Best Practices for Realtor Associations 2009

50 %
50 %
Information about Best Practices for Realtor Associations 2009
Business & Mgmt

Published on July 23, 2009

Author: JudithLindenau

Source: slideshare.net

Description

An updated version of an earlier presentation, based on the NAR Best Practices publication from several years ago. The slide presentation is intended as a basis for a free-flowing discussion of ideas for achieving maximum customer service in five management areas. Prepared for the Coastal Association of Realtors Annual Leadership Conference.

Best Practices for REALTOR Associations Presented by Judith Lindenau, CAE, RCE JWL Consulting October 2009 JWL Associates

BEST PRACTICES http://www.realtor.org/aesubs.nsf/pages/bestpractices JWL Associates

http://www.realtor.org/aesubs.nsf/pages/bestpractices

Report Addresses the Following Critical Association Issues: How REALTOR associations can better serve their members. How AEs can achieve desired outcomes for their leadership, staff and themselves. How REALTOR associations can remain viable and relevant to their members in a climate of relentless change. JWL Associates

How REALTOR associations can better serve their members.

How AEs can achieve desired outcomes for their leadership, staff and themselves.

How REALTOR associations can remain viable and relevant to their members in a climate of relentless change.

Explores Five Key Aspects of Associations Member Services Public Policies Leadership and Staff Relations Human Resources Management Financial Management JWL Associates

Member Services

Public Policies

Leadership and Staff Relations

Human Resources Management

Financial Management

REALTOR ASSOCIATION INNOVATION Our Goal: JWL Associates

Our Goal:

Lemons to Lemonade It took a once-in-a-lifetime economic decline to expose the deeper flaws in our business models, and create a sense of urgency to identify new forms of value for our stakeholders that will translate into sustainable revenue streams going forward. Jeff de Cagna JWL Associates

It took a once-in-a-lifetime economic decline to expose the deeper flaws in our business models, and create a sense of urgency to identify new forms of value for our stakeholders that will translate into sustainable revenue streams going forward. Jeff de Cagna

Current Real Estate Trends ULI – Price Waterhouse Swanepoel Report JWL Associates

Housing Trends 1. Strength in Apartments 2. OUT: McMansions in the ‘burbs 3. IN: Infill developments 4. IN: Green (energy efficient, walkable communities) JWL Associates

1. Strength in Apartments

2. OUT: McMansions in the ‘burbs

3. IN: Infill developments

4. IN: Green (energy efficient, walkable communities)

Brokerages 1. ‘Right sizing’: firing low producers, cutting overhead 2. Marketing:’ Think like a customer.’ Strategic approach to online marketing. 3. Engaging consumer more extensively, and over longer time. “Consumer is king.” JWL Associates

1. ‘Right sizing’: firing low producers, cutting overhead

2. Marketing:’ Think like a customer.’ Strategic approach to online marketing.

3. Engaging consumer more extensively, and over longer time. “Consumer is king.”

International Real Estate 1. Focus on coastal global pathway cities 2. Continued expansion of US brokerages 3. Non-US brokerages expanding globally 4. Multi-language IDX and listing networks Global transactions JWL Associates

1. Focus on coastal global pathway cities

2. Continued expansion of US brokerages

3. Non-US brokerages expanding globally

4. Multi-language IDX and listing networks

Global transactions

MLS 1. Centralized data repositories 2. MLS walls coming down for consumers and others 3. Multi-lingual MLS 4. Secondary Data gaining importance 5. Anything is possible (in technology: it’s politics that holds us back) JWL Associates

1. Centralized data repositories

2. MLS walls coming down for consumers and others

3. Multi-lingual MLS

4. Secondary Data gaining importance

5. Anything is possible (in technology: it’s politics that holds us back)

Other Trends 1. The “Power of One”—social media, individual as his own business 2. Need for a comprehensive knowledge base, centralized information JWL Associates

1. The “Power of One”—social media, individual as his own business

2. Need for a comprehensive knowledge base, centralized information

Effect on the Realtor Associations #1 1. Our consumers are “King”. 2. Our membership criteria are outdated: both geography, and job function 3. What business functions can we perform cooperatively for members? 4. Changing demographics of members. JWL Associates

