The Business of Music
There has been a radical change In the business of music. Whether the employee who has been an industry legend can maintain the position in the company has been a problem. The term ‘industry legend’ refers to the person who Is very famous and admired by a lot of people in the area of industry. (Wisped 2013) The feature of the industry legend is Irreplaceable In this domain, which means that person who is the legend can create more value for the company and this type of people can lead to company developed dramatically.The issue is whether the ‘industry legend’ should e fired once he becomes old. This dilemma Is the focus of Guatemalan case study, When the Longtime Star Fades’ (2011).
This case study is about Bob Entice, an old employee who has obtained a big success before in a music company which is named Powerful Entertainment. He is a successful salesman and a legend in the recording industry. However, as a result of the development of technology, he seems to be backward In the new situation.He still believes that the future of the record industry is bright, although the number of records sale is falling. Noel Klein, the CEO of Powerful Entertainment believes that Bob cannot keep the step with the time, and he gets much salary which means that the salary he obtains exceed the value that he creates for company. Then he decides to fire Bob. Rite Leigh Is the Vice President of Powerful Entertainment and the boss of Bob Entice.
She cannot decide whether to dismiss ebb or give him a chance to adapt to new technology.Bob was a legend and a public face for Powerful Entertainment. All the staff at the company like him, he makes them feel good about their work. The manager now needs to decide whether Bob Entice should stay or go. Two experts give some suggestions about this dilemma. Peter Chapel Is a Professor of Management and Bill Novella is the CEO of ARP, they are both the authors of Managing the Older Worker, Tamari J. Erickson Is work for the Genera, who is the author of Retire Retirement.
These two experts all suggest that the company should keep Bob’s position.Capital and Novella state that if Bob has enough passion that can encourage other staff around him, there Is no doubt that he can do something for Powerful Entertainment. However, Erickson argues that Rite should think more about consolidating the album business around Bob instead of fire him. Chapel and Novella believe if managers of company want to fire Bob, they need to inform him and give reasons before dismissal. They also suggest that a good method Is the company giving him a new role In the company.If Bob Is arranged by a different position, he can do something other for the company depends on his social skills. It means the company does not pay so much money for him.
In contrast, Erickson argues that Rite needs to think about how to improve the profit of the album-based business, rather than paying attention to firing. She can find some methods Improve the sales taking the advantage of Bob’s deep knowledge and legislations. Nat the problem is and discussing it in order to solve it.Capable and Novella argue that Rite can also give Bob a new Job if he still having some special ability, such as energize everyone around him and social skills. In my view, although Bob is old and his performance began to decline, the company cannot fire an employee without any notice, especially a legend of the company. Moreover, Bob still has some ability to help company obtain more profit by other methods. In conclusion, the manager of Powerful Entertainment need to give Bob a chance to adapt to new environment.