| April 2006 • Volume 26 • Number 4 • The Meeting Professional |
Cover Story
In the Driver’s Seat
Corporate planners reveal their tactics for achieving a more strategic role in the business of meetings.
By Maria Lenhart
The evolution from logistician to strategic partner has been a long time coming, but for an increasing number of corporate planners the process has reached fruition. No longer on the periphery, these planners are playing central roles in their organizations and, in many cases, changing the status and expectations associated with their jobs.
The need for corporate planners to become strategic partners has been the ongoing focus of MPI’s Global Corporate Circle of Excellence (GCCOE), a committee comprised of veteran corporate planners that last year issued four white papers addressing various aspects of strategic meeting planning. The result of brainstorming sessions among these planners, the GCCOE papers address such issues as procurement procedures, supplier partnerships, global business influences on meetings and ways to create a strategic meetings management program within an organization.
In an era when companies are focusing on their core competencies and outsourcing just about everything else, the GCCOE papers make the case that becoming a strategic partner is essential for anyone who wants to thrive, not to mention survive, within an organization.
“Planners who have worked in the corporate world over the past five years have seen their teams diminish in size,” said former GCCOE member Daphne Meyers, CMM, a meetings management consultant who is managing partner of the Red Barn Group in Durbin, N.D. “You need to understand the business of your company and how you fit in. The more you know the better. Those who are not prepared will get the corporate rug pulled out from under them.”
Far from academic, the GCCOE principles are based on the actual experiences of planners who have made the transition to strategic partner and, as a result, now enjoy more influence within their organizations. If there is one thing their experiences have in common it’s that becoming a strategic partner doesn’t happen on its own or at the bequest of others. Planners themselves have to get the ball rolling.
“We’re seeing a growing awareness among top executives that the meetings manager has a vital role to play, and more are being invited to sit in on strategy sessions so they can get a better view of the objectives,” said management consultant John Asselta, senior vice president at Partnership Travel Consulting in Princeton, N.J. “However, sometimes planners have to take the initiative on this. If you are not invited to these sessions, you need to suggest that you should be. Once your value is perceived, you will be included in the future.”
Securing that seat at the management table also involves taking the initiative in forming strategic partnerships with others in the company, whether it is with procurement officers, marketing executives or anyone else with a stake in the meetings process.
“It’s very important to make the first move. By doing so, you are more likely to be in the driver’s seat,” said Sharon Marsh, CMP, CMM, operations manager for Cisco Systems in San Jose, Calif., and a former member of the GCCOE. “If you wait for people to come to you, they may have already designed the road map.”
Even when suggestions and proposals are not accepted, the mere effort of reaching out to others can be beneficial, says Meyers.
“Ask questions of procurement people [and] of top management. Make suggestions on how meetings can be more effective,” she advised. “The company will have more respect for you. It puts you into the mainstream and gets you out of your silo. It strengthens your connection to the organization.”
Proactive Planners
GCCOE member Julie Johnson, CMP, CMM, director of incentives and events for Lennox International Heating & Cooling in Richardson, Texas, is among planners whose proactive approach has led to an elevation in status as well as greater job satisfaction.
“My role has moved dramatically from logistics to strategy over the past 10 years,” said Johnson, a member of the GCCOE. “When I joined the company, we focused strictly on logistics. [Those of us] in the meeting department were like stepchildren within the company.”
Several years later, while Johnson was pursuing her Global Certification in Meeting Management (CMM), she began to consider how meetings consolidation would benefit her company.
“Our parent company has six companies and I saw how we could consolidate some of those meetings operations and gain more buying power,” she said.
Johnson developed a business plan on consolidation that won favor with company executives. Her department, which has been expanded from two to five people, now handles meetings for a sister company and some meetings for the parent company. A sixth person is scheduled to be added to the department by the end of the year.
As a result, Johnson and her team have won new respect at the company.
“The plan boosted our status and won us a seat at the table,” she said. “We got more involved with the objectives of the meeting and are now much more involved with the content than we were. We not only look at the purpose of the meeting, but always do a follow-up critique of each meeting. We look at how we can do things better.”
Julie Lindsey, CMP, senior manager of corporate events for Gap Inc. in San Francisco, has also been proactive in showing company executives how effective meetings management can improve the bottom line. Two years ago she took it upon herself to begin tracking the amount of money spent on meetings planned outside of Gap’s meetings department.
