Accomplishing Results

I have enjoyed my many years in leadership and in sharing information.  From managing large apartment community portfolios to leading a team at a four diamond resort one thing is constant...the importance of effective leadership.  To the thousands who read my blog and the hundreds that have worked with me over the years, you also know how much I cherish sharing information with the intent of assisting others to exceed and excel. 

Management is accomplishing results and meeting objectives through other peoples actions.  Leadership is allowing others to have the ability and empowering them to accomplish these results.  It means not only leading by example but more importantly leading so others want to follow, hence the true definition of leadership.  The basic philosophy shows the transition from management to leadership has some distinct characteristics.  In a management position your direction and interaction with those that work with you is more "hands on" by a relation of 70% to 30%.  As you transition to leader you will find this reverses if you hire the right people and lead through empowerment.  This comes with training, allowing people to make mistakes, support and review of decisions, and effective communication.  You have heard me talk in both my leadership book and my best seller in property management how the PDSA system is an effective tool in leadership and in making decisions.  What is PDSA you ask?  It basically means formulating a PLAN, Do what you planned, STUDY the results and efficacy in reaching the goal or objective, and ACT to make adjustments to stay on task and in reaching the intended goal.  Lee Iacocca once was asked how he was able to turn the Chrysler Corporation around and out of bankruptcy and what led to his success.  He responded by saying, "I did not do it!  We did it!  I simply identified the successful people that could get the job done and empowered them to do it!" 

As an example in property management we emphasize management of our communities...without guiding others as leaders and wonder why we do not have more true leaders in the ranks.  We give you the responsibility for a multi-million dollar investment without showing you how empowerment all the way down the line of positions makes everyone more accountable.  You basically act as chief financial officer, facility manager, public relations director, customer service manager, marketing and development manager, and occasionally therapist and dog catcher.  We teach you and support training for you to address all these areas, and unfortunately forget to teach you to be mayor or a true leader of your community and team.  Managers will often say, "If I want it done right, I will do it myself."  Leaders say, "If I want it done right I will find and train the right person.  

There are several truths of ineffective leaders or those that do not incorporate leadership and empowerment into their leadership style.  

• We cannot do it all ourselves and if you try, you will burn yourself out.
• We avoid allowing others the sense of accomplishment because we do not understand the true benefits of empowerment.
• We eliminate the potential for a motivational environment.  People want to feel they are a part of something and can hold their heads high when there is a successful endeavor.
• We don't always have the best answer or know the best way of doing something.  By not realizing this it narrows how a task can be completed and does not allow for a motivational environment. 

Leadership is not how successful your operation is when you are there.  Successful leadership is empowering others so that goals are met even if you are a thousand miles away.  I will repeat the poem in my book which hundreds have said inspired them and for which I truly believe

I saw them tearing a building down, a gang of men in my hometown.
With a heave and a ho and a yes, yes yell, they swung at a beam and a sidewall fell
I asked the foreman if these men were skilled, the same needed if you had to build
He said oh no indeed, the most common laborer is all I need 
For you see I can tear down in a day or two, what it took others years to do
Now I asked myself as I walked away, which of these roles am I willing to play
Am I one who is tearing down, as I carelessly make my way around.
Or am I one who builds with care, so my team and those around me are better because I had been there.

Now go lead.

Making the Move-In an experience...not an event.

I have been asked throughout my career when do we start the renewal process.  Unfortunately most site teams do not understand renewal is not an event, it is a process and starts with the first time you meet a new resident/guest.  Like the renewal process we should not look at move-ins as an event but more as an experience and a part of the renewal process.  

Having worked for Walt Disney for over six years it is clear we need to make interactions with our residents "experiences" not events.  To have the pleasure of working with an organization that is known throughout the world for creating magic and guest satisfaction has been extremely rewarding, even though I am really looking forward to getting back into property management.  The experience and tools given to me I know have given me a new insight into resident/guest satisfaction and delivering services that exceed and excel.  

Imagine this, your new resident is moving in today and we all know this can be a very stressful transition for them.  What can you do to make it a memorable experience?  They may have traveled, dealt with packing and handling a moving truck, worried about change of address and utilities, and there is always the "renters remorse" in wondering if they have made the right choice at your community.  

1.  You provided them with a move-in package with their signing the application which provides a step-by-step process in making preparations for their move.  This includes utility numbers and web site contact information (link to new customer page), moving truck rental locations, local storage facilities, pizza establishments for those move-in day munchie needs, change of address cards from the post office and where the local post office and UPS stores are located, local contacts for companies that provide labor for unloading, a short welcome letter including what they can expect on moving day at your community when they arrive (any last minute things that need to be processed including inviting them to sign their lease in advance), a property map showing their new home location and where to is the best place to park their truck for unloading, after hours number for maintenance, close home improvement store address, and even a checklist for all the things they need to do in leaving their current location and getting ready for their new home.  It takes a little preparation, but packets can be made up in advance on those rainy slow days so you are always ready to provide one to a new resident.

