aenc association 101 programs, products and services - domain 8

AENC Association 101

Association 101

CAE Domain 8:Programs, Products &

Services

Penney De Pas, MA, CAESenior Account Executive

FirstPoint Management Resources

September 26 & 28, 2012


The

Tangibles of Association Work

(Delivering the Benefits of Membership)

AssociationPrograms, Products & Services


Leadership Vision – Where is the world going? How can we as a group make an impact on the world and our lives in a positive manner? What is new that I need to learn to improve my business/profession?

Connection – Building social relationships and community through networks of conversations and idea-exchange.

Contribution and Reward – Making a difference through giving and recognition of that difference.

What do Members want from their Membership Dollars?


How can our Associationprovide programs, products,

and services toaddress what the members

want?


Idea Development and Measurement

Brainstorming Feasibility needs assessment

Introducing New Modifying Existing Discontinuing Existing

Comprehensive Implementation Plans for Operation, Marketing, and Cost-Effectiveness

Periodic Evaluation – maintain, improve, discontinue

Monitor revenue streams

RESEARCHPLAN IMPLEMENTEVALUATE


What are some programs, services, or products typically

offered by associations?

:15


Categories of Traditional Programs, Products & Services offered by Associations

• Meetings and Events• Communication & Publications• Fundraising, Sponsorships & Development

Programs• Certification, Accreditation and Licensure• Affinity Programs• Professional Development Programs & Delivery• Advocacy• Best Practices• Career Placement/Networking


Meetings & Events

Large or Small Gatherings: Conferences Conventions Board & Committee

meetings Trade shows Webinars Receptions Regional Gatherings


What are some of the principal functions of association meetings?


Peer Interaction/Socialization Education Conducting Business Among Members/Vendors Recognition Conducting Association Business

Important to understand and communicate theUnderlying PURPOSE of the meeting. This helps

dictate the selection of the FORMAT for the meeting (degree of human interaction).

Principal Functions of Association Meetings


Convention Industry Council APEX Standards:http://www.conventionindustry.org/StandardsPractices/APEX.aspx

Formal Lectures Plenary vs. Breakout Sessions Panel Discussions Workshops/Roundtables Interactive/Hands-on Participation Simulations Poster Sessions Webinars Exhibits/Trade Show

Meeting Formats

http://www.conventionindustry.org/StandardsPractices/APEX.aspx

http://www.conventionindustry.org/StandardsPractices/APEX.aspx


Special Considerations & Terms in Meeting & Event Planning

Request for Proposal (RFP) – specifies meeting dates and requirements

Proposal – meeting venue’s basic response to RFP; does not address most contractual issues

Contracts Everything is negotiable, but

certain items are more negotiable than others

Seller’s market vs. Buyer’s market

Standard contract – hotel’s vs. association’s

Legal review

Special (tricky!) clauses Force Majeure* Indemnification Most Favored Nation Commissions Concessions Cutoff Date Attrition (Rooms, F&B) Cancellation Billing Arrangements & Deposits Litigation Outside Vendors Signatures Exhibits Addenda

*Event Cancellation Insurance

:30


RFP & Contract Components

Association name/Venue Dates of event Number of sleeping

rooms/suites Room rates

Commissionable? Complimentary rooms

Reservation Procedure Meeting Space Exhibits

Auxiliary suppliers Food & Beverage Events Financial billing/payments Cancellation/Attrition Hold Harmless/

Indemnification Americans w/Disabilities

(ADA) Insurance Location of Adjudication Signatures


Special Considerations & Terms in Meeting & Event Planning cont’d

Banquet Event Order (BEO)

Acts as a contract of performance, specifies every detail of an event, each page is signed.

Created by the facility staff and sent for review to the association meeting planner. The details of count, set-up, menu, and timing are presented in the order.

The banquet event order (BEO) should be reviewed carefully within the timeframe specified by the facility sales department, and should also be available and checked during the event to assure that you have received everything the association is paying for.

May be preceded by association sending detailed Meeting Specifications in writing.

Drayage

Commercial hauling of shipments Exhibitions and trade shows need to

contract with an official drayage firm. Exhibit hall contracts usually include a

provision that defines financial consequences for early shipment to the facility.

Open Space Meetings

Effective, economical, fast, and easily-repeatable strategy for organizing meetings of self-organizing groups of all sizes to deal with complex issues in a very short period of time.

Open space technology allows the group to create its own agenda for discussion around previously specified themes. The end result is a plan of action to create a vision for the future.


From Contract to Event

Agenda Speakers

Agreement Honoraria Travel costs & arrangements

Meeting Specifications Room setup Food & Beverage Audio-visual

Promotion Registration Housing

Additional suppliers: Airlines Ground Transportation Car Rental Destination Management

Companies (DMC) Travel Agents/Tour Agencies Off-site caterers Entertainers Speakers Audio-Visual companies Trade Show decorators


Preparation and promotion of a meeting can take months of work, but on-site operations are the most visible.

