Performance Management Presentation

1. Performance Management Presentation Lease, Purchase and Dispose of Real Estate Team Members: Melissa Richardson, Veronica Crawford-Robinson, Jim Phelan, Stewart Hill 9 January 2005

2. Overview and Contents • Origin and Purpose of Purchase and Dispose of Real Estate • PMP Template • Value proposition and strategy • Performance objectives and measures • Customer Perspective: Critical Measures • Customer Satisfaction Scores • Internal Business Process Perspective: Critical Measures • Lease files reviewed and documented • Learning and Growth: Critical Measures • Individual Development Plans • Financial Perspective: Critical Measures • Raw Lease Rates Comparison • Conclusion • Appendix • See the list to be created

3. Customer Segmentation – FY 04

4. Performance Plan FY 04

5. FY 04 Objectives and Measures Performance Plan FY 04 – FY 05

6. Strategy Mapping

7. Customer Increase Customer Satisfaction Be Indispensable In Service Quality Financial Internal Process Improve Customers’ Understanding of Financial parameters of lease Keep Customers’ Informed Learning & Growth Learning & Growth Increase understanding of customers’ business needs Strategy Mapping Linkage – How to Satisfy Customers

8. Strategy Mapping Conclusions and Actions • Strategy Mapping revealed that in order to achieve C1. Improve Customers’ Ability to make informed decisions and F1. Maximize the Lowest Cost for Space our team must IB1. Improve Consistency of Lease Administration and L1. Partner with our customers. • This analysis helped us focus our attention on ways to measure our progress in achieving these objectives.

9. Customer Perspective Critical Measures

10. Objective: C1. Be indispensable in serviceMeasure C1.2 Total Lease Space by Rent, Location and Type Estimate as of July 04

11. Objective: C1. Be indispensable in serviceMeasure C1.3 Total emails on all functions per week

12. Objective C4. Increase Customer Satisfaction Measure: C4.1 Customer Survey score Customer Survey Methodology FY 05 – Our intent is to use the surveys to help us determine if : • Our customers agree we are acting as One Broker for All ensuring fair and equitable service to every customer; and • Our consolidated buying power enables them to enjoy the lowest cost for leased space. FY 05 - We are going to ask for OQM to assist us in preparing a series of Focus Surveys in FY 04 and FY 05 that will involve selected representatives from the IC’s in answering Customer Satisfaction questions geared around our two areas of interest.

13. Internal Business Processes PerspectiveCritical Measures – Total Number of Contacts All Sources Per Week – 1,701

14. Objective IB1. Keep the customers informed Measure: IB1.1 Number of SLA’s transaction all Sources per week - 307

15. Objective IB1. Keep the customers informed Measure: IB1.3 Number of Facility Maintenance transactions all Sources per week - 259

16. Objective IB2&3. Improve Consistency of Lease administration and Customer Satisfaction – Contacts from Lessors and Brokers

17. What will we learn from this Internal business process data?What actions will it indicate we should take? • How well are we maintaining the lease records • What deficiencies might exist that could result in penalties such as revocation of warrant • How well do we understand our customers needs for space and services • How current is the information in our files and is it accurate • What areas need emphasis during the acquisition phase in order to ensure proper documentation • What are the common needs and requests recurring on the SLA’s • What type of customer education program we should focus on to enable our customers to make more informed decisions regarding lease matters.

18. Learning & Growth Critical Measures

19. LG2. Be honest brokers –Total number of project updates all IC’s per week -431

20. What will we learn from this L& G data?What actions will it indicate we should take? • How informed our staff is regarding open items that need resolution for customer leases • What type of training needs to be encouraged to help our staff be more effective leasing facilitators • What do our customers think of our fairness and objectivity in addressing their requirements • We need to establish individual development plans for our staff • We need to encourage more in shop exchange of information about our lease activity

21. Financial Perspective F1. Improve Customers’ understanding of financial parameters of lease

22. What will we learn from this Financial data?What actions will be indicated? • We will learn how well we are educating our customers about the financial aspects of a lease contract • We will learn how well we are doing in acquiring space at the lowest cost possible • We will see trends in lease rates • We will see the basic cost inputs that make up our service group expenses • We will focus on educating our customers in formal sessions • We will determine what we are doing well that helps us outperform the market on lease rates

23. Conclusions • We are delivering lower lease rates than others in our market are able to achieve • Our customers need more knowledge briefings on lease activities – the do’s and the don’ts • Our staff is capable of handling a wide range of lease administration activities • We need to continue collecting our process and financial measures on a regular basis and plan our business around the results • Key Initiatives • Implement Individual Development Plans • Educate our customers by tagging along with the DFP meetings throughout the year • Convert our lease portfolio into electronically viewable formats • Central Input Fulfillment Center- all transactions are entered centrally. Conclusions and Key Initiatives