- 7/5/2025
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00:00Hello everyone, my name is Rudolph Mentrell, MBA student at the New York Institute of Technology
00:28in Vancouver. As part of our Management 605 course, Organizational Behavior, we were touched
00:38with analyzing the complexities of global leadership by examining real-world challenges
00:46faced by multinational corporations since 2020. Our group selected Zoom video communications
00:56as our case study, focusing on how the company responded to global disruptions, navigated
01:07the hybrid work era during COVID, retained talent and adopted its leadership approach
01:17in uncertain times. In this video, I will be presenting on three key sections.
01:25One, Introduction and Contextual Analysis. Two, Pandemic Search and Market Dynamics. And three,
01:38Computation and Technological Innovation. Introduction and Contextual Analysis. Zoom
01:49Video Communications was founded in 2011 with headquarters in San Jose, California. The company
02:00is a global leader in video conferencing and collaboration. Its product suite include Zoom meetings,
02:11Zoom phone, Zoom rooms and Zoom events. During the COVID-19 pandemic, Zoom became a household name.
02:24Daily meeting participants skyrocketed from 10 million to over 300 million in 2020.
02:38Under the leadership of its CEO, Eric Yuan and CIO, Harry Mosoli, Zoom navigated its hypergrowth
02:51growth with calm and clarity. However, by 2023, Zoom faced a dramatic reversal. Its stock price plunged nearly 90%.
03:07Daily user engagement declined and competition intensified. The rapid transition from explosive growth
03:21growth to post-pandemic normalization posed serious leadership challenges both operationally and culturally.
03:33Pandemic search and market dynamics. Between 2020 and 2021, Zoom experienced its most aggressive growth.
03:48The revenue surged past $2.6 billion and the workforce doubled in size. But with this massive growth came mounting pressures.
04:07CEO Yuan initially embodied a transformational leadership style. He united the company around its mission,
04:17foundation, which is to deliver happiness. This vision boosted morale and attracted public goodwill.
04:29As pandemic conditions eased, however, Zoom usage began to drop.
04:36The CEO pivoted to a transformational leadership approach, emphasizing cost-quality measures,
04:49KPI tracking, and operational efficiency. Unfortunately, this shift led to declining employees' trust in the company.
05:03By 2023, Zoom laid off 1,300 of its employees. This sobering movement marked a shift in both the culture of the company and its leadership approach.
05:24Competition and technological innovation.
05:29Zoom's dominance was increasingly challenged by Microsoft Teams and Google Meet,
05:37which quickly advanced their AI features and hybrid work tools.
05:43Although Zoom introduced products like Zoom phone, Zoom rooms, and Zoom events, user adoption lacked.
05:57Its AI companion role-out also lacked depth and fell behind in functionality.
06:05While Zoom leadership aimed to embrace AI, internal misalignment and low employee readiness created an innovation gap,
06:19still threatening Zoom's competitive edge.
06:23In conclusion, Zoom's shift from pandemic era success to ongoing challenges reveals three important things.
06:34One, strategic agility in adapting to market changes.
06:40Two, building a culture rooted in trust.
06:44And three, long-term commitment to innovation.
06:49I will now pass this over to the next presenter.
06:52Hi everyone. So, I will be talking about the two areas in this presentation, which has huge impact on the Zoom's leadership,
07:03which is security and privacy issues.
07:05And then, talent and remote work situation that happened in the Zoom company.
07:13So, let's start with the security side.
07:15Remember back in 2020, when we were facing the pandemic issues and everything,
07:20the Zoom was not only used by the company, where it went to everyone.
07:24It was not just a business tool.
07:26It was used by the schools, universities, families, even government also used sometimes for that.
07:31Because of all these things, many security issues came by.
07:37Then, they even made one term famous, which is Zoom bombing, where random people will come into the call
07:45and do some disturbing content, where this was a huge, huge security violations that happened in Zoom,
07:54which made the people also think twice to use the platform because of the security issues.
08:03And because of all these things, the company faced many privacy lawsuits.
08:09And then, what Zoom did for this is they stopped bringing in the new features for the app.
08:17Instead of that, they focused more into the security thing,
08:22more into the security thing and fixing those platform security.
08:27It shows the leadership was reacting under pressure because of all these security violations.
08:33But not everything was thought was like, it was not like well through planned.
