Looking at partnership: Diego Garcia.

Over the past several years the words privatization, third-party financing, corporate sponsorship and concessionaire have crept into the vocabulary of leisure professionals. We hear these words in social gatherings--when colleagues meet at educational presentations we attend or when we read from the text of a directive or vision prepared by the decision-makers who fund our programs. Opinions regarding these concepts or directions appear to be mixed. However, one opinion remains constant: Every conversation reflects the opinion that we all seem to be facing eroding funding levels to maintain our existing programs, let alone plan for recapitalization, expansion or enhancement.

This dilemma is not a new realization. The vast majority of leisure professionals have embraced this challenge with innovation and creativity, and few, if any, have openly expressed fear or apprehension.

How do we develop a proactive master plan, incorporating clear vision and direction, to address the ever-changing and increasing expectations of our program participants when the issue of funding is such an illusive reality? Should the gradual transition from our purist philosophy or roots to the capitalist mentality be sped up to become so dominant in the quest for funding that we lose sight of our purpose--improving the quality of life?

Concessionaire ventures have certainly assisted many programs in maintaining or even enhancing perceived levels. Privatization and third-party financing may have allowed several programs to realize success in providing their respective community capital construction venues from movie theatres, ice rinks, water parks, campgrounds, golf courses, and marinas. Sponsorship, whether it be from the hundreds of small businesses that make up the values of each community or major corporations, has provided much needed resources, allowing programs to avoid eliminating popular events, activities, or services in the face of funding reductions.

What about outsourcing? What is it? Is it the direction in which we are heading, or is it a path to avoid?

Outsourcing has many faces. In general terms, we see it as the contracting out of services to an outside service provider. In the past, we witnessed this direction in services such as transportation, building/ground maintenance, utilities, engineering, household/personal property and social services, ranging from crisis counseling, financial and retirement planning to libraries. However, the movement seems to be pointing toward leisure services, whether it be a fragment of the program or operational responsibility of the entire program, from food and beverage and other business-like venues to childcare, youth and recreation services, such as the gymnasium, fitness center, aquatics and athletics.

When we witnessed outsourcing in areas outside our program it was considered normal. However, when outsourcing began to creep into our once traditionally protected world, a definite emotional tug -- to the point of protectionism -- surfaced. Protectionism is not the answer. Critical to any successful outsourcing direction we embark upon is the essential need to develop an ethical and credible relationship or partnership with one or more of our service providers.

The American Heritage Dictionary defines a partner as "One that is united or associated with another or others in an activity or a sphere of common interest." Partnering cannot be productive if either party is entrenched in protectionism. Establishing and maintaining a partner ship is not as easy as it may appear. Perceptions by others may cloud the facts, allowing that which is, in reality, a professional and ethical relationship to be viewed as too friendly or in violation of standards of conduct. After all, for years we were told to remain distant and aloof and for our communications with our vendors or service providers to be black and white. Now we are told to develop a vision, guiding principles and strategic objectives that address both internal and external customer expectations in unison with these customers.

On the strategically important -- but very small -- coral atoll in the middle of the vast Indian Ocean, known as Diego Garcia, a British Indian Ocean Territory, the Morale, Welfare & Recreation (MOOR) Department is under 100 percent operational responsibility of the Base Operation Services Contractor (BOSC) Burns & Roe/ J.A. Jones & SERCo Ltd. (BJS). MWR Diego Garcia offers a diverse program, featuring an expansive marina operation, skeet range, nine-hole golf course with driving range, several outdoor recreation picnic/park sites, outdoor athletic complex, library, swimming pool, and a large gymnasium with two gym floors, racquetball courts, free weights and nautilus center. In addition, the program provides numerous food and beverage outlets, a custom T-shirt center, several movie operation sites, recreation equipment rental, a bowling center, bike repair, and supports a Single Sailor program and numerous special-interest groups.

The logistical support functions from MWR budgeting, accounting, procurement, and warehousing to property control all fall under the BOSC umbrella of responsibility. The success of the Diego Garcia program comes through partnering. The commanding officer, through his MWR Director/Technical Representative Commanding Officer (TRCO), determines the anticipated design and scope of the MWR program. Once defined in contractual requirement terms (the number of recreational activities to be held each month and the hours of operation for each MWR facility), partnering for long-and short-term objectives and the overall master plan becomes extremely critical.

Funding for the program, based upon the amount of locally generated Non-Appropriated Funds (NAF) and Appropriated Funds (APF) made available through Congressional means and shared with all other aspects to operate the base itself, as well as available resources from outside sources and successful commercial sponsorship, is now realistically reviewed and placed within the fiscal-year budget that reflects the master plan and basic program definition.

Does the process stop now that the MWR program is defined and funded? Not at all. It is a perennial process, one that reviews actual performance and becomes proactive to meet the changing needs of the MWR patrons. On a monthly basis, the MWR TRCO and the BOSC MWR staffs meet to discuss potential obstacles, perceived problem areas and ideas for improvement. Innovation and open communication are essential tools to guarantee that the MWR program continually meets the realistic expectations of the majority of the patrons.

Partnering is not restrained to just one particular department. Other Diego Garcia department heads and their respective BOSC counterparts are encouraged to partner with MWR to develop feasibility and functional flow criteria, critical path timelines, and responsibility roles to accomplish quality-of-life projects.

Are there problems with outsourcing? Of course there are, and those problems are no different from those that any MRW program faces: timely procurement, staff performance, deterioration of the physical infrastructure, tampering from individuals who do not possess profound knowledge of the MWR environment, and competition for eroding funds. However, when protectionism is addressed in a win-win relationship, the problems seem to quickly fade away in support of the overall shared vision.

Success means keeping in mind three basic thoughts. First, MWR is not an island of its own. It is an integral component of the entire Naval Support Facility community. Second, the Navy awarded a contract based on funds available and for services provided in an efficient and effective manner. Third, one must recognize that the BOSC is a business that bid on a contract in hopes of realizing a profit. Win-win is achieved when the contractor performs in accordance with contract requirements, demonstrates flexibility through partnering, uses innovation to expand the program with little or no impact upon the budget, and assists the Navy in cost efficiency. The result is that both the government and the contractor are rewarded for their partnering efforts, which, by the way, enhance the quality of life for all those who depend upon these services.

Can outsourcing and using effective and open partnering work? On a small island in the middle of the Indian Ocean it has not only achieved remarkable success in enhancing the quality of life of the 3,000 active duty, Department of Defense, and contractor personnel, but has set the stage for future benchmarking.

Will it work for you? A successful effort may be forged only with an open mind and through cooperative efforts.