2.  You make several calls and/or emails prior to move-in checking to see if we can be of further assistance or if they need any additional information.  With each contact you thank them for choosing your community, remembering they do have choices.

3.  Your team has checked and double checked the their new home to insure EVERYTHING is the best it can be.  You do this at least two days out from the arrival experience, giving enough time to insure any corrections can be made.  You then inspect the day of move-in to insure some critter has not crawled up the drain, found its way through a door sweep, and expired somewhere for your resident to fine them as a move-in surprise.  This is where an apartment move-in checklist comes in handy to insure everything from the maintenance and operation to the A/C filter and general conditions are perfect.

4.  You have placed a "Welcome Home" amenity package in their home with a personalized tent card with ALL the new residents listed (including children and pets).  This could include for very little cost a couple of carnations and some babies breath in a small vase on the kitchen counter, several bottles of water in the refrigerator, coupons for local food establishments, a welcome home banner across the refrigerator, a small jar of touch up paint, a copy of the inspection checklist to show what all has been inspected, coloring pages and crayons for the kids (gives them something to do while mom and dad are moving), and maybe even a coupon for Red Box.  

5.  You walk the resident to the apartment after they receive the keys, completing the checklist and walking the apartment with them.  You provide information regarding which outlets are controlled by which switches (I like putting a small sticky dot you can get from an office supply store on the outlet or having maintenance turn that outlet upside down so it is easy to distinguish), what your garbage disposal can and cannot take (often missed), where fire extinguishers are located, etc. You ask them if there is anything else we can do to assist, shaking their hands (including children), and thanking them for choosing your community. 

6.  You make a follow-up call the day after move-in, just to check in on them to insure everything went well and everything is OK.  You do the same one week after, following up on the process and their experience.  

We have so many opportunities to make this a great experience, and also so many opportunities for failure or not meeting expectations.  My question is, what can you do to not just meet their expectations, but to exceed them?  Make it a celebration, and experience, and most of all the best move-in they will or have ever had. 

Are you prepared?

Winter is over (at least for most of us), and warmer weather is on the way.  We can put away our snow shovels and ice melt at the sites, and for many better conditions are on the way.  No matter where you live, property managers must always be ready for the inevitable. Ice and snow storms may be over, however, now we face springs storms, tornado's, hurricanes, and of course those disasters that can strike no matter what time of the year it is. 


Property managers can never avoid risks.  What we can do as responsible property managers is minimize and be prepared for them.  Whether fire, flood, hurricane, tornado, winter storm, or other event, being prepared and knowing what to do in case we are faced with disaster is critical to resident safety and protection of the asset.


In conducting an emergency preparedness seminar in Michigan for an apartment association I asked those that had a preparedness plan to raise their hands.  With a full room before me, no one could acknowledge having a plan in place.   I followed with the question as to how many had a emergency preparedness kit, knowing all too well what the answer was going to be.


The first step when developing an emergency response plan is to conduct a risk assessment to identify potential emergency scenarios. An understanding of what possibly could happen will enable you to determine resource requirements and to develop plans and procedures. Unfortunately the types of emergencies are probably greater than you think.  We know the obvious as mentioned above related to mother nature and those such as fire and flood.  Some emergencies can be related to geography, which will be identified with any full assessment.  These events can include hurricanes along the eastern coast and earthquakes in  our western states.  Those in New Jersey and New York have learned over the years that hurricanes are not limited to the southeast, and in fact more major storms have hit the northeast than in the south over the last couple of years.


Now for those emergencies that we may not think about but are events that can have an impact on life and property and in today's world seem to be increasing.  This includes an emergency situation where someone enters your office threatening to do harm or God forbid dangerous substances are found in one of your apartment homes.  Safety training of what to do when someone threatens to do bodily harm or is brandishing a weapon is part of the world we live in.  Most everyone has heard the term "flight or fight."  Safety professionals now have expanded it to "flight, hide, fight."  There are a few options you have, and something everyone on your team needs to know.  First, if possible lock the subject out.  This is followed by getting everyone in a secure location inside away from doors and windows and immediately calling 911.  If the subject cannot be locked out, "taking cover" as it is called is the next step.  Getting everyone into a room that can be locked or barricaded can save lives.  Third, if there is a secondary exit out of the building, take it and get away from the scene while calling 911.  Last but only to be used if there are no other options is the "fight" scenario.  Never place yourself or others in danger, however, it may be your only recourse.  This part of the emergency plan called “protective actions for life safety” and includes building evacuation, sheltering from severe weather such as tornadoes, “shelter-in-place” from an exterior airborne hazard such as a chemical release, and lock down. Lock down is protective action when faced with an act of violence. The other scenario is related to finding dangerous materials.  Let's say your service technician is investigating a water leak and in the course of the investigation finds suspected dangerous materials.  What should they do?  First course of action is to notify the authorities.  Second course is to leave the premises and get any residents out of the building for their safety and protection.  The advent of meth labs and terrorist activity have brought a whole new light into dangerous activity we face today.


