H6362-Prelims.qxd 9/2/05 4:56 PM Page i Management of Event Operations H6362-Prelims.qxd 9/2/05 4:56 PM Page ii Books in the series Management of Event Operations Julia Tum, Philippa Norton and J. Nevan Wright Innovative Marketing Communications: Strategies for the Events Industry Guy Masterman and Emma Wood Events Management 2e Glenn A J Bowdin, Johnny Allen, William O’Toole, Rob Harris and Ian McDonnell Events Design and Experience Graham Berridge Event Feasibility William O’Toole Marketing and Selling Destinations and Venues: A Convention and Events Perspective Tony Rogers and Rob Davidson H6362-Prelims.qxd 9/2/05 4:56 PM Page iii Management of Event Operations Julia Tum, MBA MHCIMA Philippa Norton, BA (Hons) J. Nevan Wright, PhD AMSTERDAM • BOSTON • HEIDELBERG • LONDON • NEW YORK • OXFORD • PARIS SAN DIEGO • SAN FRANCISCO • SINGAPORE • SYDNEY • TOKYO H6362-Prelims.qxd 9/2/05 4:56 PM Page iv Elsevier Butterworth-Heinemann Linacre House, Jordan Hill, Oxford OX2 8DP 30 Corporate Drive, Burlington, MA 01803 First published 2006 Copyright © 2006, Elsevier Ltd. All rights reserved The right of the authors to be identified as the authors of this work has been asserted in accordance with the Copyright, Designs and Patents Act 1988 No part of this publication may be reproduced in any material form (including photocopying or storing in any medium by electronic means and whether or not transiently or incidentally to some other use of this publication) without the written permission of the copyright holder except in accordance with the provisions of the Copyright, Designs and Patents Act 1988 or under the terms of a licence issued by the Copyright Licensing Agency Ltd, 90 Tottenham Court Road, London, England W1T 4LP. Applications for the copyright holder’s written permission to reproduce any part of this publication should be addressed to the publisher Permissions may be sought directly from Elsevier’s Science & Technology Rights Department in Oxford, UK: phone: (+44) (0) 1865 843830, fax: (+44) (0) 1865 853333, e-mail: [email protected]. You may also complete your request on-line via the Elsevier homepage (http://www.elsevier.com), by selecting ‘Customer Support’ and then ‘Obtaining Permissions’ Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. You should consult with a professional where appropriate. Neither the publisher nor author shall be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential or other damages British Library Cataloguing in Publication Data A catalogue record for this book is available from the British Library Library of Congress Cataloguing in Publication Data A catalogue record for this book is available from the Library of Congress ISBN 0 7506 6362 6 For information on all Elsevier Butterworth-Heinemann publications visit our website at www.bh.com Typeset by Charon Tec Pvt. Ltd, Chennai, India www.charontec.com Printed and bound in Great Britain H6362-Prelims.qxd 9/2/05 4:56 PM Page v Julia dedicates this book to Les Trois J Nevan dedicates this book to Joy and their 25 years Philippa dedicates this book to Simon, Samuel and Jake This page intentionally left blank H6362-Prelims.qxd 9/2/05 4:56 PM Page vii Contents List of figures ix List of tables xi List of case studies xiii Series editors xv The authors xvii Series preface xix Preface xxi Section One: Analysis 1 1 Development of the proposed event operations management model 3 2 Event management: characteristics and definitions 9 3 Analysis of the external environment 29 4 Defining service provision 47 5 Customers, stakeholders and gap analysis 53 6 Analysis of the internal environment 72 Section Two: Detailed planning 91 7 Planning, product portfolios, and product and service development 93 8 Product development 105 9 Supply chain management 116 10 Location management and choice 130 11 Risk management for event managers 149 Section Three: Implementation and delivery 163 12 People power – the most valuable resource? 