“If we spend $10 million a year on meetings, another $3 to $4 million is happening outside our department,” said Lindsey, a member of the MPI Northern California Chapter. “I show the executives how much this is costing the company. My negotiations save at least an additional 15 percent to 20 percent over what people outside the department are getting. There is also the question of risk management because you’ve got people signing contracts without really reading them.”
Lindsey’s efforts are now giving the meetings department control over a growing number of company events. Along with gaining more respect, the department is achieving better negotiating leverage with suppliers.
“We also have fewer headaches to deal with from bad planning done outside the department,” Lindsey said. “We don’t have to deal with other people’s mistakes because we’re handling things from the beginning.”
GCCOE member Pamela Wynne, CMP, CMM, is another corporate meeting planner who advocates a proactive approach, believing it is necessary for both advancement and job security in today’s business climate.
“Meeting planners need to take a look at their jobs and where they fit in with their companies,” she said. “You need to look at the objectives and goals of the company and make sure the meeting department is aligned with them. If you’re spending your time on room lists and name tags, you’re not doing what you need to do.”
Wynne, who is manager of corporate meeting planning for Educational Testing Service in Princeton, N.J., advocates that meeting planners shift away from logistics as much as possible, perhaps training administrative assistants to take over basic tasks. She also recommends that planners illustrate their value to their companies by providing written reports documenting their effectiveness on cost savings, cost avoidance and other issues.
“Reports show the evidence—what did I do to reduce the cost of the meeting? Did I manage risk? Did I help reduce attrition penalties through my hotel partners,” Wynne said. “If you make this clear, you will be more secure in your job.”
Wynne also advocates that planners use benchmarking techniques to show how their companies compare with similar companies on meetings-related matters such as hotel rates, return on investment and compliance. Wynn has also used benchmarking to gain additional staff for her department. By consulting with other MPI members, Wynne was able to document how many meetings are planned per year at other companies and by how many staff members.
“I was able to show that these companies were doing 30 to 35 meetings a year, while we do 50 with the same amount of staff,” she said. “So I was able to go to human resources and justify a new position.”
In some cases, the shift from logistician to strategic partner can be as basic as knowing when and how to ask the right questions of the people holding the meeting.
“From the very beginning, you have to pick their brains about why the meeting is being held, what they hope to accomplish,” said GCCOE member Marty Fisher, vice president of store HR and training for Abercrombie & Fitch in Columbus, Ohio. “The ability to ask these questions makes the difference between having an executive assistant plan the meeting or having a meeting professional do it. It enhances the stature and credibility of the meeting professional within the organization.”
Fisher adds that good questions on the part of planners can sometimes prevent their companies from holding unnecessary meetings.
“It’s not unusual for people holding a meeting to not really understand why they are holding it,” he said.
Independent Partners
In-house corporate meeting planners are not the only ones with a vested interest in becoming strategic partners. Increasingly, independent meeting planners who serve corporate clients also have to demonstrate the ability to think and act conceptually as well as logistically.
“With our clients, it’s moved into a ‘let’s share everything’ relationship,” said Ben Benfield, CMP, CHP, president of The Benfield Group in Marietta, Ga., and a member of the MPI Georgia Chapter. “You tell us the stumbling blocks you face and we’ll see if we can surmount them.”
For independents who demonstrate their worth to their corporate clients, there is the potential to both manage and execute entire meetings programs. Such is the case for Shawna Suckow, CMP, owner of COMPASS Event Organizers in Eagan, Minn., who handles the entire meeting operations for a variety of corporate clients, including one of the world’s largest real estate firms.
“I’m on conference calls with them from the very beginning of each meeting and I play both a strategic and a logistics role,” said Suckow, a member of the MPI Minnesota Chapter. “As trust has built up over the years, I’ve been asked to do more and more.”
Like their in-house colleagues, successful independents are taking a more proactive approach towards the companies they do business with.
“Clients don’t always think of you in a strategic role, so you have to let them know you can help them in this way,” said Amanda Joiner, CMP, CMM, president of Canadian Conference & Event Management in Toronto and a member of the MPI Toronto Chapter. “We give new clients examples of how we’ve helped other clients with meeting strategies. We help them set up objectives and goals. We also do training and coaching for their internal planners.”
When Rosa McArthur, president of Meeting Planners Plus in Costa Mesa, Calif., first meets with a corporate client, she never starts off by asking about the logistics. She wants to know why the meeting is being held, what the stakeholders want from it and what attendees should take away from the meeting. During the planning process, she also brings in team-building experts and others who can help ensure the goals are met.
