ELITE PM Issue 09 Dec Jan 2017

WHAT TOP BD PERFORMERS ARE DOING NOW 5 PROPERTY MANAGEMENT BUSINESS STRUCTURES AND WHEN TO USE THEM LEARN FROM THE BEST #09 DEC 2016/JAN 2017

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TOP TIPS FROM TRANSFORM PM

EMPOWERED LEADERSHIP MEGAN HARRIS

UNDERCOVER TEMP

A focus on delivering the absolute best level of support Recently, we have invested heavily in upgrading our support and training systems. As well as expanding our team, we have invested in new call centre infrastructure and have released our online learning platform where customers can take a variety of self-paced online courses to learn how to get the most from their Console Software.

Developing the next generation of innovative technology Our Next Generation Cloud Platform is currently underway and is due for release in early 2017. Our new platform is an ambitious project and we are excited to say that we believe it will set the standard for agency management solutions.

We’ve already engaged hundreds of customers for their input and will be unveiling the new technology at special events throughout September.

An industry leader of real estate solutions Console has been supplying innovative real estate solutions throughout Australasia since 1992. Over 4,000 agencies across Australia and New Zealand use our technology to ensure they are capable of delivering an exceptional property experience while maximising efficiency.

www.console.com.au 1300 131 311

Manage, grow and streamline your real estate business Some of Australasia’s largest agencies are powered by Console Australia Console’s platform is designed to support both a start-up agency or a multi-office network with thousands of properties under management.

We have helped clients achieve success no matter what their goals.

To see how Console can support your success, go to console.com.au/elite to register for an obligation-free consultation.

Contents Regulars 004 FROM THE GUEST EDITOR Sarah Bell 006 UPFRONT News from the community 016 PM MENTOR Natalie Hastings 017 REALTY BYTES Alister Maple-Brown 018 BD MASTERY Tara Bradbury

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020 GAME CHANGER Jo-Anne Oliveri 040 THE LAST WORD Fiona Blayney

Everybody’s talking about 08 EVERY AGENT HAS A STORY with thanks to Console

First Person 010 CAN I CLAIM FOR THIS? Bradley Beer 012 HOUSTON, WE HAVE A [DRUG] PROBLEM Bryan Goodall 014 WHY SMALL IS BIG AGAIN Randal Sharp

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Cover Story 022 EMPOWERED LEADERSHIP Megan Harris

Features 028 50 TOP TIPS FROM TRANSFORM Sarah Bell 032 THE AMAZING PM RACE Highlights from our Transform PM Challenge Finale 034 UNDERCOVER TEMP Lauren Kropp 036 IT’S NOT WHAT YOU SAY; IT’S HOW YOU SAY IT Heidi Walkinshaw 038 A REPUTATION FOR THE EXTRAORDINARY Michelle Williams

32 2 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

THE EPM TEAM wish you a fabulous festive season and prosperous New Year.

We asked some principals and property managers to share their goals for 2017.

JOELY SULLIVAN NOW LEASING, NT EPM Issue 08 - Cover Story “Our goal is not to have too many goals, reflect on our very busy and successful first year and ensure we don’t grow too quickly and compromise our service to our clients.”

CAMERON GARRY AFFORDABLE PROPERTY MANAGEMENT, SA EPM Issue 05 - Cover Story 5 EMERGING TECHNOLOGIES TO HELP YOU STAND OUT 8 WAYS TO BECOME A BDM TRAILBLAZER

“My goal is to look at what I thought was an BEST OF BOTH achievement in 2016 WORLDS and make that look silly by the end of 2017. I aim ACCOUNTING FOR SUCCESS CAMERON GARRY to push the boundaries on using technology to improve my team's day-to-day job satisfaction; I will continue to take myself out of my comfort zone in business dealings and I will search for different ways to share and receive information from the best people for the benefit of my business.”

FEATURE INTERVIEW NAOMI SIMSON SPEAKS ON PRODUCTIVITY AND LEADERSHIP

LEARN FROM THE BEST

LEARN FROM THE BEST

#05 APR/MAY 2016 AU$13.50

#08 OCT/ NOV 2016

3 TECH TRENDS THAT WILL IMPROVE YOUR BUSINESS

NORTHERN EXPOSURE REALESTATE.COM.AU SURVEYS LANDLORDS // TECHNOLOGY + CHANGE: A UK PERSPECTIVE PM TRANSFORM: HALF-WAY POINT CHECK IN // UBER-PROOFING IN THE AGE OF DISRUPTION

“2016 was super-exciting, as all of my goals were reached: being awarded the REIA Residential Property Manager of the Year 2016, the LPMA Small Residential Property Management Agency of the Year 2016 and completing my Diploma of Property Services so I could be the Licensee at MResidential. For 2017 I’m focusing on my staff, mentoring and assisting them LAURA LEVISOHN to reach their career WHO’S BEHIND goals, and hoping THAT DOOR? to spend more time working on the business rather than in the business. I think there are a multitude of opportunities and new ideas in the marketplace and I’m looking forward to being able to dedicate the time to implement them.”