165 13 Forecasting and capacity management 187 14 Scheduling and time management 213 Section Four: Performance evaluation 239 15 Performance evaluation 241 16 Awareness of quality 259 References 272 Index 275 This page intentionally left blank H6362-Prelims.qxd 9/2/05 4:56 PM Page ix Figures 1.1 Event operations management model 6 1.2 Event operations management model, shown as an iterative process 7 2.1 Shone and Parry typology of events (Shone and Parry, 2004) 10 2.2 Getz’s (1997) typology of events 11 2.3 The triangle of management and decision-making 14 2.4 Influences on organizational decisions 16 2.5 EVR congruence showing an overlap of the three elements 17 2.6 EVR congruence showing an overlap of only the elements of values and resources 17 2.7 EVR congruence showing an overlap of only the elements of values and the environment 17 2.8 EVR congruence showing an overlap of only the elements of the environment and resources 18 2.9 The transformation of resources into an event 19 2.10 The transformation process 19 2.11 Inverted triangle of investigation, moving from the general to the specific 21 3.1 Environmental forces 34 3.2 External and internal forces on the customer 35 3.3 A company requires customer satisfaction and sustainable profits 35 3.4 Interrelationships between the external environment and its impact on the mission of the company 36 3.5 The treadmill of change and competitor action 41 5.1 The varying amounts of customer interaction 55 5.2 Identification of the relative importance of critical success factors demanded of a venue by conference delegates 57 5.3 Comparison of critical success factors and alternative providers 61 5.4 Influence and interest of Glastonbury Festival stakeholders 66 6.1 External and internal forces on the customer 73 6.2 A virtual organization 87 6.3 Simplified events organization structure (Shone and Parry, 2004) 88 7.1 Life cycle of events 97 7.2 The Boston Consulting Group matrix 103 8.1 Ansoff’s Growth Matrix 106 8.2 Influences on the design of an event 108 8.3 Ideas are not the same as concepts 110 8.4 Flow process chart symbols 112 8.5 Flow process chart showing the movement of children at Thomas the Tank Engine Education Week 113 9.1 The supply chain, showing resources moving forward and feedback flowing backwards 117 9.2 The supply chain, showing resources moving forward 117 9.3 Chain of decisions and decision points 123 11.1 Impact and likelihood of risk occurring at a conference 157 H6362-Prelims.qxd 9/2/05 4:56 PM Page x x Figures 12.1 Low procedural efficiency, low conviviality 183 12.2 Low procedural efficiency, high conviviality 184 12.3 High procedural efficiency, low conviviality 184 12.4 High procedural efficiency, high conviviality 184 13.1 The triangle of management and decision-making 189 13.2 Some factors that influence capacity 202 13.3 Level capacity 203 13.4 Capacity and resource provision chasing the fluctuating demand 205 13.5 Demand being smoothed by encouraging a more consistent flow to and within the event 206 13.6 Seasonality comparison (periods 1 ϩ 2) 207 13.7 Seasonality comparison (periods 3 ϩ 4) 208 13.8 Seasonality comparison (periods 5 ϩ 6): half-term holidays 208 13.9 Seasonality comparison (periods 7 ϩ 8) 209 14.1 Stages of scheduling 219 14.2 One part of a network diagram 226 14.3 Stage 2: setting precedents and times 227 14.4 Stage 3: add earliest start and finish times 227 14.5 Stage 4: add latest finish time for each activity 228 14.6 Stage 5: work out float time 229 14.7 Gantt chart: 1 week to go 231 15.1 The control cycle element of the fourth section of the event operations management model 243 15.2 Silver’s research-evaluation continuum model 254 15.3 Ishikawa diagram examining the causes of no lighting in portable toilets 256 15.4 Fishbone diagram examining consequences of unexpected high attendance 256 16.1 Just in time management 269 H6362-Prelims.qxd 9/2/05 4:56 PM Page xi Tables 5.1 Customer requirements with subdimensions 57 5.2 Desired service compared to perceived service 66 5.3 Customer service rating 69 6.1 Identifying resources required to deliver the CSFs 79 10.1 Evaluating weighted criteria using a fictitious event management company, which organizes university award ceremonies throughout the UK 136 10.2 Evaluation of weighted criteria identified by the bride and groom for a wedding planning company 137 11.1 Extract from an event risk analysis sheet for a conference 158 13.1 Forecast from past period’s actual 195 13.2 Forecasting by past moving average 196 13.3 Forecasting by moving average 196 13.4 Four-period moving average 197 13.5 Seasonal factors 198 13.6 Forecast for year ahead 198 13.7 Adjusted average 199 13.8 Adjusted forecast 199 13.9 Exponential smoothed average 200 13.10 Trends 201 14.1 Network planning: the critical path method 225 15.1 Balanced scorecard for New Year’s Eve celebrations in a capital city 250 This page intentionally left blank H6362-Prelims.qxd 9/2/05 4:56 PM Page xiii Case studies 2.1 Skipton 12 2.2 NYC & Company 14 2.3 Royal Ascot 20 2.4 RHS Chelsea Flower Show 24