On-demand available here: http://bit.ly/2muqKsI
Does your chapter dues process take too long? Cost too much money? And just to add a cherry on top, it’s a nightmare to manage? If you collect your dues or other payments at the local/chapter level, then this webinar is for you!
The Future Roadmap for the Composable Data Stack - Wes McKinney - Data Counci...
Streamline Dues Collection with Chapter Input
1. Get Your Dues
Process Under
Control
Small steps toward solving a
big chapter challenge
2. Kyle Bazzy
Director of Growth
Proud Detroiter
Billhighway
Technology that solves real
problems exclusively for
component-based
organizations
Founded in 1999
Why Are We Doing This?
3. Who collects the $$$?
Visibility into membership
Collecting data
Chapters filing taxes
Getting your money
1 2Chapters collect money
Rebating
Time consuming
Chapters don’t realize
immediate incentive for
growing membership
HQ collects money
5. Important Trend…
“A trend spotted back in the early 2000s has gained traction
again. Our study predicts that 2017 will be a breakout year for
innovation in the current chapter model. For example, associations
like the Regulatory Affairs Professionals Society, the American
Association of Diabetes Educators, and the Council of Residential
Specialists have adopted models that pare down the structure and
scope of chapter networks, streamlining administrative
responsibilities and enabling activities that meet the needs of
members and their mission.”
http://marinermanagement.com/resources/blog/2017-02-09/looking-ahead-what-associations-can-expect-chapters-2017
6.
7. Today, we’ll discuss…
1. Challenges presented by chapters collecting &
processing dues
2. Pains that are a result of chapter dues
3. End goals & solutions to relieve the pain
4. Small, actionable & affordable next steps you can
take to make life easier
5. Larger next steps you can plan for
8. Focus on what really matters –
delivering value to members…
Streamline and
standardize processes
Relieve administrative
burden of chapters
Focus on strengths and
value of National &
chapters relationship
Ultimate Dues Process Goal
12. Data Reconciliation
Pains
Member data coming from multiple sources
Ugh! And, from multiple payment processors/sources
Arggh! Payment data lacks member ID numbers
Boo! Enter chapter data manually into AMS
Challenges Impacting Your Time
13. Data Reconciliation
End Goal
Tie unique member ID
numbers to payments
Chapter portal tied to HQ AMS
Integrated payment processor
Challenges Impacting Your Time
Next Steps
1. Investigate the role of member IDs
2. Seamlessly update member records
tied into HQ AMS
3. Talk to your accounting team
4. Meet with other staff and chapter
reps to identify problems/solutions
14. Bank Reconciliation
Pains
Different types of payment files from different chapters
Oops! Makes deferred revenue especially tricky
Ehhh! Funds are transferred from chapters to National
on different dates and times
Challenges Impacting Your Time
15. Bank Reconciliation
End Goal
Standard payment processor
Synchronize funds transfer
dates
Challenges Impacting Your Time
Next Steps
1. Organize a National/chapter task
force to research standard payment
processor challenges
2. Talk to chapter staff about:
How does National get funds
from chapters?
Challenges they face (task
related, service related, etc.)
16. Reporting & Formatting
Pains
Assessing membership or finance trends,
and chapter performance is challenging
Yikes! Must hound chapter staff and
volunteers for member data & info
Whoops! Poor reporting slows
down the process of chapters sending
National their funds
Challenges Impacting Your Time
17. Reporting & Formatting
End Goal
Integrate accounting systems
with National
Provide a standard chapter
accounting process
Challenges Impacting Your Time
Next Steps
1. Survey chapters re: their systems
2. Talk to your finance/accounting teams
about their needs
3. Identify current process costs
4. Develop a business case for future
investment in a National-hosted system
18. Benefits
Develop a business case for future
investment in a National-hosted system
01 Quicker & more accurate reconciliations, better reporting
02 National staff have a level of access into local system
03 National provides technical support & training
04 National oversees data backups and system security
19. Case Study
Pains
Takes weeks to reconcile payments and
data each month because of deferred
revenue, reporting and manual data entry
Solutions
Data reconciliation
Bank reconciliation
Reporting
20. Sending Dues Owed to National
Pains
There’s a lack of visibility into membership data
Err! National has to wait on the funds
Ouch! National can receive less
than what they’re owed
Challenges Impacting Your Money
21. Sending Dues Owed to National
End Goal
Integrate payment & member
info into National AMS
Itemize chapter & National
payments through a
standardized payment
processor
Set up automatic deposits
Challenges Impacting Your Money
Next Steps
1. Ask chapters what is challenging about
sending money to National
2. Offer online training resources or
coaching appointments
22. Mismanagement of Funds
Reasons & Pains
Unintentional - Chapter’s lack of bookkeeping or financial experience
Intentional - Fraudulent activity
Woah! National & Chapter loss of revenue. Chapter loss of credibility
