Download - Hertz NJ PMI of the Year Award presentation
1
PMINJ PROJECT OF THE YEAR
“Changing the relationship between everyone and the car,
everywhere”
2
Project Summary
New line of business for HertzBased out of Park Ridge, NJ Team of more than 25 global employeesRevolutionize the car sharing market Utilize the latest in interactive telematicsMembers use cars on a pay-as-you-go basisConvenient and socially-conscious alternative to car ownership
3
Integration Management
First rental car company to launch global car sharing Executive Challenge: Create new revenue opportunities and establish a new customer baseObject: Build program that revolutionizes industry 40 departments combined forces during implementation phase Management team conducted weekly meetings to discuss highlights, challenges and ideas
4
CharterMission: Changing the relationship between everyone and the car, everywhere
5
Planning Process Group
Research Steering Committee creation Held 3 day educational/brainstorming meeting to define project. Objectives included:
o Pricing: Align and agree on car sharing pricing structureo Marketing: Member acquisition and retention; develop an acquisition plano Legal/Policy & Procedures: Define terms & conditions and trade markingo Public Relations: Developed global PR plan o Sales: Develop initial sales strategy; create training program for existing sales forceo Fleet: Strategy formation, leveraging existing purchasing power and infrastructureo Insurance: Create insurance packageo Operations: Develop parking acquisition strategyo Customer Support: Develop a plan for leveraging Hertz’s existing Member Care Centero Marketing: Name, logo, branding, advertising, website, and member experience o Human Relations: Create compensation and bonus plan, job descriptions
Conducted follow-up meetings to finalize project management plan
6
Scope Management
Vision: First choice for total mobility solutionsCar sharing a new and growing solution
Focus: Car sharing global leaderProject lead helped define and develop deliverables and success measurementsAssigned responsibilities and deliverablesAttainable through utilization of available resourcesLeveraged Hertz resources: purchasing power, customer service center and a trusted and established global brand
7
High Level Work Breakdown Structure
Global Coordinator
Sponsors
Project Manager - US
Project Manager - EU
Financial Act. & Tax
Insurance
Financial Planning
Executive Steering Team
MCCTraining HR
SalesImplement. Team
Internal AuditIT – Eileo
IT – Financial Billing
PR
Marketing
Legal
In Car Technology
IT -Website
Policies & Procedures
Pricing Fleet
Operations
Cross Functional Domain Leads Panel
8
Quality Management
FMEA (Failure Mode and Effects Analysis)Beta launch to test technology and identify
potential issues All usage scenarios tested (i.e. booking
and canceling a reservation; missing card) Customer beta launch tested enrollment,
reservations and usage. Questionnaire sent to all beta testers
Feedback used to refine processes
9
Risk Management
Risk management/FMEA plan developed Risk register and probability and impact matrix defined, assessed, and prioritized risksRisk statuses and response plans monitored Plan reviewed, scoring severity,
occurrence, and detection of failure points
HOW FMEA HELPED THE LAUNCHHundreds of potential failure points analyzed, i.e.:
Stability of Eileo Vehicle Breakdown while in use How to start a Prius/Hybrid
At launch, more than 400 failure points addressed
10
Time Management
Ambitious launch date Project plan prepared and monitored Resources assessed, identified
and assigned Launch time-line created
Weekly global team and IT calls conductedHeld daily calls with Connect’s core team Management’s weekly global roundtable provided forum for time line updates
Greatest challenge: www.connectbyhertz.com
11
High Level Time LineJULY AUGUST DECEMBERNOVEMBEROCTOBERSEPTEMBER
Team meeting
Vendor evaluation/ selection
Marketing Analysis
Develop plans and roles
Branding/logo/name 10/13/08
Web design , development and deployment 10/27/08
Develop financial models
Develop marketing plan
Order, receive and install in-car technology
Hire operations team
Develop pricing & insurance models
Develop training/policies and procedures – MCC, sales, members
Testing web, in-car, back office
Secure parking
Order fleet
Place cars
Beta Launch
Prelim Start
12
Beta launch
Beta Test Begins Actions following test Retesting Final Evaluation
Launch prepPreliminary
Launch
OBJECTIVE:Use a controlled Test Group (MTG), locked down website and zero branding; testing to begin in October, including: enrollment, reservations, rental, billing and Member Care Center to evaluate quality, usability and identify improvements prior to launch.