READER SURVEY:

FIND OUT MORE ON PAGE 31

LEARN FROM THE BEST #02 OCT/NOV 2015 AU$9.95 + POSTAGE

LESSONS LEARNT IN REALLY BIG BUSINESS 5 STEPS TO DESIGNING THE IDEAL WEEK

SAFETY TIPS FOR PMs

ADRIANA DENDRINOS R & W HURLSTONE PARK, NSW PM Transform Finalist

An exclusive outsourcing case study with Miles Real Estate

7 FUNDAMENTAL REALITIES OF CUSTOMER SERVICE

THE ART OF PERSONAL COMMUNICATION

JOELY SULLIVAN + JO GRIFFITHS, NOW LEASING NT

LAURA LEVISOHN MRESIDENTIAL, WA EPM Issue 02 - Cover Story

“My goals are to keep healthy, increase exercise time and lose five kilos by 1 July. I feel more clearheaded and optimistic when I am fit so make better decisions.”

SABINA ALDOUBY LUXE PROPERTY, NSW EPM Issue 07 - Cover Story

THE MATHEMATICS OF PROPERTY MANAGEMENT WITH BOB WALTERS

FRONT DESK TO BUSINESS OWNER

IMPLEMENTING NEW TECHNOLOGY AS A TEAM MAKING INSPECTIONS EASY

RACHEL TORNEY HARCOURTS ADELAIDE HILLS, SA Transform PM Team Winner 2016

A GUIDE TO THE ULTIMATE BRAINSTORM

CLOSING THE AIRBNB LOOPHOLE

THE ADVANTAGES OF CO-OWNERSHIP

MAXIMISING YOUR BRANDING IN A LISTING PRESENTATION SAYING GOODBYE TO BAD HABITS

FLIP MAGAZINE OVER FOR

Dedicated to rental property Upgrade your free plan for greater benefits ›

SUZIE HAMILTON-FLANAGAN BRESICWHITNEY, NSW EPM Issue 04 - Cover Story

LEARN FROM THE BEST #04 FEB/MAR 2016 AU$13.50

HOW TO PULL OFF THE PERFECT LISTING PRESENTATION

DO YOU HAVE AN EXIT STRATEGY? MAKING YOUR SMALL BUSINESS APPEAR LARGER

PAYING A REVENUE SPLIT – THE PROs AND CONs

PETER HOOYMANS MELBOURNE REAL ESTATE, VIC EPM Issue 06 - Cover Story

“I’m aiming to roll out a holistic wellbeing program and to measure across the first six months of next PREMIERE ISSUE year whether it helps reduce stress and sick days, increases staff HANNAH GILL retention and positively impacts on our culture and the resultant client experience.”

THRIVING IN A TOUGH LEASING MARKET

LEARN FROM THE BEST #07 AUG/SEP 2016

A DAY IN THE LIFE OF A PROPERTY MANAGER WITH HAYLEY MITCHELL

HANNAH GILL INDEPENDENT PROPERTY MANAGEMENT, ACT EPM Issue 01 - Cover Story

LEARN FROM THE BEST

TIME TO TRANSFORM THE PM TEAM CHALLENGE

“2017 will be about succession planning – providing opportunities for my team to grow and develop professionally within the business to help them achieve SLIDING DOORS their career goals.

We will also be MAKING looking at continued THE MOVE SUZIE HAMILTONdifferentiation in our FLANAGAN business as well as remaining relevant to our customers.”

“I recently came second in the REISA awards in the Property Manager category. Whilst I was happy with second I want to go one better in 2017 and get gold.

This is more for my self-validation and to know I am on the right track and doing the right thing.”

#01 JUL/AUG 2015 AU$9.95 + POSTAGE

“My goals for 2017 are pretty simple: Self-improvement through ongoing training and goal setting, mentoring and inspiring my team to be the best that they can be, continued commitment to finding STRIKING THE a work/life balance RIGHTSABINA BALANCE ALDOUBY and getting involved or giving back to our local community.”

