{ "docId": "019f6b8e-f299-7458-838e-69844fc4f57d", "docSlug": "jarvis-april-2015-mckinsey-operational-review-bps-summary-of-audit", "documentTitle": "April 2015 McKinsey Operational Review BPS Summary of Audit", "authorId": "april-2015-mckinsey-operational-review-bps-summary-of-audit", "authorName": null, "documentKindSlug": "deck", "documentKindLabel": "Deck", "sourceTypeSlug": "investor_relations", "sourceTypeLabel": "Investor relations", "presentationDate": "2015-04-01 00:00:00", "orientation": null, "aspectRatio": null, "pageNumber": 4, "pageCount": 13, "prevPage": 3, "nextPage": 5, "slideType": "market_sizing", "function": "size_opportunity", "density": "overcrowded", "nDataPoints": 10, "notes": "The text cuts off at the bottom of the page.", "elementsJson": null, "metadataConfidence": 0.95, "imagePath": null, "slideHref": "/slides/019f6b8e-f299-7458-838e-69844fc4f57d/4", "deckHref": "/decks/019f6b8e-f299-7458-838e-69844fc4f57d", "deckJsonHref": "/decks/019f6b8e-f299-7458-838e-69844fc4f57d.json", "deckAnchorHref": "/decks/019f6b8e-f299-7458-838e-69844fc4f57d#slide-4", "components": [ { "bbox": { "h": 0.15, "w": 0.72, "x": 0.14, "y": 0.81 }, "kind": "other", "text": "7 BPS Facilities Data, 2011\n8 This represents a school build-up based on financial averages across BPS schools. In reality, every school is different given its particular size, staffing, and facilities. As such, the operating costs of any specific school will be higher or lower than this average depending on the school.\n9 Closing Public Schools in Philadelphia - Lessons from Six Urban Districts, the Philadelphia Research Initiative, PEW Charitable Trusts, October 19, 2011\n10 U.S. Department of Education, National Center for Education Statistics, Common Core of Data (CCD)", "attrs": null, "subkind": "source-note", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "174c945f-5eed-4346-a352-aadd579eb0c5", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.72, "x": 0.14, "y": 0.14 }, "kind": "paragraph", "text": "BPS, through decades of student enrollment declines, without commensurate school footprint adjustments, is stretching its resources (and students) thinly across too many buildings. Initial estimates indicate that BPS is operating with over half of schools at under 68% utilization of physical capacity, yielding a student to teacher ratio of 11.6:1, below peer systems. This spreading of resources prevents the District from concentrating resources for students, while supporting base building operating costs of nearly $2m a school.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "247a112a-bfce-4bf8-8bfa-cd35d738e03e", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.35, "w": 0.72, "x": 0.14, "y": 0.44 }, "kind": "paragraph", "text": "School consolidations could net ~$50-85m in annual, run-rate savings. The average cost of operating a school within BPS is $4.6m. This includes classroom staff, administrators and support staff, custodial support, building maintenance and utilities. Of the $4.6m in costs, ~$3.8m represents teacher costs, with the remaining $800,000 being in the other categories. Consolidating a typical school in the District would on average save $1.7-2.2m per year, even assuming significant migration of instructional staff into remaining schools would be required. These savings would come from both operating and maintaining buildings from facilities and administrative costs as well as staff costs. Other systems that have consolidated schools have seen typical per-building savings of $300-726K per school. At the same time, these systems did not incorporate significant changes in staffing into these efforts, with only 2 of 6 systems seeing an increase in student:teacher ratios after the period of closings. If BPS were to pursue both the staff and operational", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "b04b558c-363a-468e-bd21-442ee2c6849e", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.72, "x": 0.14, "y": 0.29 }, "kind": "paragraph", "text": "The stretching of resources limits the resources that can be brought to bear for any one student, as so much is locked into physical buildings and support staff. At current enrollment and average building sizes, BPS could theoretically consolidate 30-50 schools currently in its inventory. Practical considerations on class sizes, coverage across all parts of the city, current school performance and current building inventories, among many others, would all need to shape what the eventual number and specific schools could be in a right-sized BPS.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ed188d8d-25c5-4c49-81a2-9125c356e338", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.6, "x": 0.14, "y": 0.11 }, "kind": "title", "text": "1) OPPORTUNITY TO CONSOLIDATE ~30-50 SCHOOLS", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "940b7e15-bb86-4672-8d05-0961a0bc3062", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [ { "to": 9, "from": 4, "beatId": "015c76d8-b253-4d90-8b25-9919639201d8", "arcName": "The Consultant's Gambit", "arcSlug": "consultants-gambit", "beatName": "Problem & Complication", "beatSlug": "consultants-gambit-problem-complication", "evidence": "The key takeaways highlight areas for improvement", "position": 1, "confidence": 0.8, "parentBeatName": "Complication", "parentBeatSlug": "complication" } ], "loops": [ { "to": 9, "from": 4, "name": "Mece Breakdown", "slug": "40-mece-breakdown", "bestFor": "Problem structuring, ensuring completeness, strategic analysis", "matchId": "f1dd576e-4262-45d1-8628-c453c4c4bd3d", "evidence": "The document breaks down opportunities into specific areas", "position": 0, "objective": "To identify areas for improvement", "structure": "The Whole -> Category A (distinct) -> Category B (distinct) -> Category C (distinct) -> Complete Coverage", "confidence": 0.6, "description": "Divide a complex topic into mutually exclusive, collectively exhaustive categories" } ], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }