Download - Key Leverage Points of Movie Production and How to Manage Them?

2017 TOCICO International Conference

©2017TOCICO.AllRightsReserved.

Key Leverage Points of Movie Production and How to Manage Them?

Presentedby:BahadirInozu,MikeHannan,andCurFsDouceIeDate:July18,2017

2017TOCICOInterna/onalConference


Agenda•  WhyChange?

– Changesintheentertainmentindustry

•  WhattoChange?– TheFlowfromScripttoScreen– Businessvs.CreaFveSides

•  WhattoChangeto?– ROIEngineeringwith“BestofBreed”– Agility&SafetywithHRO



WhyChange?StateoftheEntertainmentIndustry•  ImpactofStreaming

– Removingavailablescreenconstraint– Infusionofmajorfunding– MulFplaYormcontentexpansion

•  SaturaFon:notenoughFmetowatch•  Complexfinancingdynamics•  Veryhighlevelsofuncertainty



VeryHighUncertainty•  “Mathisgenerallyreliable,butinthe

worldofmoviemaking,notsomuch.•  “Fivetakes”usuallymeans15to20.•  ADP's"onlytwominutes"tosetaflag

likelytranslatestonofewerthanfive•  …andasnarky"it'lljusttakeasec"from

Make-upcouldactuallywarpEinstein'stheoryofMmeandspace.”

–JonC.Scheide,MovieMakerMagazine



WhyChange?•  Featurefilmsmaytakethreetosevenyearsfromscripttoscreen.*

•  "Whoreallywantstolockupaninvestmentforfouryears?Notinvestors,onlypatrons.”

—TedHope,HopeforFilm

*Ref:TheMakingofaHollywoodFilm:AGuideforScreenwritersbyElizabethEnglish



WhatistheInvestors’Goal?

CreatethemostaIracFvecontent

Investors’Goal:MaximizeMovie

ROI

FinishonFme,scheduleand

budget

Minimizerework&contentchanges

Keepreworkingtogetit“justright”



WhatistheGoal?•  AnotherperspecMve:“Film

BudgeMngisazero-sumgame.•  Allthemoneybudgetedshould

equalthemoneyspent…•  Thegoalistousethemoneyand

resourcesthatyouhavebeengiventocreateaproductthatrepresentsthefullvalueofwhatwasallocated.”

-PlanningtheLow-BudgetFilm,RobertLathamBrown,SecondEdiMon,2013.



>FlowfromScripttoScreen

WhyChange?



What to Change?

FocusingonhighimpactIncreasingtheflow•  Impediments

–  Script:revisions–  GreenLight:aIachingtalent,distribuFonaccessforfinancing“catch-22”

–  ProducFonStages:scopingdecisions,cosFngmoremoneyandFme

–  PostProducFon

Script

Preproduc/on

PrincipalPhotography

Screen

PostProduc/on

GreenLight

Distribu/on

Streaming

Marke/n

g



WhattoChangeto?

•  Dependsonmovietype•  FocusonROIImpactofDelaysandIncreasingScope

•  Usea“Buffer-balanced”Approach

•  AnimaFon/PostProducFonmorecloselyresemblestradiFonalenvironmentsinotherindustries

•  SimilartoVideoGameDevelopment



CaseStudy:VideoGameDevelopment

•  Aleadingmakerofvideogames,specializingintherole-playinggame(RPG)genre.

Challenges:•  Deliveringgamestomarketby

commiIedduedates,especiallywhensuchduedatesalignwithvalue-maximizingreleasewindows.

•  AssessingandexecuFngontheopFmaltradeoffsbetweencost,schedule,andcompellingarFstryandgameplay.



ConflictforMovieProduc/onandVideoGames

CreatethemostaIracFvecontent

MaximizethequanFtyand

qualityoffutureopportuniFes

Deliverwithinplan

Minimizerework&contentchanges

Keepreworkingtogetit“justright”



Addi/onalChallenges

•  AligningcreaFveteams’primarygoalofbuildingstand-outart-workporYolioswiththecompany’sprimarygoaloflong-termviabilityandcompeFFvemarketsuccess.

•  FosteringautonomyamongcreaFveandtechnicalteams,whiletrusFngthatthoseteamswillexecutewithasustainedsenseofurgency.

•  EnsuringthatexecuFveleadershipteamsprioriFzetheFmelyexecuFonofonlythosetasksthatdrivetheschedule.

•  Maintainingorenhancingthecompany’scompeFFveedgebyreleasingahighervolumeofmarket-leadinggames,withincurrentcostconstraints,andwithoutburningoutitstoptalent.



Solu/on

•  EmployingauniquemixoftechniquesfromtheTOC,Lean,andAgile,enabledviabest-of-breedtoolsets

•  Configuredinamannerspecificallytailoredtothecompany’sindustryandcorporateculture.

•  WhilethefulleffecFvenessofthisapproachwilltakemonthsoryearstoassess,thecompanybelievesitisontracktoacceleraFngthecompleFonofamajorgamebyafullyearormore.



TheCynefinFramework

Ref:ALeader’sFrameworkforDecisionMakingbyDavidJ.SnowdenandMaryE.Boone,HarvardBusinessReview,November2007



Complex Project Environments

Ref:AgileCCPM,TOCICOWhitePaperbyKoichiUjigawa&DavidUpdegrove,2016



•  Procedureinplanning–  Addtasksanddependencies–  Levelresources–  IdenFfytheCriFcalChain–  Insertbuffers

•  ProcedureinexecuFon–  ExecutetasksandreportRDU–  Updatebufferstatus–  TakerecoveryacFonasrequired

“Standard” “Agile”ModifiedNetwork

ConstrucFonProcessFeature

ModifiedBufferManagementMethod

CCPM

Ref:AgileCCPM,KoichiUjigawa,TOCICO2016



PrincipalPhotography WhattoChangeto?•  Task-levelDBRusingKanbanboardstodrivesingle-taskingbehavior

•  Re-opFmizaFonofthetripleconstrainttomaximizeROI

•  MixofbuffertypesdesignedtoprotectROI



Principal Photography WhyChange?•  NeedAgility&Higher

Safetylevels•  Movieprojectsareconstrainedby

rapidchangesintheweather,castandcrewhealth,andotherlatebreakingdevelopmentswithveryliIleroomforerror.

•  RiskmiFgaFontradiFonallyreliedonexperiencedcastandcrew.

•  “Moviemakingislikeamilitarycampaign.TherearespecificobjecMves,fluidcondiMons,safetyconcerns,andlogisMcs.Butatleastnooneistryingtokillus.”–RobertL.Brown

WhattoChangeto?HighReliabilityOrganiza/on(HRO)

§ “AHighReliabilityOrganizaFon(HRO)isonethathasbeensuccessfulinavoidingdisastersdespitebeinginahighriskfieldwhereaccidentscanbeexpectedduetocomplexity.”



Evolu/onofHROs

§ AirtrafficcontrolandaircralcarrieroperaFons:RecordofconsistentsafetyoverlongperiodsofFme.

§ HallmarkofHROs:technicalexperFse,stabletechnicalprocesses,ahighpriorityplacedonsafety,aIenFontoproblems,andalearningorientaFon.



Characteris/csofanHRO

•  An/cipa/on① PreoccupationwithFailure② SensitivitytoOperations③ ReluctancetoSimplify

Interpretations•  Containment④ CommitmenttoResilience⑤ DeferencetoExpertise

Ref:ManagingtheUnexpected,WeickandSutcliffe



HighReliabilityPrinciples

§ Preoccupa/onwithfailureembodiesthevigilancetowardssystemvulnerabilityandearlyengagementofproblems.

§ ReluctancetosimplifyrecognizesthecomplexityofmulFpleinteracFonsatthelocallevel,theorganizaFonisreluctanttosimplifyortokeepsimple.

§ Sensi/vitytoopera/onsdescribesthepriorityoflocaldiscrepancies,disturbances,andinterrupFonswhilemaintainingstrategicoperaFons.

§ Deferencetoexper/serecognizestheimportanceoflocalknowledgegainedfrominteracFngwiththesituaFon.

§ Commitmenttoresiliencesupportstheopen-endedworkingofaproblemunFlitresolves.

Ref:HighReliabilityinaHighlyUnreliableWorld,D.vanStralen,S.Byrum,B.Inozu,2017



HROforMovieProduc/on

•  Howdoesthecrewprepareforunforeseenevents?

•  Arethereearlywarningsigns?•  Whatkindofroles,

competenciesarethere?•  Howdoesthecrewreactto

unforeseenevents?•  Whatdotheylearnfromtheir

mistakes?•  Howdoesmanagementfitinto

theseroles?



ExploringHROPrac/cesontheFilmSetFilmproduc/onasahigh

performanceseekingorganiza/on/team:

•  Youdonotknowalotaboutit,“anunknownplanet”

•  Anenvironmentfullofchallenges,uncertainFes,ambiguiFesandconstraints

•  Anexclusive,compeFFveandhighlyambiFouscontext,seekingforhighperformanceundertryingcondiFonsExcerptfrom“Pathwaystohighperformance:ExplorecollecMvemindfulnessatafilmsetbyDr.Anne`eGebauer,ICLGmbH“–Usedwithpermission



Challenges during Movie Production •  Unforgivable,compeFFveenvironment

•  LackofFme,lackofmoney

•  Managingdiversity:Atwoclasssociety

•  Noredundancy:NoalternaFveforthemainactors

•  NoroomforexperimentaFon:RepeFFonnotpossible

•  Non-linearrealizaFonofthescript•  HighdegreeofspecializaFon•  ManyuncertainFesyoucannotinfluence

•  HighpressurebyexternalparFes•  ConflicFnginterests(arFsFc,markeFngandfinancial)

•  Nostandardizedprocedures/rouFnesExcerptfrom“Pathwaystohighperformance:ExplorecollecMvemindfulnessatafilmsetbyDr.Anne`eGebauer,ICLGmbH“–Usedwithpermission



Whataretherulesofthegame?

•  WhichpracFcesheandhisteamestablishtoanFcipateunexpectedevents?

•  WhichpracFcesdidheandhisteamestablishtoquicklyrespondtounexpectedevents(resilience)?

•  HowdoeshecreatecondiFonsformindfulness(e.g.heedfulinterrelaFng,sharedreferencesandambiFons,informedculture,trustandrespect)

•  Howdoeshecreateleadershipwithwhateffect?

Excerptfrom”Pathwaystohighperformance:ExplorecollecMvemindfulnessatafilmsetbyDr.Anne`eGebauer,ICLGmbH“–Usedwithpermission

HowisDirectorOliverZiegenbalgorganizingtocopewiththegivenchallenges?



PostProduc/on

OurExperience•  Scopeuncertaintyatthe

beginning•  Director’sVision•  Dialogue(DX)•  Music(MX)•  SoundEffects(FX)•  ProducFonEffects(PFX)

andFOLEY•  FinalMix•  CCPMApplicability:

Changingbehaviorslikefull-kit

TheSoundPackage-"Intheend,SoundmustfollowPicture...thelastCharactercast.Iftheshowdoesnothaveastarpresence,thiswouldbeyourlastchancetohireone.”--EricM.Klein,Producer/PostProducer



Conclusions•  MovieproducFonstageshaveveryuniquechallenges—butmostof

thesechallengeshavebeentackledinotherindustriesusingavarietyofmethods

•  Veryintenseanddynamicenvironmentduringprincipalphotography•  TOCincombinaFonwithothermethodsas“BestofBreed”approach

hasgreatpotenFal•  Pre-ProducFon&PostProducFon:CCPM,Task-levelDBR,and“ROI

Engineering”•  PrincipalPhotography:AgileCCPM•  ApplicaFonofconflictcloudsoffersnewsoluFons.•  HighReliabilityOrganizingbringsmoreagilityandhighersafetylevels.



