Enterprise Thinking:How to do Business

Better, Faster and Cheaper

SPCS, NYU - Spring 2011 with David A. Goldsmith

Student: MA, Marketing Manager at

• Overview of my organization: Rail Europe

• My Enterprise Thinking into action within Rail Europe

Agenda:

Company Overview

Rail Europe Inc (REI): The Big Picture

Leading distributor of European rail products worldwide

Present for over 75 years in North America (USA, Canada, Mexico and Caribbean)

Over 1.5 million North Americans buy Rail Europe products every year

HQ located in White Plains (NY) and Call Center based in Rosemont (IL)

190 employees in total

Directconnections to7major

world rail inventories

20092010

2010

20102010 TBD1992?

REI: A Technology Provider

High Speed LinesNon High Speed LinesSea Connections

REI is covering all of Europe

REI: A Marketing Entity

Bulgaria

Romania

Slovak

Republic

Hungary

Finland Slovenia

Croatia

Belgium

Italy

Netherlands

Denmark

Greece

Sweden

Poland

Luxembourg

Czech

Republic

Norway

Austria

Germany Switzerland

Spain

France

United Kingdom

F.Y.R.O.M.

Macedonia

Turkey

REI: Representing over 35 Railroads

Ireland

REI: A Tailored Product Line• Rail Passes

– All Eurail Passes– Balkan Flexipasses– BritRail Passes– Central Europe Triangle

Pass– European East Passes– France Rail Passes– German Rail Passes– Swiss Passes

• Rail Point To Point Tickets (including e-ticketing)– High Speed Trains – Regional Trains– Scenic Trains– Night Trains

• Rail Reservations

• Sightseeing/Tour/Transfer Passes– Airport Transfers– Subway Passes– Hop On Hop Of Buses

Passes– Museum Passes– Wine Tasting Passes

• Peace of Mind Products– Rail Protection Plan

Sometimes it’s the train that really flies

REI: European High Speed Trains

2:20 Paris - Strasbourg2:00 Paris - Lyon2:40 Paris - Avignon3:00 Paris - Bordeaux

TGV world speed record June 2007 at 357 mph

REI High Speed Trains: TGV

2:15 London – Paris1:50 London - Brussels

REI High Speed Trains: Eurostar

1:22 Paris – Brussels3:14 Paris - Koln3:18 Paris – Amsterdam

REI High Speed Trains: Thalys

New branding of Trenitalia’s

high-speed service

Frecciarossa (Red Arrow) and

Frecciargento (Silver Arrow) trains

REI High Speed Trains: Frecciarossa Frecciargento

REI: European Night Trains

City Night Line

Elipsos Lusitania

Paris Moscow Express

REI: European Scenic Trains

Chocolate Train, Bernina Express, Glacier Express, Golden Tour, Wilhelm Tell Express,

major

Desktop Application

Call Centers, Travel Agencies, GSAs, Shops,

Stations.

Web and Webservices

Rail Europe B2C and B2B websites, GSAs, co-brands,

white labels.

Mobile

Mobile website, native iPhone application.

distributionchannels3

serving all types of customer

REI: Online B2B & B2C

REI: Mobile Site & iPhone App Landing Page

REI: Distribution Channels

Travelers can buy from Rail Europe via• Contact Centers• Travel Agents • Online

REI: Social Media Marketing

Planning Shopping Booking

Planning Shopping Booking

REI: Cultural Partnerships Example of Events accessible by rail on REI Social Media:

REI: Cultural Partnerships Example of Events accessible by rail on REI Social Media:

REI Press Trips resulting in articlesIn France

In UK In Italy

Sample Press Coverage for REI Promos

Awards Received by REI in 2010

• Travel Weekly Magellan Awards: GOLD • Travel Weekly Magellan Awards: SILVER • Travel Weekly Magellan Awards: SILVER • Recommend Reader's Choice Awards • Recommend Reader's Choice Awards • Ensemble Travel Group

• TravelSavers Canada

• Performance Media Group (Travel Pulse)