1. Our consumers are “King”.

2. Our membership criteria are outdated: both geography, and job function

3. What business functions can we perform cooperatively for members?

4. Changing demographics of members.

Effect on the Realtor Associations #2 4. What are the sources of income? Amount of diversity in those sources? 5. Technology strategic plan (education, marketing, networking, and so on) 6. What is the public component of our associations? JWL Associates

4. What are the sources of income? Amount of diversity in those sources?

5. Technology strategic plan (education, marketing, networking, and so on)

6. What is the public component of our associations?

Part One: MEMBER SERVICES The best associations are those that know how to “custom tailor” the services they provide to meet the ever-changing needs of the member. JWL Associates

The best associations are those that know how to “custom tailor” the services they provide to meet the ever-changing needs of the member.

In Member Services: One Size Doesn’t Fit All One association may have the resources to offer many services; another may need to focus on providing just one or two essential programs to members. “ Shared Services” may be used among associations to enhance existing services or offer additional services. JWL Associates

One association may have the resources to offer many services; another may need to focus on providing just one or two essential programs to members.

“ Shared Services” may be used among associations to enhance existing services or offer additional services.

If You Want to Provide and Maintain the Best Possible Member Services, You Must: Know what the important issues are now and in the immediate future and be able to discuss them intelligently with members Talk to members about what is happening in their business and be able to explain the bigger picture Continually seek input on member wants, don’t just sell current associations services JWL Associates

Know what the important issues are now and in the immediate future and be able to discuss them intelligently with members

Talk to members about what is happening in their business and be able to explain the bigger picture

Continually seek input on member wants, don’t just sell current associations services

Watch the Member … Observe members in their work environment-- you will see patterns that you won’t get from polls or surveys (staff visits, Leadership Outreach) Respond positively to the style of younger members (interest groups, leadership training, Young Professional Mentor, Reverse Mentor for the Board of Directors) Focus on the needs of your high-achieving members, avoid always responding to the lowest common denominator ( put your target market in your planning, and in your strategic plan) JWL Associates

Observe members in their work environment-- you will see patterns that you won’t get from polls or surveys (staff visits, Leadership Outreach)

Respond positively to the style of younger members (interest groups, leadership training, Young Professional Mentor, Reverse Mentor for the Board of Directors)

Focus on the needs of your high-achieving members, avoid always responding to the lowest common denominator ( put your target market in your planning, and in your strategic plan)

Utilize Member Service Programs … Hold an annual “priority oriented” business planning session and avoid writing open-ended goals The Annual Planning session for incoming and outgoing leaders…Plan and Prioritize Make sure your members know the “real” cost of every program you offer Use Planning Sheets: www.judithlindenau.com Use your Strategic Plan to drive the association’s programs and services and its budget Relate Each Budget Item to the Plan If you fail now and then make it a positive learning experience Stay away from offering services that do not provide value to the member Who Determines this? The Member! Always deliver more than you promise JWL Associates

Hold an annual “priority oriented” business planning session and avoid writing open-ended goals

The Annual Planning session for incoming and outgoing leaders…Plan and Prioritize

Make sure your members know the “real” cost of every program you offer

Use Planning Sheets: www.judithlindenau.com

Use your Strategic Plan to drive the association’s programs and services and its budget

Relate Each Budget Item to the Plan

If you fail now and then make it a positive learning experience

Stay away from offering services that do not provide value to the member

Who Determines this? The Member!

Always deliver more than you promise

Member Services -- Recognize geographic diversity and be careful about adopting another association’s program. What works in one area, may not work for your association. Real estate is local and so is the real estate business. Use technology both to network and to deliver programs. Listserve! Blogs! Members only webs (community building!) Continually remind members about the value of the services you offer. Market with logos, slogans, Tweets Be able to react quickly to challenges. Don’t wait for meetings, surveys. Don’t build huge barriers to service. JWL Associates

Recognize geographic diversity and be careful about adopting another association’s program. What works in one area, may not work for your association. Real estate is local and so is the real estate business.