Oofta! Guilty and/or guilty by association
Challenges Impacting Your Money
Oh No! Chapter termination –members lose valuable benefits
23. Mismanagement of Funds
End Goal
Integrate chapter accounting
software with National
Provide a standardized
accounting system & payment
processor across chapters
Challenges Impacting Your Money
Next Steps
1. Provide training support to chapter staff
and volunteer leaders to alleviate…
Chapter leader turnover
Lack of bookkeeping/financial
experience
Lack of time
2. Create a National/chapter task force to
visit chapters or review their reporting
24. Avoidable Expenses
Reasons
One party pays more than
their share of processing fees
Chapters pay to process the
portion of dues they send to
National, or vice versa
Challenges Impacting Your Money
25. Avoidable Expenses
End Goal
Itemize payments through
standard payment processor
Advanced reporting
Challenges Impacting Your Budget
Next Steps
1. Identify current reporting capabilities
2. Involve accounting/finance to understand
reporting gaps & missing data
26. Case Study
Want
Receive their funds faster and
take the burden off chapters
Need
Additional oversight due to
lack of financial savviness of
chapter leaders/volunteers
Want
Standardized data processes
across the organization (dollars)
Need
Receive their funds faster
Reduce costs for individual
chapters (share fees)
28. National’s Resource Allocation &
Support of Chapters
Challenges Affecting Your Ability to Prepare for the Future
Pains
Lack of transparency with chapters & National
Oww! Can’t address chapter problems you don’t know about
Amen! With data transparency & sharing…National can assist at-risk
chapters and share best practices of successful chapters
29. National’s Resource Allocation &
Support of Chapters
End Goal
Standard reporting (a single
version of the truth)
Next Steps
1. Understand attributes of a successful
chapter vs. struggling chapters
2. Repair National/chapter relationships
3. Organize National/chapter task force
4. Begin measuring chapter performance
Challenges Affecting Your Ability to Prepare for the Future
30. Volunteers
Pains (related to dues)
Volunteer leaders are an endangered resource and
may not have financial or bookkeeping experience
Challenges Affecting Your Ability to Prepare for the Future
Rats! Chapter staff or volunteer leaders don’t have time
Ehh! Chapter leaders don’t know how to manage
incoming funds, allocate funds, and ensure National
gets their fair share
31. Volunteers
End Goal
Provide standard chapter
accounting system
Preferred vendor network
Provide enhanced training material
Next Steps
1. Create a chapter survey and/or
conversations
2. Identify what type of support and
training volunteers need
3. Research vendors to endorse
Challenges Affecting Your Ability to Prepare for the Future
32. Trends
Notice a trend in the Next Steps suggested?
01 Can’t push a solution down on chapters
02 You won’t get buy-in and cooperation without
chapter’s participation
33. Chapter representatives
need to be diverse:
Staff and volunteer leaders
Large & small memberships
Basic & advanced technology
users
Supporters & nay-sayers
Next Steps Trend
National staff:
Component relations
Accounting
Membership
IT
Who else?
34. Guiding principles for National/chapter discussions…
Agree upon common goals
Acknowledge value each partner brings to the relationship & members
Discuss the good, bad and the ugly
Understand the reasons for resistance to change
Listen and communicate frequently
Projects requiring technology investment need the
support of an executive sponsor at National.
Guiding Principles
35. Chapter Roundtable
Introducing the…
March 22nd
Alexandria, VA
Intelligent Office – Alexandria
2331 Mill Road, Suite 100
Alexandria, VA 22314
March 23rd
Washington, DC
Intelligent Office – Washington, DC
1775 Eye Street NW, Suite 1150
Washington, DC 20006
What does BH do?
Work with chapter-based associations to simplify the operations and financial complexities of having chapters.
We’re just going to jump right into the takeaways
(Get story from RJ about organization that eliminated dues at the chapter level because processing them was too much of an administrative nightmare. They decided to take a loss on revenue rather than do the work manually.)
Goal: Get the dues process in control so you and your chapters can focus on what really matters – delivering value to members.
Streamline and standardize processes
Relieve administrative burden of chapters – especially important for chapters run by volunteer leaders or tiny staffs
Guiding principle: National and chapters should each focus on the strengths and value they bring to the relationship.
Who has the resources and expertise to handle dues processing better?
Who has the resources and expertise to handle member data better?
Showing how dues are processed per MGI and Mariner Benchmark Reports. (showing screenshots and stats)
They both show the majority of associations collecting dues at the National level
Showing how dues are processed per MGI and Mariner Benchmark Reports. (showing screenshots and stats)
They both show the majority of associations collecting dues at the National level
The Pains of Data Reconciliation
Member data coming from multiple sources
Ugh! And, from multiple payment processors (events, dues, awards, etc.)
