Diena

Case AnalysisHarshit, Rahul, Pratik, Sayantan

Introduction: Diena

• DIENA founded during Latvia's struggle for independence from the Soviet Union on 23 Nov, 1990

• Based on Western-style profit planning system• Became great source of Information during turmoil in 1991 with help of

Expressen• Became leading nationalized newspaper• Expanded media infrastructure despite Economic crisis in 1995• In 1999, Russian Economy failure led to huge losses• In 2000, expanded outside Riga setting up Regional Press Group:

decentralized community newspaper network , emphasized on employee ownership, separate editor and publisher roles

Problems Faced

• Shrinking of Community newspaper market• Non focus area: Growing revenues & profits• Authoritarian model and management by team• No cost optimization process• Subsidiaries were reluctant to operate under central supervision

Proposed Structure

Advantages of New Structure

•Centralized Structure of Organization•Reduced costs•Accountability•Idea and Information Sharing•Separate Marketing & Advertisement Department•Utilization of Specialized Skills of Employees•Improved Content Quality•Quick responsiveness to changing needs

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