chamber executives of ontario high performance chambers executives making a difference

Chamber Executives of Chamber Executives of OntarioOntario

High Performance ChambersHigh Performance Chambers

Executives Making a Executives Making a DifferenceDifference

[email protected]@amces.com

Session AgendaSession Agenda

Governance and Volunteer Governance and Volunteer ManagementManagement

Strategic Management, Performance Strategic Management, Performance Measures and PolicyMeasures and Policy

Current Issues and ChallengesCurrent Issues and Challenges Understanding Members Understanding Members Generating Non-dues RevenuesGenerating Non-dues Revenues Program Development and Program Development and

ManagementManagement Competencies and PerformanceCompetencies and Performance


Key Characteristics of High Key Characteristics of High Performance AssociationsPerformance Associations

Vision and mission are shared and owned Vision and mission are shared and owned by all stakeholdersby all stakeholders

Strategy is performance-based, clear and Strategy is performance-based, clear and mapped to ensure individuals and mapped to ensure individuals and members of teams turn vision and members of teams turn vision and mission into action and resultsmission into action and results

Goals are challenging and make a Goals are challenging and make a difference to the way in which work is difference to the way in which work is completedcompleted

Teamwork is effective and empoweredTeamwork is effective and empowered


More Key CharacteristicsMore Key Characteristics

Better business practices are used to Better business practices are used to secure efficient organizational practices secure efficient organizational practices which are driven by focusing on: which are driven by focusing on: – Member and employee satisfactionMember and employee satisfaction– Fiscal and operational accountabilityFiscal and operational accountability– Quality and KnowledgeQuality and Knowledge

Strong emphasis on performance Strong emphasis on performance measurement using key performance measurement using key performance indicatorsindicators


Key FactorsKey Factors

Leadership and Supportive GovernanceLeadership and Supportive Governance Continuous ImprovementContinuous Improvement Strategic ManagementStrategic Management


Governance and Volunteer Governance and Volunteer ManagementManagement What are your biggest challenges in this What are your biggest challenges in this

area?area?


Clarifying RolesClarifying Roles

Strategic DirectionStrategic Direction Board determines and CSO Board determines and CSO

recommends/advises/implementsrecommends/advises/implements

OperationsOperations Board advise/monitor and CSO conductsBoard advise/monitor and CSO conducts

InformationInformation Board requests and CSO Board requests and CSO

develops/analyzes/providesdevelops/analyzes/provides

EvaluationEvaluation Board conducts for policy, goals, and CSO and Board conducts for policy, goals, and CSO and

CSO supports and participatesCSO supports and participates


Principles of PartnershipPrinciples of Partnership

We must have open and honest We must have open and honest communicationcommunication

We must operate in an atmosphere of We must operate in an atmosphere of mutual confidence and respectmutual confidence and respect

We must identify and agree on the We must identify and agree on the mission of the organizationmission of the organization

We must identify our responsibilitiesWe must identify our responsibilities


Challenges and SolutionsChallenges and Solutions

Roles and responsibilities and board Roles and responsibilities and board and staff relations 33-87and staff relations 33-87

Recruitment and volunteer management Recruitment and volunteer management 16-69 and 17-69 & 7016-69 and 17-69 & 70

Competency gap 30-84Competency gap 30-84 Orientation and training 20-73Orientation and training 20-73 Due Diligence 28-91Due Diligence 28-91 Evaluation 50-118Evaluation 50-118 Meetings - 114Meetings - 114


Trends and IssuesTrends and Issues

Focus – better governance, knowledge Focus – better governance, knowledge based decision making and process, the based decision making and process, the shifting agenda and communicationsshifting agenda and communications

RepresentationRepresentation Board Recruitment and SelectionBoard Recruitment and Selection Roles and ResponsibilitiesRoles and Responsibilities Statement of understanding for CSO Statement of understanding for CSO

authority and expectations and the Board authority and expectations and the Board and directorsand directors

HatsHats Meetings (technology…)Meetings (technology…)


Trends and IssuesTrends and Issues

Board member performance evaluationBoard member performance evaluation Limitation awarenessLimitation awareness CSO evaluationCSO evaluation Volunteer ManagementVolunteer Management Signals of distress and measuresSignals of distress and measures Organizational structures - task forces …Organizational structures - task forces … Liability and confidentialityLiability and confidentiality Education/Due diligence Education/Due diligence Orientation Orientation


Board Check UpBoard Check Up

What is our Vision and Mission What is our Vision and Mission Statement?Statement?

