How many companies can consistently produce the equivalent of hit movies? Not many.
While it's easy to mock some of Hollywood's worst films, the stakes for filmmakers are high and real. Only about 20% of films become blockbuster hits that generate massive revenue. The rest are lucky to breakeven.
So what can we learn from an industry such as this where long-term creativity and execution are crucial for success?
Let's start at the beginning.
The Studio System
Organizations are built to address the type of challenges they face.
In mid-twentieth century Hollywood, the studio system emerged to produce movies for local theaters by bringing together various talents under contract, including actors and directors. These talents formed part of a studio.
This approach is similar to how most mid-to-large companies manage their staff today. Skilled individuals are hired and are transferred within the company as priorities change.
Representing this concept visually —
In the final decades of the twentieth century, the movie industry faced increasing competition and changing audience demands. TV, cable, streaming services, and specialized media platforms emerged, leading to a rapid growth in content.
As a result, the industry had to produce more high-quality and diverse content at an accelerated pace. This shift forced a new decentralized approach to managing talent, with project teams assembled from a pool of specialists.
The Hollywood Model
The shift from a centralized 'studio' for managing talent to a decentralized network of specialists provided on-demand access to a wide range of skills and unlocked new creative collaboration opportunities.
This new approach makes a lot of sense as traditional studios find themselves with inevitable skill gaps and running low on inspiration and fresh ideas. In addition, studios brought about significant waste, often finding themselves in need of additional capacity, or exceptional skills in the studio would go to waste while their stills were not needed.
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As you think through how this staffing model fits into your company, it's important to understand that building dynamic teams is not about competing for the top 1% of highly skilled individuals. This is a game that large, well-funded organizations will almost always win.
Instead, highly effective teams using The Hollywood Model are formed by matching the right type of talent to the task at hand. Someone who may not be valuable on one project could be a key contributor on another. Leaders don’t need to compete for the most widely recognized superstars; instead, they should focus on finding the contributor who is uniquely right for the task.
Ecosystem For Collaboration
As you might guess, shifting to The Hollywood Model isn’t as easy a flicking a switch.
It requires new ways-of-working and new capabilities, such as identifying and validating talent, negotiating terms, and integrating day-to-day activities. Additionally, real-time collaboration tools are needed such as freelance marketplaces, shared folders and document collaboration tools.
Document Sharing and Collaboration Tools
- Google Drive: Storing/sharing files, as well as real-time collaboration on Google Docs, Sheets, and Slides.
- Dropbox: Cloud storage service that allows file sharing/collaboration.
- OneDrive: Microsoft's cloud storage service integrated with Office 365 for document sharing and collaboration.
- Box: Cloud content management and file sharing service tailored for businesses.
- Slack: While primarily a communication tool, Slack also allows file sharing and integration with various other tools.
Project Management Tools
- Trello: Visual project management tool that uses boards, lists, and cards to organize tasks and projects.
- Asana: Project management tool designed to help teams organize, track, and manage their work.
- Basecamp: Project management and team collaboration tool with to-do lists, file sharing, and messaging.
- Jira: Tool for agile project management, primarily used by software development teams.
- ClickUp: All-in-one project management platform that offers task management, document sharing, and goal tracking.
Communication Tools
- Slack: Team communication tool that offers messaging, file sharing, and integration with other tools.
- Microsoft Teams: Collaboration tool that integrates with Office 365, offering chat, video meetings, and file sharing.
- Zoom: Video conferencing tool that is widely used for virtual meetings and webinars.
- Skype: Communication tool that offers video chat, voice calls, and instant messaging.
Version Control Tools
- GitHub: Web-based platform for version control and collaborative software development using Git.
- GitLab: Complete DevOps platform, delivered as a single application for the entire software development lifecycle.
- Bitbucket: Git repository management solution designed for professional teams.
File Sharing Tools
- WeTransfer: File sharing service for sending large files quickly and easily.
- Hightail: File sharing and creative collaboration tool designed for large files and projects.
Design Collaboration Tools
- Figma: Web-based design tool with real-time collaboration capabilities.
- Adobe XD: Vector-based user experience design tool for web apps and mobile apps, with collaborative features.
- InVision: Digital product design platform that offers design collaboration and prototyping tools.
Time Tracking and Invoicing Tools
- Toggl: Time tracking tool with reporting capabilities, useful for billing and productivity analysis.
- Harvest: Time tracking and invoicing tool that helps teams manage their time and budgets.
- FreshBooks: Accounting software that includes time tracking, invoicing, and expense management.
Time To Embrace The Hollywood Model
Adopting The Hollywood Model and building dynamic teams that tackle opportunities with rigor and creativity, opens the door to effective action on big ideas.
It enables you to be more original, tapping unique skills at the right time, and to be think bigger. All while making it possible for each new initiative to pursue possibilities that are totally different from the project before.
This is the kind of creative capacity our era of disruptive change demands. Whether an organization is working in business, government, or non-profit sectors, it’s time to take inspiration from The Hollywood Model.
Not done? For more, check out pōrtfolio/writing.
About Reed & The Pōrtfolio Company
Reed Langridge has over a decade of experience in business transformation, advising global leaders, public sector agencies, and non-profits across the US, Europe, and Australia. Pōrtfolio specializes in consulting, teaching, and investing, offering agile transformation services. Contact Reed and the Pōrtfolio team or subscribe for updates.