By Joe Flint and R.T. Watson
This article is being republished as part of our daily
reproduction of WSJ.com articles that also appeared in the U.S.
print edition of The Wall Street Journal (February 27, 2020).
They may share the same first name, but there are few other
similarities between Disney Chairman Bob Iger and his successor as
chief executive, Bob Chapek.
While Mr. Iger is known for being charismatic and cosmopolitan
and loves to hobnob, Mr. Chapek is all business with little time or
interest in niceties, people who have worked closely with both
say.
"A meal with Bob Chapek is one minute and 30 seconds of
pleasantries and 58 minutes and 30 seconds of business," said a
former high-ranking Disney executive.
Current and former Walt Disney Co. executives agree that Mr.
Chapek, 60 years old, has the experience and skill set to succeed
Mr. Iger at the Magic Kingdom.
"Bob Chapek doesn't fail. He is incredibly disciplined about
doing what it takes to deliver the numbers," the former executive
said. "He is relentless in that regard."
As a skilled tactician, Mr. Chapek (pronounced "CHAY-peck")
clearly identifies targets and looks for ways to achieve his
metrics.
During Mr. Chapek's tenure as head of the parks and resorts
division, from 2015 until earlier this week, he amassed five
consecutive years of growth, thanks to a combination of historic
expansion and strategic cost reductions. He prioritized
double-digit annual growth, according to one former colleague, a
goal he achieved in all but one year, when the division's operating
income grew 9%.
Announcing Mr. Chapek's elevation a little more than two weeks
before the company's annual meeting, scheduled for March 11, means
the company won't have to answer questions from shareholders about
succession planning.
Many who have worked closely with Mr. Chapek during his 27 years
at Disney appreciate what they describe as his direct and blunt
personality.
"There's no drama," another former Disney executive said.
Like Mr. Iger, Mr. Chapek shares a love for all things Disney.
At a town hall welcoming Fox employees after Disney acquired most
of 21st Century Fox's entertainment assets, Mr. Chapek's enthusiasm
made a strong impression on the newest "cast members," as the
company calls employees. He spoke passionately about the theme
parks and the Disney brand with an energy that was matched only by
Mr. Iger's, one attendee said.
Mr., Chapek's résumé doesn't include oversight of as many
creative parts of the company as Mr. Iger's did when he landed the
top job in 2005. But during the course of his career, he has worked
closely with both the movie and television teams at Disney when he
headed home entertainment.
In an interview Tuesday, Mr. Chapek acknowledged that film and
television production was one area in which he would have to
immerse himself. His theme-park and home-entertainment stints
provided an education, he said.
"Given that our only product is a creative product, I've been
completely immersed in editing and looking at product and giving
notes on product my entire Disney career," he said. Storytelling,
he added, is "actually something I feel very comfortable with."
In his 18 years at Disney's film studio, Mr. Chapek was known
among colleagues and others in the industry for a focus on data and
business execution, rather than worrying about relationships with
the creative community and business partners. When he ran home
video from 2006 to 2009, he championed a highly lucrative
"moratorium" strategy in which Disney would make movies unavailable
for a while and then rerelease them with much fanfare.
In recent years, Mr. Iger communicated to Mr. Chapek that he
might be in line to become CEO, according to another former senior
executive. Mr. Chapek emerged as the clear choice for the top job,
beating out at least one potential rival inside the company: Kevin
Mayer, who now oversees Disney's direct-to-consumer operations,
including its Disney+ streaming service.
Some believe that when it comes to creative matters, Mr. Chapek
will be in a listen-and-learn mode for the next 22 months, while
Mr. Iger remains as executive chairman, focusing on Disney's
creative operations until his employment contract ends in December
2021.
"In many respects, it's like Iger named a COO," said Peter
Crist, chairman of executive recruitment firm Crist Kolder
Associates.
In a conference call Tuesday with analysts, Mr. Iger dismissed
the notion of naming a permanent head of creative affairs to manage
Disney's various brands, including Pixar and Marvel.
"If we named a chief creative officer, that would imply we had a
need, and I don't think that's the case," he said.
Mr. Chapek, who has been married for 38 years, has three adult
children and three grandchildren. His son has worked at Marvel
Studios since 2013, according to a regulatory disclosure from the
company.
Many who have worked closely with Mr. Chapek say that he lets
his guard down around those he is familiar with and trusts. One
former subordinate said despite the "external veneer of
seriousness, he's a nice, fun guy."
Mr. Chapek said on the call with analysts that his relationship
with Disney started during his childhood in Hammond, Ind. His
parents would take the family on annual vacations at Walt Disney
World in Orlando, Fla.
"That's where I first developed a deep love for Disney and what
it stands for," he said.
--Ben Fritz and Chip Cutter contributed to this article.
Write to Joe Flint at joe.flint@wsj.com
(END) Dow Jones Newswires
February 27, 2020 02:47 ET (07:47 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.
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