Strategic Management One Team. Infinite Solutions.
Stantec's Strategic Management team combines business, financial, technical, and operational knowledge to develop solutions for our clients' capital project challenges
One Team. Infinite Solutions. excellence Health Research Architects Ltd. Stantec provides professional design and consulting services in planning, engineering, architecture, surveying, and project management. We support public and private sector clients in a diverse range of markets, at every stage, from initial concept and financial feasibility to project completion and beyond. Our services are offered through more than 6,500 employees, distibuted evenly in Canada and the United States, operating out of over 100 locations. Stantec provides clients with comprehensive, fully integrated services in the areas of planning, design, and operations, creating project synergies and cost savings unique in the industry. We think outside of the box to provide innovative and sustainable ideas for building systems. Our designs have won numerous sustainable design awards. We have grown to be a leader in the green design field and our goal is to continue to provide clients with fresh ideas in green building design. 1
Strategic Management Our Strategic Management team serves as trusted advisors to clients, helping them navigate through strategic investment decisions on the development, expansion, modernization, acquisition or disposal of land, infrastructure, and facilities that are critical to their core business. By combining business, financial and implementation skills with Stantec s diverse technical expertise, Stantec provides the expertise to define the project scope, assess the technical feasibility and financial viability of capital investments, and be accountable for project delivery. Strategic Management provides advisory services in the areas of: Project Development Project Evaluation Project Implementation Clients use these services together or separately at key stages of a project. Equally important to the advisory services we provide prior to capital approval are Stantec s project management, design and operations services after project approval. We have provided advisory services for over $10 Billion in land, infrastructure, and facility projects. Success stories come from a diverse array of capital projects, including land development, buildings, water and wastewater facilities, transportation infrastructure, and industrial plants. Your Business Case and Request is the best fund raising proposal I have seen for clarity, telling detail, appearance and conviction. Well done! - John W. Jacobsen President, White Oak Associates Inc. innovative 2
Services reliable Musson Cattell Mackey Partnership, Downs/Archambault & Partners, and LMN Architects Project Stages Client Strategy Business Concept & Project Scope Financial Viability & Technical Feasibility Capex Approval & Project Implementation Advisory Services Project Development Project Evaluation Project Implementation Strategic Management Advisory Services Strategic Management offers clients a broad range of advisory services at any of the following project stages: client strategy business concept and project scope financial viability and technical feasibility capital expenditure approval project implementation We provide advisory services for the following areas: Project Development Strategic Management provides dedicated project leadership to support senior management in client organizations with strategic initiatives that rely upon land, infrastructure, and facilities to advance their core business. We take a business approach and use our industry technical knowledge to advise clients on whether they are doing the right projects. We focus on identifying and developing the optimal strategy to support the clients vision, mission, goals, and objectives. Key strategies can involve acquiring existing assets, building new, modernization, expansion, disposition, partnership arrangements, and outsourcing. 3
Project Evaluation We combine business, financial, technical, and operational knowledge to develop comprehensive business cases and feasibility studies for capital projects. These services cover key areas such as: needs analysis, market research, programming, capital funding, operating models, cash flow, and risk assessment. Project Implementation We help clients structure, procure, and implement capital projects given their specific requirements and risk tolerance. Implementation options range from traditional design-bid-build contracts, to designbuild-operate, to sophisticated P3s (Public-Private Partnerships) that bring private financing, operations, and ownership to infrastructure and facility projects. Providing project development, evaluation, and implementation services for infrastructure and facility projects expertise 4
Services Strategic Management Services Strategic Planning A big-picture approach to infrastructure and facilities planning can ease decision-making by clarifying priorities. We facilitate workshop sessions and bring subject matter experts with a broad range of business, financial, technical, and project delivery expertise to determine how current and proposed land, infrastructure, and facility assets support an organization's vision, mission, major goals, and program objectives. Market Research By combining market research methodology and practical business experience, we develop effective research programs to deliver actionable results. With expertise in quantitative and qualitative research, Stantec s consultants couple primary and secondary research with advanced statistical analysis to provide insightful, intelligent and actionable information. solutions Economic Impact Analysis Economic development is a critical factor in a community s quality of life. It is directly linked to other aspects of community development including land use, transportation, housing, and infrastructure planning. Local governments employ a variety of marketing, policy, infrastructure support, real estate development, and financial tools to foster economic development in their communities. Stantec has worked with many groups in identifying new economic opportunities, assessing the economic impact of potential projects and programs, and developing new policies to facilitate economic growth. Risk Assessment Understanding risk is critical to making capital investment and operational decisions. We establish a risk register to identify, analyze, and manage risk. Using qualitative and quantitative methods, we evaluate risks related to demand, revenue generation, financial structure, design and construction, government regulations, and the environment. We advise clients on risk management options including retaining, monitoring, eliminating, transferring, or sharing risk. 5
