Facility and Event Management: A Comprehensive Guide

Posted on May 9, 2024 in Economy

Lesson 1: Reasons to Build and Facility Planning

Reasons to Build

There are various economic, social, and political reasons to build new facilities or assess the needs of existing ones. These include:

• Economic: Job creation, economic growth, and increased tax revenue.
• Social: Improved quality of life, community development, and social cohesion.
• Political: Enhanced city image, political prestige, and attracting investment.

Facility Planning – New Facilities

Planning for new facilities involves considerations such as:

• Finances
• Personnel
• Space requirements

Facility Planning – Existing Facilities

For existing facilities, the focus is on:

• Needs assessment
• Community and political support
• Feasibility analysis

Site Selection

Key factors in site selection include:

• Location: Suitability, size, and accessibility.
• Competition: Market share analysis and competitor assessment.
• Structural Support: Ensuring the site can support the facility.
• Finances: Cost analysis and financial feasibility.
• Government Regulations: Compliance with relevant regulations.

Facility Design

The design process involves:

• Conceptualizing the design
• Stakeholder consultations
• Detailed design and planning
• Ensuring versatility, sustainability, and accessibility

Lesson 2: Facility Marketing

Facility marketing involves planning and executing the development, pricing, distribution, and promotion of ideas, goods, and services to attract events and market the facility itself.

Role of Marketing Department

• Attract events
• Adopt anchor tenants
• Develop relationships with stakeholders

Marketing Segmentation

Understanding the target audience through:

• Demographic segmentation
• Psychographic segmentation
• Product usage segmentation
• Geographic segmentation

8 Ps of Marketing

• Product
• Price
• Place
• Promotion
• Process
• Physical Environment
• People
• Productivity

4 Unique Characteristics of Services

• Intangibility
• Inseparability
• Heterogeneity
• Perishability

Servuction Model

The service production process involving:

• Invisible organization and systems
• Inanimate environment
• Contact personnel and service providers
• Customer A and Customer B

Lesson 3: Financial Aims and Budgeting

Financial Aims

• Increase profits
• Reduce costs

Budgeting

A roadmap for the future financial performance of the facility.

Benchmarking

Comparing financial performance to other facilities.

Forecasting

Predicting future financial performance using methods such as:

• Past financial performance analysis
• Regression analysis
• Delphi method
• Zero-based budgeting

New Facility Financing

Private Financing

• Sponsorship deals
• Advertising revenue
• Rental income
• Event income
• Collateral
• Private investments
• Corporate bonds
• Partnerships
• Public share offerings

Public Financing

• General obligation bonds
• Revenue bonds
• Tax-backed bonds

Economic Development Paradigm

The economic impact of facilities on the community, including:

• Visitor spending
• Community visibility and awareness
• Stimulation of other development
• Enhanced community image

Psychic Income Paradigm

The emotional and psychological benefits to the public, such as:

• Excitement and emotional involvement
• Social bonding and community pride
• Enhanced collective self-esteem

Public-Private Partnerships

Collaboration between public and private entities, requiring:

• Clear and mutual objectives
• Alignment of goals with public interest
• Effective stakeholder engagement
• Effective project monitoring
• Strong project governance
• Technical competence and expertise
• Quality and sustainability
• Appropriate risk allocation
• Financial viability and feasibility

Lesson 4: Facility Systems and Operations

Facility Systems

HVAC (Heating, Ventilation, and Air Conditioning)

• Heating: Warm air systems, hot-water systems, steam systems, or a mixture of methods.
• Cooling: Maintaining optimal temperature and humidity levels using vapor compression or alternative air chilling systems.
• Ventilation: Ensuring adequate air exchange and circulation.

Lighting

• Indoor Lighting: Direct vs. indirect lighting, energy-efficient technologies like CFLs and LEDs.
• Outdoor Lighting: Quantity and quality of lighting, minimizing glare and light pollution.

Plumbing

• Wastewater management
• Fire suppression systems
• Laundry facilities

Interior Systems

• Audiovisual systems
• Sound control
• Broadcasting capabilities
• Data networks
• Personal transportation systems

Exterior Systems

• Parking and public transport systems
• Zoning considerations

Other Systems

• Pest control
• Waste management

Facility Operations

Seating

• Comfort, safety, and viewing experience
• Demand and revenue considerations

Crowd Control

• Perimeter fencing, moats, and changes in level

Playing Surfaces

• Dependent on user profile, budget, weather, and time
• Addressing problems like surface stiffness, friction, and metabolic cost

Lesson 5: Risk Management and Security

Risk Management

Identifying, assessing, and mitigating potential risks such as:

• Injuries
• Theft
• Terrorism
• Environmental hazards
• Political instability

Tort of Negligence

Understanding legal liability and duty of care owed to users.