ContactInformaFon

•  BahadirInozu,Ph.D.:[email protected]•  MichaelHannan:[email protected]•  CurFsDouceIe:[email protected]•  www.sharpfocus.movie•  www.s-focus.com•  www.fortezzaconsulFng.com



Bahadir“Baha”Inozu,Ph.D.•  Bahadir“Baha”Inozu,Ph.D.istheFounderandCEOofSharpFocus,LLC.Heisalso

aProfessorEmeritusatUniversityofNewOrleans.HecurrentlyfocusesonspeedingupmovieproducFonfromscreentoscript.

•  Heisaco-authorof"PerformanceImprovementforHealthcare:LeadingChangewithLean,SixSigmaandConstraintsManagement"(McGraw-Hill2011)andco-authoroftheupcomingbook“HighReliabilityinaHighlyUnreliableWorld:PreparingforCodeBluethroughDailyOperaFonsinHealthcare”.

•  HeisaLeanSixSigmaMasterBlackBeltandaTheoryofConstraintsJonah.•  Heworkedwithmorethan40clientorganizaFonstoimproveperformanceacross

awidespectrumofindustries.•  HemanagedexecuFveiniFaFvestocustomizeandfacilitatesustainableprocess

improvementsresulFnginimprovedsystem-levelimpacts,primarilythroughhispassionforimprovingoperaFonsbyapplyingthefocusingmethodologyoftheTheoryofConstraintswiththeLeanSixSigmatoolstoachieveresultsbeyondtheorganizaFon’siniFalexpectaFonforimprovement.

•  Heledmorethan20majorappliedresearchprojectsandwrotemorethan70journalarFclesandconferencepapers.Previously,heheldtheposiFonsofProfessorandChairmanoftheSchoolofNavalArchitectureandMarineEngineeringoftheSchoolofNavalArchitectureandMarineEngineering,andProfessorintheEngineeringManagementDepartmentattheUniversityofNewOrleans.



MichaelHannan

•  MikeHannanisanentrepreneur,best-sellingauthor,keynotespeaker,andinnovatorofindustry-leadingtechniquestodriveunprecedentedimprovementsinprojectporYolioperformance.

•  HisbackgroundinProjectPorYolioManagement(PPM)startedatNASAintheearly1990ssupporFnglarge,complexiniFaFvessuchastheInternaFonalSpaceStaFon.Hehasmanagedandconsultedon$1B+projectporYolios,achievingashighas“3X”performanceimprovements.Heisalsoleadauthorofthebest-selling2014book,TheCIO’sGuidetoBreakthroughProjectPorholioPerformance.

•  InhisspareFme,MikeservesasCEOofthenonprofitProjectManagementforChange—organizerofthe“PMDayofService,”thelargestPMpro-bonoeventinthehistoryofhumankind.Healsoservesonadvisoryboardsfortwocompanies—SharpFocusandPMOStrategies.

•  Onthepersonalside,Mikeisa2015USAnaFonalchampiontrack&fieldathlete,andahappilymarriedfatherofthreeupstandingcollege-agemen.



CurFsDouceIe

•  CurFsDouceIeistheDirectorofStrategyandBusinessDevelopmentatSharpFocus,LLC.HewasbornandraisedinVancouver,Canada.HegraduatedwithhonorsfromtheUniversityofBriFshColumbia.Itwasdoingadegreeincommercethathefoundapassionforfinanceandeconomics.HehassinceworkedinavarietyofconsulFng,venturecapital,andentrepreneurialroles.

•  HehasevaluatedanddevelopedinnovaFvebusinessconceptsandexecuFonplansforprivateequity,investmentbank,andtechnologystart-upstudiocompanies.CurFshasalsohadexperienceintheentertainmentbusinessgoingbacktoHighSchool,wherehebeganappearinginnumerousTVcommercialsandstageplays.

•  HehasbeendelightedtojoinSharpFocus,wherehehasbeenabletomarryhispassionforsolvingproblemswithhispastexperienceinentertainment.