What are the top three current strategies What are the top three current strategies being addressed?being addressed?

What are the top three issues, What are the top three issues, opportunities or challenges that need to opportunities or challenges that need to be addressed?be addressed?


Strategic ManagementStrategic Management

Strategic Planning and Strategic ManagementStrategic Planning and Strategic ManagementHow do you rate with strategic management? - 98How do you rate with strategic management? - 98

Strategy FormulationStrategy Formulation– What is our business and what business do we What is our business and what business do we

want to be in?want to be in?– What could we do and what are we able to do?What could we do and what are we able to do?

Strategy ImplementationStrategy Implementation– Where the rubber hits the road!Where the rubber hits the road!

Strategy EvaluationStrategy Evaluation– Measure and evaluate performanceMeasure and evaluate performance


Planning TermsPlanning Terms

Vision – what do we want to becomeVision – what do we want to become Mission – what is our business?Mission – what is our business? Critical Success Factors – those elements Critical Success Factors – those elements

that must go right for the organization to that must go right for the organization to succeedsucceed

Goals – includes CSFs Goals – includes CSFs Strategies – broad directional intentStrategies – broad directional intent Key Performance Indicators – Key Performance Indicators –

measurement tools measurement tools


Why Strategic Management?Why Strategic Management?

Innovative and creative activity Innovative and creative activity encouragedencouraged

The change process is made easierThe change process is made easier It helps align individual effort with the It helps align individual effort with the

association and improves communicationassociation and improves communication A greater understanding, commitment, A greater understanding, commitment,

and a cooperative approach toward and a cooperative approach toward problems and opportunities are generatedproblems and opportunities are generated

Decision makers are better informed; Decision makers are better informed; better decisions; and effective use of better decisions; and effective use of resourcesresources


Internal Audit

Establish Vision, Mission, & Values

Establish Goals & Critical Success Factors

Generate & Select Strategies & Performance Measures

Establish Policies, Action & Budgets

Allocate Resources & Do It!

Measure and Evaluate Performance

External Audit

Strategy Formulation

Strategy Implementation

Strategy Evaluation

Feedback


Strategy FormulationStrategy Formulation

Develop a vision and mission statementDevelop a vision and mission statement Understand the values to be appliedUnderstand the values to be applied Identifying external opportunities and Identifying external opportunities and

threatsthreats Determine internal strengths and Determine internal strengths and

weaknessweakness Understand success factors and set goalsUnderstand success factors and set goals Generate and choose strategies to Generate and choose strategies to

pursue and set indicators of pursue and set indicators of measurementmeasurement


Strategy ImplementationStrategy Implementation

Establish annual action plans indicating Establish annual action plans indicating who, when, what, how much and how who, when, what, how much and how they will be measuredthey will be measured

Provide policy support for the selected Provide policy support for the selected strategies and related tacticsstrategies and related tactics

Select the appropriate organizational Select the appropriate organizational structure and motivate volunteers and structure and motivate volunteers and employeesemployees

Allocate resources to execute the Allocate resources to execute the formulated strategiesformulated strategies

Alter practices and behaviorAlter practices and behavior


Strategy EvaluationStrategy Evaluation

Assess how well strategies are doing - Assess how well strategies are doing - 111111

Measures performance to key indicatorsMeasures performance to key indicators Identify areas where corrective action is Identify areas where corrective action is

necessarynecessary Assess impact of change subsequent to Assess impact of change subsequent to

initial strategy formulationinitial strategy formulation Decide about abandonment, adjustment Decide about abandonment, adjustment

or development of new strategiesor development of new strategies


TOWS MATRIXTOWS MATRIXStrengthsStrengths WeaknessesWeaknesses

1.1. 1.1.

2.2. 2.2.

3.3. 3.3.

OpportunitiOpportunitieses

SO SO StrategiesStrategies

WO WO StrategiesStrategies

1.1. 1.1. 1.1.

