Strategic Management of Arts Organizations


ISBN : 978-2-923710-42-631-0
Author(s) : Serge Poisson-de-Haro in collaboration with Sylvain Menot
Publication year : 2013

La première édition du Marketing des Arts et de la Culture a reçu en 1994 la Médaille de l'Académie des Sciences de Paris.

Version française : «La gestion stratégique des organisations artistiques» disponible ici

French Version: "La gestion stratégique des organisations artistiques" available here


Serge Poisson-de-Haro

in collaboration with Sylvain Menot


Arts and cultural organizations (ACOs), like all organizations, are regularly required to make strategic decisions in order to deal with the challenges of their sector. To make the most informed decisions possible, ACO managers must have excellent knowledge of models of strategic thinking. But thinking strategically does not mean that managers should adopt a purely rationalist approach and ignore their intuition. In fact, ACO managers, who are often artists, are more inclined to follow their intuition than theoretical models that provide only a partial view of reality. The aim of this book is to encourage ACO managers to reflect on the exercise of strategic thinking. Just as artists must master the technical skills of their art in order to move the audience, ACO managers must master the methods of strategic thinking in order to feel comfortable and confident in their decision making. In this process, managers will eventually think strategically by blending a rational approach with their intuition. This way of thinking can be acquired or reinforced through the repeated application of the strategic tools presented in this book. Understanding one's organization in terms of its environment, its competitors, its stakeholders' expectations and its resources and competencies, while adopting the most suitable governance structure, are essential steps in a strategic process that will lead to more effective management and a better capacity to anticipate the future. The strategic decisions emerging from this process will have a greater likelihood of ensuring the long-term sustainability of the ACO.

The authors' aim is to facilitate the reflection on the strategic diagnosis for arts and cultural organizations, notably through an understanding of the internal and external environment. Governance and stakeholder issues are also taken into account. This book will help practitioners:

  • develop a better understanding of how analytical tools can contribute to strategic management;
  • carry out a strategic diagnosis;
  • make strategic decisions that are consistent with the diagnosis;
  • ensure the successful implementation of their decisions.

 

Serge Poisson-de-Haro, Ph.D., MBA, has been a professor at HEC Montréal since 2006. His research and teaching interests are focused in the area of strategy. He has served on the Board of Directors of the Canadian Opera Company and the DAREarts Foundation for Children. He is a regular contributor to the International Journal of Arts Management and a frequent speaker at the International Conference on Arts and Cultural Management (AIMAC). He has written numerous case studies on institutions in the arts and cultural sector.

Sylvain Menot, an engineer by training, completed his MBA with Honours at HEC Montréal in September 2008. One of his main fields of interest is strategic management. He has co-authored two case studies on the strategic issues facing arts organizations that were published in the International Journal of Case Studies in Management. He has several years of experience as a project manager. He currently holds a position with the world leader in contract research organizations for the pharmaceutical industry.

 

 

FOREWORD
Laurent Lapierre

Is it possible to teach management? Is it possible to teach people how to manage organizations in the arts and cultural sector? If it is true that managing any company presents specific challenges depending on the characteristics of its employees, the nature of its products and services and customers' motives for buying those products and services, then it can certainly be said that managers in the arts and cultural sector face a particularly unique set of challenges. These challenges are tied to the nature of cultural offerings, the particularities of the creators of these offerings and the significance of their creative works for society as a whole.

Managing is not a technique. Rather, it is an art that is the result of a highly complex praxis. Thus, if we take the word "to teach" to refer to the mere transmission of knowledge, there are many of us who believe that management simply cannot be taught.

We cannot train authors, actors, singers, film directors or stage directors merely by passing on knowledge to them, any more than we can train entrepreneurs or managers in this way.

Montaigne (1533-1592) wrote that it is better to have a “well-made [head] than a well-filled head." In his Essays, which he wrote while holding public office in Bordeaux, he argued that disorder and a certain form of chaos must accompany true learning – that is, the type of learning that induces change.

He who learns asserts his right to freedom. He asserts his right to absorb but also to cast aside and reject ideas conceived by others. He invents his own ways of being, thinking, creating and doing. That which is still "alien" or foreign to him can help him gain better self-knowledge and improve his actions. As Terence wrote, Nihil humanum mihi alienum est, which translates as "Nothing that is human is alien to me" (Heauton Timorumenos).

Serge Poisson-de-Haro, whom I consider a great educator, has learned the lessons of Montaigne and Terence well. He knows that management cannot be taught simply by transmitting knowledge. We all manage based on who we are as individuals - based on our body and our senses, which give us access to external reality, on the one hand, and based on our intelligence and emotions, which give us access to our internal reality, on the other. This self-knowledge, and especially this conscience of oneself, is the main gateway to knowledge (of others and of organizations). We cannot "teach" the management of an arts or cultural organization, but if we want to manage such an organization, we are responsible for learning how to do so, and to a large extent we must do so on our own. And that learning must be prepared by a master.

Serge Poisson-de-Haro and Sylvain Menot propose three avenues to learning: case studies, theoretical models and texts and, implicitly, learning « happenings » that we experience first in our heads and later in groups. Indeed, the material provided in this book paves the way for these learning happenings in training programs. Intelligent and ambitious people always know more than they think they do about power, and self-awareness will always be of greater value to talented people (even geniuses) than science. For people like Shakespeare, Robert Lepage, Steve Jobs and Guy Laliberté, life is a constant series of “learning happenings.” A large part of their genius is not innate; rather, it is acquired in large part through experience and work. Creative genius, like entrepreneurial or managerial genius, exists in a constant state of potentiality.

