Why does it take so long to complete a Disney project

[WondersOfLife]

They have other things opening basically yearly/every few months before Ratatouille. Disney is literally working on SEVERAL projects at once. So I mean... I'm not complaining about the Rat's ride opening date.

 

[lazyboy97o]

Some people were making excuses and justifying the long build time. So if the bottom line is they 'don't want to' then that's a whole different story than they can't.
My point is the excuses were lame at best for why it will take three years. As an investor I want it on line ASAP but if Disney looks at the numbers and says hey the crowds are still coming why rush, we'll then ok. I get it but I don't accept BS.

You keep harping on three years when construction has not even really started. When you ignore the process it’s easy to think it could be significantly faster.

 

[Master Yoda]

Some people were making excuses and justifying the long build time. So if the bottom line is they 'don't want to' then that's a whole different story than they can't.
My point is the excuses were lame at best for why it will take three years. As an investor I want it on line ASAP but if Disney looks at the numbers and says hey the crowds are still coming why rush, we'll then ok. I get it but I don't accept BS.

Don't need to. Big difference.

As an investor, you should want what is best for the stock price. Right now, building attractions slow is what is best for the stock price. 10 years from now that might be different.

One thing you have to realize is an attraction is not really a direct money maker. Sure it will drive attendance to the parks, but park tickets are not as big of a money maker as you would think. It is often a break even to slight profit proposition. The money is made selling food and merchandise.

So when we look at 2 things being discussed the Rat Ride and the NBA resturant...one will directly make money so it makes sense to get it open as quickly as it can reasonably be built, the other can be spaced out over time to lower the quarterly impact.

 

[Ralphlaw]

One just can't take plans for something built in one country and assume that everything will seemlessly transfer to another.

I didn't say seamlessly. I said that they had a very similar attraction already built--which they do. Of course adjustments will have to be made. But adjustments doesn't mean starting from scratch.

Face it, given the challenges that faced Disney in 1955 with Disneyland, 1971 with Disney World, and even the 1930s with Snow White, today's company would barely get off the drawing board. No, today's company would wander aimlessly with the monumental challenges that Walt and Roy faced with the genuine trails that they blazed back then. "Can do" seems to have been replaced "Maybe we could do something if the Board, the committees, the sign-offs and the studies say we can, but let's not leap before we look until our eyes glaze over."

 

[Master Yoda]

I didn't say seamlessly. I said that they had a very similar attraction already built--which they do. Of course adjustments will have to be made. But adjustments doesn't mean starting from scratch.

Face it, given the challenges that faced Disney in 1955 with Disneyland, 1971 with Disney World, and even the 1930s with Snow White, today's company would barely get off the drawing board. No, today's company would wander aimlessly with the monumental challenges that Walt and Roy faced with the genuine trails that they blazed back then. "Can do" seems to have been replaced "Maybe we could do something if the Board, the committees, the sign-offs and the studies say we can, but let's not leap before we look until our eyes glaze over."

Sometimes, starting from scratch is actually easier.

I often get "copy" projects that I have to do from other states. If one minor detail changes, wind speed, exposure, building code version, etc. I have to reanalyze the entire project. An accepted practice accepted elsewhere is often not accepted here, a material readily available somewhere else might not be available here, etc, etc...I could literally go on for days about all of the details that have to be checked for code compliance. When I do the job from scratch, I would just be designing it using methods and materials I know meet code.

 

[HakunaMatata89]

basic answer is they can spread out the building expenses over fiscal years/quarters to make it look like less of a hit on their bottom line

 

[lazyboy97o]

Sometimes, starting from scratch is actually easier.

I often get "copy" projects that I have to do from other states. If one minor detail changes, wind speed, exposure, building code version, etc. I have to reanalyze the entire project. An accepted practice accepted elsewhere is often not accepted here, a material readily available somewhere else might not be available here, etc, etc...I could literally go on for days about all of the details that have to be checked for code compliance. When I do the job from scratch, I would just be designing it using methods and materials I know meet code.

It seems a big issue here is a complete unawareness of how much work and detail goes into properly designing even a simple building. With Ratatouille being a focal point, because “it is already done” the design time is being lumped into the construction time. Despite a permit being filed for utilities, construction hasn’t really started and probably won’t be well underway until late this year or early 2018.

 

[Master Yoda]

It seems a big issue here is a complete unawareness of how much work and detail goes into properly designing even a simple building. With Ratatouille being a focal point, because “it is already done” the design time is being lumped into the construction time. Despite a permit being filed for utilities, construction hasn’t really started and probably won’t be well underway until late this year or early 2018.

I am quite use to that, even from people in the industry.

I have, on more than one occasion, sworn to throat punch the next person that says "Don't you just press a button to do that?"

 

[lazyboy97o]

I am quite use to that, even from people in the industry.

I have, on more than one occasion, sworn to throat punch the next person that says "Don't you just press a button to do that?"