Use technology both to network and to deliver programs. Listserve! Blogs! Members only webs (community building!)

Continually remind members about the value of the services you offer. Market with logos, slogans, Tweets

Be able to react quickly to challenges. Don’t wait for meetings, surveys. Don’t build huge barriers to service.

Part Two: PUBLIC POLICY “ You have to Educate Both Members and Consumers” JWL Associates                                                               

“ You have to Educate Both Members and Consumers”

“ The Stakes are High and Getting Higher” REALTOR ® associations determined to remain effective are now allocating a significant portion of their resources to “advocacy efforts”. Influencing the legislative and regulatory process requires continual development of personal relationships, a commanding knowledge of the issues and strong member backing. JWL Associates

REALTOR ® associations determined to remain effective are now allocating a significant portion of their resources to “advocacy efforts”.

Influencing the legislative and regulatory process requires continual development of personal relationships, a commanding knowledge of the issues and strong member backing.

Move beyond RPAC fundraising and press releases to become the “Voice for Real Estate” in your community (Affordable Housing, relief housing, smart growth, international real estate/diversity programs) The Advocacy Goal: Do Important Things with your Organizational Resources! JWL Associates

Move beyond RPAC fundraising and press releases to become the “Voice for Real Estate” in your community (Affordable Housing, relief housing, smart growth, international real estate/diversity programs)

Key Components of an Advocacy Program: 1. Provide public policy orientation to incoming leaders so they understand the nature of legislative relationships. Ask local advocacy groups to partner with you on this: Chamber, Education, others. 2. Put volunteer leaders in situations visible to legislators, regulators and public officials. Be systematic—make a list of visible places. Then strategize. Prepare a “Public Policy Statement” that documents the association’s position on issues. Make sure the members have it, and are informed. JWL Associates

1. Provide public policy orientation to incoming leaders so they understand the nature of legislative relationships. Ask local advocacy groups to partner with you on this: Chamber, Education, others.

2. Put volunteer leaders in situations visible to legislators, regulators and public officials. Be systematic—make a list of visible places. Then strategize.

Prepare a “Public Policy Statement” that documents the association’s position on issues. Make sure the members have it, and are informed.

4. Have a dedicated advocate. This could be a volunteer. 5. If resources are limited, share a GAD. In Michigan, we depend on the state association . 6. Form partnership and coalitions with other associations. Really important, and some unlikely bedfellows…it depends on issues 7. Don’t hesitate to think creatively. Be proactive on some issues, like environment and affordable housing. 8. Build your public support base. Consider a consumer affiliate membership, or newsletter on homeowner concerns. JWL Associates

4. Have a dedicated advocate. This could be a volunteer.

5. If resources are limited, share a GAD. In Michigan, we depend on the state association .

6. Form partnership and coalitions with other associations. Really important, and some unlikely bedfellows…it depends on issues

7. Don’t hesitate to think creatively. Be proactive on some issues, like environment and affordable housing.

8. Build your public support base. Consider a consumer affiliate membership, or newsletter on homeowner concerns.

Keys to Involving Members in Advocacy: 1. In all issues, focus on the bottom-line impact to the members’ businesses 2. Obtain relevant data (including input from members) before making decisions on political positions 3 . Supply members with regulatory and legal information in a summarized and understandable format--REGULARLY JWL Associates

1. In all issues, focus on the bottom-line impact to the members’ businesses

2. Obtain relevant data (including input from members) before making decisions on political positions

3 . Supply members with regulatory and legal information in a summarized and understandable format--REGULARLY

Part Four: HUMAN RESOURCES MANAGEMENT “ Everything Starts with the People” JWL Associates

“ Everything Starts with the People”

Successful REALTOR Associations Attract, Train and Retain Great People Top real estate associations are distinguished by their talented, dedicated and motivated staff. What does it take to recruit, train and retain the “best and the brightest” in association management? JWL Associates

Top real estate associations are distinguished by their talented, dedicated and motivated staff.

