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Flood Page, Michael (2015) the Development of BBC On-Demand Strategy 2003-2007: the Public Value Test and the Iplayer

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Flood Page, Michael (2015) the Development of BBC On-Demand Strategy 2003-2007: the Public Value Test and the Iplayer Flood Page, Michael (2015) The development of BBC on-demand strategy 2003-2007: the Public Value Test and the iPlayer. PhD thesis. http://theses.gla.ac.uk/6779/ Copyright and moral rights for this thesis are retained by the author A copy can be downloaded for personal non-commercial research or study This thesis cannot be reproduced or quoted extensively from without first obtaining permission in writing from the Author The content must not be changed in any way or sold commercially in any format or medium without the formal permission of the Author When referring to this work, full bibliographic details including the author, title, awarding institution and date of the thesis must be given Glasgow Theses Service http://theses.gla.ac.uk/ [email protected] The development of BBC on-demand strategy 2003-2007: the Public Value Test and the iPlayer Mike Flood Page B.A. Hons. Submitted in fulfilment of the requirements of the degree of Doctor of Philosophy Centre for Cultural Policy Research School of Culture and Creative Arts University of Glasgow May 2015 © Mike Flood Page 2015 2 Abstract This is a study of strategy development and implementation based upon interviews with senior BBC executives. It explores how and why the BBC became the first major UK broadcaster to pioneer on-demand and to devise a Public Value Test for all new services. It does so through three case studies: a regulatory mechanism, the Public Value Test, and two examples of digital innovation: the iPlayer on-demand service, and the BBC Creative Archive. The research questions are: how and why did the BBC develop and implement an on-demand strategy during its Charter renewal process between 2002 and 2007; what was the process; what factors affected the decision-makers, what issues and dilemmas did they confront; and how effective have they been? This research investigates how the BBC responded to a two-fold crisis that threatened both the relevance and legitimacy of public service broadcasting. It builds upon an institutionalist perspective to examine how changes in the dynamics of UK broadcasting, in particular growing tensions between the institutional logics of public service and marketisation, affected the Corporation’s incumbent position within its organisational field, and undermined its ability to launch innovative digital services such as the iPlayer, because of difficulties in establishing a clear distinction between what was legitimate public service online and what should be left to commercial competitors to provide. The findings illuminate the complex relationship between organisational legitimacy and institutional culture, and ask why the BBC devised the Public Value Test, first applied to its proposals for the iPlayer and on-demand provision, how successful this was in enabling the BBC to redefine its own remit, and what the consequences were. It finds that BBC strategy development combined elements of rational long-range planning with improvisation and opportunism, and suggests a dysfunctional relationship between its proactive approach to long-term planning and its process of digital innovation. This finding of a culture of innovation at the BBC challenges the argument that attributes “disruptive innovation” to private sector insurgents rather than incumbents, especially those in the public sector. 3 Table of Contents Introduction ............................................................................................................................ 8 1.1 The BBC case studies .......................................................................................... 10 1.2 The strategy development process ....................................................................... 14 1.3 Institutionalism and BBC strategy ....................................................................... 15 1.4 Institutional Logics and the BBC ......................................................................... 17 1.5 Research methodology ......................................................................................... 19 1.6 Organisation of this study .................................................................................... 21 Chapter Two: Strategy, Innovation and Institutionalism ..................................................... 23 2.1 Institutionalism .................................................................................................... 24 Institutionalisation ........................................................................................................ 27 Legitimacy ................................................................................................................... 28 2.2 Strategy ................................................................................................................ 29 Theories of strategy development ................................................................................ 31 Rationalist, linear school .............................................................................................. 31 Interpretative and adaptive approaches ........................................................................ 32 2.3 Innovation ............................................................................................................ 34 2.4 Strategy, innovation and institutions .................................................................... 37 2.5 Field theory .......................................................................................................... 37 Organisational field ...................................................................................................... 38 2.6 Institutional logics ................................................................................................ 40 Institutional logic and change, structure and agency ................................................... 43 Public service broadcasting .......................................................................................... 44 Universal access ........................................................................................................... 45 Marketisation ............................................................................................................... 48 2.7 Conclusion ........................................................................................................... 49 Chapter Three: The BBC’s changing organisational field 1980s-2003 ............................... 52 3.1 The BBC as an institution .................................................................................... 52 3.2 The BBC and the UK broadcast field .................................................................. 54 3.3 Political pressures ................................................................................................ 55 3.4 Multichannel competition .................................................................................... 57 3.5 Digital platforms and universal access ................................................................ 58 3.6 Digital television and radio .................................................................................. 59 3.7 The Internet and BBC Online .............................................................................. 61 3.8 The Hever strategy process .................................................................................. 64 3.9 Freeview and Freesat ........................................................................................... 65 3.10 Charter renewal .................................................................................................... 67 3.11 Governance .......................................................................................................... 68 3.12 Rethinking public service .................................................................................... 69 3.13 The second digital revolution ............................................................................... 71 3.14 Conclusion ........................................................................................................... 73 Chapter Four: Research Methodology ................................................................................. 75 4.1 Research design ................................................................................................... 75 4.2 Desk research ....................................................................................................... 79 Sources ......................................................................................................................... 79 4.3 My role: from participant to observer .................................................................. 81 4.4 Case studies .......................................................................................................... 84 4.5 Interviews ............................................................................................................. 86 The sample ................................................................................................................... 87 4 The semi-structured interview ..................................................................................... 88 Analysis........................................................................................................................ 90 4.6 Ethical considerations .......................................................................................... 92 4.7 Conclusion ..........................................................................................................
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