“Independents need to think strategically too,” she said. “A lot of companies are going through many changes and are dealing with things like accountability. They are having these meetings for a reason and they may involve serious matters. You have to get into the culture of the company and what is going on there.”
McArthur also does her homework on issues and economic conditions affecting each client’s industry.
“A lot of this takes time, time for which you are not compensated,” she said. “However, it’s essential.” TMP
MARIA LENHART is a freelance writer based in San Francisco.
Sidebar 1: Outsourcing Logistics
So if corporate meeting planners are expected to be strategic partners, what is happening to the logistics portion of the job? For an increasing number of companies, the preferred option is to retain a small core of internal planners to manage the meeting program, while outsourcing the logistics. In many cases, the logistics planners are working in the corporate office, but are employed by an outside vendor.
“The logistics jobs are not going away, but they are shifting, particularly at large companies,” said meetings management consultant Daphne Meyers, CMM, managing partner of the Red Barn Group in Durban, N.D., and a member of the MPI Minnesota Chapter. “It’s a question of who signs the paycheck. There are fewer entry-level jobs inside corporations now. Corporate planners are those who have been around and who have business management skills.”
San Jose, Calif.-based Cisco Systems is among the companies that have chosen to outsource all meeting-logistic needs. While the meetings department consists of both operations managers and logistics managers, only the operations managers are Cisco employees. The logistics managers, employed by an outside vendor, work on site at the company, coming in for two to five days a week.
“We are in the same department, but we have separate roles,” said Sharon Marsh, CMP, CMM, operations manager for the high-tech firm and a member of the MPI Northern California Chapter. “It’s rather like a hotel in which you have a sales manager and a conference services manager. Companies are going in this direction partly because having fewer employees on the books makes them appear healthier financially.”
Pamela Wynne, CMP, CMM, manager of corporate meeting planning at Educational Testing Service in Princeton, N.J., believes that corporate meetings managers should encourage their companies to outsource logistics.
“It’s not about a loss of jobs, but in letting people do what they can do,” said Wynne, a member of the MPI New Jersey Chapter. “Logistics are the core competencies of third parties, so let them do that. You need to focus on your own core competencies and what management expects from you. You don’t outsource the content of the meeting, but others can do the food and beverage. This frees you up.”
Sidebar 2: Experienced Planners Wanted
For corporate meeting planners with solid experience, the job market is bright this year. Companies are once again expanding their departments, filling positions on both an employee and outside contract basis.
“Two years ago, companies were telling meeting managers to make do with what they have, but now they are responding to the need for more staffing,” said Sheryl Sookman, CMP, president of The Meeting Connection, a placement firm in Novato, Calif. “Companies aren’t expanding the way they were prior to 9/11 when we saw huge departments, but I see companies with looser purse strings that are hiring on an as-needed basis.”
Most companies want senior-level meeting planners who hit the ground running, she adds.
“Some companies are looking for people who can take a strategic approach, even if they are only hiring them on a temporary basis,” said Sookman, a member of the MPI Northern California Chapter. “But they want people who are very adept at the tactical elements too.”
Dawn Penfold, CMP, president of The Meeting Candidate Network in New York, also notes an improving job market, but says companies are looking for planners with a very specialized niche and are not willing to train or mentor anyone whose experience is outside that niche. As a result, it is harder for planners to switch from one industry to another.
“A pharmaceutical company wants a pharmaceutical planner, a financial-services company wants a financial-services planner,” she said. “Sometimes they are even more specific—a financial-services company might request someone with a background in equity research.”
With the job market growing stronger and specialized candidates harder to find, Penfold, a member of the MPI Greater New York Chapter, is hopeful that companies will become more flexible.
“As the candidate pool dries up, they will have to be willing to offer some training,” she said.
Sidebar 3: Meetings Partner with Travel
When it comes to forming strategic partnerships within corporations, perhaps few pairings hold greater potential for the bottom line than meetings and travel. While meetings and travel consolidation has been talked about for many years, there is evidence that a growing number of companies are putting it into practice.
Recognizing the stronger link between travel and meetings at many companies, MPI and the National Business Travel Association (NBTA) have formed an alliance for the purpose of collaborating on educational programs, including position papers and presentations at MPI and NBTA events.