FIVE TACTICS TO ACHIEVE AND MAINTAIN ZERO ARREARS

BEYOND BUSINESS DEVELOPMENT

EXCLUSIVE INTERVIEW WITH RENT.COM.AU CEO MARK WOSCHNAK

“Our goals are to see more growth (we’ve had 50 per cent growth in the past financial year), over 90 per cent talent retention via career pathing opportunities, culture and engagement initiatives, futureTHE MEASURE proofing via leading OF SUCCESS MELBOURNE REAL ESTATE training/coaching initiatives, culminating in the next couple of years as an Employer of Choice or ‘destination’ business.”

LEARN FROM THE BEST #06 JUN/JUL 2016

110 PAGE SPECIAL EDITION

CHOOSING THE RIGHT TENANT MASTER YOUR DATA THE FUTURE OF PROPERTY INSPECTIONS

FLIP MAGAZINE OVER FOR

Dedicated to rental property Proudly supporting AREC May 22nd & 23rd ›

epm.eliteagent.com.au 3

ISSUE 09 DEC 2016/JAN 2017 | epm.eliteagent.com.au SAMANTHA MCLEAN Managing Editor samantha@eliteagent.com.au

SARAH BELL Guest Editor sarah@eliteagent.com.au

MARK EDWARDS Publisher and Director of Commercial Partnerships mark@eliteagent.com.au

TOM SULLIVAN Commercial Partnerships – Digital tom@eliteagent.com.au

LARA SCOTT Digital Editor lara@eliteagent.com.au

SHANTELLE ISAAKS Marketing Assistant | Newsroom shantelle@eliteagent.com.au

JILL BONIFACE Sub-Editor jill@eliteagent.com.au

CHORUS DESIGN Art Direction | Design marc@chorusdesign.com

FEATURE WRITERS Iolanthe Gabrie, Sarah Bell

COVER PHOTOGRAPHY Tristan Steinert | topsnap.com

GUEST EDITOR’S NOTE SARAH BELL

S SOMEONE CALL A DOCTOR!

CONNECT WITH US

@eliteagentmag

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eliteagent.com.au/shopnow +61 2 8854 6123 subscriptions@eliteagent.com.au International subscriptions can be purchased via iSubscribe.com.au

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(a subsidiary of A Bit of This Publishing Pty Ltd) ACN 169 805 921 Postal Address: Suite 904, 121 Walker Street North Sydney NSW 2060 Telephone +61 2 8854 6123 Registered by Australia Post/Print Post 100020180 EDITORIAL SUBMISSIONS The publisher welcomes editorial submissions from individuals and organisations within the real estate profession. The publisher reserves the right to edit, modify, reject or contribute to the content of the material provided.

EDITORIAL DISCLAIMER: Some opinions expressed in EPM Magazine are not necessarily those of its staff or contributing editors. Those opinions are reproduced with no guarantee of accuracy although EPM Magazine endeavours to ensure those opinions and comments are factual.

Our subscriber list may sometimes be made available to relevant brands who might be of interest to our readers and from time to time we may be in touch to inform you of new Elite Agent products and services. Please visit eliteagent.com.au/privacy for details on how we collect and use your personal information. Please email editor@eliteagent.com. au if you would rather not receive these communications. © Elite Agent Magazine 2016. All rights reserved.

4 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

The huge honour of guestediting an edition of EPM is the chance to hold a mirror up to the zeitgeist of property management and wonder, ‘Where do we go from here?’

If we look at the disruptors and the insatiable appetite that customers have for the more and the now, I believe that property management needs a check-up.

As we move into 2017, we are no longer in the business of property management, or even people management.

While tenancy and financial administration are at the core of our service function, we have infected property management with the ‘relationship management’ label. It wasn’t until my bank started doing ‘relationship management’ and making life hard one day that I

realised we were all sick with management.

Watching my youngest child start to push back on her older sister's ‘managing’ her at play, it has become obvious to me that at some point after we depart toddlerhood feeling managed by someone is at odds with the human desire to be an autonomous human being. Being an adult placed under management cannot be an experience that people are happy to pay for in the modern era. Here is why.

The 21st century is the age of the individual; for the last decade we have enjoyed the prevailing hipster subculture and its central doctrines of self-expression, specialness and uniqueness. Behind the beards is the cardinal belief that we are all free and capable of choosing to identify who we are and what we need to be happy.