Good on-site work cannot make up for poor planning, but poor on-site performance can undermine months of good planning.

Early Arrival Advance Shipment of materials Pre-Con meeting with venue staff Facility tour Emergency (fire, medical, other ) Procedures Responsible, accountable, business-like, calm Sufficient and trained support staff Transportation Guest/Spouse Programs Pre- & Post-Conference Events

On-Site Operations at Event


Why are some key considerations for association communications

and publications?


Communication & Publications

To Inform or Educate Print or Digital Media Communication Mix In-House or Out-Sourced Order Fulfillment Methods

Journal/Magazine Newsletter Whitepaper/Research results Website Directory/Buyers Guide Annual report Press release Study guide Press kit Pamphlet Book/DVD/CD Audio-Video Conference Social Media :45


Copyright/Intellectual Property Rights Music Licensing (BMI/ASCAP) Royalties & Commissions Advertising - UBIT Vendor Endorsement Mailing List Rental Americans with Disabilities

Act (ADA) Member vs. Non-Member Pricing Confidentiality/Privacy

Legal (e.g., copyright, licensing, advertising, etc.) Issues for Meetings &

Communications


Fundraising, Sponsorships & Development Programs

Fundraising & Development Activities

• Special Events (e.g., golf, running, charitable

activities)• Silent

Auctions• Donations

with Renewals• Direct Mail

Appeal• Telemarketing• Foundation• Grants

Sponsorships• Specific

Events• Web

Advertisements

• Directory Ads• Year-long

Sponsorships• Named

Sponsorships• Scholarships


Why do people donate?


People give to people, not to organizations. They care and feel involved. They want to express their personal values, ideals, and

goals. They have a deep gratitude for life, benefits, and services

received or for personal achievements. They may have personal or family pride. They want the opportunity to join an organization’s success. They want a provision for tributes and memory. People very seldom give only for tax reasons.

Why People Give


Annual Fund - The cornerstone of many fundraising programs, this fund generates moneyfor ongoing support and seeks to enroll new donors, renew donations, and upgrade the level of donation. Contributions typically support current programs through unrestricted gifts.

Capital Campaign - Raises funds aimed at constructing or renovating a building, or forpurchasing equipment. This appeal is a time-limited campaign and encourages gifts in the form of multi-year pledges, sometimes over five or six years.

Foundation - Many 501(c)(6) associations have 501(c)(3) foundations as subsidiaries in order to fulfill a special educational or charitable need. Donors to a 501(c)(3) make tax-deductible contributions, whereas contributions to a 501(c)(6) can only qualify as a business expense. A bonus to 501(c)(3)s is to take advantage of tax and postal-rate benefits for that classification.

Grant Writing - A skill needed for successful fundraising through application to other foundations, government agencies, or other funding organizations. The grant writer prepares a professional proposal that must persuade the granting foundation to give the money to your organization. The proposal includes what you want to do, why this program is needed, how you will do it, how much it will cost, and how much money you want from the foundation. Proposals of this type compete for available moneys from foundations and government agencies.

Fundraising Terms & Major Activities


LAI Principles - The LAI principle usually proves helpful when researching and identifying true donor prospects. Linkage is any contact, bridge, or access through a peer to a potential donor, i.e., who do your Board

members know? Ability is an assessment of whether the potential donor has the ability or sufficient holdings to make a

contribution. Interest assesses the potential donor’s interest in the organization’s cause, mission, or accomplishments.

Planning Giving - Planned giving refers to the solicitation of gifts from current asset holdings or a person’s estate. The gift can be cash or assets, such as stock, property, or insurance bequests. The donor makes the bequest as a trust, contract, or gift.

Endowment – The principal is invested for the long-term while the interest is used to support a specific cause or program and may be restricted or unrestricted. The campaign is more slowly paced than an intensive, short-term capital campaign.

Special Events - Fund-raising events that connect donors to the institution, but integrate funand social capital into the mix.

Fundraising Terms & Major Activities cont’d

:00


Charitable Solicitation License – federal & state laws Registration Solicitation methods Disclosure requirements Documentation obligations Tax deductibility Annual reporting

Own Staff vs. Outside Consultant vs. Professional Solicitor

Verification of Donations/Amount of Deductibility

Fundraising Issues


Credentialing Programs*: Certification, Accreditation & Licensure

Accreditation: usually refers to a process of standards setting and compliance measurement for systems, organizations, or institutions.

Certification: usually implies the measurement of competency for individuals. Certification and accreditation programs are also referred to ascredentialling activities.

Licensure*: programs administered by government agencies. (*Therefore, it is technically NOT an association activity.)

*As a premier vehicle for defining Excellence, Quality, and Acceptable Performance in a field or industry, credentialing can be a large revenue source

for an association, but it does require a long-term commitment and a large commitment of resources.