“There’s a definite closer relationship between travel and meetings these days,” said William Connors, CTC, executive director of NBTA and a member of the MPI Potomac Chapter. “We’ve formed an alliance with MPI because so many of our members have been asked to get involved with meetings.”
Bruce Morgan, vice president of development for World Travel BTI Meetings & Incentives in Chicago, also notes that trend.
“At the last NBTA convention, I was approached by more corporate travel managers than ever before,” he said. “They are being asked to handle more of the smaller, internal meetings for their organizations.”
On the other side of the coin, an increasing number of meetings managers are being asked to get involved with travel.
“As more meetings and travel departments merge, sometimes travel managers are getting meeting responsibilities and sometimes it’s the meeting planner who gets travel,” said meetings industry consultant Daphne Meyers, CMM, managing partner of the Red Barn Group in Durban, N.D., and a former member of the MPI Global Corporate Circle of Excellence (GCCOE). “The people who can act strategically are the ones who have an edge.”
Meyers, who contributed to a recent GCCOE white paper on procurement trends in meetings management, adds that the increasing involvement of procurement officers in managing travel-related expenditures is fueling the move towards consolidation of travel and meetings.
“CEOs have figured out that the procurement approach works for business travel, so they want to extend it to meetings now,” she said. “Meetings and travel can help each other gain better leverage with suppliers. There’s no need to be adversaries.”
Among those who believe that meetings and travel consolidation holds many advantages is Bill Davidson, manager of corporate travel and meetings for Sematech in Austin, Texas. When the meeting manager retired from Sematech—a consortium of semiconductor companies—in 1998, Davidson, who was the travel manager, approached management with the idea of consolidating the two departments.
Today the consolidated department, which handles about 200 meetings a year, includes three full-time meeting planners and an onsite travel agency.
“Our buying power has improved a lot,” Davidson said. “When I talk to suppliers, I come in with knowledge of our combined volume.”
Service has also improved, he adds.
“When we have a group going somewhere, both the travel and meetings staff work together. The travel staff knows whether to ask hotels for a group rate or a transient rate and they know whether or not to take advantage of an airline’s group rates. There’s no confusion and everything is much smoother.”
Sidebar 4: Procurement: Don’t Dread It—Embrace It!
While the procurement approach to meetings management is not affecting all of corporate America yet, those keeping an eye on meetings industry trends say no corporate meeting planner can afford to be unaware of its growing impact at companies both large and small.
Meetings industry consultant Daphne Meyers, CMM, managing partner of the Red Barn Group in Durbin, N.D., and a contributor to a 2005 MPI Global Corporate Circle of Excellence (GCCOE) white paper on procurement trends, notes that the Sarbanes-Oxley Act that passed the U.S. Congress in 2002 and places stricter rules on corporate fiscal reporting is giving procurement departments, which oversee the purchasing of goods and services, an expanding role at many companies.
“Even though Sarbanes-Oxley only affects public companies, its influence has grown beyond that,” said Meyers, a former member of the GCCOE. “Companies know that they may be asked to explain their numbers, including travel data.”
Andrew Menkes, CEO of Partnership Travel Consulting in Princeton, N.J., agrees.
“We’re seeing more mid-sized companies using procurement and the trend is definitely shifting downward in terms of company size,” he said, adding that many companies who have seen how well a procurement approach works with travel management are now extending it to meetings.
“It’s the meeting side that has really gotten attention in the past year,” Menkes said. “Meetings had been hidden in the weeds for years, with so much of the expenditures not being tracked and measured. Companies are recognizing that a lot of money can be saved, especially in internal meetings and training seminars.”
While corporate meeting planners may feel trepidation about dealing with procurement officers, some planners who are working closely with procurement departments say there are many advantages. Among them is Pamela Wynne, CMP, CMM, manager of corporate meeting planning for Educational Testing Service in Princeton, N.J., who describes her department as a “well-oiled machine” that has become adept at risk management and cost savings as a result of working with procurement officers over the past five years.
“Meeting planners can really benefit from working with procurement people, and they should take the initiative in approaching them,” said Wynne, a member of MPI’s GCCOE. “[Procurement officers] are really excellent with negotiation, so I let them handle the terms and conditions of the contracts. They really get the job done.”
Wynne feels the meetings-procurement relationship has given her department more influence.
“Now we can actually initiate change and create new processes and procedures that benefit the company,” she said. “When we make these changes, it adds to our value.”