What does it take to recruit, train and retain the “best and the brightest” in association management?

Everything Starts with People: Regardless of non-profit status, REALTOR ® associations must still compete with the private sector for top staff people ( and volunteers). To be competitive, associations must offer equal salary and benefits, an attractive work environment, the opportunity to learn and develop professional skills and the potential for advancement. JWL Associates

Regardless of non-profit status, REALTOR ® associations must still compete with the private sector for top staff people ( and volunteers).

To be competitive, associations must offer equal salary and benefits, an attractive work environment, the opportunity to learn and develop professional skills and the potential for advancement.

Avoid Sources of Conflict: Lack of clarity in job roles (revise job descriptions annually http://www.realtor.org/rare.nsf/jobs?OpenView&Start=1&Count=30&Expand=2#2 ) Undefined expectations “ Hidden agendas” JWL Associates

Lack of clarity in job roles (revise job descriptions annually http://www.realtor.org/rare.nsf/jobs?OpenView&Start=1&Count=30&Expand=2#2 )

Undefined expectations

“ Hidden agendas”

Consider Outsourcing or Shared Service Alternatives: Explore outsourcing options when appropriate, including professional recruiters Share services with other REALTOR ® associations (or other organizations in your community) JWL Associates

Explore outsourcing options when appropriate, including professional recruiters

Share services with other REALTOR ® associations (or other organizations in your community)

Part Five: FINANCIAL MANAGEMENT “ If You Can’t Measure It, You Can’t Manage It!” JWL Associates

“ If You Can’t Measure It,

You Can’t Manage It!”

The Issue: Top Associations know: How to add up the numbers How to report them to the members How to analyze figures, maximize profits and increase income Top AEs use these talents to assist leadership in making timely financial decisions based on strategies and not emotions. JWL Associates

Top Associations know:

How to add up the numbers

How to report them to the members

How to analyze figures, maximize profits and

increase income

Top AEs use these talents to assist leadership in making timely financial decisions based on strategies and not emotions.

If You Can’t Measure It, You Can’t Manage It: Successful associations link financial management with their strategic plans. They identify priorities and allocate funds based on stated plan objectives. Don’t spend money which can’t be tied into the plan . Sound financial controls ensure the fiscal integrity of an association and show the members the association is acting responsibly. Pay particular attention to internal controls. JWL Associates

Successful associations link financial

management with their strategic plans. They

identify priorities and allocate funds based on

stated plan objectives. Don’t spend money which can’t be tied into the plan .

Sound financial controls ensure the fiscal

integrity of an association and show the members the association is acting responsibly. Pay particular attention to internal controls.

Financial Management: Fundamentals Either the AE or the “number two” must have strong financial skills Board members need to be educated in several areas: Fiduciary responsibilities of Elected Leaders Conflict of interest policies and procedures Roles of the treasurer, finance committee and audit committee Employee management (Have a clear policy manual) Use the Association Legal Counsel to review this subject regularly with staff and Directors! JWL Associates

Either the AE or the “number two” must have strong financial skills

Board members need to be educated in several areas:

Fiduciary responsibilities of Elected Leaders

Conflict of interest policies and procedures

Roles of the treasurer, finance committee and audit committee

Employee management (Have a clear policy manual)

Use the Association Legal Counsel to review this subject regularly with staff and Directors!

Financial Management: Fundamentals Select the volunteer treasurer based on his or her financial skills Eliminate automatic progression to the Presidency, except for President-Elect Put the financial reserve policy in writing Be aware of federal and state legislation related to financial mismanagement Know the percentage of budget from dues income, and keep that equal to the risk of losing members . JWL Associates

Select the volunteer treasurer based on his or her financial skills

Eliminate automatic progression to the Presidency, except for President-Elect

Put the financial reserve policy in writing

Be aware of federal and state legislation related to financial mismanagement

Know the percentage of budget from dues income, and keep that equal to the risk of losing members .