Business Cases We combine business, financial, technical, and operational knowledge to develop comprehensive business cases for capital projects. We specify the terms and conditions for the project to be financially viable, technically feasible, and how the project should be implemented to manage risks related to scope, cost, and delivery date. Feasibility Studies Both public and private sector clients require a thorough analysis of strategic alternatives and their related business and operational impacts, capital and operating costs, and quantitative and qualitative benefits before committing time and money to the development of new infrastructure and facility projects. We help clients understand which alternative is preferred and why. Partnership Arrangements Stantec helps clients identify specific potential partners and assess proponent expressions of interest and proposals by working with them to identify and apply evaluation criteria. We assist in final negotiations with the preferred partner, establish a mutually satisfying contract that outlines responsibilities, and include a fair and effective process to deal with issues. PLANNING SERVICE PROJECT PROJECT PROJECT DEVELOPMENT EVALUATION Strategic Planning Market Research Economic Impact Analysis Risk Identification & Evaluation Business Case Feasibility Study Partnership Arrangements Ownership & Operations Models Financial Analysis Value for Money Analysis Life Cycle Value Assessment Procurement Models & Processes Project Implementation Plan IMPLEMENTATION 6
Services Ownership and Operations Models As clients continue to focus on their core business and the delivery of programs and services, new ownership and operating models have emerged and been implemented for proposed infrastructure and facility assets. Public private partnership agreements, industry service corporations, lease versus purchase agreements, outsourcing agreements, and joint use operating agreements provide new sources of capital, operating expertise, and potential efficiencies. We advise clients on the costs and benefits of these alternatives, and consult with industry experts on alternative governance models. integrity Financial Analysis Financial viability is evaluated with a thorough analysis of costs and benefits, typically including revenues, operating costs, lifecycle costs, capital costs, sustaining capital, and residual value. We prepare pro-forma cash flows and compare these against financial performance metrics to determine the terms and conditions for project viability. Investment risk is assessed by examining alternatives and completing sensitivity analyses of key variables. Value for Money Analysis Alternate delivery models, ranging from outsourcing of noncore services to sophisticated public and private partnerships involving financing and operations, can deliver value for money to owners and end users. A value for money analysis is used to determine whether the total cost of services for alternate delivery models, including capital, operations and maintenance, capital renewal, residual value, and ancillary services is less than traditional project delivery. 7
Life Cycle Value Assessment Life cycle value assessment is a comprehensive analysis, often referred to as the triple bottom line. It accounts for environmental and social criteria in addition to an economic criterion. It provides a clear methodology for evaluating and prioritizing infrastructure investment alternatives using sustainability principles. Life cycle costing provides a financial measure of all costs including physical, environmental, and social costs and benefits. Environmental and social characteristics are evaluated against established standards to determine compliance. Procurement Models and Processes We help clients evaluate and choose between various project delivery models, from traditional design-bid-build to finance-design-build-ownoperate-transfer, and all models in between. The implementation planning process includes the development of Request for Proposal (RFP) documents, proposal evaluation, and support through the negotiation and award process. Project Implementation Plan Stantec helps clients understand and manage capital project challenges and risks related to scope, cost, and delivery date by preparing a Project Implementation Plan. The Project Implementation Plan addresses project governance, project status, project objectives, project definition and project parameters, implementation strategies, and project controls. 8
Why Stantec Stantec Understands Capital Projects We recognize that major capital projects are often a major undertaking for our clients. But for Stantec, major capital projects are our business. Strategic Management brings value by helping clients understand the intricacies of capital project development, enabling them to identify early the most feasible and viable way to invest in their futures. Stantec Provides Support While Clients Focus On Strategy and Operations for Their Core Business While capital projects are essential to an organization s long-term success, they often prove disruptive to day-to-day core business operations. Our senior consultants help clients to accelerate strategic projects while they focus on their core business with the peace of mind that comes from making the best possible decision regarding their capital investments. dynamic Stantec Offers Cost-Effective Service Strategic Management advisory services are critical to decision making, yet relatively low cost in the overall capital budget. Furthermore, because Stantec provides business, financial, and technical expertise in one team, we can move fast, enabling our clients to make timely and informed decisions with input from all relevant experts, saving clients time and money. Stantec Provides Objective Advice Strategic Management services provide clients with independent, third party advice for their capital expenditures programs. Stantec Addresses the Triple Bottom Line Our Strategic Management processes and tools enable clients to account for economic, environmental, and social values in planning their capital projects. Our aim at all times is to provide life cycle solutions that are value-added, sustainable, and community focused. 9
Global Customer Base Stantec provides professional design and consulting services in planning, engineering, architecture, surveying, and project management for projects throughout Canada, the United States, and internationally. We support public and private sector clients in a diverse range of markets, at every stage, from initial concept and financial feasibility to project completion and beyond. Our Strategic Management team has provided advisory services in project development, project evaluation, and project implementation for over $10 billion in infrastructure and facilities projects in the following sectors: Airports & Aviation Attractions, Arts & Entertainment Community Institutional Corporate / Office Education Environmental Food & Beverage Government Healthcare Industrial Information Technology Municipal Post-Secondary Power Residential Retail / Commercial Solid Waste Sports, Recreation & Leisure Transportation Urban Land Wastewater Water focus 10
Contacts For specific assistance from our Strategic Management team, please contact: Gerry Devine Edmonton, Alberta (780) 917-7036 gerry.devine@stantec.com David Angelo Toronto, Ontario (416) 229-4000 david.angelo@stantec.com Jim Keil Portland, Maine (207) 797-9926 jim.keil@stantec.com Ben Popadiuk Calgary, Alberta (403) 716-1453 ben.popadiuk@stantec.com Mark Loeffler Palm Desert, California (760) 346-9844 mark.loeffler@stantec.com Donald Wyse Boston, Massachusetts (617) 305-4181 donald.wyse@stantec.com Or visit www.stantec.com/strategicmanagement PP-SOQ-MIS-2006DEC14-P2V1 11