Defenses to Negligence

• Contributory negligence
• Voluntary assumption of risk
• Exclusion of liability

Risk Assessment

Using a risk assessment matrix to evaluate likelihood and severity of risks.

Risk Treatment

• Avoid the risk
• Transfer the risk (e.g., insurance)
• Accept and/or reduce the likelihood or consequence of occurrence

Security

• Foreseeability of risks
• Staff size and training
• Technology implementation

Crowd Management

• Understanding movement theory and flow dynamics

Crisis Management

Developing an emergency action plan.

Promoting and Reducing Violence

Factors that contribute to violence and strategies to reduce it.

Lesson 6: Event Management and Design

Event Management

Understanding the dimensions of events, including:

• Mobile vs. place-based
• Micro, macro, and mega events
• Multi vs. single events
• Local, regional, national, and international events
• Creative vs. standardized events
• Live vs. virtual events

Event Design

Theme

• Purpose and success factors
• Concept testing for originality, authenticity, and uniqueness
• Stakeholder review and engagement

Logistics

• Event scale and scope
• Venue selection
• Event timing
• Big picture vs. detail orientation

Finance

• Budgeting and identifying funding sources
• Contingency planning

Lesson 7: Organizational Structure, Culture, and Staffing

Organizational Structure

• Horizontal differentiation (specialization, departmentalization)
• Vertical differentiation
• Spatial differentiation
• Formalization
• Centralization

Culture

• Shared beliefs and values
• Impact of new members and external influences

Motivational Theories

• Needs, goals, and expectancies
• Self-efficacy
• Job design
• Dispositional factors

Types of Event Staff

• Paid vs. unpaid
• Transactional vs. relational contracts

Kotler’s Marketing Principles

• Understand marketplace and customer needs
• Design customer-driven marketing strategies
• Construct integrated marketing programs
• Build profitable customer relationships
• Capture value from customers

Branding

Differentiating and elevating an event in the consumer’s perception.

Sponsorship

• Sponsorship approaches (sole, tiered, flat)
• Sponsorship risks

Lesson 8: Strategic Planning and Auditing

Strategic Plan

• Environmental scan
• SWOT analysis
• Vision and mission
• Values
• Objectives
• Short-term and long-term goals
• Strategic action tasking

4 Steps of Auditing

• Prior to planning (research, marketplace planning, strategic planning framework, human resources planning, marketing, financial, legal, insurance, operational planning and evaluation)
• Auditing results of planning process (planning document, short-term)
• Implementation of plan (3-6 months after document)
• Auditing over long term: strategic evaluation (performance measures) and strategic control (year-on-year profitability, attendance, media impressions)

Operations Plan

• Logical (goals and targets)
• Sequential (itemized event tasks)
• Detailed (detailed account of tasks)
• Integrated (multiple plans)
• Contingency (things that can go wrong)

Lesson 9: Destination Branding and Event Budgeting

Destination Branding

Establishing a distinct identity for a location, often through events, reflecting its attributes and culture. Challenges include balancing stakeholder interests, merging corporate and social identities, and maintaining consistency and appeal.

Anholt’s Competitive Identity

• Tourism
• People
• Culture
• Brands
• Policy
• Investment

Event Budgeting

Challenges of event budgeting due to the service nature of events and cash flow considerations.

Bidding vs. Inventing Events

Bidding for existing events vs. creating new events.

Cost-Based Approach

Budgeting around costs to break even, focusing on financial control and risk mitigation.

Revenue-Led Approach

Budgeting based on expected revenue, maximizing potential and enhancing the event.

Lesson 10: Public Relations, Trends, and Innovation

Purpose of Public Relations

• Educate and inform
• Explain actions
• Raise awareness
• Create trust and goodwill

Forms of Media

• Paid media
• Owned media
• Earned media

Principles of Crisis Management

• Timeliness
• Openness
• Making amends

Bespoke Events

Customized and customer-made events using technology.

Trendspotting

• Mega trends
• Micro trends

Innovation

• Imitation from other industries
• Collaboration