation management report essays.
A complete set of slides in keynote, powerpoint and pdf format are available from the website. Lego group is a family business that started in 1932 making wooden toys in the. Lego toys have captivated children and their parents for 80 years. Multinational corporation founded in 1932 in jutland, denmark 7000 employees worldwide by 2009, 5th largest manufacturer of toys by sales volume products sold in more than countries products. Innovation management based on proactive engagement of. The case describes lego s gradual rise, rapid decline, and recent revitalization as it is keeping up with a changing market place. Recommendation how should lego adapt to compete in the surging digital era. The company ran one of the largest injectionmolding operations in the world, with more than 800 machines, in its danish factory, yet the production teams operated as hundreds of independent toy shops. This bibliography was generated on cite this for me on wednesday, february 1, 2017.
Case studies 20 joe tidd, john bessant 1 lego the danish company lego is one of the most famous brands in the world when it comes to childrens toys and has grown since it was founded in 1932 into a global business. There first toys included wooden vehicles, yoyos, pullalong animals, and wooden blocks. Lego occupies a strong position in the toy industry as it occupies manufacturing plants that are used by them for the construction of toys. Play and creativity have been at the heart of the lego group since its founding in 1932. In this category of toys, lego is easily the most successful and prominent brand. Apr 27, 2018 the humble lego brick is celebrating its 60th anniversary this year. Publish or protect case solution, senior executives within the lego group faced a dilemma. Chief marketing officer julia goldin explains how the toy brand has stayed at the top of childrens wish lists, in spite of. The world prominent toymaker, the lego group lego, assembles an inner management team to develop a tactical report on legos distinct product lines and business operations. This case was written for the purposes of class discussion, rather than to illustrate either effective or ineffective handling of a managerial situation. Outsourcing case study find, read and cite all the research you. The lego case study, home page, corporate strategy.
Pdf innovation management based on proactive engagement. Play and creativity have been at the heart of the lego group. Lego group case study strategic management macroeconomics. The lego group case study 2 political global companies such as lego are usually affected by various political factors. Lego bricks are core products preschool creative building play themes. Only in 1958, godtfred kirk christiansen, son of the company founder, created the lego brick, later praised toy of the century, by both fortune magazine and the british association of. Innovation at the lego group a by david robertson on prezi. Aug 29, 2007 as was the case with sourcing, the lego group gained limited advantage from its scale in the way it organized its production facilities.
These are the sources and citations used to research lego case study. Center for information institute of systems research. Building strategy case solution at is the number 1 destination for getting the case. Agile transformation in lego s two large digital departments has improved responsiveness of digital deliveries, and. Lego group is not the same as they were in the past. An overview of how the lego group almost went bankrupt in 2003. Sustainability and sustainability driven innovation in. After lego met with failure in its innovative toys and diversification into other areas like theme parks, action figures like galidor and craft sets known as clikits, it had to come up with an innovative strategy that will. Central to lego s management model is the ability to find the right balance among growing through innovation, staying true to its core, and controlling operational complexity. The lego group is a toymanufacturing company which is based in billund, denmark. The case study is focused on analysing companys innovation management and its policies, concerns and interventions regarding open innovation. Political factors in a given country or regional block play a crucial role in the regulation of business activities with. Lego case solution and analysis, hbs case study solution.
Lego case study lego the way the world plays an introduction. Once a project goes into crisis mode and stress increases, creativity is given an even more limited role. Building strategy case study solution, introduction lego group is a demark toy manufacturing company which was founded by the kirk kristiansen in i934. It has since grown into a modern, global enterprise that. This case study was prepared by peter andersen of aarhus university and jeanne w. Transforming the lego group for the digital economy mit cisr. Five years ago, the lego group was near bankruptcy. Lego group meets with its consumers and allows them to visit the company and offer their ideas. Should patenting inventions that come out of his work on. The company was forced to take a hard look at every facet of the operation including costs, overheads, margins, sales, marketing and the product offer. Begin slowly underline the details and sketch out the business case study description map. The lego group analysis in this assignment the lego group are examined by using a pestel analysis turner, s. Its a fascinating company history and one i started learning more about when as a tourist i first visited billund, in denmark, the home of lego groups head office and legoland.
In 2004 the lego group would have to take radical new steps to tackle its most serious. Ross of the mit sloan center for information systems research cisr. This case study analysis looks at the lego groups strategic direction and the battle of the block makers in particular mega bloks. Building strategy free download as powerpoint presentation. Harvard business case studies solutions assignment help. How do you think the changes that lego made will reshape the firm for the long term. Lego group referred to simply as lego provides a unique case study to explore this claim further, as well as an indepth study of a novel approach to managing an agile transformation. How can lego premium prices compete in the toy market. Also available the financial slides available as a pdf or as a powerpoint or keynote. Lego outsourcing journey enterprise resource planning.
Of central importance for the lego management model is the ability to find the right balance between growing through innovation, true to his core and control of operational complexity. Resource based view and porters five forces analysis. Create the next lego social campaign lego free to play mobile gaming. As was the case with sourcing, the lego group gained limited advantage from its scale in the way it organized its production facilities. This case describes the lego groups journey to become a successful digital company. Its a fascinating company history and one i started learning more about when as a tourist i first visited billund, in denmark, the home of lego group s head office and legoland. Management team and history lego lego group is a privately held company, a property of the kirk kristiansen family, who. The lego group case study 2 the lego group case study brief history of the lego group the lego group was founded in 1932, when ole kirk kristiansen, a danish carpenter, together with his sons began to make wooden toys following a decline in the demand for furniture. Lego group building strategy iss 509e marketing management 05. A presentation on the growth of lego in the face of competition and takeovers.
Olga grishko, willie macatee, fallon murphy lego company overview. The lego case from john ashcroft and company, experience worth sharing. Paper open access related content innovation management based. The humble lego brick is celebrating its 60th anniversary this year. Lego group responsible business principles introduction and summary at the lego group, we want to be responsible towards children, people and the environment and to have a positive impact on society and the planet our children will inherit. Lego group is a family business that started in 1932 making wooden toys in the city of billund, denmark. Any registered, loggedin user of the website can read many mit cisr working papers in the webpage from 90 days after publication, plus download a pdf of the publication. Thomke explains the lessons behind a new case on the company. Seminar assignments lego case study mgmt3347 uwa studocu.
May 01, 2019 pdf on may 1, 2019, robert kolowitz and others published lego group. How its marketing strategy made it the worlds favorite toy. It was founded in 1932 by ole kirk kristiansen, initially a small carpenters workshop lego group, 2011. Lego case study 2012 profit for the year the lego groups profit for the year amounted to dkk 5,6 million in 2012 against dkk 4,160 million in 2011, which is a higher increase than expected at the beginning of the year. Lego is one of the top toy manufacturers in the world. Lego group responsibility report 2014 we had zero product recalls for the fifth consecutive year, strength ened our overview of communication with children, and established a partnership with unicef to promote childrens rights. Political factors include laws, government policies, and the administrative orientations adopted by different countries as well as regional economic blocks. An outsourcing journey case study solution, in recent years, and an adventurous journey from 2004 to 2009 he taught the fifthlargest toy maker in the world the company lego group the importance. Lego group, marketing and operation management report. Lego case study businessmarketing bibliographies cite. This short presentation of the lego group 20 is available here or from the lego newsroom. Sep 20, 2014 lego case study case overview lego group a brick based toy making company founded in 1932 during the great depressionas a small carpenters workshop ole kirk kristiansen build stepladders, iron boards and wooden toys hq billund, jutland in denmark 1934 kirks son joined godtfred kirk lego means.