Enterprise Thinking

At Rail Europe

Illustrations of Enterprise Thinking in my responsibility today

3 Tools:Project Evaluation ChartParallel Project TrackCritical Path Method

3 PrinciplesTime Management & Priority ManagementThe Goldsmith Productivity PrincipleThe Enterprise Thinking Model

Time Management:Strategizing my time as a manager

Position% Time

Strategic% TimeTactical

CEO 90 10

Executive / Vice-President 60 40

Front-line Manager 40 60

Front-line Employee 10 90

Time Management Phase 1: conversion

Assembly Project Task InsertionDiscard / Filescan / tore / shred / shift responsibility to someone else

Google Advertisement Weekly Business Report   x yes  

Marketing budget & Expenses   x   scan

Work on promotion X targets   x yes  

Department meeting   x yes  

Various Promo Launches   x   scan

Order new giveaways   x   shift responsibility to someone else

Events preparations   x   store

Building New Itineraries for PR actions   x   store

Invitation to event A   x   store

Invitation to event B   x   shift responsibility to someone else

Production of new marketing materialThinking the project x   yes  

New REI Photo Bank Management x     store

Groups Market Research x     store

Cultural Network Phase 2 x   yes  

Alliance with Z x     shred

Lunch & Y     yes  

Time Management vs. Priority Management

Assembly Project Task InsertionDiscard / Filescan / tore / shred / shift responsibility to someone else

Google Advertisement Weekly Business Report   x Yes  

Marketing budget & Expenses   x   scan

Work on promotion X targets   x Yes  

Department meeting   x Yes  

Various Promo Launches   x   scan

Order new giveaways   x   shift responsibility to someone else

Events preparations   x   store

Building New Itineraries for PR actions   x   store

Invitation to event A   x   store

Invitation to event B   x   shift responsibility to someone else

Production of new marketing materialThinking the project x   Yes  

New REI Photo Bank Management x   Yes

Groups Market Research x   Yes 

Cultural Network Phase 2 x   Yes  

Alliance with Z x     shred

Lunch & Y     Yes  

Project Evaluation Chart

ProjectsTime

Max Hours / Max Days

Impact on Firm

(1-100) Min ROI Investment Priority

Brand Identity Guide 80 / 90 70 $10,000,000 $ 40,000 done

Groups Market research 30 / 90 50 $ 1,000,000 $ 40,000 3

Cultural Network 250 / 365 90 $15,000,000 $ 100,000 2

Production of new marketing material 50 / 40 95 $40,000,000 $ 80,000 1

New REI Photo Bank Management 200 / 120 65 $ 8,000,000 $ 150,000 4

Project Evaluation Chart2-project-rule

ProjectsTime

Max Hours / Max Days

Impact on Firm

(1-100) Min ROI Investment Priority

Brand Identity Guide 80 / 90 70 $10,000,000 $ 40,000 done

Groups Market research 30 / 90 50 $ 1,000,000 $ 40,000 3

Cultural Network 250 / 365 90 $15,000,000 $ 100,000 2

Production of new marketing material 50 / 40 95 $40,000,000 $ 80,000 1

New REI Photo Bank Management 200 / 120 65 $ 8,000,000 $ 150,000 4

Parallel Project Track

Track 1 Production of new marketing material

Track 2Cultural Network

Parallel Project Track

Track 1 Production of new marketing material

Track 2Cultural Network

Critical Path MethodProduction of new marketing material

Designation ActivityImmediate

Predecessor Time (days)

A Defining the content of the flyers in English   5

B Validating the content in English A 5

C Translation of the flyers in French Canadian B 5

D Translation of the flyers in Spanish B 5

E Designing the flyers with validated content in English B 10

F Quality control of the flyers in English E 3

G Validation of the flyers in English F 3

H Designing the flyers with validated content in French Canadian C 10

I Designing the flyers with validated content in Spanish D 10

J Quality control of the flyers in French Canadian H 3

K Validation of the flyers in French Canadian J 3

L Quality control of the flyers in Spanish I 3

M Validation of the flyers in Spanish L 3

Definition: Critical Path Method mathematically based on algorithm for

scheduling a set of activities

Critical Path MethodProduction of new marketing material

Defining the content

of the flyers in English

Validating the content

in English

Designing the flyers with validated content

in English

Translation of the flyersin French Canadian

Translation of the flyersin Spanish

Quality control of the flyers in English

Designing the flyers with validated content

in French Canadian

Designing the flyerswith validated content

in Spanish

Validation of the flyers in English

Quality control of flyers in

French Canadian

Quality control of flyers in Spanish

Validation of the flyers

in French Canadian

Validation of the flyersin Spanish

5 days 5 days 5 days

5 days

10 days

10 days

10 days 3 days

3 days

3 days3 days

3 days

3 days

Duration of the overall project = 32 days

Any possible synergies to do it faster, cheaper, better?

