BLOCKBUSTER INC. ADOPTS FRANKLINCOVEY SOLUTIONS TO INCREASE PRODUCTIVITY AMID EXPLOSIVE GROWTH

Featured Training Programs:

FOCUS: Achieving Your Highest Priorities The 7 Habits of Highly Effective People® Signature Program The 4 Roles of Leadership® FranklinCovey Project Management™ Presentation Advantage™ Writing Advantage®

Executive Summary
This case study examines how Blockbuster successfully implemented in-house training solutions from FranklinCovey to:

• Improve productivity of employees by providing the skills and tools to help them accomplish key goals while maintaining a balanced lifestyle
• Provide a common language for improved cooperative efforts within and between departments
• Attract and retain high-caliber employees

Beginning with a single store in 1985, Blockbuster has experienced the kind of growth that is fitting of its name. Today, Blockbuster believes that almost 60 percent of the U.S. population lives within three miles of one of its almost 4,800 stores. Additionally, Blockbuster now operates more than 2,300 stores in 26 other countries.

Working with FranklinCovey to develop and implement effective training solutions, Blockbuster has experienced significant results. Both skills-based and principle-based training programs have been key aids in managing the explosive growth and changes within the company.

Premier Showing
Blockbuster's rapid growth presented many challenges, one of which was the need to provide exceptional and effective training for its employees who were devoting so much time for the continued success of the company. Blockbuster began a relationship with FranklinCovey. Blockbuster's Corporate Learning and Development Department selected a representative to be certified as a FranklinCovey Time Quest® (now FOCUS: Achieving Your Highest Priorities) instructor. The time management training was presented in house to corporate personnel, distribution center management, regional staff, and zone management. The program was well received and, subsequently, a success.

"The training was a welcome relief," recalled Julie Normington, manager, Corporate Learning and Development for Blockbuster. "I believe people can learn different and better ways to be more effective at work and in their personal lives." The training, which introduces the Franklin PlannerTM, provided the skills and perspective to increase productivity.

Moving Picture
In the spring of 1997, the Blockbuster corporate headquarters were moved from Ft. Lauderdale, Florida, to Dallas, Texas. One particularly challenging part of the move was that approximately 70 percent of the senior leadership didn't follow the company to Dallas. Annie Nichols, who recently had been promoted to manager of Management and Skills Training, began developing a training department and curriculum to meet the changing needs of the company. As Nichols examined Blockbuster's needs and FranklinCovey curriculum, several additional training programs were selected.

Nichols, Normington, and members of the Blockbuster training team traveled to FranklinCovey headquarters on multiple occasions to achieve certification as instructors in First Things First (now FOCUS: Achieving Your Highest Priorities), Rethinking StressTM, FranklinCovey Project ManagementTM, Presentation AdvantageTM, and Writing Advantage® workshops. The corporate training team created the Blockbuster Training Course Catalog built primarily around FranklinCovey Solutions.

These skills-based programs were presented primarily to corporate, distribution, and zone personnel. Each course focused on increasing the productivity of Blockbuster employees through improved communication, time management, or stress management. "When you have the right skills, you're more relaxed, more productive, a better communicator, a better sales associate, a better 'you fill in the blank,'" explained Nichols."And in the long run it makes you more profitable."

The Culture of Pop Culture
During 1998, as Blockbuster continued to grow both domestically and internationally, Nichols and Normington were exposed to The 7 Habits of Highly Effective People® curriculum. The timeless principles taught in the 7 Habits® training seemed to fit perfectly with the challenges of a fast-paced, growing company like Blockbuster.

Adding principle-based training provided immediate impact. The corporate Human Resources Department was the first audience for the 7 Habits training. "It became the building block to begin the tough process of examining how we were organized and how we treat and interact with each other," said Nichols. "The bottom line is the 7 Habits are built on timeless principles that help build better relationships and a more balanced lifestyle. When you come out of the training, you decide to change something about yourself-if not several things."

"This started as a tiny idea, a hope that the corporate world can be a more human place. It can be a place where work gets done, money is made, and win-win systems and processes are in place. And, while accomplishing our company's mission, we can all work together in such a way that we earn mutual respect and the passion to meet our objectives," explained Normington. "My belief is that every day, whether it is in a corporate workshop, in a team meeting, or in a one-to-one interaction between coworkers, the proven principles [taught by FranklinCovey], when applied, are helping all of us at Blockbuster to achieve our personal and professional goals."

Following the implementation of 7 Habits training, Blockbuster subsequently added Building TrustTM, Power of UnderstandingTM, and Getting to SynergyTM programs to its training curriculum. These programs take a more in-depth look at key principles presented in the 7 Habits training.

A Script for Success
In-house training has proved to be an effective option for Blockbuster. Every month, all corporate employees receive a calendar of training opportunities. What Matters Most and the 7 Habits workshops are the most requested programs and are offered monthly. In What Matters Most, all participants are provided with a Franklin Planner. In the 7 Habits, participants receive a copy of Stephen R. Covey's The 7 Habits of Highly Effective People book and audio cassettes, and The 7 HabitsTM workbook. According to Dan Satterthwaite, vice president of Corporate Human Resources for Blockbuster, the most effective workshops come as a result of an entire work group taking the training together.

The Human Resources Department encourages Blockbuster department heads to use the FranklinCovey workshops to establish a shared language. "The most significant benefit of the training is a common vocabulary that allows people to deal with issues and express feelings and concerns in a way that everyone can understand," explained Satterthwaite.

Additionally, in a tight labor market, competition for quality employees can be intense. "Being able to offer FranklinCovey training helps us in retaining talent," Satterthwaite said. The message of FranklinCovey training, that a balanced lifestyle is important, helps keep quality employees. "Very frequently we receive letters [from training participants] that say that the training was a life-changing experience. It's very gratifying to be able to offer that kind of benefit," explained Satterthwaite.

Fast Forward to Successful Sequels
The relationship between FranklinCovey and Blockbuster appears to be headed for more "smash hits" in the future. Building upon the tremendous success of the 7 Habits training, Blockbuster has recently decided to add The 4 Roles of Leadership® training to enhance leadership skills throughout the company. "I believe we have a true synergistic relationship," Normington said. "But it goes beyond training materials and curriculum. They [FranklinCovey] believe in the power of change; they believe that people, work teams, and individuals can change and want to change to make their work experiences and personal experiences richer and more productive."

By creating a partnership to collectively examine difficult questions and define strategy, FranklinCovey and Blockbuster have created unique, effective solutions. "Obviously 'training' isn't the answer. It is only part of a multi-faceted solution. [My account manager at] FranklinCovey convinced me that you can start anywhere and go everywhere. Different departments at Blockbuster have chosen different paths, ... but ultimately the answer lies in each one of us pulling together as a collective whole and facing these challenges together," concluded Normington.