Supercell 2.0: Clash of Plans
Supercell, a leading mobile gaming company, faces a strategic challenge as the frequency of its hit game releases diminishes.
Supercell 2.0: Clash of Plans Supercell, a leading mobile gaming company, faces a strategic challenge as the frequency of its hit game releases diminishes. In response, the company restructures into New Games and Live Games divisions, introducing more traditional management hierarchies. This shift raises questions about Supercell's ability to maintain its attractive culture for top talent while pursuing sustainable growth. Founded in 2010, Supercell was a Finland-based mobile gaming company that had developed and launched five global hit mobile games: Hay Day, Clash of Clans, Boom Beach, Clash Royale, and Brawl Stars. The company's early philosophy was that it could produce hits by designing the company with a structure and culture that would prove compelling to the industry's top talent. Developers worked in small, autonomous groups called cells with little oversight. The formula was a success. Supercell had nearly $2 billion in annual revenues, and Clash of Clans alone had generated gross revenues of over $10 billion since inception.Supercell Restructures Into Two DivisionsHowever, the company had not released a hit game in five years. To address this challenge, the company's leadership team decided to restructure the company into two divisions-New Games and Live Games. The New Game cells would retain the small team structures, which were largely flat and non-hierarchical, but the Live Game cells would add more traditional structure and hierarchy to exploit franchise hits.Now, Paananen wondered if Supercell could continue to attract top talent despite its shift to more traditional ways of managing the business.
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