Considerations forCertification & Accreditation

As a quasi-public undertaking, credentialing criteria should be established only after reasonable notice and opportunity to participate is afforded to all who may be affected (e.g., Grandfathering) and must not restrict or boycott competitors. It does not guarantee or ensure competence.

1. Participation should be voluntary and open to nonmembers.2. All candidates should be treated equally.3. Associations should not promote credentialed individuals by name or disparage the non-credentialed.4. Should not be used to blackball or limit competitors.5. Denial of credentials should be made by written notice, giving reasons for denial; opportunity for an appeal in writing or at a hearing should be offered, to be decided by a body other than the one that made the initial decision.6. Decisions on applications should be made by an objective body not composed exclusively of credentialed individuals who might stand to gain financially from a decision affecting competitors.


Affinity Programs(aka “Non-Dues Revenue”)

The association licenses its intangible property (e.g., name, logo, members lists) to the vendor company in return for receiving royalty payments.

Most Common Types of Affinity Programs:

• Group Insurance Coverage – particularly for specific industry or hard-to-insure

• Group Purchase Discounts for items such as office supplies• Credit Card Issuance – licensing of Association logo• Product Endorsement by Association of vendor product• Job Board managed by vendor


For association and its members: Offers members additional services with little

investment of association money or staff resources Reinforces loyalty between association and members Provides group discounted services Keeps dues lower

For vendor: Greater sales efficiency – captive market Enhanced credibility and recognition Increased customer loyalty

Advantages to Affinity Programs


Associations granting third parties permission to use their names and logos in connection with various programs and activities expose themselves to liability in product and tax issues. Legal concerns arise when such use is perceived as giving official advice or providing a formal endorsement of a product or service related to the field or industry the association represents.

Consider: The market power of your endorsement. It may be considered as anticompetitive. Tort liability. An endorsement may give the impression that the association is an expert

on the product being endorsed, exposing the association to negligence claims. The tax implications. Revenue generated may be considered UBIT. Product endorsements: the association's endorsement may be regarded as vouching for

the product's safety, efficacy, or propriety. Liability risk: potential for misuse of intellectual property.

Disadvantages of Endorsing Vendor Products & Services

:15


Professional Development Programs & Delivery

• Incorporate Adult Learning Styles – peer-learning, solution-focused

• Address Codes of Conduct, Conflicts of Interest, Self-Regulation, and Anti-Trust

• Professional Development Education cuts across multiple areas:• Meetings and Events• Certification and Accreditation• Communication and Publications

• Issues of Privacy and Confidentiality• Standardization

• Best Practices• Testing• Classification, Definitions• Design or Performance Standards- Interchangeability

• Statistical Reporting – salary/cost surveys


Advocacy

Lobbying – State & Federal• Building

relationships with legislators and staff

• Knowing and presenting the issues

• Being succinct and clear while remaining flexible

• Knowledge of lobbying laws at state and federal levels.

• Behind the scenes and in front of the pack

Grassroots Advocacy• Inform• Educate• Make it easy to act• Who knows whom?• Not just in crisis but

continually• Behind the scenes

and in front of the pack

Union negotiation & representation

Members will come together when there is a mutual crisis to address.


Potential Anti-Trust Issues in Programs, Services & Products

Codes of Ethics:Codes request or require members to adhere to minimum standards of practices and policies. Codes must: • Not address issues or decisions that relate to competition, pricing, or market

relationships. • Have procedural safeguards designed to ensure that no disciplinary action is

taken without affording the affected party the right to due process. • Identify penalties in the Code of Ethics. • Allow for expulsion only for the most severe ethical violations.

Statistical Reporting:To avoid anti-trust violations in statistical reporting programs:• Survey instruments must be in written form and prepared by an

independent contractor.• Participation must be voluntary and open to all industry members.• Information should be based on data at least three months old when

published.• All data should be presented in aggregate form and only in categories where

there are more than five responses.


Best Practices

The goal of a best practices study in sharing information is to raise performance and otherwise increase progress and innovation.

Awards programs are often designed to reward best practices.

Best practices research - a statistical study that identifies key

practices or conditions that make the difference between average

performance and high impact performance within an industry, profession, or field of business.

Steps in best practices research: Gather performance data Identify high performers Identify practices used by the high

performers that set them apart from average performers.

Published Study could allow practitioners to compare their own performances with the benchmarked performances to determine their own status.

Provides comprehensive education program that teaches the best practices identified.


Evaluate,

Evaluate,

Evaluate,Evaluate

Research, Plan, Implement, and…


Questions?

:30


Penney De Pas, MA, CAESenior Account Executive

FirstPoint Management Resources, Inc.

(919) 787-5181, ext. [email protected]

mailto:[email protected]

aenc association 101 programs, products and services - domain 8

Documents

group association

association meeting

meeting dates

meeting event planning

contract of performance

products servicespenney

space meetings

meetings eventslarge