The Rand McNally Case

The company’s history

The Rand 1856 1916 1924 1999 2001

McNally
Case
Event Event
Event
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JCDecaux • Text
– Text – Text
– Text
Analysis

Proposed
Scheme Event Event
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Bonus

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 The Rand McNally Case
The company’s history

Too large and complex to be effectively

The outgrown
controlled by a small team, but has yet to
organization
The Rand "democratize" decision-making authority
McNally Flexible enough to adapt quickly to
Case The resilient external market shifts, yet steadfastly
organization focused on and
aligned to a coherent business strategy
Multiple layers of management create
JCDecaux The overmanaged "analysis paralysis“ in
organization a frequently bureaucratic and highly
Analysis political environment
Inconsistently prepared for change,
The just-in-time but can turn on a dime when necessary,
organization without losing
sight of the big picture
Proposed
Contains scores of smart, motivated, and
Scheme The fits-and-starts talented people, who rarely pull in the
organization same direction at the
same time
Often driven by a small, involved
The military senior team, succeeds primarily through
Bonus organization the will and
foresight of its leaders

The Passive- Congenial and seemingly conflict-free, this

Aggressive organization builds consensus easily, but
Organization struggles to implement agreed-upon plans

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 JCDecaux Analysis
Company’s Overview

JCDecaux is the number one outdoor advertising The company operates 3 different business
company worldwide, with a total of 1.1 million segments:
The Rand
advertising panels in more than 60 countries.
McNally
Case

Adjusted
JCDecaux revenues
Analysis by region

Proposed Recent Innovation

JCdecaux objective:
1) Digital media for indoor and out door advertising
Scheme Continue expending and strengthening their product
(LCD, LED, and plasma display.
line.
2) Interactivity technologies with the development
of service and advertising platforms using open
How?
source android technologies , GPS, and
1) Winning new advertising contracts.
integration of social network.
Bonus 2) M&A with outdoor adv. companies.
3) Research with new technical solutions around the
3) Maximize the commercial potential and
themes of intelligent city and Big Data.
profitability of their advertising networks.
4) Mobile- Interactivity turns static poster sites into
interactive communication zones, extending
interaction between poster and consumer.

Source: Jcdecaux 2014 Reference Document 3

 JCDecaux Analysis
Five Forces Model of Competition- Porter Analysis

The Rand
McNally
Case
Billboard & Sign Manufacturing

JCDecaux
Analysis Street furniture Manufacturing

Public Transportation

Proposed
Scheme Market Research

Airport Operations

Bonus
Graphic Designers

Taxi & Limousine Services

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 JCDecaux Analysis
Five Forces Model of Competition- Potential entrants

The Rand Potential entrants - Global advertising

• Spending on media continues to shift from traditional to digital products and services at a
McNally
rapid pace.
Case • This rapid digital shift is being driven in part by the growing number of connected
consumers to the internet and mobile.
• Another important change is the rise of global content intermediation and integration, as
JCDecaux leading social-networking platforms, both personal and professional.
Analysis • Global spending rose 5.4 percent in 2014.
• Digital advertising was the fastest-growing category in 2014, with a 16.1 percent increase,

Global advertising by category (US $ millions)

Proposed +27.9% +21.4%
Digital
Scheme Advertising +111.1% +57.9%
Out-of-Home
Advertising

Bonus

2009 2010 2011 2012 2013 2014p 2015 2016 2017 2018 2019

Source: McKinsey & Company Global Media Report 2015 5

 JCDecaux Analysis
Resource Based View (RBV)

The Rand
McNally
Case

JCDecaux
Analysis

Proposed
Scheme

Bonus The Company has a variety of R & C that are with high value relatively rare and
difficult to imitate

Sustainable Competitive Advantage

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 JCDecaux Analysis
Bonus

Product Diversification - Seek to create new product for new

markets. (The Ansoff market matrix)
The Rand
McNally
Case
What :‫גם‬
Enter the online
‫בקייס‬ ‫החברה‬advertising
‫ כמו‬-‫לקייס‬market
‫קישור‬
‫להוסיף‬
JCDecaux ‫ג'י סי צריכים להשתמש בחוזקות הפנימיות‬
Analysis .‫שלהם כדי להכנס לשוק חדש‬
How:

Proposed
Scheme

Why :
Bonus

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 Event timeline 3

Text Text Text

Mont Mont Mont Mont Mont

h YY h YY h YY h YY h YY

Text Text

[Date] – [Event] [Date] – [Event] [Date] – [Event]

[Date] – [Event] [Date] – [Event] [Date] – [Event]
[Date] – [Event] [Date] – [Event] [Date] – [Event]
[Date] – [Event] [Date] – [Event] [Date] – [Event]
[Date] – [Event] [Date] – [Event] [Date] – [Event]
[Date] – [Event] [Date] – [Event] [Date] – [Event]
[Date] – [Event] [Date] – [Event] [Date] – [Event]

Timelines • Timelines 7 March 2013

PwC 3
 Summary of Phase X [Title] – [Repeat as
often as required]

Planning Location analysis and

Cost model building and Cost model building and
and cost model data
testing testing
initialisation collection

Objectives Activities Outcomes

Initialise project • Validate location factors. These factors would include • The key outcome of this phase is a plan with •
but need not be limited to: the key work stream information
Validate scope and key •
assumptions Language skills -
Factors for quantitative analysis .1
Clarify roles and • Political stability indexes -
responsibilities Cost elements for cost model .2
Personal factors -
Scope for baseline cost .3
Connectivity -
Duration and resource Staff retention -
Data collection requirements .4
requirements Data collection responsibilities .5
Labour costs -

Duration: Infrastructure costs -

1 week Validate cost elements for cost model •

Resource requirements: Validate scope for baseline cost •

2 FTE Define data collection requirements •

Inform people concerned •
Assign data collection responsibilities •

Timelines • Timelines 7 March 2013

PwC 7
 Event timeline 1

Shade using the

Using the grid gives lighter colours from
many re-sizing the template Connectors are ¾ pt thickness
possibilities, always
in line with your
other slides.

Date 1 Date 2 Date 3 Date 4 Date 5 Date 6 Date 7 Date 8

Try not to move the first and the last set of
dates. To add dates, select and duplicate the
line and date and then select all the dates/
lines and realign evenly by using Home,
Arrange and Align, Distribute Horizontally.
Using connectors allows you to connect from
the box to the date line itself.
Connectors will always connect to whatever is
at the front, so if it’s not connecting, try
bringing the object to front (Home, Arrange…)

Timelines • Timelines 7 March 2013

PwC 1
 JCDecaux Analysis
The Value Chain

The Rand
McNally
Case

JCDecaux
Analysis

Proposed
Scheme

Bonus

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