Of course it’s not just one button! Disney needs to do seven mouse clicks in Revit to change the project units and get Ratatouille done.

 

[Ralphlaw]

Given how quickly obsolescence kicks in these days, another reason for speed is how long a Rat ride (or anything else) will remain relevant. I follow the stock market, and it wasn't long ago that GE was the largest corporation the world had ever seen. Now, it's in trouble, and its stock price dropped nearly 10% on Monday alone, with further doom and gloom predicted.

The Disney stock is hurting because ESPN is in trouble (presumably). Who would have predicted that 5 years ago?

Similarly, Disney parks have competition, but it isn't just Universal and Sea World. It's Venice, Machu Pichu and the orient. It's virtual reality, ziplining and cruises. Someday it will be space travel, and (on the other side of the spectrum) regional vacations. Another big time terrorist attack or two, and the entire Disney World paradigm could be in trouble. Anyone remember what happened to WDW after 9/11? I do.

Plus, let's wait and see if hurricanes, poisonous snakes, rising sea levels, gator attacks, or other disasters bring catastrophe to WDW attendance.

Given all that, it seems that "Make hay while the sun shines" should make speed more important than ever. Get the projects built while such projects would remain popular. Again, Rat is just a symptom of a once dynamic and market-responsive pioneering company that now seems to take a long time to make even modest additions to its businesses. For a company that single-handedly invented full length film animation, the theme park, the huge multi-faceted Orlando resort, the theme park outside of the U.S., and the family oriented cruise line industry, it seems that Rat is being done in baby steps.

 

[NormC]

They haven't even barely started RAT so IMHO the whining, conspiracy theories and assumptions are a bit premature. Plans are dynamic and can change at anytime.

 

[Raineman]

Why does it take so long for me to get my food when I sit down at a WDW TS restaurant? I'm sure Disney can have it ready in 30 seconds instead of 15 minutes. I don't care if people tell me that it takes 15 minutes to cook the food, I'm sure they can do it quicker.

 

[Phonedave]

I am quite use to that, even from people in the industry.

I have, on more than one occasion, sworn to throat punch the next person that says "Don't you just press a button to do that?"

"I don't understand why you have a XX Business days lead time requirement on these services - don't you just flip a switch?"

Yep, a big 'o switch that says ON / OFF - just like that.

 

[Jayhawker]

basic answer is they can spread out the building expenses over fiscal years/quarters to make it look like less of a hit on their bottom line

Yes, this is most likely the primary reason for building rides over a period of years. As a Disney shareholder, I do not mind this timeline. The trajectory of a particular stock is heavily influenced by earnings, and being able to use techniques such as "smoothing" helps The Walt Disney Company make sure they are meeting analyst earning's estimates or hopefully exceeding them.
Now, as a fan of almost everything Disney including movies, merchandise, and above all the parks, I do wish new lands and attractions would open at a faster pace. I wish TSL (and really wish SWL) would be open for my upcoming trip in February, for example. While the seemingly slow pace is not ideal, I am excited for the next 5 years as there are so many attractions, resorts, and even transportation modes (gondolas) coming on line! I believe that once the Studios have TSL and SWL open in late 2019 that Epcot will be the park needing the most attention. Hopefully, Disney comes through with more than Rat and Guardians. Epcot really needs more love.

 

[POLY LOVER]

Yes, this is most likely the primary reason for building rides over a period of years. As a Disney shareholder, I do not mind this timeline. The trajectory of a particular stock is heavily influenced by earnings, and being able to use techniques such as "smoothing" helps The Walt Disney Company make sure they are meeting analyst earning's estimates or hopefully exceeding them.
Now, as a fan of almost everything Disney including movies, merchandise, and above all the parks, I do wish new lands and attractions would open at a faster pace. I wish TSL (and really wish SWL) would be open for my upcoming trip in February, for example. While the seemingly slow pace is not ideal, I am excited for the next 5 years as there are so many attractions, resorts, and even transportation modes (gondolas) coming on line! I believe that once the Studios have TSL and SWL open in late 2019 that Epcot will be the park needing the most attention. Hopefully, Disney comes through with more than Rat and Guardians. Epcot really needs more love.

This would assume you are paying cash. If you want to "smooth" you can finance at low interest rates out for the next 10 years and carry only the debt service. I just dont understand the excuse making for taking as long as possible to bolster a diluted Hollywood studios NOW if DHS was not in the condition it is in THEN and only THEN could I understand the non urgency to get up and running. This park needs ASAP attention, why would you want construction dust, walls, and an empty lake scaring your theme park for the next 3 years.

 

[NormC]

 

[POLY LOVER]

Yet another example , this is a minor small project taking a ridiculous amount of time,
It's a revenue generator and they can't get it on line? They missed the entire food and wine festival.

It has been nearly a year in construction, but Epcot's newest walk-up-window food and drink location is set to open soon.

Plus add it's been rebranded and what they are serving makes no sense? It went from tequila bar to frozen margaritas. They already have this right across the way.