The proliferation of the smartphone since 2011 is testimony to our craving for real-time, self-serve, noninterruption communication.

The rise and rise of social media and microblogging platforms like Instagram and Snapchat strongly support the notion that we, the people of ‘now’, want to be the authors of our own destiny. All of this is grossly out of sync with being managed and the notion of surrendering our

relationships to someone else for ‘management’. No. No. No. We need to try to find a new word. In the education space, the qualifications we achieve to become real estate agents come from the training package for property services. ‘Property services’, unlike property management, is starting to sound like something people might want. ‘Professional property services’ is starting to sound like something for which landlords might be prepared to pay a professional fee.

Ours is a service industry and, like all service industries coping with the threat of disruptive forces, we are in the

that we all deliver a similar product, service is really the only competitive battleground of the future.

So what is ‘service’?

No one would confuse the service a doctor provides in diagnosing a medical condition with the medicine that is prescribed to fix it. The diagnosis is the professional service and the medicine is a product. Our processes and procedures, the protocols we have for responding to both routine, emergency and novel circumstances, are the medicine that we have available for the ails of residential tenancy.

But, we are more than just

The same goes for property management – no two situations are alike, so if you listen well in the first instance you will be in a better position of trust to recommend the best course of option.

Test. There are two sides to every story and in a situation that requires the compliance or cooperation of another party, such as a tenant agreeing to fix some damage, it wouldn’t hurt to do some proactive liaising to ensure that you have the right end of the stick.

out the options, explain the risks and get your client to take up one of your professional recommendations.

Treat. This is simple – you administer the medicine. If there are arrears, send the remedy notices.

Follow Up. Like a good doctor, follow up and see how the treatment is progressing, and be authentic; a good bedside manner (or desktop manner in our case) is important.

If we are, as I say, sick with

Diagnose. This is where you identify the issue and the options that are available to respond and treat it. If you missed any of the previous steps, you may recommend the wrong treatment and end up causing harm or losing trust.

Consult. I have always found it bizarre how PMs take ‘instructions’ from landlords, although I understand it is the correct use of the word. It seems strange to ask a client what to do next. Instead, lay

management, behaving like a doctor might be the medicine we need.

Climbing onto the soapbox now, I want to finish with the words of the esteemed contemporary philosopher, Dave Grohl, “This is a call”.

A call for all PMs to stop managing people and to give a professional service, with a desktop manner that you would be prepared to pay for.

BEING AN ADULT PLACED UNDER 'MANAGEMENT' CANNOT BE AN EXPERIENCE THAT PEOPLE ARE HAPPY TO PAY FOR IN THE MODERN ERA. throes of an identity crisis. As we have increased automation and standardised, templateheavy communication, what our ‘service’ actually is versus the ‘product’ we administer can be difficult to identify at times. Most property managers use realestate. com.au, have the strictest arrears process possible and perform comprehensive routine inspections, so all of our brochures start to look the same after a while. Given

our processes and procedures.

The elements that constitute professional service are the same, whether we are talking about a professional physician or a professional property manager.

Listen. If a doctor handed us a bottle of pills before we had the opportunity to describe the symptoms, we couldn’t be confident that those pills were correct, or even safe to take in our circumstances, because no two patients are the same.

■ SARAH BELL

epm.eliteagent.com.au 5

UPFRONT

LEARN FROM THE BEST – VISIT EPM.ELITEAGENT.COM.AU

Help owners protect their investment with ‘meth’ education program The use of methamphetamine (meth) has tripled in Australia in the last five years. Many property managers have already seen firsthand the cost and hassle of cleaning a property with unsafe levels of contamination, caused not only by undetected meth labs but also the smoking of meth, or ice, inside residential properties.

Bryan Goodall, National Sales Manager for Octief, has seen it many times before. “In homes where there has been a meth lab, or where there has been heavy use of the drug ice, chemical residue can seep into soft furnishing, carpets and even walls and ceilings, leaving unwitting new tenants or owners exposed to serious health risks.

Kick off the year with Growing Stronger Together

“What you want is for owners to be proactive about this, as it is extremely difficult to establish direct fault and liability without testing on change of property occupants – which may have implications on things like insurance,” says Mr Goodall.

Octief offers baseline screening services for meth, as well as for other hazards such as asbestos and contaminated land.

