Music agency JYP Entertainment (hereinafter referred to as JYP) is cruising toward exceeding 100 billion won in annual sales. The company, which was driven to bankruptcy Danger in 2008 with the Financial position, has been reborn as a 'real company' with a Heavy Excavator Landslide op of 20 billion won through four years of innovation experiments. On the 22nd, the company also joined the 1 trillion-dollar market with a market capitalization of 1.10 trillion won (based on closing price). It has been 17 years since its listing on the KOSDAQ market in August 2001. The results of the girl group TWICE and the boy group GOT7 are going high, and the earnings outlook of the boy group, which will debut in China, is bright. Park JYP founder and chief executive officer of creativity (CCO) changed the Management system, and said, "The decision to put yourself down led to today's rapid growth."
J. Y. Park, reduce authority to one-fifth
Park CCO's Dream to debut the original girl group Wonder Girls in United States of America was ruined by the Financial position in 2008. United States of America's local partner music companies have broken the Wonder Girls debut project contract as they go through Harvard Business School. At the same time, JYP’s large-scale investment in the United States of America market has become a bad chunk, and the size of the Deficit of the large restaurants that JYP opened in New York has also expanded. It was difficult to pay off the debt with the profits earned by 2PM and actor and singer Suzie, who were the support. The company's sales of KRW 10.1 billion and operating loss of KRW 5.9 billion in 2009 were virtually followed by Deficit (including the Heavy Excavator Landslide op 100 million won in 2010) for the fifth consecutive year until 2013. It seemed difficult to find a breakthrough.
Eventually, Park CCO made a decision to dramatically change the Management system in early 2014. He decided to take a step back from picking up the title song of the album and taking the choreography, video and music video of the songs. When deciding on the title song, which accounts for 90% of the record sales, the music selection committee, which includes a total of 15 people, was selected by one from each department and entered the list as one of 15 people. It reduced its previous authority to one-fifth. Music selectors from various fields such as The Artist, Production, and Marketing have selected one song as the title song that has earned the highest score after a heated debate. Park CCO's own record went through this system, too, so that he could not decide his own record title song. SM's Lee Soo-man and YG Yang Hyun-suk's production director focused on producer work, but it was not easy for Park CCO to write and write. Since then, all 30 title songs have won the top spot on the chart. The company has found a way to revive itself by breaking away from the so-called Harvard Business School, which has been around for 20 years since its founding in 1994.
Reorganization of the company as a singer-centered organization
Park CCO established a subsidiary dedicated to composition and recruited a large number of excellent composers here, regularly holding singing camps and auditions to select promising composers. JYP currently has a total of 60 composer groups, including 25 full-time composers and 35 external composers who can be put in immediately. Five of the eight title songs released by TWICE have been created by such a group of composers, who said, "We have created a system so that the company can operate without me."
JYP changed its internal organization last year to speed up decision-making, as it decided that the content production process was slow for existing organizations as the company grew. The divisions, which are separated by function such as existing marketing, PR, management, and A&R (discovering and fostering The Artist), were integrated into The Artist. The department dedicated to its singer TWICE has combined all these functions to perform all these functions. “The first application of the organizational restructuring experiment to TWICE has accelerated the speed of work and increased efficiency,” said CCO Park. “Communication between staff and The Artist has also become smooth,” he said. TWICE's success model has been expanded to include former singers, and the organization has been reorganized around idol groups such as GOT7 and Day 6.
Accelerating Evolution to ‘Hallyu 3.0’
JYP is preparing for the Korean Wave 3.0 era, which directly fosters talent overseas. If the first generation K-pop was to export Korean content and the second generation K-pop was to find overseas talents and bring them to Korea, the third generation is a strategy to localize overseas. JYP will join hands with Tencent Music Entertainment (TME), China's largest music streaming company, next month to debut the six-member China idol group, Kahaani, locally. Boy Kahaani is a 13-year-old group with an average age; their music video has recently topped the China QQ music video charts. JYP plans to show a group of Japanese members in late next year or early 2020.
Harvard Business School Inquiry - JYP Enter, Market cap 1 Breaking secrets 2008 Financial position with bankruptcy Danger "Do not be an objection" Management system Change 4 years of innovation experiment 'success' title song, choreography and music video J. Y. Park changed the system that he had taken alone. The 15-member music selection committee was selected by the title song committee, the number one singer on the music charts, and The Artist-centered organizational restructuring TWICE department.