Financial Management: Budgeting Adopt program-based budgeting procedures and add a powerful tool to justify the addition of new programs and get rid of “sacred cows”. Use separate corporations for some projects, and always present a financial impact statement after a program or event. Be effective when you present the annual budget to the Board of Directors. Construct a presentation which meets their informational needs . Pay more attention to next month’s financial needs than to last month’s financial reports Always try to reduce operational costs JWL Associates

Adopt program-based budgeting procedures and add a powerful tool to justify the addition of new programs and get rid of “sacred cows”. Use separate corporations for some projects, and always present a financial impact statement after a program or event.

Be effective when you present the annual budget to the Board of Directors. Construct a presentation which meets their informational needs .

Pay more attention to next month’s financial needs than to last month’s financial reports

Always try to reduce operational costs

Suggestion … Consider adopting an association policy that: no resolution be sent to the Board of Directors unless it includes a statement on direct costs, physical resources and staff and volunteer time required! JWL Associates

Consider adopting an association policy that: no resolution be sent to the Board of Directors unless it includes a statement on direct costs, physical resources and staff and volunteer time required!

Financial Management: Generating Revenue Separate the association’s income stream into dues, fee-for-service, and non-dues revenue Common opinions about income are: Dues are ridiculously low in most associations Focus on core services ( Cost analyze them—Pro Standards, RPAC, dues collection, Code of Ethics Enforcement). Beware of affinity and non-dues income programs drain the association -- stick to the business evaluate of all these programs. They must pay for themselves and make a profit. JWL Associates

Separate the association’s income stream into dues, fee-for-service, and non-dues revenue

Common opinions about income are:

Dues are ridiculously low in most associations

Focus on core services ( Cost analyze them—Pro Standards, RPAC, dues collection, Code of Ethics Enforcement).

Beware of affinity and non-dues income programs drain the association -- stick to the business evaluate of all these programs. They must pay for themselves and make a profit.

Financial Management: Internal Controls and Audits Provide the Board of Directors with clear, consistent and easy-to-digest information and remind them that their role is to ask questions. Think graphs! Be transparent with the membership. Transparency in finances and other membership communications is important. JWL Associates

Provide the Board of Directors with clear, consistent and easy-to-digest information and remind them that their role is to ask questions. Think graphs!

Be transparent with the membership. Transparency in finances and other membership communications is important.

FINANCIAL MANAGEMENT CHECKLIST www.judithlindenau.com/associationresources JWL Associates

www.judithlindenau.com/associationresources

Graph of Association Income JWL Associates

Financial Management: Reporting to Members Provide members with regular summary reports of the association’s financial performance Present financial data graphically when possible At dues billing time, use financial data to show members the benefits of their dues dollars ( create a benefits letter) JWL Associates

Provide members with regular summary reports of the association’s financial performance

Present financial data graphically when possible

At dues billing time, use financial data to show members the benefits of their dues dollars ( create a benefits letter)

HOW TO BEGIN INNOVATION JEFF DE CAGNA Realtors and Their Associations Are on the Edge of a Brave, New World: JWL Associates

Realtors and Their Associations Are on the Edge of a Brave, New World:

FOCUS on “WHO” Innovation is a social process that depends on people working collaboratively to identify, develop and nurture creative ideas. Begin with a “hot group” , a Board of Directors Advisory Panel Mix of Skills, Experience, Demographics Charge them with a Quarterly Report to the Directors, or perhaps the entire membership, on issues and trends Let them meet online or any way they can get the work done. Then, LISTEN to them and accept and act on their ideas JWL Associates

Innovation is a social process that depends on people working collaboratively to identify, develop and nurture creative ideas.

Begin with a “hot group” , a Board of Directors Advisory Panel

Mix of Skills, Experience, Demographics

Charge them with a Quarterly Report to the Directors, or perhaps the entire membership, on issues and trends

Let them meet online or any way they can get the work done.

