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Organizational Study on Cirque de Soleil, Research Paper Example

Pages: 13

Words: 3576

Research Paper

Introduction

According to Reid (2012), Cirque Du Soleil Inc. was founded in 1984 to serve citizens who wanted to celebrate the 450th anniversary of Jacques Cartier’s discovery of Canada. The company has its head office in Montreal, Canada. It is a creative content provider offering seasonal shows, touring shows, resident’s shows and arena shows beside live recordings, documentaries, television series, films and sound tracts, compilations and TapisRouge. The content provision is done at resident show boutiques and on the internet.

In July 2013 Cirque Du Soleil, Inc and Brand USA announced a partnership which has developed an innovative partnership assisting the creative assets of Cirque du Soleil along with its loyal customers following to generate excitement about entertainment as a major destination motivator for international customers (Canada 2012). The company has been featured in the trade markets through international trade shows, training programs, familiarization tours and direct promotions for retail to tour operators.The core values that have helped Cirque du Soleil to have success in the community,and the environment, with employees and customers as illustrated by Reid (2012) can be condensed to the following:

  • Conducting business with high regard for the health and safety of all the employees, contractors and neighbouring communities
  • Being committed to minimising environmental impacts by advocating for reducing wastes, emissions and other contaminants
  • Creating sustainable value through a high performance team culture and providing a collaborative, support work environment where employees are encouraged to reach their full professional potential.

Stakeholders

Employees

Cirque du SoleilCompany, according to International Business (2013) has 5000 employees where the headquarters alone have close to 2,000 employees. The high level of employees is contributed by the direct proportional of occupations which are more than 100 and the expansions in different regions of the world. Having spread into different regions of the world,Cirque du SoleilCompanyemployees are from different communities and races representing 50 nationalities speaking 25 different languages (Ouzounian 2013). To influence the employees quality of life, Cirque du Soleil, has established an open, secure, creative and welcoming setting for its employees. Croteau, Rivard and Talbot (2011) argues, that the quality of work in the company is enhanced by the company being committed to providing ideal working conditions, good salary packages capable of maintaining quality living standards, developing a culture of respecting individual opinions and recognizing the hard work of every employee in the company.

Being in the entertainment industry, the crew of Cirque de Soleil is expected to undergo several rehearsals to perfect their stunts. Notably, such rehearsals involve long and sleepless nights. This makes it necessary for some of them to take drugs just to go on through with the pressure. Liquor intake is also a common factor that unites the crew members. Relatively, it could be observed that somehow, these substances keep the crew members at their feet allowing them to function according to what is expected of them.

Casual sexual relations among crew members and at times with their fans is an exposed truth about the business that the crew engages with. This common nature in the entertainment is an expected fact that has already been realized through time. The emergence of such culture is assumed to have a great impact on the personal behavior of the individuals working for the crew. This makes up the personal development that they are accustomed to thus affecting who they become in the future. Although it is an unavoidable nature of work, such consideration over the culture that the crew members are involved with could still be altered through proper management.

Environment

Nelson (2010), argues that Cirque du Soleil company has a big concern with its international image having deep concern over regulations both internationally and nationally, especially on its business activities and the environmental sustainability such as creating aproactive environmental policy based on a philosophy of sustainable development in the year 2006. This leads for the company to advocate for environmental friendly activities such as advocating to shift the market products from more energy intensive to more technology intensive though this effect lies beyond the Cirque du Soleil company for the short term but in the long term the company may be able to influence the global market through investments and campaigns in environmental friendly activities.

Customers

Cirque du Soleil Company has an ability to offer a full range of content provisions for its customers across different regions attracting many customers who enjoy their services and diversity of shows. PR Newswire (2012) illustrates thatCirque du Soleil Company has been in a position to penetrate many markets and sustain its income at high levels through offering the best shows in a diverse way.

Operations in the different markets have been facilitated through Cirque du Soleil Company considering the social difference between their original market and those of other countries where their branches have spread. Cultural differences like religion and language could obstruct effective operations of the company. An example is the Las Vegas Strip where Cirque du Soleil has developed five different productions to cater for everyone (Bethune, 2009). They have shows such as (1) Love which is located at the Mirage Hotel and Casino featuring  acrobatics and freestyle dance, and re mixed music of the Beatles. The mirage custom for this production feature 360 degree views of the stage with panoramic video screens surrounded by sound. (2) Ka is located at the MGM hotel and Casino. It uses martial arts mixed with dance, puppets, multimedia and fire. Incorporating cinema with live action makes this show to be different; catering for a specific section of the population. (3) Zumanity is an adult themed show based on creatures in a human zoo where the style is formulated such that each stand is on its own revolving around human desire with a sexual theme. (4) O is another Cirque du Soleil show based on water which is an acrobatic show with 85 cast members performing above a 1.5 million gallon pool of water where swimmers and divers are the main features of the show, surrounding themes of fire, water and air. (5) Mystere is featured at Treasure Island where characters take on anything from mystical creatures to little babies when entertaining the audience (PR, 2013).

