Initiative:Design & Build a "World Class" Training & Meeting Center
Primary Change:Centralize Training and Meeting Activities
Engagement: The client was a manufacturing company with locations throughout the world. They wanted to build a "World Class" Learning and Meeting facility for their employees.We were given 12 months to do a worldwide benchmarking study to determine who and what was the best in the industry?.
Situation Ford had its educational program decentralized throughout the company. Each Division and each Manufacturing facility did their own training. Ford was spending about $8.6 million for training and $5.8 million for outside meetings. They were renting outside facilities to hold their training classes and management meetings.With no centralized control or location, there were duplication in courses, and monies spent on course design and development, improper use of qualified program facilitators, overcharges for most of their off-site training and meetings.
Action After benchmarking 45 Corporate, 15 University, 10 IACC Conference Center properties the architectural firm of Harley Ellis designed and the John Olson Company built a executive level 300,000 square foot facility with 60 high tech meeting rooms, 2 Board rooms, 8 computer labs, 4 continuous break areas, 4 dining rooms, 2 outdoor dining areas, 6 distance learning labs, 2 large reception areas, and a large outdoor reception area. The facility was build in 18 months (2 months ahead of schedule), was 13% ($3.1 million) under-budget and only had 5 change notices to the original plan.
Results After one year of operation, Ford reduced its Training costs by $1.7 million (20%) and meeting costs by $1.8 million (30%).The facility and program was written-up in a number of major meeting and architectural magazines ? known as the best corporate training and meeting environment.The Training and Conference Center exceeded its budgeted capacity of 65% by 30% and made a net profit of $3.6 million. The success of this project was due to extensive up-front planning, weekly team meetings, detailed timelines and a clear understanding of everyones roles and responsibilities. There was also on-site offices and a "war room" where all pertinent information was kept up-to-date.
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