About Kellen
10 Keys to Success:
A Guide to Evaluating Association Management Companies
On paper, association management firms may appear to be created equal. They provide varied staff capabilities and cost effectiveness through shared resources. Many offer a variety of services in areas such as publications and communications, public relations, government affairs, meeting and convention management, financial management and general administration. Beyond such a laundry list of capabilities, the similarities between management firms typically end. To differentiate management companies, it is necessary to evaluate the quality, value and depth of services the companies provide client associations. The following are 10 critical characteristics to consider when searching for a management company that will meet and exceed your expectations.
1. Leadership
Effective leadership by a management firm allows elected association leaders to devote more time to policy, strategy and ideas. However, leadership is not a given in any industry. Indeed, it is often more the exception than the rule.
The Kellen Company is committed to the highest level of professionalism, ethics and integrity. It has built its reputation by providing active, aggressive leadership to clients - not by providing "caretaker" service. Because our executives become fully knowledgeable in the industries or professions they represent, they can act quickly and decisively on association matters. Our professionals often become recognized spokespersons representing industry on critical issues.
2. Vision / Planning
Effectively forecasting, strategizing and planning an association's future require a broad-based experience in association management. Such experience is not always found even within management companies.
At The Kellen Company, strategic thinking and creativity are strong suits. Our clients benefit from our senior executive team's extensive experience leading associations both in times of adversity and prosperity. We strongly endorse annual and multi-year plans to assist the organization's elected leadership and staff management in establishing common goals and expectations and to provide a benchmark for measuring accomplishments. Our staff actually conducts such planning sessions, prepares reports and assures the necessary follow through.
3. Continuity / Stability
Effective, stable management is key to any organization's long-term success. Executive turnover at associations can lead to costly downtime and interruptions to vital operations. Not all management firms have the resources to be prepared for this contingency.
Well over half of The Kellen Company's account executives have more than 10 years of service with our company. In nearly 40 years of operation, The Kellen Company has rarely had to replace an executive director that left our company. Still, we are prepared for such rare occasions by providing management depth for each association client. When an association hires The Kellen Company, it hires a management team that includes an executive director, as well as a senior-level "back-up executive" who actively serves the client and is prepared to assume executive director duties should it become necessary.
4. Dedicated Personnel
Meeting the special needs of a Board of Directors and committees, association members at large, prospective members, as well as other publics targeted by the association requires a level of service found only in dedicated association professionals. The Kellen Company seeks out such individuals and rewards them accordingly. Because we are an employee-owned company, Kellen Company staff are further motivated by their personal stake in the company's future. Our employee-owners developed the company's mission statement: "To exceed client expectations through commitment to excellence and employee-owner values." These values, among others, include client focus, integrity, quality, profitability, and having fun at what we do.
5. Internal Resources / Responsiveness
There are few client needs that a management company won't be able to address in some fashion. The salient question is: what resources can the company bring to bear in order to respond effectively and in a timely fashion? The Kellen Company offers clients resources that, collectively, are unmatched by other association management companies. Virtually all of the company's 100-plus full-time professionals can be called upon to meet any client need. In addition to providing superior management and administrative services, clients frequently access our in-house team of experts in: meeting and exhibition management, crisis and issues management, public relations and communications, government and media relations, creative services and desktop publishing, technical and scientific research, statistical analysis and reporting, market research and product promotion. These professionals are supported by state-of-the-art association office facilities featuring a fully integrated computer network with Internet access, modem and faxability, a modern telecommunications system, an in-house information resource center, and a fully automated printing and distribution center.
6. Client Loyalty
Client history is an excellent gauge of how much association members value their management company's services. Once an association becomes affiliated with The Kellen Company, it stays. In nearly 40 years of association management, The Kellen Company has lost very few client associations.
7. Results Orientation / Cost Effectiveness
Achieving exemplary results within an agreed upon budget requires a hands-on approach by the association's manager. Before selecting a management firm, evaluate the company's management philosophy and ability to get things done cost effectively. The Kellen Company is a for-profit company. Our success is largely dependent on the success and growth of our client associations. Many of our executives came to the company with business, as well as association, backgrounds. Our philosophy is to manage associations like a business. Developing and implementing successful, cost-efficient operations and programs for associations leads to expanded and new programs, which is mutually beneficial to our clients and our company. Our financial staff, which includes several CPAs, assists staff executive directors in assuring effective financial control within approved budgets.
8. Core Business
It is common to find "association management firms" whose core business is in another field (e.g., law, public relations). Although hiring such a firm does not preclude effective management of an association, it is important to determine the firm's priorities and commitment to the association management segment of its business. At The Kellen Company, full-service association management is not a profit center. It is the foundation and future of our company.
9. Specialization / Synergy
Some association management firms can offer significant added value to clients due to expertise in specific related areas. Kellen Company clients benefit from the synergies created by our credibility and productive relationships with Congress, regulatory agencies, the media, health and scientific groups and other opinion leaders. Our professionals have extensive experience working with FDA, USDA, EPA, OSHA, CPSC, FTC, DOT and other federal and related state agencies on a variety of food, health and safety issues. Within these agencies, our company is respected for its factual, scientifically based approach.
10. Fee Structure
When comparing fees and cost estimates from different management firms, be sure to identify all the components used in preparing the estimates. What is included can vary greatly from company to company. Consequently, quoted fees are not always comparable. Most firms bill clients in one of two ways: 1) a fixed fee covering all personnel and services with direct expenses (e.g., postage, telephone, fax, travel) billed separately, or 2) a fixed fee for management services, a variable support fee based on the use of various specialists and administrative staff, and direct expenses billed separately. There are other methods used by management firms to "bill" the client which may not be apparent in their management proposals. These include mark-ups on pass-through expenses and agreements with vendors to secure commissions on association projects and programs (e.g., commissions on convention hotel sleeping rooms - funds that otherwise would go to the client).
The Kellen Company typically charges clients: 1) a fixed management services fee covering executive staff, as well as space, equipment and related costs, and 2) a variable support services fee. The support services fee includes charges based on hourly rates for professional and administrative support staff, billed as used. Out-of-pocket expenses (e.g., telephone, postage, printing) also are billed as used. All expenses are identified in budgets approved by association clients and reported monthly. Although we actively pursue arrangements such as hotel commissions, the realized revenue is passed along to the client.
The Kellen Company is interested in long-term relationships with associations and considers itself a partner in the success of its clients. We quote management and support fees based on the time and resources needed to provide outstanding service and accomplish client objectives.