Community

Cirque du Soleil is committed to develop and maintain good relations in the community where they operate besides improving their lives. To improve the lives of the communities, the company has developed a numbers of projects for the societies. Their motive is to promote and encourage the potential available in young people mostly in the marginalized areas. According to International Business (2013), social projects have been provided for different activities and actions which have seen great progress in assisting many young people with talents integrated in the society through offering them a sense of belonging, freedom, creativity, discipline and perseverance.

Owners and Investors

Cirque du Soleil Companyis a private company owned by Laliberte 100% after buying off Gautiers, one of the founders who sold his part due to negativity on the issue of going public claiming that it would restrain the level of creative freedom.Other investors inCirque du Soleil Company are two Dubai investment firms (Dubai’Istithmar World and Nakheel)which acquired 20% stake in the company to boost the tourism appeal and increase foreign investors.  Dubai’ Istithmar World and Nakheel companies are expected to introduce new ideas into the company investing heavily on the entertainment department of the company. In addition, Cirque du Soleil, by incorporating these firms will be in a position to attract new customers by making the company more famous globally. The rest of the business is controlled under the ownership of Guy Laliberte the founder of Cirque du Soleil Company assisting in mixing the traditional circus acts with dance, music and theatre(Nelson 2010).

Guy Lalibertehas been very significant to the success of the company in different ways. He took a risk by not being like traditional circus acts. He did this through investing a lot of money to find the best talented performers, started high tech acts and found the best entertainment for his shows which saw the company improve greatly.Guy Laliberte had a long term vision of the company where during shows he motivated the success of the shows by providing grand parties and party invitations to anyone he thought would be useful to the company progress in the future.

Positive Impacts on Stakeholders

The company has the following positive impacts on various stakeholders;

Surrounding community; the company has come up with a number of ways to benefit the community. The major one being to uplift and inspire the capability of youthful generations those are disadvantaged (Rivard, Bourgeault& Mercier 2010). The company creates several events that help to link the marginalized youths, to the rest of the community, and a good example is Cirque. They provide them with a tour and group festival. By doing so the company enhances the disadvantaged youth’s sense of belonging, independence, ingenuity, insistence and self-discipline (Frooman 2012). The company provides the employees with bikes to easy their travel.An example of the community based activities for promoting potential young talented people is a program where every year 1% of Cirque du Soleil earnings is used to sponsor various cultural and social action programs. The overall operations of Cirque du Soleil Company are directed to global citizenship principals based on that the company’s arts, business and social initiatives will help to make the world a better place to live in (Nelson 2010).Through paying of taxes Cirque du Soleil Company helps to improve the living standards of the communities where it operates as these funds can be utilized to improve the infrastructures and basic service delivery. Livelihood is also improved by provision of outreach programs on livelihood and offering of jobs which act as a source of income to the communities.

Working environment; the job place is one with high influence on crew’s value for living, health of their families and for this reason the company comes up with a safe working and friendly environment for its staff (Bourhis&Mekkaoui 2010). For instance the company ensures that the working conditions are up to standard by eliminating unfairness, providing adequate pay and appreciating staff’s views and identifying  and rewarding a job well done by individuals.

Business partners and suppliers; the main goal of the company is to have an ongoing communication with its business associates to guarantee sharing of basic principles so that they can benefit all together from increased revenues and socially concerned outcomes’ (Paramount & Cirque du Soleil 2012; Bell & Cirque du Soleil 2012). For instance they adopt accountable procurement principles to provide the market with quality products that have no side effects on the society and the environment.

Environment; the company has introduced a practical environment strategy that they use to convey their commitment towards a friendly environment. The company addresses air quality, weather changes, and safe disposal of wastes and assurance of safe water in their policy.

Negative Impacts on Participants

The company has the following unfavorable impacts on the stakeholders and participants:

HR practices; the company fails to provide performers with secure career in the entertainment industry; for instance they are here today and the next moment they are somewhere else. The challenge is important as it led to introduction of performers training on how to achieve their dreams after the visits (International Business, 2013).The company has higher turnover rates than other performances and due to the lagging economy cutbacks have been made in other departments as well.Cirque du Soleil announced the elimination of up to 400 jobs – mostly at headquarters in Montreal Canada – early in 2013.  The cutbacks are due to the Canadian monetary exchange rate, the economic catastrophe and increasing production costs for their performances.

Lack of centralized management system; the company is all over the country making it hard to have a centralized management system. This forces the company to adopt decentralized management system with individual nations having different legislations and regulations, this presents a challenge to sustain the positive brand image.  Although this does not directly affect corporate social responsibility, it does however affect the company as a whole and how it is able to function and serve society.

Improper work culture that the crew members have already been accustomed to. Relatively, the distinct way by which the crew members have tried to ease themselves out from the pressures of work affect their being and their personal behavior. It is an utmost need for the administration to seek other ways to help the crew members cope with stress and pressure instead of drug intake and excessive drinking parties. Establishing moral culture behind the operation of the organization is essential; although this may sound hypocritical in some ways, it is not hard to point out that such adjustment would have a better impact on the being of the crew members.

High self- esteem; low self-respect: while the organization provides the crew members a chance to realize their achievements and gain better self-esteem, the culture and the environment they are trying to specifically exist with delineates their recognition of self-respect.

