Title: Romil Bahl, A.T. Kearney Global Sports and Entertainment Practice Leader
1- Romil Bahl, A.T. Kearney Global Sports and
Entertainment Practice Leader - May 13, 2003
2Executive Summary
- Mega-sports events deliver substantial economic
and social benefits to sports governing bodies
and host cities/countries - In the future the stakes are higher the cost
and complexity of hosting a mega-sports event is
ever increasing - To succeed, event organizers need to adopt a
comprehensive and integrated event-management
mind-set through the entire event lifecycle and
execute to some best-practices - Organization and governance
- Stakeholder and government collaboration
- Revenue optimization and cost containment
- Program management and communication
- Risk management and contingency planning
3Mega-sports events deliver substantial economic
and social benefits to sports governing bodies
and host cities/countries
Mega-Sports Event Benefits
Direct Event Benefits
Induced Benefits
Indirect Event Benefits
- Broadcast rights
- Global and Local Sponsorship
- Tickets
- Merchandising/Licensing
- Infrastructure investment and legacy
- Domestic and international tourism
- Other local business revenues (e.g. retail)
- Government tax revenue
- Employment (e.g., construction, tourism, and
event-related jobs) - Multiplier effect of foreign visitor spending
- Social and cultural benefits
4In the future the stakes are higher the cost
and complexity of hosting a mega-sports event is
ever increasing
- Spiralling infrastructure costs
- Increased technology requirements from media and
fans - Higher security demands
- Growing number of event participants
- Expectations of sponsors/partners
- Overall expectation each event will out-do the
previous
5To succeed, event organizers need to adopt a
comprehensive and integrated event-management
mind-set
Venues Infrastructure
- Stadiums and venues
- Games village
- International media center
- Hotels
- Airports
- Rail and bus stations
- Conversion to municipal use
Marketing, Sponsorship Media
IT, Internet Telecom Solution
- Marketing advertising
- Internet Site
- Public Relations
- Communications
- Media operations
- Hospitality
- Sponsor Management
- Licensing and Rights Protection
- Architecture Integration
- Event systems
- Internet
- Hardware and software
- Testing technical rehearsals
- Event network (voice and data)
- Network equipment cabling
- Wireless
Comprehensive and Integrated Event Management
Mind-set
Transportation and Logistics
Event Coordination
- Transportation infrastructure
- Public transportation
- Transportation planning
- Olympic Family
- General public
- Transportation operations
- Warehousing and logistics
- Materials management
- Scheduling of events
- Roster development
- Competition organization
- Spectator services
- Accreditation
- Volunteer training and coordination
- Officials and referees
- Cultural program
Ticketing Sales
- Ticketing
- International
- Domestic
- Merchandise Sales
- Accommodation sales
Source A.T. Kearney analysis
6event organizers need to use a rigorous and
comprehensive mindset along the entire event
lifecycle
Post-EventManagement
Mega-Sports Event(e.g. Olympic Games)
ConceptualPlanning
Operational Planning Build-out
Testing Deployment
Setup Strategy
Hosting
Bid
6 12 Months
48 60 Months
6-12 Months
36 48 Months
6 9 Months
1 2 Months
6 12 Months
Size of Event
Large-Scale(e.g. CricketWorld Cup)
3 9 Months
18 24 Months
6 - 9 Months
3 6 Months
1 2 Months
3 6 Months
24 36 Months
Time
Source A.T. Kearney analysis
7A.T. Kearney experience and research reveals
organisers of successful events adopt certain
best practices throughout the event life-cycle
Organisation and Governance
Stakeholder and Government Collaboration
Risk Management and Contingency Planning
Event ManagementBest Practices
Revenue Optimisation and Cost Containment
Program Management and Communications
8Best practices organization and governance
Best Practices
CEO
- Rapid organisation establishment
- Evolving structure and size over the
event-life-cycle from a thinking to a doing
organization - Balance between process and functional view of
organisation, transforming to a venue view - Clear roles, responsibilities and
accountabilities - Obtain the required competencies and skills use
of third-party expertise
Infrastructure
Commercial
Operations
Transportation
Marketing
IT
Sport
Image
Construction
Sponsorship
Accommodation
CEO
Staff
COO
MOC
Venue 1
Venue 2
Venue N
Operating Workforce
9Best practices stakeholder and government
collaboration
Approaches for successful interaction with
stakeholders
Best Practices
- Tight government collaboration
- Specific-purpose government entities
- Full government backing at local and national
level - Sponsor/supplier staff integration
- Regular stakeholder communication
- Proactive public and media relations
- Consistent issue escalation and resolution
approach
Core
Discrete Legal Entity
Standing Committee
Significance of Activity
Staff Integration
Periodic Meetings
Support
Operational Delivery
Communication
Type of Interaction
10Best practices revenue optimisation and cost
containment
Best Practices
Asia
TV Rights
USA
- Innovative revenue optimisation
- Ticketing
- Digital assets
-
- Funding early in the lifecycle
- Comprehensive budget development and tracking
- Segmented budget control and accountability
- Complexity reduction focus
- Rigorous strategic sourcing
- Sponsor/partner value-in-kind
Sponsorship
Revenue
Sponsor/Licensing
Local Sponsorships
Lotteries
Ticket Sales
Sports Facilities
Village
Capital
Media Center
Expense
Sports Events
Ceremonies Programs
Transport
Operations
Security
11Best practices program management and
communications
Best Practices
- Program-wide blueprint
- Robust program management disciplines
- On-line collaboration and communication tools
- Knowledge management
- Cascading program management approach
- Overall event
- Operational
- Functional
12Best practices risk management and contingency
planning
Best Practices
- Risk management mind-set
- Consolidated risk capture and tracking
- Continual re-focusing of resources to highest
priority risks - Robust escalation and resolution processes
- Contingency planning and scenario development
- Crisis management planning
Red
Criticality Rating of the Risk
Amber
Green
Timing Rating of the Risk
Controllability Legend
High
Medium
Low
13A.T. Kearney has developed a mega-scale event
management toolkit to support event organizers
and sports governing bodies
Event Strategy Structure
Event Organization Structure
Event Strategy, Blueprint Roadmap
Bid Strategy
Strategy, Planning and Implementation Workstreams
Venues and Infrastructure
IT, Internet and Telecom Solution
Marketing, Sponsorship and Media
Transportation and Logistics
Ticketing and Sales
Event Co-ordination
Program, Risk and Contingency Management
Program Tracking Risk Management
Budget FinancialManagement
Strategic Sourcing Asset Tracking
Program Communication
Program Governance
14Romil Bahl, A.T.Kearney Global Sports and
Entertainment Practice Leader
A.T. Kearney 5400 Legacy Drive MS B1-1A-01 Plano,
Texas 75024