Miscellaneous / Utah Symphony
Autor: tatba26 01 April 2013
Words: 3266 | Pages: 14
In order to develop an action plan for Anne Ewers we need to analyze and understand the financial and leadership strengths and weaknesses of the Utah Symphony Organization (USO) and the Utah Opera Company (UOC). In order for the merger to be successful, Anne will need to create some successful strategies for managing each of these concepts.
Utah Symphony Strengths
The most impressive financial strength that USO has is their endowment. By the end of 2002, their endowment was considered higher than average and they were considered at the top end of a Group II Symphony when compared to other symphonies nationally. The Utah Symphony endowment was $10 million. Another financial strength was the projected growth in contributions and revenues. Their performance revenues, contributions, investment income, guild income and other income is all projected to increase. The total contributions received by the end of 2001 were $12,398,548 while the projected contributions for 2002 is $13,763,674. This is a difference of $1,365,126. This is a good indication of their financial future. They also received $3,124,999 in Government grants in 2001.
The USO had a strong Music Director in Maurice Abravanel. His strong leadership skills took the USO to a renowned world-class organization that toured internationally. He secured recording contracts with many different recording labels. His leadership also secured the orchestra employees full-time professional status. They continue to have strong leadership strength in Keith Lockhart as he has led them in prominent concerts such as the 2002 Winter Olympic Games. They also perform over 200 concerts per year, which generates a significant amount of income. Keith also has directed over 600 concerts and created 50 television programs. This will help in marketing the USO.
Utah Symphony Weaknesses
One financial weakness for the USO is that there is approximately $100,000 bad-debt expenses which was due to pledges that weren’t actually paid. Also, the expenses of running the organization is projected to increase by $1,479,391 within the next year (2002). The majority of this ($1,404,159) is going to orchestra salaries, benefits and payroll taxes.
A leadership and financial weakness is the administrations inability to negotiate with union. An increase of 12.9% for the musicians from 2002 to 2003 could cause serious risk to the overall financial health of the symphony. Additionally, due to the union contract, the Symphony is under ob ...