Arggh! Payment data lacks unique member ID numbers – you can’t easily match it to an existing member record.
Boo! Chapter data has to be entered manually into your AMS – taking more time and increasing the chances of error.
Data Reconciliation: Potential Solutions
-National assigns a unique member ID number that will accompany future dues payments.
-Chapter portal for AMS – reduce National’s data entry burden.
-Integrated payment processor so more information can be tied to a payment, making reconciliation easier.
Data reconciliation: Next Steps
1. Understand role of unique member ID numbers within your organization. How can those ID numbers be shared with and used by chapters?
2. Can you give chapters permission to update member records in your AMS via a chapter portal or other fix?
3. Talk to your accounting team.
4. One side can’t fix these problems alone. Most of these challenges will require that National and chapter reps meet to identify problems and discuss solutions together.
The Pains of Bank Reconciliation
Different payment files from different chapters.
Oops! Makes deferred revenue especially tricky
Ehhh! Funds are transferred from chapters to National on different dates and times.
(It’s easier to reconcile payments when there is a consistent cadence. They can plan for it, if they have funds coming in at different times each month it’s hard to manage and their cash flow isn’t consistent.)
Bank Reconciliation: Potential Solutions
-Get all chapters on a standard payment processor.
-Understand why chapters are transferring the funds to National when they do.
-Synchronize funds transfer dates.
Bank Reconciliation: Next Steps
Organize a National/chapter task force to research standard payment processor issue
Talk to chapter staff about their:
Fund transfer process
Challenges it presents to National
Impact of those challenges on National’s chapter service
The Pains of Reporting & Formatting
Can’t easily see which members have joined, paid, and renewed across chapters. How many members does the chapter really have? Is membership/retention trending down or up?
Yikes! Must hound chapter staff/volunteers for member data and information
Whoops! Poor reporting slows down the process of chapters sending National their funds (and sending the correct amount)
(E.g. if the chapter is supposed to send $20/member to National, but National doesn’t know how many members the chapter has, it can get messy…)
Reporting & Formatting: Potential Solutions
-Integrate accounting systems with National
-Provide a standard chapter accounting system. Must be user-friendly software considering annual turnover in volunteer leaders
Reporting & Formatting: Next Steps
Survey chapters to see what systems they’re currently using
Work with your finance/accounting team to understand what formats are most helpful/useful to them
Identify costs of present process:
Staff time
Revenue
Lost opportunities to deliver value and spend more time on strategic and value-laden tasks
Develop business case for future investment in National-hosted system
(will highlight the benefits of a business case on next slide)
Benefits to developing a business case for future investment in a National-hosted system:
Quicker and more accurate reconciliations, better reporting
National staff can go into local system –pull reports, review data, import/export data, set reminders
National provides technical support and training
National oversees data backups and system security
CASE STUDY
(Anonymous association <GBTA> pains - takes weeks to reconcile payments and data each month because of deferred revenue, reporting, and manual data entry. Looking to leverage data reconciliation, bank reconciliation and updated reporting to solve that problem.)
Pains Caused by Dues Transfer Process
There’s a lack of visibility into membership data.
Err! National has to wait on the funds. Chapters may not have they ability to easily view their membership, who has paid, who hasn’t, etc. Getting that information can take them awhile.
Ouch! (Lack of visibility into membership data) means National can receive less than what they’re owed. Zero visibility to membership, they’re relying on chapters word that the member roster is accurate. (estimated 90 members vs. actual 120)
Sending Dues Owed to National: Potential Solutions
-Integrate payment and member info into National AMS
-Itemize payments through payment facilitator– X goes to National, Y goes to chapter
-When possible set up automatic deposit to both entities
Sending Dues Owed to National: Next Steps
Determine what’s causing the problem at chapters. Talk to/poll them.
Lack of time?
Lack of knowledge?
Lack of motivation?
All of the above?
How can you help them understand how to accomplish these tasks more accurately and quickly?
Online training resources, coaching appointments
National/chapter task force to discuss problems, impact of those problems, and possible solutions.
