Johnson Controls Deliver 79% ROI for Major Children's Hospital with Technology Contracting Servic

April 7, 2009

Accelerates completion of new facility and reduces costs of building systems

BOSTON – April, 7 2009 – Nucleus Research analysts have independently examined the benefits of Johnson Controls’ technology contracting services for the construction of new facilities for a major children’s hospital to find a return on investment (ROI) of 79% with payback in 5 months.

A full-service health facility with 13 locations in and around a major urban center, the hospital provides medical care to children for a broad variety of ailments from asthma to cancer, blood-borne disease and diabetes. Located on a 48-acre campus, the primary facilities are designed to maximize both the quality of care and the peace of mind of patients and their families. Amenities include playrooms, family-oriented libraries, teen centers and private rooms with pull-out bed for family members.

When constructing a new headquarter facility, the hospital was tasked with staying in budget, reducing costs and maximizing the quality of patient care. The hospital realized that the integration of networking and building technologies, which typically occurs at the end of a construction project, was one of the most unpredictable parts of construction management and a primary contributor to cost overruns and project delays. It sought organizations that could not only manage this part of the project, but also act as a sole contractor and purchaser in order to reduce project costs.

Johnson Controls was hired as the sole contractor in early 2006, leading to several key benefits, including reduced material costs, project costs and staffing costs.

“By moving from multiple vendors to Johnson Controls as the sole contractor, this hospital was able to stay in budget and complete the new facility ahead of schedule” said Rebecca Wettemann, VP of Research for Nucleus Research.

The full case study is available at NucleusResearch.com All Nucleus Research ROI case studies are independent assessments, evaluating the costs and benefits from the IT deployment.

About Nucleus Research

Nucleus Research is a global provider of IT research and advisory services that provides CFOs, CIOs and their staffs with the real-world information they need to maximize the business returns from their technology investments, including successfully executing their IT deployments and determining the business value of their initiatives. For more information, visit NucleusResearch.com.