Knowledge-Based Decision-Making for Association Events
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As associations fine tune their purpose and develop
tools and practices to move closer to becoming high performance
organizations, they encounter the need to enhance knowledge management
activities. Why the focus on knowledge management? Organizations
want to reduce risk and increase their chances for success. This
means improving their decision-making capacity. To reduce risk
in decision-making, decision makers require credible knowledge
specific to the decisions they need to make. This approach is
called knowledge-based decision-making.
An example: An association was interested in establishing online
courses for their members. They visited websites and found that
most similar associations were offering online courses. They then
crunched numbers in terms of the required investment and found
they could afford to set up online courses. This information was
used to support decision-making on whether or not to proceed.
The association did proceed, basing this decision only on limited
information and knowledge. The focus was on one-time rather than
ongoing activity, and performance indicators measuring success
were lacking.
A business case feasibility review would have dug deeper for
more information. It would have converted some of the data and
information to actionable knowledge. It may have revealed that
some of the similar associations were experiencing problems with
enrolments, withdrawals, static material and updating, technology
and staff capacity. They may also have benefited from learning
that expensive customized learning platforms are not always user-friendly
or fully utilized.
For many associations, the second largest revenue generator after
membership dues is fees from events. Associations are involved
in events on a regular basis – at minimum, most have an
Annual General Meeting and Conference. Some larger associations
have 10 to 20 annual events occurring at multiple locations. The
events serve primarily as networking, learning and decision forums.
The number of potential risks involved in holding events seems
to be increasing. This suggests that having critical information
to help with decision-making for this important revenue generator
is a must. It is too risky to plan and do what was done last year.
It is necessary to become strategic and flexible and understand
potential financial impacts. Making assumptions to support decisions
where actionable knowledge can be obtained and used is pure folly.
Politics
In the not-for-profit environment, whether or not to hold an
event and where to hold it often becomes politicised rather than
made on good business sense. Boards involved in location decisions
must understand the full financial impact of those decisions.
For example, a Board wanting to go to a location because they
have never been there before or have heard there is a great golf
course at that location, must be aware of the potential cost to
the association, trade show exhibitors and members. Some national
trade show events, for example, experience reduced revenues when
they move away from three or four key cities in Canada. Perhaps
if a Board knew the location would result in a $40,000 reduction
in revenue, $20,000 increase in costs for the association and
an extra $400 for each member to attend, it may consider the decision
more thoroughly.
While it is not always possible to take politics out of decision-making,
it is important to understand the cost of decisions. It is also
important to know the real cost of an event, and how much is subsidized
by member dues, or how much of the event surplus is used to cover
other services.
Evaluation
Decision-making for events often relies on evaluations from members
who attended the previous event. Perhaps it is time to ask:
- Who fills out evaluation forms?
- Are the evaluations from people who are dedicated and come
out for the same event each time?
- Are respondents quickly filling in a form for the participation
prize available to only those who complete an evaluation?
- What do those who don't fill out the form really think?
- How can we determine the views of those who didn't fill out
a form? Perhaps spot checking and approaching those who don't
leave an evaluation form would gain some insight.
Having an evaluation form for your events is sound practice
but it should not be the only source of information relied upon
for future event decisions. Why? Many questions on the evaluation
form are historical in nature. Yes, the food was good. Or, you
may find the speaker had great content but was not dynamic.
This type of information will have little impact on your decisions
for future events. Much more valuable would be the identification
of the five key issues your members will be dealing with in the
next year. Asking questions about the member's environment and
issues will provide greater insight and identify areas to explore
further in terms of meeting member needs and planning an event.
Event evaluation forms should move from a past focus to more of
a future focus, and should identify the various segments who are
participating.
In one association I am aware of, the Executive Director does
not collect historical information. The association's evaluations
focus strictly on future needs. If an association event has an
outstanding speaker or a poor speaker, the Board and staff will
know about it by the end of the day.
An excellent way of getting future information is to use a chart
that requires a check mark for areas in need of future attention
based on competencies, issues or other learning priorities.
Research
Event decision-making can be enhanced by seeking information
from those who rarely attend but should be attending – those
whose demographics are similar to those who are attending your
function/s. Show them a draft of an upcoming event program and
ask them the following questions:
- Is the program compelling enough for you to attend?
- If not, what would we need to change in the program to earn
your support and attendance?
- What can the association do to help you be more successful?
Research may identify segments that want more specific rather
than general information, or indicate that the program you are
offering is being offered too late. In hindsight, spending $1,000
to get better information that may prevent an event loss of $30,000
is a worthwhile investment.
Segments
Understanding the different types of member segments is as important
as learning their needs, approaches to learning, and capacities
to pay and participate. Perhaps the experts just want a room in
which to exchange information and plot to change the future environment
of the sector, whereas the newby (new person) wants an introduction
to the expert. The in-between group may be looking for best practices
or competitive intelligence. Segments of an association's market
usually vary by size, age, stage of career and other factors.
It can be difficult and perhaps not feasible to cater to all groups,
but selecting the important ones is necessary to ensure the event
meets identified needs.
Timing
Cycle times for decision-making have crunched and so has the
need to gather information on new tools, practices or environment
information that address trends and issues. The crunch in learning
to action time means that some events may be too late to address
an issue or the style or combination of events may need to be
integrated. Learning has to be "just-in-time".
Some events planned in 60 days get better attendance than those
planned six months in advance. Why? The program of the latter
was out of date - member needs have been met and they have gone
on to new issues.
It may be possible that an event in its current format and timing
is no longer required. Performance measures will determine the
action that occurs. If your performance measures are geared to
providing members with knowledge, and success is measured by the
percentage of access or participation or by having 75% or more
say we have done an above average job of meeting their needs,
then the focus will be on how best can we provide knowledge. What
are members' needs and what delivery mix is appropriate?
Technology
Enhancements in technology have increased the options for transferring
knowledge to members. It also supports improved decision-making,
as it is now easier to engage in scenario planning, model building,
measurement, and the use of surveys for research.
Benchmarking
Some students in the Association Management Program have completed
benchmarking projects for their events. Benchmarking projects
have helped them identify better practices in terms of mechanics
and great ideas are being shared. In reviewing the projects, it
is evident there is greater focus on improvements to implementation
and delivery - little time is spent on development and strategy
for overall member knowledge transfer. This will change by the
time they complete the program.
Some associations may be polishing an event that should instead
be changed, eliminated or blended into a series of integrated
activities.
Next Year
The opportunity and the challenge is for associations to shift
from a political and intuitive model of decision-making to a knowledge-based
approach for events and other operational activities. This approach
will help associations remain relevant, meet member needs and
make the best use of their resources. Regardless of who makes
event decisions, the focus must be on the quality of the information
upon which the decision is based and by how performance is measured.
This common sense approach will ultimately reduce your risk.
This column features innovation and practical solutions applied
to challenges, trends, issues, and opportunities for the association
community. Column editor Jim Pealow, MBA, CMA, CAE is a consultant
and the Association Management Education Program Lead Instructor/Coach
for CSAE. He can be reached at jim@amces.com.
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