•MTG enrollment begins
•Vehicle placed on grid
•MTG reserve and drive
•Receive MTG feedback
•MTG feedback summarized and logged
•Review and prioritize feedback/issues
•Develop action plan and time line
•MTG meeting to discuss action plan
•Revise action plan
•2nd MTG feedback summarized and logged
•Review and prioritize feedback/issues
•Update action plan and time line developed
•MTG Meeting to discuss plan
•Critical issues finalized and implemented
•Close test
•Develop plan for issues not addressed during beta
•Launch Finalized
•Cars on grid
TIME LINE
•PR event in all markets over a two week period -details to be provided by PR team
•Status update on plan; identify additional issues
•Identify risk and develop solutions
•Final MTG feedback summarized and logged
•Issues prioritized
•Update plan
13
Beta launch
TESTING LOCATIONS •Park Ridge 10 Vehicles •New York City 30 Vehicles •Paris 50 Vehicles •London 50 Vehicles •Ohio State 8 Vehicles
MTG PARTICIPATES • Controlled MTG per market invited to
join• Park Ridge employees invited to join• Discounted rate for MTG application and registration ($1.00) and usage ($0.50/hour and $10.00/day).
DELIVERABLES 1.Summary of calls for each group 2.List of issues by priority 3.Conference calls with teams 4.Action list and resolutions 5.Status of previous issues
Team prioritizes issues
MTG feedback submitted
Feedback reviewed
Action plan developed
Solutions developed
Issues and improvements circulated
Feedback recorded and loggedMTG Testing
MTG meeting to discuss feedback
Solutions implemented Launch
PROCESS
DETAILS
14
Beta launch
15
Cost ManagementProject launch spanned six months $9 million budget established & controls instituted
High-level steps included: Acquiring car-sharing technology Assessing the market/locations Building financial modelsPricing and insurance strategiesCreating the website Brand and marketing planAcquiring fleet, securing parkingDesigning billing processes Hiring and training operations team
Final cost $8.7 million
16
HR Management
Plan developed seeking diverse core teamTeam leader chosen
Hired a NYC GM and, in London and Paris, Marketing ManagersMarketing/General Managers, staff includes:
Market Development SpecialistCoordinate local marketing Build brand awarenessBuild membership and revenue
Fleet/Logistics ManagerTrack vehicle utilization Choose expansion areas Build vendor relationships
Market Development/Quality Control Rep
Assist fleet and marketing leads Perform quality control checks
17
Communications Management
Global Team required frequent communicationWeekly conference calls held with department leadsTeam members received a project charter
A “Team Room” knowledge repository created:Virtual collaborationCentral location for updated informationDocuments posted: project charter, procurement forms, communications timeline, research, risk analysis
Internal & External Project Communication Plans Created
18
Procurement ManagementFleet Purchasing:
Required certain brands and modelsTiming an issue
Car sharing softwareManufacturing and installation timingExtensive testing needed
Securing parking spaces Street and garages
Marketing and Advertising Support Material
Creation and delivery under tight deadline
19
COMPLEXITIES/OBSTACLES/CHALLENGES
Launching new business from within Website design, implementation, and testing A hip and trendy marketing campaign, with hyper-local marketing, designed and rolled outProcurement deadlines Technology installationBeta test GPS technology Parking for cars and valet trainingOperational complexities and differences
20
PROJECT SUCCESSES
Launched in Madrid & Berlin35+ Universities signedLaunched Electric Vehicle in Camden, LondonNissan agreement to introduce the Leaf
13,500+ Members Globally
700+ Vehicles Globally in 2009
21
FUTURE STATEFUTURE STATE
Continue market expansion of ConnectLaunch Connect onto an additional 40
universities Launch Connect2Go – “Our Technology, Your
Cars”One way car sharing launchNegotiate on-street parking in cities Work with state officials to launch ConnectIncrease retail and travel industry partnerships
22
2010 PROJECTS
Parking Costs• Reduce Parking Costs• Partner with large parking companies• Partner with HOA’s and property owners
Member Care Center
• Reduce Call per Transaction• Improved website functionality • Improved Eileo functionality
DMV Checks• Eliminate annual full check for members
to reduce costs
Depreciation• Modify depreciation rates • Monitor fleet mix
In-Car Technology
• Leverage ICGC for manufacturing and hardware purchases
4/12/2010