The Leader - March/April 2009 - (Page 46) UNITEDHEALTH GROUP’S RESTOR JOHNSON: HEALTH CARE SERVICES LEADER TURNS TO CORPORATE REAL ESTATE FOR ADDED VALUE It’s why, for example, the company and Real Estate Services focus on rigorous standards management to deliver their office environments. It’s also why the drive to improve space utilization is part of the enterprise strategy to hold down its operating costs and ultimately the cost of the services to support external customers. To better inform this initiative and gain support, Johnson has emphasized more complete portfolio metrics and more reliable information since coming on board from Jones Lang LaSalle two years ago. Better workplace reporting is important to internal clients at UnitedHealth Group. So, the service provider plays an active role in the delivery of metrics that are also linked to its performance incentives. “Now, UnitedHealth CRE drives ‘what to do’ and our best-in-class partners deliver on ‘go do,’” as he described the key change. The governance-focused model actually reflects an approach outlined in LEADER viewed from the life cycle perspective anchored in: ‡ Portfolio assessment ‡ Portfolio planning ‡ Execution ‡ Measurement and reporting Johnson envisions Real Estate Services being one day rebranded as Workplace Solutions, as part of the broadening perspective on real estate as an integrated set of services and solutions within UnitedHealth Group. He’s started to reposition Real Estate Services with internal clients by speaking more about their ability to be nimble and responsive, evoking another key new-economy enterprise tenet: agility. While remaining responsive, Johnson also wants to become more strategic and proactive. He cites how too many CRE-related projects were unplanned, and had less than a 120-day lead time. Johnson offered additional assurance that moving forward “governance drives planning and execution.” In closing, Johnson listed the opportunities for improvements that the new organizational model and service delivery platform will enable: ‡ “A-Team staffing” equating Where high tech meets high standards ‘What to Do’ vs. ‘Go Do’ “We didn’t provide actionable portfolio reporting in the past, but no more,” Johnson confides. Limited reporting was impacting performance management. “Measurement drives management,” he insists, alluding to the so-called “Holy Grail” of CRE aligning with the business and winning ‘a seat at the table.’ “Our legacy model carried over from an earlier approach in the outsourcing industry. We were largely dependent If you want to be at the centre of the aerospace industry, or you just want to be at the centre of where it all happens, you’ve come to the right place. Our airport sites are home to 29,000 people working in 300 topflight companies. And right now, we have 1,500 acres available for development. Here, you benefit from close proximity to world-class airport infrastructures and industry partners, plus the bottom-line benefits of the lowest set-up costs in North America. All of which adds up to elevating both your service offerings and your profits. To learn how we can help expand your opportunities, contact us at realestate@admtl.com WHERE MONTREAL MEETS THE WORLD www.admtl.com to experienced professionals ‡ Customer focus and Magazine’s profile of Procter & Gamble’s outsourced model stressing multiple providers from complementary supply-side segments, Johnson recounted. Moving ahead, real estate is being accountability for results ‡ Proactive planning to promote adaptability, responsiveness ‡ Relentless cost management focus with higher quality levels on service providers to plan and drive strategy.” Johnson recalls the series of “fractured relationships” that inhibited planning and performance management before they introduced the new “governance model.” 2 0 0 9 THE LE ADE R 46 MARCH / APRIL http://www.admtl.com http://www.admtl.com
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