A comprehensive emergency preparedness action plan addresses any and all threats and is critical to protecting life and assets.  The second component is having a disaster preparedness kit with essentials to protect your residents, your team, and the asset.  Hurricane Fran hit North Carolina in 1996 and made a beeline from Wilmington, North Carolina right up through Raleigh and later into Virginia.  Several of my communities had significant damage including one property that had trees uprooted or major limbs down on 117 trees.  We had limbs crushing cars, buildings, and even water lines broken because the roots severed lines.  One of my sites was without power for almost five days and the area looked like a war zone.  I can tell you because my team was prepared and knew how to professional and quickly deal with the situation, recovery went extremely smooth.  Having a plan and knowing what to do prevented panic by the team, reduced panic by our residents because they witnessed a professional acting team, and minimized damage to the assets because we had the equipment and tools to act accordingly.  


Are your sites ready to face a disaster or situation?  How will your team react to whatever threat they may face?  Do you have a plan in place?  Do you have a preparedness kit in place?  Basically are you and your teams prepared?

Who's number one?

I have written at length about the story of who is number one.  I am a believer and advocate of treating our employees as number one, and by doing so they will treat our residents and guests as number one.  There are two parts to the Number One equation, with the second part being equally as important.  That second part is simple; treat our residents as number one and they will be less likely to leave. 

Our industry has recovered nicely from the doldrums of the housing industry challenges beginning around 2008  and 2009 , lasting several years.  Rents are on the rise, property values are on the rise, and we are witnessing the re-birth of new development of apartments in many markets.  Several factors have been at play assisting in the multifamily rebound including the increase of foreclosures providing more of a demand for apartments, some recovery of the employment markets even though national wages have declined, and a decrease until the last couple of years in the construction and development  of new homes and sub-divisions.  The metrics continue to be positive with rent growth still above 4% (a decline from the 5% we saw up most of last year and until October 2015 where it dipped below 5% after strong first, second, and third quarters).  Occupancy has also been strong remaining  around 94-95% for since mid-2012. 

So everything is coming up roses, right?  Not so fast buckaroo, we all know our industry is cyclical as are financial markets overall, and we also have variables in our future that may turn that cycle around much faster than it took to recover.  Think of it, in 2016 we have a major election.  Markets have dropped and risen just on who is in the White House and who controls the houses of Congress.  Additionally, while we have had hundreds of thousands of homes under foreclosure purchased and flipped or in some cases turned into rental income homes, there are hundreds of thousands the banks are holding on to and if the housing market begins to signs of declination may create instability in both the financial and physical sides of the market.  We also work and live in an increasingly relevant world market.  Who would have thought twenty years ago China may have more of an influence on the stock and real estate market than what is going on within our own boundaries.  This is why we must never loose focus of what I consider will always be the two most important factors in successful management and leadership, being taking care of our teams and our residents. 

This is not rocket surgery or brain science...or is that the other way around.  It is going back to basics.  Motivational factors with our employees and teams want to know they are appreciated and acknowledged for good behavior and performance.  This is true even more true with generational studies, and a greater influence on the younger generations impacting the job trends  of today.  Training and education will continue to be a motivator, giving our employees hope there is a path up the corporate ladder.  Communication has influenced job satisfaction with enhancements in the ability to communicate in multiple mediums.  Skype instead of a phone call adds a personal aspect and visual cues to a meeting or project briefing.  Shared folders for easy access of updated data including resources and trends allow for open and transparent team review.  Last but not least, just showing we care.  Nothing, and I repeat, nothing says I care like showing you care.  

And finally our residents.  They are very similar in some our employee motivational factors, with the most important influence being on service and communication being a motivator to stay.  I years ago before it was a trend set up a requirement at my sites to call back every service request thanking them for allowing us to serve them and insuring resident satisfaction.  At first when my idea was presented they said  things like they won't have time for this, saying our residents really didn't care, and this will only create more work.  After providing the "why" behind the program and the "reward," they became more favorable.  What the clincher was when they actually heard guests saying no other community the lived at did this and thought it was a nice touch followed by improved resident retention, they were not only believers but followers.  At the time some companies were doing a percentage of call backs, while most were not doing any at all.  How much effort, energy, and finances does it take to keep a resident versus finding a new one?  I am guessing if I surveyed most management companies and communities we would find a handful that call or email every resident as a follow up to service.  Think of how this would look in a marketing campaign?  Our residents want to feel wanted and appreciated.  They want to feel they are part of the community.  They want to know they are heard and not just a number in building 200. 

The lesson here is two fold.  Do not get complacent in where we or your community is in the market, and second never under estimate the power of our people and our residents.  The more things change, the more they stay the same.  We have all heard this quote and when it comes to our industry we may witness significant changes with our technology, profile, and resources, but the true constant we often forget is simple...people.