Reasons for Mismanagement of Funds
Unintentional –Chapter’s lack of bookkeeping or financial experience
Intentional –Fraudulent activity
Pains Caused by Mismanagement of Funds
Woah! National and chapter loss of revenue. Chapter loss of credibility
Oofta! Heads will roll – guilty and/or guilty by association
Oh No! Chapter termination – members lose valuable benefits
Mismanagement of Funds: Potential Solutions
-Integrate chapter accounting software with National
-Provide a standardized accounting system and payment processor across chapters with approvals process
Mismanagement of Funds: Next Steps
Provide training support to chapter staff/volunteer leaders to alleviate problems cause by chapter leader turnover, lack of bookkeeping or financial experience, and lack of time
Not a one-time thing –chapter turnover, refresher courses
National/chapter task force to discuss problems, impact of those problems and possible solutions
Reasons for Avoidable Expenses
One party pays more than their share of processing fees
Chapters pay to process the portion of dues they send to National (or vice versa)
Avoidable Expenses: Solutions
-Itemize payments through standard payment processor so each party covers their own portion of the feeds –X goes to National, Y goes to chapter
Avoidable Expenses: Next Steps
National/chapter task force to discuss problems, impact those problems, and possible solutions
Anonymous association <American Advertising Federation> pains:
-Want to receive their funds faster and to take the burden off chapters.
-Need additional oversight due to lack of financial savviness of chapter leaders/volunteers.
Anonymous association <NAHB> pains:
-Want standardized data processes across the organization when it comes to the dollars.
-Want to receive their funds faster, while reducing the costs for individual chapters (want each level to pay for the processing of their share of the fees).
Resource Allocation & Support: Pains
Lack of transparency with chapters and National
Oww! You can’t address chapter problems you don’t know about.
Amen! On the other hand…with data transparency and sharing, National can assist at-risk chapters and share best practices of successful chapters.
Resource Allocation & Support: Solutions
-Standardize reporting aka “a single version of the truth”
Resource Allocation & Support: Next Steps
Understand the attributes of a successful chapter vs. a struggling chapters
Repair National/chapter relationships –partners, not rivals
Commit to common goals
Build trust
Acknowledge value each partner brings (refer to data-sharing blog posts published at the end of Feb)
Organize National/chapter task force on KPIs
Decide how to measure chapter performance
Begin measuring chapter performance
Volunteer Pains (related to dues):
Volunteer leaders are an endangered resource. Don’t burn them out.
Chapter leaders may not have financial or bookkeeping experience.
Rats! Chapter staff or volunteer leaders don’t have the time to do the dues processing job in a timely and thorough manner
Chapter staff/volunteers should focus their time on delivering value to members, not dealing with tedious administrative processes
Ehh! They don’t know how to mange incoming funds, allocate funds, and ensure National gets their fair share
Chapter leader turnover means training a new crew every year and dealing with that steep learning curve
Volunteer: Solutions
-Provide standard chapter accounting system with National
- Establish a preferred vendor network
-Bonus: this provides additional oversight, and better positions National to provide training and support
Volunteer: Next Steps
Create a chapter poll and/or conversations
Identify what type of support and training volunteers need
Research vendors to potentially endorse that you feel will solve your volunteers challenges, while taking on some of training/support
Sponsor Roles
The role of the executive sponsor:
Project champion and advocate
Ensures budget & other resources (staff cooperation)
Runs interference with department heads
Notice a trend in the Next Steps suggested?
You must solve these problems together: National and chapter reps
-Can’t push a solution down on chapters
-Without their participation in developing that solution, you won’t get buy-in and cooperation
Notice a trend in the Next Steps suggested?
Chapter representatives – a mix of:
-Staff and volunteer leaders
-Large and small memberships
-Basic and advanced technology users
-Supporters and nay-sayers
National staff – a mix of:
-Component relations
-Accounting
-Membership
-IT
-Who else?
Guiding principles for National/chapter discussions
Agree upon common goals.
Acknowledge value each partner brings to the relationship and to members.
Discuss the good, bad and the ugly – especially the ugly.
Understand the reasons for resistance to change – put yourself in their shoes (empathy).
Listen and communicate frequently.
Projects requiring technology investment need the support of an executive sponsor at National.
Love our webinars, but looking for a face-to-face conversation? Let me introduce our Chapter Roundtable.
If not in this area and interested, let us know and we’ll accommodate.
1.5 CAE credits for attending.
What’s the Billhighway Road Show, you ask? It’s a gathering of liked-minded folks from chapter-based associations that all face similar challenges. We’ll be discussing ideas and solutions around the following topics:
Measuring and increasing the health of chapters and how it can be done
Best practices for chapter operations (volunteer tools, processes, etc.)
How to get the right statistics which will help prevent members, at both the national and chapter level, from leaving
We’ve heard consistent feedback that those in the chapter community want and need a place to network with other component relations professionals. The idea is to make this a collaborative jam session with real-life solutions and resources provided as takeaways.
If you’re interested in attending one of these sessions you can reach out to my marketing team or click on the slide link to register. If you don’t reside in these areas or can not attend, tell us where you’d like us to continue our road show and come to your town!
15 minutes Ask – What topics do you want more of?
Questions:
What topics do you want more of?
What other tools do you want to hear about?
Where are you going/searching for to get info?
What medium would you like tools to be delivered to you? (email, blog, social, online community/forum, etc)