08:41And these problems made the company to run into problems like global regulations.
08:50For example, the laws like GDPR in Europe and CCPA in California.
08:57And this was not, Zoom was not compliant everywhere because of some regulations and rules of each countries.
09:06Like these, these things,
09:09like these things made a huge disaster into a company where they were,
09:13they were told to be, told to pay around 120 million dollars as a fine, just as a fine.
09:23Yeah, this, these kind of problems didn't just affect the, it was not just about the money,
09:31it's also affects the company's reputations and the number of users that were using the product.
09:36But these are the, these are the main cause for the economic pressure.
09:42The, then the inflation came up.
09:45The compliance costs were rising and everything were rising.
09:48Then the leadership were being, I'll be in the toughest spots to make some,
09:54some like, more tough decisions like hiring,
09:58hiring people and laying off employees from their company.
10:02In 2003 alone, they laid off around 1,300 people, people from that company.
10:12This shows the 37, 37 percentage of employees lost their trust in the leadership because of this.
10:22Or because of all these things, then comes the hybrid work mode.
10:27So most of the employees, about 83 percentage actually said that they felt more productive
10:33while they are working remotely.
10:35But what the zoom,
10:38struggle to keep the teams should be aligned.
10:41They want to come, they want employees to come to the office to work instead of working remotely.
10:49But there was like many,
10:52inconsistent between the employees because between the younger and the older employees,
10:56like the Zen Z who wanted more flexibility, flexibility and feedback.
10:59But the older employees sometimes felt disconnected or left behind because of the Zen Z.
11:05Then when it comes to motivation leadership,
11:10the leadership, the leaders were like much, much missed out in that part.
11:15Because the goal setting was not clear for the employee to employee.
11:19And people also felt more hard, hard to work.
11:25And because of all this, the rewards were also not, didn't match the air struggle.
11:35That was the, the, that's where the expediency theory comes in.
11:39It's basically says the expediency theory basically says if the effort doesn't lead to something meaningful,
11:47people won't do the work or they, they just stop, stop trying or they just stop putting into their
11:54efforts into this.
11:55But Zoom was trying to fix all many things in their company.
12:00They bought in like some burnout prevention strategies, like a clearer role and better mental health support.
12:08But by then they became, by then they, they were bringing those, all those things.
12:15Lots of damages were already done.
12:17Yeah.
12:18These are, these are the, these are the security and the, uh, talent, uh, the talent and leadership,
12:27you know, was happened in Zoom.
12:29So what are the takeaways?
12:30So we can take from this part is security and trust should be go hand in hand.
12:36It should not be, uh, pass, pass on by like words.
12:40So if you mess up one, the other, other disappears so fast.
12:44The second, you must, you cannot trust compliances like, like an after the,
12:50it should be a part of a company's culture, especially if you're global, uh, it should not be like,
12:55uh, if something happens, we can take care of, it can be taken care of.
12:58It should not be like that.
12:59It's, uh, everyone should be like, uh, be well, be well prepared for that.
13:04And third remote work sounds great on paper, but without clear leadership or strong communication
13:09and motivation, it can fall up, fall apart at any time.
13:14Yeah.
13:15So that's my session.
13:17Thanks for everyone for listening.
13:23Hello, everyone.
13:24Today, I'll be discussing on two critical areas of leadership that have become increasingly
13:30important in our globalized and unpredictable business world.
13:33One decision-making under uncertainty and cross-cultural leadership with a keen focus
13:39on my oriented topic, Zoom video communication incorporation, a company that has exemplified
13:45both challenges in success and challenges in these areas.
13:49The first one is decision-making under uncertainty.
13:52To begin with, it is at the time of during COVID-19 pandemic,
13:57Zoom had experienced explosive growth, but with it came immense pressure on infrastructure,
14:02security, and leadership had to develop often without a complete data on the crisis.
14:09This is where the crisis response pattern came into play.
14:12Initially, Zoom followed a centralized decision-making model where top executives rapidly rolled
14:18out into new features, upgrades, servers, and responded to increasing demand.
14:22However, this also exposed them to cognitive biasness, particularly overconfidence,
14:28assuming that their infrastructure and quick fixes would be enough for this crisis.
14:35This miscalculation became very clear when privacy concerns arise.
14:39The company had to backtrack issue, apologize, and launch a 90-day security plan.
