Best Buy and APQC Build an Internet for Educators; Innovative Program Lets Teachers Share ``What Works''.

Business Editors & Education/Technology Writers

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MINNEAPOLIS & HOUSTON--(BUSINESS WIRE)--June 21, 2001

Best Buy Co., Inc. (NYSE:BBY), the nation's number one specialty retailer of consumer electronics, and the American Productivity & Quality Center (APQC), a Houston-based knowledge management research firm, have created a computer network that will allow public school educators to share effective teaching tools and techniques. The network, currently in a pilot phase of development, is scheduled to be finalized this fall. APQC and Best Buy are collaborating with a number of national nonprofit organizations to determine where the system could provide the most impact.

The "Knowledge Sharing Network for Education" program stems from a two-year collaboration between Best Buy and APQC. In 1999, Best Buy retained the not-for-profit APQC to help create a computer Intranet system, allowing for a consistent, rapid and efficient flow of information among more than 60,000 Best Buy employees nationwide.

Inspired by the success of the Best Buy project, APQC began designing a similar program, featuring a user-friendly searchable database, that could be used in the K-12 education system. If a Best Buy employee could use an Intranet to ask for car stereo installation advice from an employee at another location, the thinking went, why not adapt a similar system that would allow teachers in different schools to share effective classroom teaching techniques?

Studies have shown that while many teachers work at schools with established educational "best practices", they also have limited opportunities to transfer that knowledge to other schools. Wasteful costs are incurred as educators, especially those at small, isolated or rural schools, are resigned to "reinvent the wheel." Many schools across the country are beginning to change their institutional practices in order to reach higher levels of student achievement. The school district in Brazosport, Texas, for example, recently used knowledge sharing techniques to help increase the number of students passing the state's basic skills standards test from 65 percent to 97 percent, while simultaneously lowering its drop-out rate from six percent to one-tenth of one percent.

Best Buy will continue to dedicate employee technical expertise to the project, as well as enable the network to be hosted on the Company's computer servers at its corporate headquarters in Minnesota. Moreover, Best Buy will also donate more than $500,000 over the next two years to help expand the "Knowledge Sharing Network for Education" beyond the current pilot stage by including additional topics and reaching more educators.

"We are a learning organization, and we are drawn to ideas that can innovate," said Susan Hoff, Best Buy's IRO and senior vice president of corporate communications. "Our company giving is focused on supporting youth development programs that achieve specific, measurable goals. The research indicates that educational information sharing used in our project with APQC can significantly improve student test scores. The system it is based on produced significant efficiencies across the Best Buy business enterprise in a short period of time. We welcome other organizations to join us in expanding this important education program."

"Applying our business knowledge management skills to the world of education has been an extremely rewarding and enriching experience," said Rich Christensen, Vice President of Technology Services for Best Buy and one of the leaders in developing the network initiative. "We believe that technology is a powerful tool to improve people's lives, especially the lives of children. That's why this collaboration is such a good match. I am truly proud of everyone on the Tech Services team at Best Buy who have committed their time, energy and enthusiasm in order to make this project a reality."

APQC Founder and Chairman Jack Grayson is optimistic about the "Knowledge Sharing Network for Education's" potential impact on our education system.

"Improved performance is being demanded of public schools and districts--by state standards and accountability systems, by employers, and by parents," Grayson said. "This network will have dramatic impact simply by allowing educators to share what works with one another. American education cannot afford to wait while isolated educators learn alone. It's too slow. It's too costly. The timing is right for this sharing network and Best Buy is years ahead of other companies in applying this kind of knowledge management."

American Productivity & Quality Center

For more than 20 years APQC has helped business, government, and education organizations adapt to rapidly changing environments, build new and better ways to work, and succeed in a competitive marketplace. APQC is a nonprofit organization and a recognized leader in benchmarking, knowledge management, and best-practice information. Learn more about APQC by visiting www.apqc.org or by calling 800-776-9676.

About Best Buy Co., Inc.

Minneapolis-based Best Buy Co., Inc. (NYSE:BBY) is the nation's number one specialty retailer of consumer electronics, personal computers, entertainment software and appliances. The Company operates retail stores and commercial web sites under the names: Best Buy (BestBuy.com), Magnolia Hi-Fi (MagnoliaHiFi.com), Media Play (MediaPlay.com), On Cue (OnCue.com), Sam Goody (SamGoody.com), and Suncoast (Suncoast.com). The Company reaches consumers through more than 1,700 retail stores nationwide, in Puerto Rico and in the U.S. Virgin Islands.

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