A B C

D

E F G

H

I

J K

L M

Definition: Critical Path Method mathematically based on algorithm for

scheduling a set of activities

Time Management Phase 2: daily routinePlan the day the night before

Plan 60% of my day scheduled

Intent to finish all by end of day (the Elevator Theory in mind)

Work the plan to work: 1 thing at a time (like a squirrel)

8-hour-work-day

3 hours unexpected

5 hours planned

2 hours on strategy

3 hours on tactic

Time Management vs.Priority Management

Assembly Project Task InsertionDiscard / Filescan / tore / shred / shift responsibility to someone else

Google Advertisement Weekly Business Report   x Yes  

Marketing budget & Expenses   x   scan

Work on promotion X targets   x Yes  

Department meeting   x Yes  

Various Promo Launches   x   scan

Order new giveaways   x   shift responsibility to someone else

Events preparations   x   store

Building New Itineraries for PR actions   x   store

Invitation to event A   x   store

Invitation to event B   x   shift responsibility to someone else

Production of new marketing materialThinking the project x   Yes  

New REI Photo Bank Management x   Yes Store

Groups Market Research x   Yes  Store

Cultural Network Phase 2 x   Yes  

Alliance with Z x     shred

Lunch & Y     Yes  

Time Management vs.Priority Management

To Do List Strategy Tactic Time Project Task

Google Advertisement WeeklyBusiness Report   x 20 min   x

Work on promotion X targets   x 40 min   x

Department meeting   x 60 min   x

Cultural network – strategizing phase 2 x   30 min X  

Cultural network – preparing material for the web-team   x 40 min x   

Cultural network - follow-up call with partner A   x 10 min x 

Cultural network - follow-up call with partner B   x 10 min x 

Production of new marketing material – Thinking the project x   90 min x  

Total 2 hours   3 hours 5 hours 3 hours  2 hours 

Planning the Day

Parallel Project Track

Track 1 Production of new marketing material

Track 2

Cultural Network

Goldsmith Productivity PrincipleThe secret to avoid silos, create good systems & structures

Systems & Structures

People

80%

20%

Goldsmith Productivity PrincipleGive a planning for the team

Goldsmith Productivity PrincipleGive a template for the content editing

Goldsmith Productivity PrincipleGive a monitoring tool for the content manager

Goldsmith Productivity PrincipleMake it fun and an achievable annual objective

The Enterprise Thinking ModelGroups Market Research Kick Off

Desired outcome: To develop intelligence for the “groups” business

Strategizing: (CST model*) Phase 1: collecting internal intelligence, analyzing it and identifying further researches to be donePhase 2: buying existing studies Phase 3: buying new studies based on specific elements identified in phase 1 & 2

Learning: From REI: profiling our customers (B2B & B2C recurrent business vs. one time buyers)From our customers (surveys and testing new ideas)From our competition (competitive intelligence)From our suppliers (the business model evolution due to deregulation)

Performing:Planning interviews and identification of elements to gather on a weekly basisEmpowering people with systems and structures helping them to optimize their contributionMonitoring and adjusting the researchesInnovate (testing ideas among Ivy leagues, Baby boomers, networks and social communities)

Forecasting: Arrival of baby boomers on the market (listening to the groundswell and to the new trends)

*CST ModelTo win by nose

Desired outcome: To develop intelligence for the “groups” business

StrategyA Plan

Macro tactics General road map to hand out

TacticsSystems & Structures

Execution: Empowering executorsKeeping them focusedMonitoring

….To make it a WSP…

Thank you

and keep in touch!