This is my groups final presentation in our consulting project for the Nemacolin Woodlands resort. This was presented by our group to about 20 members of the Nemacolin staff and management team. The project dealt mainly with the optimization of the resort\’s ammenities through both market research, consumer insights, and strategic implications.

1. NemacolinWoodlands Resort & Spa Amenity Analysis

3. 2 yrs experience as a civil engineer at TranSystems

4. Designing and implementation of transportation projects

5. Provided support to management team in maintaining clientele relations

6. Graduate of West Virgina University

7. 2 yrs. experience in banking at Bank of New York Mellon:

8. Managed billion dollar corporate trust and pension fund accounts

10. 2 yrs experience as technical consultant at Cognizant Technology Solutions

11. Off-shore teamlead for ERP Peoplesoft

12. Software configuration manager

13. Graduate of European Business School – Oestrich-Winkel, Germany

14. 2 yrs experience as strategic consultant at Geode Advisory, London

15. FMCG

16. Aerospace & Defense2

17. Resort Overview Situated on 3,000 acres, in Fayette County, PA Located Approx. 70 Miles SE of Pittsburgh ≈ 1.5 Hrs driving time Owned and operated privately by founder of 84 Lumber, Joe Hardy Features a total of 335 luxurious guestrooms ; hotel suites, townhomes, & private residences AAA Five-Diamond hotel “Falling Rock” and restaurant “Latrec” Host of resort amenities, lodging, and dining options $53M in 2008 Revenue 3 Pittsburgh Nemacolin Woodlands Chateau Lafayette - 124 European inspired guest rooms

19. Traffic analyses per amenity

21. Phase II – Detailed Analysis

23. Agenda 6 Challenges Situation Data Mining & Survey Analysis Recommendations

24. List of Analyzed Amenities Challenges Situation Data Mining Analysis Recommendations

25. Cash fromOperations in Year 2008 8 Challenges Situation Data Mining Analysis Recommendations Cash from operations is positive for the majority of the amenities

26. Loss per Amenity for the Year 2008 9 Challenges Situation Data Mining & Survey Analysis Recommendations Wildlife & Off-road Driving account for about 65% of the overall cash loss from operations

27. Cash fromOperationsfor 2006 - 2008 10 Challenges Situation Data Mining & Survey Analysis Recommendations 84 Lumber Golf Tournament Cash fromoperationsshows an inconsistentpatternforsomeamenities over the last 3 years

28. Cash from Operations per Season 2008 11 Generates cash * Challenges Situation Data Mining & Survey Analysis Recommendations ** Loses cash Generates cash Loses cash Cash generated from operations shows clear cyclicality over the course of a calendar year * Winter (November – March) **Summer (April – October)

29. Profit ($) vs. Profit Margin (%) in 2008 12 Profit Margin (%) Profit ($) Challenges Situation Data Mining & Survey Analysis Recommendations

30. The financial analysis raises some complications that need to be resolved 13 Most amenities are subject to seasonality Unprofitable amenities might drive traffic in overnight stays Challenges Situation Data Mining & Survey Analysis Recommendations There is no measurement in place to capture traffic data by customer type and lodging facility Outsourcing and/or contracting is not part of Nemacolin’s company culture

32. All respondents classified as either adults (no children on stay) or families & by annual household income level

34. After elimination of incomplete/incorrectly filled out questionnaires, results were generated by comparing the means of each amenity

36. WeightedSurvey Results 16 Challenges Situation Data Mining & Survey Analysis Recommendations

37. Evaluation Framework 17 Optimized Amenity Portfolio Wildlife Off-road Driving Challenges Situation Data Mining & Survey Analysis Recommendations Increase in Bottom Line through Cost Reductions

38. Consolidated Findings of Financial, Traffic and Attractiveness Analysis 18 Challenges Situation Data Mining & Survey Analysis Recommendations

39. Operational Profitability Threshold 19 Challenges Situation Data Mining & Survey Analysis Recommendations Wildlife and off-road driving are below the operational profitability threshold level

40. Baseline Assumptions for Recommendations 20 Equestrian using 22 horses was not being utilized a 100% We consulted with a horse farm in western Pennsylvania to compute cost saving numbers Situation Challenges Situation Data Mining & Survey Analysis Recommendations Vehicle maintenance costs were included in the profit analysis for off-road driving Our recommendation for off-road driving is based on a company which offers a similar amenity

41. Potential Equestrian Cost Saving Scenarios 21 Current Situation Downsizing Outsourcing Horses 22 10 10 Revenues $ 178,884 $ 130,560 $ 130,560 Challenges Situation Data Mining & Survey Analysis Recommendations $ 152,904 Costs $ 259,272 $ 104,084 Profit/Loss $ - 80,388 $ -22,344 $ 25,476 inherent Feasibility quick, simple complex

42. Potential Off-road Driving Cost Saving Scenarios 22 Current Situation Cease Operation Personal VehiclesOnly Revenues $ 301,448 $ 0 $ 60,290 $ 0 Costs $ 358,698 $ 35,870 Challenges Situation Data Mining & Survey Analysis Recommendations Profit/Loss $ - 57,250 $ 0 $ 24,420 sweeping but prompt inherent Feasibility quick, simple

43. Consolidated Recommendation 23 Revenues Profit / Loss Costs Challenges Situation Data Mining & Survey Analysis Recommendations Consolidated Statement ofActivities Total change in revenue $ -289,482 Total change in costs $ -429,196 Change in Net Income $ 139,714

44. 24 Q&A