Then, LISTEN to them and accept and act on their ideas

FOCUS on “WHAT” Begin with short term results Concentrate on product, and service ideas that serve current or emerging member problems Encourage them to explore more radical ideas as they gain confidence • JWL Associates

Begin with short term results

Concentrate on product, and service ideas that serve current or emerging member problems

Encourage them to explore more radical ideas as they gain confidence

FOCUS on “HOW” Innovation does not need to be extremely expensive or risky, but it does require consistent investment over time, along with a willingness to integrate failure as a learning strategy Encourage them to think of ideas in the $500-$1000 range as a beginning. JWL Associates

Innovation does not need to be extremely expensive or risky, but it does require consistent investment over time, along with a willingness to integrate failure as a learning strategy

Encourage them to think of ideas in the $500-$1000 range as a beginning.

Case Study: West Volusia Association of Realtors Education Loan Program using association reserves Free Continuing Education Courses for all members JWL Associates

Education Loan Program using association reserves

Free Continuing Education Courses for all members

Case Study: North Dakota Association of Realtors Dedicating significant percentage of reserves for a matching fund with local associations for a MARKETING PROGRAM to encourage business with Realtors JWL Associates

Dedicating significant percentage of reserves for a matching fund with local associations for a MARKETING PROGRAM to encourage business with Realtors

Case Study: Sarasota Association of Realtors Dues billing relief program for members Facebook Page for the association Green Realtors Alliance International Real Estate Congress JWL Associates

Dues billing relief program for members

Facebook Page for the association

Green Realtors Alliance

International Real Estate Congress

Thanks for the opportunity! Judith Lindenau, CAE, RCE JWL Consulting and Coaching 7707 Fouch Road Traverse City, MI 49684 (231) 715-1416 www.judithlindenau.com [email_address] JWL Associates

Judith Lindenau, CAE, RCE

JWL Consulting and Coaching

7707 Fouch Road

Traverse City, MI 49684

(231) 715-1416

www.judithlindenau.com [email_address]

Add a comment

Related presentations

Canvas Prints at Affordable Prices make you smile.Visit http://www.shopcanvasprint...

30 Días en Bici en Gijón organiza un recorrido por los comercios históricos de la ...

Con el fin de conocer mejor el rol que juega internet en el proceso de compra en E...

With three established projects across the country and seven more in the pipeline,...

Retailing is not a rocket science, neither it's walk-in-the-park. In this presenta...

What is research??

What is research??

April 2, 2014

Explanatory definitions of research in depth...

Related pages

Commercial Best Practices at Associations | realtor.org

Commercial Best Practices at Associations. ... The first installment includes Best Practices for Commercial REALTOR® of the Year by Participating ...
Read more

Portland Metropolitan Association of Realtors | Best Practices

Best Practices. The following Best Practices have been established by the Portland Metropolitan Association of Realtors® as ... to the PMAR Best ...
Read more

Consumer Outreach Best Practices from REALTOR ...

State and local REALTOR® associations shared their consumer outreach programs, initiatives, ... Consumer Outreach Best Practices. In this section. AE Home;
Read more

Social Media Best Practices - Speaking of Real Estate

Social Media Best Practices ... Introduction to Social Media session at the 2009 REALTORS® Convention ... National Association of REALTORS ...
Read more

Lobbying Success: Best practices of Realtor® association ...

... Best practices of Realtor® association lobbyists any association can adopt. By Bridget McCrea. The life of a lobbyist is one that not many people ...
Read more

Government Affairs Best Practices - Action Center Realty

Government Affairs Best Practices ... city & REALTORS ... – State Association Policy Manuals
Read more

Best Practices for Choosing REALTOR® Champions Course

... that is intended to provide best practices for RPAC Trustees, Government Affairs Committees, ... REALTOR® Association Mobile Processor (RAMP)
Read more

Best Practices - WRAR.com - Wilmington Regional ...

Best Practices; Code of Ethics; Professional Standards Forms; Leadership Academy; Local Area Information. ... Wilmington Regional Association of REALTORS ...
Read more

10 Tips for Mastering Phone Etiquette | Realtor Magazine

10 Tips for Mastering Phone Etiquette. ... May 2009 | By John D ... © 2014 Copyright the National Association of Realtors ...
Read more