The Impact of Mega Events

Derek CaseyInterim Chief ExecutiveGlasgow 2014 Commonwealth Games

Commonwealth Games• Second biggest multi-sports event• 71 countries• 6500 athletes• 17 sports all in one City over 12 days• Delhi 2010• Glasgow, Scotland will be the 20th

edition

Mega Events

• Benefits are usually exaggerated• Costs are usually underestimated• Whatever the view Legacy Planning

now crucial• Changed view of the IOC, FIFA,

Commonwealth Games Federation

“Its not where you start: it’s where you finish”

For Legacy Planning

It is where you startThat’s where you will finish

Legacy Planning

• Starts the very moment of deciding to bid – usually 10 years before the Event

• Starts with a philosophical base – why are you bidding?

• Get that wrong and it is very difficult to catch up or alter course

Why Bid in the First Place?

Political Repositioning• Use of the Mega Event to reposition the

City and/or the country on the world stage

• Money is no problem• Legacy tends to be an afterthought

rather than planned• Part of a process of change in global or

regional politics

Political RepositioningExamples

• Moscow Olympics in 1980• Seoul Olympics in 1988• Kuala Lumpur Commonwealth Games in

1998 • Qatar Asian Games in 2006 • Beijing Olympics in 2008• Sochi (Russia) Winter Olympics in 2014

Economic Repositioning• Use of major events to act as a catalyst

for regeneration or other economic imperative

• Less cavalier with initial capital investment• Strong planned legacy• Set within a more democratic (and

therefore often critical) public domain

Economic RepositioningExamples

• Barcelona Olympics in 1992• Sydney Olympics in 2000• Manchester Commonwealth Games in 2002• Glasgow Commonwealth Games in 2014• Prague Olympic Bid for 2016• Potential Delhi Olympic Bid for 2020

Nothing to Prove• Cities who bid but where neither political

nor economic repositioning is key• Where there is some internal catalytic

effect • Where the rationale is a mix of sport,

personal aspirations, political ambitions and legacy issues

Nothing to ProveExamples

• Atlanta Olympics in 1996• Vancouver Winter Olympics in 2010• London, Paris, Madrid, New York, Moscow

Olympic Bids for 2012

Mis-Matches• Where there is a lack of “fit” between

the major event and the size/capabilities of the City and/or country

• Where often the Event is politically led• Where often there is a lack of

understanding of the true nature of the event and its requirements.

Mis-MatchesExamples

• Sheffield (UK) World Student Games in 1991

• Athens Olympics in 2004• Qatar Asian Games in 2006• West Indies World Cricket Cup in 2007

The Importance of Legacy Planning

Legacy Planning

• In the absence of legacy planning, the Event can be the rationale for a celebration

• But for most there is a fear of the “circus coming to town” and moving on

• A good Event and a good Legacy are the twin pillars of most mega events

Legacies

Venues Transport IT Infrastructure Hotels EducationEnvironment Physical activity Confidence Skills Housing Tourism Health International RecognitionIncreased inward investment Jobs Sports development Quality of life

The Importance of Early Legacy Planning

Early Legacy Planning• Mega events are not a panacea• Mega events are not capable in

themselves to drive forward all change• Mega events are not a massive

generator of instant economic benefits• Mega events, standing alone, are not

the solution to the many social challenges cities and countries face

Early Legacy Planning• Mega events are capable of harnessing the skills,

enthusiasm and commitment of the community • Mega events are capable of drawing people and

organisations together• Mega events are capable of changing the

perception of a City• With that change comes inward investment, jobs

and improvements to the quality of life for the community

But………….

Early Legacy PlanningBut…..• Only if they are part of national and local

processes for change and development• They must not be led by the Organisers of the

Mega Event. They have a limited life and concentrating on the Event

• The case for a “Legacy Unit” to ensure that, in all matters, Government at all levels takes legacy into account

Early Legacy Planning• All need to be addressed by a range of

different organisations• All need to be considered in devising

policies for delivering the Event• All need to be built into restructured

strategies at national and local level to be embedded after the Event

The Economic Legacy

Range of ServicesCatering Venues Transport Printing Equipment Technology AdvertisingHuman Resources Travel Accounting Accommodation EntertainmentDesign Signage Security Fit out Construction Flooring IT SeatingSurfaces Training Clothing Marketing

Procurement Policy

• Right from the start what are the procurement policies of the Organising Committee?

• Vast range of Supplies/Works/Services• Geared towards local companies or the large

multi-nationals?• Lessons from responsible/ethical tourism –

ethical and responsible bidding and staging Mega Events

Procurement Policy

• Leaving it all to one major company and its subsidiaries

• Squeezes out local small and medium enterprises and the “second sector”

• A “pyramid approach” where each stage is tendered giving smaller companies opportunities

• In Melbourne 83% of contracts went to SMEs

Procurement

• More buy-in from the whole community if they are getting a share of the action

• Benefits are more wide-spread• Large, medium and small enterprises

are “fitter” to bid for action at future Mega Events

The Economic v Other Legacies

Do they all need early planning?

Environmental Legacy

Environmental Legacy

• Can be overall positive• Use of brownfield (derelict) sites• Improvements in bio-diversity• Use of the Event venues/village as

exemplar• High profile of the event can be used to

good effect

Social Legacy

Sports Development

• Crucial to take advantage of the Event• Setting clear targets for the next 7 years

and beyond• Additional funding essential• Emphasis on participation and

performance

Skills

• Volunteers for the event• Potential for skills development and

qualifications• Non-formal education• Support of the commercial sector

Social Development• The Games as part of national processes – health

through to economic imperatives and national pride• The Games as central to initiatives on coaching,

sports medicine, sports science, skills development• The Games as an exemplar in defined areas• With a Mega Event no better period for taking

initiatives for change and improvement• The need for a co-ordinated approach among all

agencies

Community Support………84%

Source: Ashbrook October 2007

Figure 1: "I believe that Glasgow should host the Commonwealth Games in 2014"

Strongly Agree49%

Agree35%

Disagree3% Don't Know

1%

Strongly Disagree

3%

Neither9%

The Economic Case

Perception of Cities

1990 2001 2004 2006London 1 1 1 1Paris 2 2 2 2Frankfurt 3 3 3 3Barcelona 11 6 6 4Brussels 4 4 4 5Amsterdam 5 5 5 6Madrid 17 8 7 7

“The rise of the Spanish Cities shows a clear link between a city perceived to be doing the most to improve itself and the perception that the city is a good location for business”

Perception of Cities

1990 2001 2004 2006Prague 23 21 13 13Warsaw 20 18Glasgow 10 19 24 26 Bucharest 29Athens 22 29 30 32

Conclusion

“Entrusted with the Games for four years”

Mike FennellPresident of the Commonwealth

Games Federation

Trust and Responsibility• On 3rd August 2014 to hand back the

Games stronger and even more secure• To fulfil all our commitments to all

stakeholders in organising the Games• To leave an extensive range of legacies for

the community, the city, the country and for the Commonwealth

“Through effective legacy planning, we are all entrusted

with the outcome of the Games for generations to come”

Our Legacy Aims• Creating greater and better distributed

wealth• Ensuring higher and more widely

shared achievements• Longer, healthier lives• Safer and stronger communities• Environmental sustainability