A Comprehensive and Consistent Strategic Sustainability Plan 

Companies derive their behaviors and practices from their strategy makers and planners. In the case of cirque du solei, the risk pleasure and risk loving mentality of the Guy Laliberté has a chief impact on the company’s vision and practices. All the previously discussed negative impacts on stakeholders are products and demonstrations of what the Laliberté actually believes in and practices on consistent bases. However, although it is hard to implement, there should be a serious separation between the Laliberté’s personal mentality and his mentality and practices in order to ‘responsibly’ sustain in the future.  Many people feel that circuses in general reflect poorly on communities.  They have a negative impact on society with notions and influence toward risky behavior.  Shows such as Cirque du Soleil have a negative impact on society as a whole because they promote risk taking and dangerous behavior while distracting from the realities of everyday life.

The meaning of the findings is that Cirque du Soleil is concerned with the welfare of all the stakeholders of the company. This is done through the company involving itself in programs that are not necessarily profitable but designed according to global citizenship principals based on that the company’s arts, business and social initiatives will help to make the world a better place to live in.

By following global citizenship principles, it has made Cirque du Soleil a responsible company through symptoms such as introducing a practical environment strategy directed towards a friendly environment, uplifting and inspiring the capability of disadvantaged youthful generations and taking responsibility of its employee’s livelihood, health of their families and a safe working and friendly environment.

 

Cirque du Soleil can be placed in the stage of proactive planning, commitments and firm steps forward from the figure above on road to responsibility with integrated, systematic thinking and natural stakeholder involvement. The company has a mindset of wining, adding value to all its stakeholders such as improving the quality of content provisions to customers, taking initiatives to combat environmental degradation to improve the livelihood of communities, improving living standards of employees, and guaranteeing sharing of basic principles to business associates.For the Cirque du Soleil to curb the challenges it has to come up with the following ways to improve their performance in the social responsibility:

  • Taking into account the employees working environment, the first step would be to provide effective and efficient working equipment reducing the number of accidents and other associated risks to the employees. The company should also implement strategies that will help improve the security of employees when serving the unruly customers (Quick 2007). The company is required to focus on one or more strategies in order to achieve the best without forgetting about the core competences, making individuals dreams come true and being socially accountable in contributing to an improved world. (Ouzounian 2013) The company should maintain its current competent workers with best talents for continuous advantage over the close competitors. They should also maintain their creativity, originality, and superior performances and social dependable certainty.  Additionally, Cirque du Soleil would benefit from concentric development — utilizing training facilities, introducing them to favor performer’s needs and enhancing the performance of the company as a whole. This will provide the performers with efficient ways of performing with minimal accidents.
  • A centralized management system would benefit the value of the company. It is important to maintain consistency within any successful company.  Central training, consistent practices, and centralized administrative quarters would help the company operate smoothly and implement positive practices.  Increasing the consistency within the company could eliminate high turnover, dangerous working conditions, and economic pitfalls.  Innovative and creative measures should start from a central location.
  • Market penetration, the company should achieve the capability of adopting different customers around the world with the best practices on social responsibilities to boost investments in different parts of the world. Through safe practices and adopting a safer and family friendly image, the company can gain a positive influence over investors and communities around the world.
  • Improving administrative procedures through setting a better sense of organizational culture, it is evident how changes could occur especially in the way the organization serves the personal needs of its crew members working across the nation. Perhaps imposing more up building considerations on how the employees are motivated and how their behavior is developed through the operations of the organization, specifically personality-focused programs applied for the sake of improving crew behavior would increase not only the self-esteem but would also develop self-respect among the members working towards the organization’s overall success.

Conclusion

The Cirque Du Soleil Company is widely accepted as a company that has various positive impacts on its stakeholders.  The company helps the young people feel welcomed and loved inside their communities.  With safer measures implemented, the company could improve working conditions for employees and performers.  The company also implements a safer and friendly environment for workers. The company establishes partnership with suppliers so that they can share fundamental principles. Even with the positive publicity, there are several negative elements of Cirque du Soleil.  The company faced adiscriminatory lawsuit which the company went through after sacking one of the performers who tested HIV positive.  HR practices, have failed to provide performers with safe professional points of growth.  The performers typically live chaotic and unstable lifestyles, bouncing from location to location.  Additionally, the company reaches many countries making it nearly impossible to have a centralized management system.  The company holds a theme of taking risks and living carelessly disregarding reality.However, the sustainable strategic plan provides hope.  The strategy involves improving the company’s social responsibilities to all the stakeholders through provision of safe working environments, improving the quality of shows and being of great assistance to the community at large. Focusing on how it hones the quality of life of its performers would not only allow it to relate to a more respectful society, but would also allow the organization to have a better sense of defining the lives of the people it directly affects.

References

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Bethune, B 2009, On the eve of Cirque du Soleil’s 25th anniversary, a new book exposes the stunning rise and wild times of its billionaire founder. Sex, drugs & acrobats.Retrieved fromhttp://www2.macleans.ca/2009/06/11/sex-drugs-acrobats/

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