Performance Improvements, Outsourcing and Consolidations

20 Examples of How Leeb Partners Initiates Improvements:

  1. Focusing resources on specific high-value project areas
  2. Lending  our credibility until there is a new track record of success
  3. Building a sense of urgency with staff–demonstrating that this is no longer a business-as-usual situation
  4. Establishing and leading small teams of highly capable staff members to leverage their knowledge and expertise on targeted areas thereby operating in a streamlined process
  5. Preparing thorough analyses of the key issues and recommending practical solutions
  6. Communicating effectively with the appropriate parties to obtain their approval
  7. Leading the implementation process to gain the benefits right away
  8. Tracking, monitoring and reporting the results on weekly or monthly bases
  9. Communicating frequently to update all parties on the progress of the work
  10. Adjusting or changing processes or procedures to implement improvements to reflect the feedback from actual results
  11. Helping to negotiate lower cost union agreements.  For example, when acting as the Emergency Financial Manager in Pontiac, we finalized new contracts with six city unions to obtain their voluntary contributions of the equivalent of 20% towards their health care costs and reduced the insurance cost even further for new hires.  We also successfully negotiated reduced minimum manning requirements and other concessions with the Fire Department to save approximately $3 million/year.
  12. Identifying assets that generate inadequate returns and converting them to cash.  For example, we sold assets where the deals had not progressed in many months or even years.
  13. Outsourcing certain functions to obtain better service, decrease cost and reduce risk.  For example, we outsourced the management of the Pontiac wastewater and drinking water facilities, the golf course and the outdoor event venues to eliminate the risk of future operating losses.
  14. Reopening and renegotiating major contracts with outside vendors to reduce ongoing costs (e.g., garbage collection and major equipment leases)
  15. Collaborating with other organizations to share cost and operate more efficiently (e.g., evaluating sharing wastewater treatment facilities with the surrounding communities, obtaining interns to help in critical functions, working with the Michigan Prisoner Release Initiative to supply extra free police protection and labor to maintain parks and vacant lots, obtaining free law enforcement personnel  from Oakland County, Michigan State Police and federal agencies such as ATF and the DEA).
  16. Negotiating sophisticated new agreements to attract new business (e.g., successfully finalized a Renaissance Zone for the new Michigan Motion Picture studios at no financial risk to Pontiac)
  17. Bringing in new insurance providers to save significant costs in medical, property, casualty and liability insurance.
  18. Eliminating fund deficits by realigning rates with costs.  For example, in Pontiac, we increased the rates in the water and sewer fund (which had not been done for the three previous years); issued $19.2 million of 2.5% water bonds and obtained $7.7 million in debt forgiveness.
  19. Changing the agreements with surrounding local units.  For example, in Pontiac, we changed the agreement on water purchases from the City of Detroit from being a “peak hour” customer to being a “maximum day” customer thereby saving approximately $1.4 million/year for 30 years.
  20. Expediting processing to increase efficiency and departmental throughput (e.g., increasing the pace of demolishing blighted houses).