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Should it stay or should it go? Assessing essentials.
 Copyright Greater Washington Society of Association Executives, 2003 Reprinted by Permission

Author
Steven M. Worth

Publication
Association Trends

Publication Date
August 5, 2003




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Of course, it is easier to manage a business during economic boom times. In times of recession and slow growth, every problem is exacerbated. Business managers who solve problems in tough times not only prove their mettle, but also build stronger organizations.

The most common mistake managers make when they realize their operation is under siege is to assume a death grip on the controls. The instinct here is that if more attention is given to everyday operationals, then everything will turn out all right over time.

Most executives would find it difficult to dispute that attention to quality is a good thing. However, a determined fixation on improving 'the usual' could cause you to overlook the possibility that a particular activity should just be eliminated. Stressful economic times create the need to do more with fewer resources. Managers should step back to assess which activities and services are essential.

One of the curious facts about our current economic times is that even though unemployment continues to rise, the economy's rate of productivity has risen faster, thus ensuring continued economic growth. As association members are learning to do more with less, it is inevitable that they will expect their associations to do so as well.

Here is a checklist of 4 questions that efficient managers use to lower overhead and increase productivity:

  1. Which services are core to your association's mission and which can or should be outsourced to specialty providers at less cost? Do a top-to-bottom review of your strategic plans. Identify what is essential and what strategic or organizational changes may be needed to adapt to a changed environment. Most associatons are doing such reviews on an annual basis.
  2. Will the strategies your association is pursuing guarantee the best return for the least effort? Have you identified and maximized your use of volunteers and strategic partners? Do a cost-benefit analysis of all the other optional strategies that might be available.
  3. Do you have the right match of tactics and personnel? Do you have the right people in the right jobs? Are there more efficient ways to do these tasks? Conduct annual performance reviews of staffers and of the jobs they are being assigned to do. Make your people part of the problem-solving and reward them for helping to find more efficient ways to achieve strategic goals.
  4. Are there ways of using technology to produce greater efficiency ­ especially to replace people in repetitive tasks that technology can do more accurately and for less cost?

In undertaking these steps there are several guiding factors to keep in mind: Keep yourself fully and impartially aware of environmental changes affecting your association; keep your association's vision and mission foremost in mind; and remember to let no sacred cow prevent your association from accomplishing its mission in the most productive and efficient way.

Details: www.plexusconsulting.com.