2.2. 2.2. 2.2.

3.3. 3.3. 3.3.

ThreatsThreats ST ST StrategiesStrategies

WT WT StrategiesStrategies

1.1. 1.1. 1.1.

2.2. 2.2. 2.2.

3.3. 3.3. 3.3.


Performance MeasuresPerformance Measures

New frameworks and accountabilityNew frameworks and accountability Activity plans - 112Activity plans - 112 Examples:Examples:

– Percentage of non-dues incomePercentage of non-dues income– Percentage of accumulated surplus to Percentage of accumulated surplus to

operating expenditureoperating expenditure– Volunteer hoursVolunteer hours– ParticipationParticipation– Advocacy submissionsAdvocacy submissions


PolicyPolicy

Link to plansLink to plans Role in policy developmentRole in policy development Developing policy - 78Developing policy - 78 Reviewing policy – 79Reviewing policy – 79 Policy manualPolicy manual


Current Issues and ChallengesCurrent Issues and Challenges

Identify trends and related issuesIdentify trends and related issues Challenges and opportunitiesChallenges and opportunities Possible solutionsPossible solutions


Understanding MembersUnderstanding Members Why belong – 75Why belong – 75 The value proposition – Yours?The value proposition – Yours? Factors to consider: Membership Factors to consider: Membership

Strategy and Policy; Membership Strategy and Policy; Membership Management; Dues and Pricing; Management; Dues and Pricing; Products and Services; Recruitment and Products and Services; Recruitment and Retention; Membership Satisfaction and Retention; Membership Satisfaction and Sense of BelongingSense of Belonging

Member typesMember types Survey policiesSurvey policies


Service DevelopmentService Development

Understanding membersUnderstanding members Criteria - 92Criteria - 92 Dumping - 93Dumping - 93


Generating Non-dues RevenuesGenerating Non-dues Revenues

What is non-dues Revenue and why is it What is non-dues Revenue and why is it growing?growing?

Deadly dues increasesDeadly dues increases User pay policyUser pay policy Internal and external generation Internal and external generation

opportunitiesopportunities The most successful non-dues Revenue The most successful non-dues Revenue

programs provide real member benefits programs provide real member benefits and are valued.and are valued.


Questions to ask about a non-Questions to ask about a non-dues dues revenue programrevenue program

Is there a market demand for the product or Is there a market demand for the product or service? Do members really need this? What service? Do members really need this? What segment of your membership will buy it ?segment of your membership will buy it ?

Is there sufficient market potential to Is there sufficient market potential to support this program over the long term?support this program over the long term?

Does it support our mission/current Does it support our mission/current strategies and consistent with our culture? strategies and consistent with our culture?

Is the association capable of meeting the Is the association capable of meeting the demand for the product or service in a way demand for the product or service in a way that does not distract from its real purpose? that does not distract from its real purpose?


Questions to askQuestions to ask

Internal or external generation?Internal or external generation? Is this a company we want as a partner? Is this a company we want as a partner?

Are members or stakeholders likely to see Are members or stakeholders likely to see the supplier as being credible and able to the supplier as being credible and able to provide the service?provide the service?

Does the association have, or can it Does the association have, or can it acquire, the capacity and competencies it acquire, the capacity and competencies it will need to be an effective partner?will need to be an effective partner?

Does the affinity program offer a real Does the affinity program offer a real competititive advantage? Is the offer competititive advantage? Is the offer competititive in both price and quality?competititive in both price and quality?


Questions to AskQuestions to Ask

Know the competition and benchmark Know the competition and benchmark with otherswith others

Remember that nothing is fixed, despite Remember that nothing is fixed, despite what the sales representative tells youwhat the sales representative tells you

Ask for references, and check themAsk for references, and check them Review contracts carefullyReview contracts carefully Can we maintain the control needed?Can we maintain the control needed?


Non-business aspectsNon-business aspects

Do members and stakeholders really want Do members and stakeholders really want the association running affinity programs the association running affinity programs in general? Do they see this as an in general? Do they see this as an appropriate role for their association?appropriate role for their association?

