EFTA00584042.pdf

LSJ Action Plan October 24, 2011 This action plan will provide an initial road map to define staffing for the island (post construction) and general ideas that I can introduce to make the island more efficient and operate at a top tier level as expected from its owner. All observations and subsequent action plan were gathered from my visit to the island on October 16 — 17. Staffing Model (Post construction} This staffing model will illustrate a proposed organizational chart for the island (post construction) and give brief descriptions of each position and the number of FTE (full time equivalents) for that position. For this illustration, a Director of Operations position will be at the top of the org chart and will have ultimate responsibility for the island. Director of Operations Island General Manager Chief Engineer Admin/Accountant Housekeeping/Laundry V Landscaping/Grounds Maintenance Construction Foreman Boat Operations (Captain/Mechanic) Brief position descriptions and number of FTE's Director of Operations (1 FTE) • Overall responsibility for island operations and ongoing and future construction projects, budgeting, and expense management. • Direct reports are the Island General Manager and Construction foreman (if applicable). • Position will be the first point of contact for NY and owner for all island operations. EFTA00584042 Brief position descriptions and number of FTE's (cont.' Island Genera! Manager (2 FTE's) • Reports to the Director of Operations. • Overall responsibility for all day to day operations of the island including scheduling, expense management, and coordination of any and all events as directed by owner while in and out of residence. • Direct reports are the Chief engineer, Admin/Accountant, and housekeeping/laundry staff. Chief Engineer (1 FTE) • Reports to the Island General Manager. • Overall responsibility for the maintenance and upkeep of the island to insure that all systems are operating efficiently. This includes mechanical, electrical, and plumbing systems on island including the reverse osmosis plant. Position will also coordinate all landscaping and grounds maintenance. • Direct reports are maintenance and landscaping/grounds staff which include supervisors in both areas. Groundskeepers (4 FTE's including supervisor) • Reports to the Chief Engineer. • Responsibility for the general upkeep and cleanliness if the island including but not limited to mowing, pruning, pressure cleaning, debris removal, garbage collection/removal, and road upkeep. Landscapers (3 FTE's including supervisor) • Reports to the Chief Engineer. • Supervisor must have horticultural knowledge of Caribbean foliage. • Responsibility for major landscape projects both planning and implementation, maintaining of the on island nursery and garden, and the pruning of palm trees. Maintenance Engineers (3 FTE's) • Reports to Chief Engineer. • Certified technicians are a plus. • Employees must have experience to maintain all mechanical, electrical, plumbing, HVAC, etc. on island. Boat/Marine Operations (1 FTE) • Responsible for all boat and dock operations including captains duties and maintaining of all watercraft. • Diesel and Outboard motor mechanic certification a plus. EFTA00584043 Brief position descriptions and number of FTE's (cont.' Accountant/Administrator (1 FTE) • Reports to the Island General Manager and Controller in St. Thomas office. • Responsibility for all accounting for island operations. • Will act as administrative assistant for Island General Managers. Housekeeping (4 FTE's) • Reports to the Island General Manager. • Responsibility for the cleanliness and upkeep of all residential living and public areas. Also, will be responsible for all laundry of owner and guests, as requested. • Will assist Island General Managers in the set-up for all events as directed. Staffing Summary Position # of FTE's Director of Operations 1 Island General Manager 2 Chief Engineer 1 Landscape Supervisor 1 Landscaper 2 Groundskeeper Supervisor 1 Groundskeeper 3 Boat Captain/Mechanic 1 Maintenance Engineer 3 Admin/Accountant 1 Housekeepers 4 Total FTE's 20 General Operational Observations and New Ideas While on island, all though only for one day, I was able to observe the operational workings of the island and see what needed to be done. Some of those general observations are the following: • Mechanical, electric, and plumbing ("MEP") systems on island seemed not be working efficiently and in turn taking up a lot of the island manager's time and energy. For example, reverse osmosis plant running on manual and fire suppression systems not working at all, just to a name few. I suggest pushing the vendor to get it repaired or finding another vendor/contractor to complete the job. This would apply to all systems on island and would free up the Island Managers to run the operation more effectively. • Chief engineer should lead this effort and take responsibility from Island Managers. I could help this with my contacts in Puerto Rico and on other islands. EFTA00584044 General Operational Observations and New Ideas (cont.1 • Accounting/Administrative responsibilities should be limited for the Island Managers. Shifting this to the St. Thomas office should be a priority. This position should be on island 1 to 2 days a week to support the Island Managers. I have experience in accounting and working closely with administrative personnel and could help with this transition. • Need to remove Zorro accounting/administrative responsibility from current Island Managers. They are too far removed to oversee both. Hire property manager for Zorro and staff appropriately. I could handle this until a property manager could be hired. • Hire/retain a General contractor from the islands that can be brought in to complete projects instead of taking the role of a general contractor. I have a great resource in Puerto Rico that I can contact. Sell all heavy construction equipment (TBD) upon finalization of current construction. New Ideas Again, while on island, thought of the following new ideas that could be investigated and implemented. Some are items that can be started immediately and some will take some time to investigate: • Explore self-generation of power. Whether it be wind (first option), solar, and/or generator, all would be an alternate source of power and enable island to get off the grid and save money. • Upgrade bandwidth to the island by looking at alternative to the current Tl. Since island is all fiber, a 100 mbs fiber connection seems logical. Will be able to run phone and data off the one fiber connection. Need to explore options. • Creation of standard operating procedures — can be done for all properties. • Security on the island — wireless camera system, if needed. • Create a database for all owned assets — including residence, engineering, IT, etc. • Create preventative maintenance program — can be done for all properties. • Create list of local contractors to partner with so not to have excess staff. • Hire a chef — based in NY and can travel with owner. In summary, this document would be part of a detailed action plan that would be implemented in phases. Some of these are "low hanging fruit" and can implemented with ease and lessen the burden on some of the existing staff. Others will take time to implement but will create an efficient, well run island for the owner to enjoy and to have no worries. Any questions, comments, and/or clarifications please don't hesitate to contact me. Marc Dober EFTA00584045