Summary

Fast-Forwarding Blockbuster
Blockbuster, the largest video rental company of the World has posted losses in 9 of the past 11
years. The whole business of renting DVDs is changing, and Blockbuster is making changes in
order to remain competitive. The biggest change was hiring a new CEO, James W. Keyes. This
CEO saved his former company of getting bankrupt, by implementing an approach of scanning
through quantitative data, to know where what product is best sold. Nowadays James W. Keys is
doing the same for Blockbuster, by customizing titles at each store based on rental patterns.
Question 1
Mr. Keyes obviously is a big fan of the quantitative approach. How might principles of scientific
management be useful to blockbuster?
Answer:
Mr. Keyes is for sure a big fan of the quantitative approach. The principles of quantitative
management for Blockbuster would be that they put the right person at the job and this would be
for example Mr. Keyes. Because in the case the story of 7-Eleven was given and over there he
used the correct management tools. Blockbuster even needs to develop their workers compared
to their competitors and ask them self the questions such as: which service are the competitors
giving? Why are they better off? What is the reason behind it? And Blockbuster needs to think 2
steps ahead than their competitors. Another benefit for Blockbuster would be if they divide the
work throughout the management team and the workers to be more classified. Blockbuster
should use a lot of scientifically tools such as treat the workers economically good in terms of
salary and they should check their work as well. For blockbuster the principles of scientific
management would be really useful. After discussion Quantities approach Mr keyes realize and
find three approaches which is really helpful. Theses are

It contributes towards managers decision making.

Put the right person on the right job.
It improves production efficiently.

Question 2
How might knowledge of organizational behavior help the companys frontline store supervisors
manage their employees? Would Mr. Keyes and other top managers need to understand OB?
Why or why not?
Answer:
Organizational behavior is the field of study that researches the actions of the people at work, so
by knowing this you know your employees behavior and thus you know how you have to deal
with each of them so you also know how to manage them better. Yes they would, because it is
very useful to know about your employees and specially their behavior, because the success of a
company starts by the people in the company. Yes of course, Mr. Keyes and other top managers
would need to understand OB. Because OB knowledge benefits everyone by addressing the
people issues needed to apply technical knowledge and skills. Especially it provides the
knowledge of how to address the customers issues when applying ideas in organizational
settings. They should know every persons behavior and need to motivate there.
Question 3
Using exhibit 2-6 describe Blockbuster as a system. Inputs:

Question 4
Based on information from Blockbusters Web site, what values does this company embrace that
might be important for successful organizations in the twenty-first century?
Answer:
Blockbuster provides an entertaining, fun loving, and friendly environment to its workers that
make it distinct from other organizations. Workers here find themselves and their jobs secure
with continuous career growth and endless opportunities.
They believe in customers first approach. Their culture demonstrates that employees working
in Blockbuster are self-motivated and lively in nature. Diversity is an essential part of this
organization, by providing outstanding customer services and valuing variation in age, ethnicity,
creed, gender, education level and work / living standards and also people with disability
Based on information from Blockbusters Web site there are two Important Values for successful
Organization.
1. Facility to Employees
Eligible employees can receive the following benefits in addition to the free rentals:

Flexible schedule
Parental leave
Potential for bonuses
401k
Tuition assistance
Medical, dental, vision, and pet insurance
Life insurance
Long and short-term disability

2. Facility to Customers
Blockbuster on Demand is a digital movie rental service that allows customers to instantly watch
thousands of movies in stunning HD and full Surround Sound. See movies on multiple devices
anytime, anywhere.
They providing customers with faster and better ways to enjoy your favorite entertainment. They
catalog of thousands of titles is yours for the choosing and watching. They are talking hit movies
and hot new releases in stunning HD and full Surround Sound. See them on multiple devices.

Watch them anytime, anywhere. They want customer to enjoy that classic grab-a-movie-and-go
experience on your TV, tablet, computer, or phone.
Question 5
What do you think Mr. Keyes quote (last sentence in last paragraph) is saying? Do you agree or
dis-agree with his statement? Explain
Answer:
I agree with the quotation of Mr. Keyes. The main purpose behind every organization goal is to
know and execute the major requirement of its customers. By having a customer oriented
organization, productivity would be increased and ultimately profit will sustain. According to
him, companies like Netflix are their competitor, even by providing services on internet only,
therefore to deeply focus on customer needs and wants and to gratify those needs in a way that is
superior and unlike from the competitors is one of the most important aspects in success of
Blockbuster.