Serge Poisson-de-Haro and Sylvain Menot also propose a review of the literature on management and strategy, which they synthesize while applying it to the arts and cultural sector. As such, this book represents something of a “bargain” for its readers, who benefit in the space of a few hours from the hundreds of hours of work put in by the authors.

In this regard, a book such as this one is not so different from a work of art that may have taken the artist years to create. We only have to look at The Scream and we quickly understand what the artist is trying to convey. We spend a few hours watching Macbeth, or a few days reading Memoirs of Hadrian, or we watch Citizen Kane over and over again, and all the while, “happenings” are taking place in our head, just as “happenings” take place in a “classroom.” These are the moments of learning that count.

Despite what we have been taught and despite whatever “theories” we have been exposed to or we adhere to, we always manage in accordance with who we are – bringing to the task our talents (abilities and failures), our qualities and faults, our strengths and weaknesses, our skills and ineptitudes. Indeed, managing goes far beyond what we have seen, heard or read.

We can all develop our potential, and we do so throughout our lives. There is no shortage of opportunities to learn: by reading books such as this one, through training programs, significant encounters, experiences, novels, etc. In fact, a person who is eager to learn and grow will grasp every opportunity that arises and turn it to their advantage.

There is a comprehensive intelligence – that component of natural intelligence which serves as the basis for management decisions – that can never be replaced by artificial intelligence (which is rather binary, like that of our computers). A book like Strategic Management of Arts Organizations allows us to discover, develop and nourish our own genius. Readers will find in its rich and interesting material a wealth of precious and privileged opportunities for learning.

Laurent Lapierre, Ph.D., C.M
http://laurentlapierre.com
http://chairedeleadership.com

 

ACKNOWLEDGEMENTS

FOREWORD OF LAURENT LAPIERRE

INTRODUCTION

Major challenges in the strategic management of arts organizations
Major managerial issues facing the cultural sector
Presentation of the book
Book structure
Case study: National Arts Centre
Case study: Orchestre Métropolitain 

CHAPTER 1: THE ENVIRONMENTAL ANALYSIS 

Strategic concepts

PEST analysis
Porter’s five forces model
Strategic groups and market segments
Key success factors
Stakeholders
Summary 

Illustration 

Zarin Mehta and the New York Philharmonic (NYP)  

Case studies  

National Arts Centre 
Orchestre Métropolitain  

References  

Suggested readings on strategic management
Suggested readings on the management of cultural institutions 
Suggested case study 
Additional suggested case studies  

CHAPTER 2: INTERNAL ORGANIZATIONAL ANALYSIS  

Strategic concepts  

The foundations of competitive advantage 
The value chain 
The SWOT model 
The activity portfolio 
Summary  

Illustration  

Les Deux Mondes  

Case studies  

National Arts Centre 
Orchestre Métropolitain  

References  

Suggested readings on strategic management
Suggested readings on the management of cultural institutions 
Suggested case studies 
Additional suggested case studies  

CHAPTER 3: THE ORGANIZATION AND ITS GOVERNANCE STRUCTURE 

Strategic concepts 

Strategic segmentation 
Organizational configuration 
Main organizational issues 
Summary  

Illustration  

Organizational configuration of the Opéra de Paris  

Case studies  

National Arts Centre 
Orchestre Métropolitain  

References  

Suggested readings on strategic management
Suggested readings on the management of cultural institutions 
Suggested case study 
Additional suggested case studies  

CHAPTER 4: MANAGEMENT VALUES  

Strategic concepts  

Managerial values 
Organizational culture 
Managerial skills
Summary  

Illustration  

Managing the MOMA the Glenn D. Lowry way 

Case studies  

National Arts Centre 
Orchestre Métropolitain  

References  

Suggested readings on strategic management
Suggested readings on the management of cultural institutions 
Suggested case studies 
Additional suggested case studies  

CHAPTER 5: STRATEGIC PROCESSES: DIAGNOSIS AND DEVELOPMENT  

Strategic concepts  

Strategic levers
Managing strategic change 
Strategic processes 
Summary  

Illustration  

Massey Hall and Roy Thomson Hall de Toronto 

Case studies  

National Arts Centre 
Orchestre Métropolitain  

References  

Suggested readings on strategic management
Suggested readings on the management of cultural institutions 
Suggested case studies 
Additional suggested case studies  

CHAPTER 6: MANAGERS AND STRATEGIC DECISIONS  

Strategic concepts  

Strategic decision-making models 
Strategic decisions related to issues affecting the arts 
Coping with the complexity of the strategic decision as a leader 
Summary  

Illustration  

Opéra de Montréal  

Case studies  

National Arts Centre 
Orchestre Métropolitain  

References  

Suggested readings on strategic management
Suggested readings on the management of cultural institutions 
Suggested case studies 
Additional suggested case studies  

CONCLUSION  

BIBLIOGRAPHY 

 

CREDITS 

Livre Serge Poisson-de-Haro

French version
La gestion stratégique des organisations artistiques

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