14:45This example highlights the needs for improvement, framework, structured models that support learning,
14:51and adaptability during such crisis.
14:53One such model is the ODA, observe, orient, decide, and act.
15:00Zoom gradually adopted this type of framework, learning to involve stakeholders and re-evaluate before acting.
15:08The second one is the cross-cultural leadership.
15:11Zoom operates in over 80 countries with such a vast global presence across the globe.
15:16Their cultural leadership is a very key role.
15:19This is where the global framework becomes essential.
15:22The globe study analysis on how leadership expectations vary across cultures.
15:27For example, in low-distance cultures like the US, employees value openness and equal voice.
15:33But in high-uncertainty-avoidance culture like Germany or Japan, users expect precise data collection
15:41and privacy guarantees.
15:42Zoom faced challenges when rolling out their end-to-end encryption globally.
15:47The Western users celebrated it, but some of the governments saw it as a threat to the national
15:52regulation.
15:53This is a classic case of stakeholders' misalignment caused by cultural disconnect.
15:58Leaders at Zoom must use tools like GLP that is Global Leadership Profile to navigate this
16:04landscape, adapting their approach based on regional norms, values, and expectations.
16:10To conclude, in my conclusion, I would say that Zoom is a very big enterprise.
16:19They are very well known and they have a huge database across the globe.
16:24So, it's very crucial for them to recognize and correct their cognitive biasness during uncertainty.
16:31This would help them to avoid centralized decision-making and embrace cross-cultural leadership frameworks
16:38such as globe and GLP. By doing so, leaders not only survive the uncertainty, they grow,
16:45but they also go through it. This makes sure that the company is in progress and the users are not harmed
16:51or their data has not been preached. Thank you.
16:54Hi, everyone. My name is Mazza. So, I'll talk about the strategic recommendations for this project.
17:03So, number one, we actually recommend that Zoom should adopt a hybrid leadership model, which is
17:11blending the transactional leadership and transformational leadership. So, with that,
17:16it actually brings about a visionary thinking with clear goals and accountability, which is very,
17:22very important in any business. So, leaders should also be trained in remote leadership. And with that,
17:29it's very, very important because it helps in adjusting in any systems and also in ethical crisis
17:35and response, formal coaching that will help development gaps in such leadership. So, next is on talent
17:45engagement. Zoom should communicate very clearly during layoffs, which in the past they haven't,
17:50and that actually creates a lot of issues. So, and also offer a clear growth when it comes to
17:57opportunities and support employees through reverse mentoring and mental health programs, which is
18:05quite important because every employee needs a mental health support system. For that,
18:10to make them strive and be positive and this form of life motivation. And this will also help you
18:16rebuilding trust among them. And this has been proven through call of strategies. So, in terms of security
18:22and compliance, we actually suggest they actually make a very good compliance that they should
18:28comply with all security details. And this is part of the leadership's KPI. So, engaging regulators early
18:36and also adopting a zero trust security model is very, very important. So, this has proven over time and
18:43has shown that to reduce, it has shown to reduce this incident by 83% according to IBM. So, furthermore,
18:52I do want, we do want to suggest a long-term strategy. So, with that to improve resilience, Zoom should also
19:01create a decentralized decision-making teams that respond to rigs 30%, very, very important. And this
19:09should be done faster and with that to improve trust according to DDI's post-crisis framework for market repositioning,
19:17which is quite, very, very important. So, if they can do that, that would be quite, quite good of them. So, we also
19:24recommend them focusing on, um, on AI-driven collaboration tools and also improving ESG ratings. This will help restore
19:33the stakeholders' confidence and especially supported by credible ESG improvement systems and pathways,
19:43which is very, very important. So, overall, these strategies are very unique and very outstanding.
19:50And this will also provide a very strong point for a more agile and ethical organization. So, this,
19:57if implemented by Zoom, will go very, very long way. So, in conclusion, the key leadership here is,
20:05in conclusion, the key leadership here is the need for strategic flexibility and ethics, especially
20:11during uncertainty, which is quite important because they actually had issues during COVID,
20:17post-COVID and during COVID. So, in today's, uh, global health environment, humidity, transparency,
20:23fast learning are very, very critical. And, uh, Zoom experiences actually provides a valuable insight
20:33for future leaders on how to adapt, review trust, and lead with integrity. Thank you.
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