If there is support for affinity programs in If there is support for affinity programs in general, does it extend to the particular general, does it extend to the particular program under consideration?program under consideration?

In what ways might a particular program In what ways might a particular program enhance or harm in non-monetary ways enhance or harm in non-monetary ways the effectiveness of the association? What the effectiveness of the association? What are the non-monetary risks?are the non-monetary risks?

What are the ethical considerations?What are the ethical considerations?


Some Internal Generation Some Internal Generation sourcessources

Publications, information and statisticsPublications, information and statistics Sales of advertising spaceSales of advertising space Educational programsEducational programs CredentialingCredentialing Convention and trade showsConvention and trade shows SponsorshipsSponsorships Advisory servicesAdvisory services Standards programsStandards programs


More InternalMore Internal

Insurance Insurance TravelTravel Group purchasing (shared services)Group purchasing (shared services) Publications )statitistics, directories, lists, Publications )statitistics, directories, lists,

how-to manualshow-to manuals Buyers guidesBuyers guides Legal forms Legal forms AdvertisingAdvertising Magazines, subscriptions, advertising, Magazines, subscriptions, advertising,

reprints, bound volumesreprints, bound volumes


More InternalMore Internal

Resource centre serviceResource centre service Knowledge managementKnowledge management Specialty sense of belonging itemsSpecialty sense of belonging items PrintingPrinting Many educational activitiesMany educational activities Rental revenueRental revenue Computer servicesComputer services Consulting servicesConsulting services Joint venturesJoint ventures Employee referral/careerEmployee referral/career


External Generation (Affinity)External Generation (Affinity)

Often called affinity programs, because Often called affinity programs, because members get discounts based on their members get discounts based on their affinity with the associationaffinity with the association

Financial programs (cards)Financial programs (cards) InsuranceInsurance DiscountsDiscounts Fund raisingFund raising Pricing issuesPricing issues


Affinity Programs Affinity Programs

Mutually beneficialMutually beneficial Growing activityGrowing activity Association helps market in return for a Association helps market in return for a

percentage of salespercentage of sales Corporation gets a bigger sales force, Corporation gets a bigger sales force,

image and awareness and more businessimage and awareness and more business Association gets increased and diversified Association gets increased and diversified

revenuerevenue


Non Dues Revenue TrendNon Dues Revenue Trend

In 1992 dues were 54 % for Trade, 58%, In 1992 dues were 54 % for Trade, 58%, for Professional, 17% for Charities and for Professional, 17% for Charities and 50% for Special Interests50% for Special Interests

In 1996 dues were 52% for Trade, 61% In 1996 dues were 52% for Trade, 61% for Professional, 3% for Charities, 13% for for Professional, 3% for Charities, 13% for Special InterestsSpecial Interests

In 2003 dues for associations overall were In 2003 dues for associations overall were 34.3 % of revenue34.3 % of revenue


Other ConsiderationsOther Considerations

Making the Business CaseMaking the Business Case Selection and Start-upSelection and Start-up Exclusive or small number of preferred Exclusive or small number of preferred

providersproviders Maintenance and AdministrationMaintenance and Administration ExpansionExpansion AbandonmentAbandonment


In conclusionIn conclusion

Non-dues programs are most effective Non-dues programs are most effective when:when:

They are based on a strategy of fulfilling They are based on a strategy of fulfilling the highest priority needs of the membersthe highest priority needs of the members

Products and services are specific to the Products and services are specific to the needs of the members. The association is needs of the members. The association is the only way a member can get the the only way a member can get the products or servicesproducts or services

Get what members want to buy, not what Get what members want to buy, not what someone wants to sell or a half baked ideasomeone wants to sell or a half baked idea


Program Development and Program Development and ManagementManagement ExerciseExercise Diversity in thinkingDiversity in thinking Common processesCommon processes


Competencies and Competencies and PerformancePerformance Competencies - 56Competencies - 56 Finding the gapFinding the gap Evaluation policy - 64Evaluation policy - 64 Performance evaluations - 65Performance evaluations - 65

chamber executives of ontario high performance chambers executives making a difference

Documents

performance slide

performance measurement

performance measures

performance competencies

policy strategic management

difference slide

management competencies

empowered slide