“Our aim is to help property managers educate their owners on the potential risks and help avoid them. It’s common practice to inspect buildings before purchase for things like termites, so with the increase in meth usage it is better to be safe than sorry,” he added.

Visit screenformeth.com.au for more information.

6 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

Growing Stronger Together, an intensive one-day property management event series, kicks off in February 2017. Brought to you by the Real Estate Training Group (RETG), the event explores strategic team collaboration and accelerated rent roll growth in a series of sessions led by some of the industry’s most successful thoughtleaders.

The core program will focus on strategically unpacking the topics of team dynamics: BDM versus acquisition, growth strategies and leadership. Break-out sessions throughout the event will allow attendees to create a personalised schedule to suit their learning needs.

“This event is a great opportunity for business owners, property managers and BDMs to plan out their year ahead and hear the new tactics that will be shared,” said Tara Bradbury.

“They will take away valuable insights into rapid rent roll growth

and how to effectively implement these into their own business or division,” she continued.

RETG is the brainchild of recognised industry mentors Tara Bradbury and Kasey McDonald, who together bring more than 35 years’ experience in property management.

Growing Stronger Together events are being held in Brisbane, Sydney, Perth, Melbourne, Adelaide, Darwin and Auckland between 17 Feb and 7 April 2017.

Visit retgevents.com.au for more information.

IN ASSOCIATION WITH

EVERYONE'S TALKING ABOUT…

EVERY AGENT HAS A STORY

Most people who work in real estate can recount several pivotal moments in their careers from which they either grow or they learn.

to thoroughly consider his beliefs which governed his behaviour.

Liana Slipetsky – Co-Founder, iAgree Following a roof replacement job to fix a leak, Liana discovered their roofer replaced the wrong roof! Despite not being at fault, Liana learned the importance of physically attending a site with a landlord before committing to any sort of required maintenance. ■

Every Agent Has a Story is exclusively brought to you in association with Console. Watch the series at eliteagent. com.au/stories. Series runs from November 2016 – February 2017.

Doug Driscoll

Bob Walters

Our ‘Every Agent Has a Story’ series captures the tales of some of our industry’s most popular professionals – across leadership, sales and property management.

Find out what they would do differently if they had the chance to have their time over again.

THE STORIES SO FAR… Sadhana Smiles – CEO, Harcourts Victoria After a situation where she didn’t hang up the phone after a client conversation, Sadhana ensures her calls are ended properly and that she gives her clients their due respect, regardless of their behaviour and circumstances.

Sadhana Smiles

Jess Kindt – Experienced Property Manager When she was a BDM, Jess found herself in a highly dangerous situation when responding to a prospective listing.

She’s learned to do her research before venturing towards a potential sale, and to trust her gut if something seems ‘off’.

Vasili Hadzellis – Coach, Core Property Management Consulting Vasili was constantly flippant to one landlord who was challenging to deal with. After realising the landlord thought he hated her, Vasili has learned to show proper care to every single client, and

8 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

Jess Kindt

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FIRST PERSON

Bradley Beer

‘Can I claim for this?’

IT’S A VERY RARE DAY when a property manager doesn’t receive

at least one call about repairs and maintenance. As you call your owner for authorisation, it is handy to be familiar with the different types of deductions investment property owners can claim.

All property managers are familiar with managing the careful negotiation which can sometimes be required between landlords, tenants and maintenance professionals to arrange a pest exterminator, organise a plumber to fix a leaking tap or even to repair guttering which has been damaged by falling branches and debris.

Tenants will no doubt be concerned if the issue they have reported is making the property uncomfortable to live in and therefore may ask to have the situation resolved relatively soon. Meanwhile, the owner may be apprehensive about spending large amounts of money to rectify the problem.

It is important to note that the Australian Taxation Office (ATO) provides legislation on how deductions should be claimed, depending on whether they are classified as a repair, maintenance or a capital improvement. Let’s take a look at the definition of each and how the ATO advises these must be claimed.

REPAIRS Any work completed to fix damage or deterioration of a property is considered a repair. Some examples of repairs include: • Fixing part of a damaged fence • Replacing part of the

guttering or windows damaged in a storm.

Depending on the damage or deterioration, some repair work must be completed urgently while other work may not be as serious. As experts in the industry, property managers can help to guide their clients on what work must be prioritised.

As there is always a cost factor, it is important to note that any work classified as a repair can be claimed as an immediate tax deduction in the same financial year that the expense is incurred.

be completed immediately or in the near future.

As with repairs, any expenses incurred by the owner to complete necessary maintenance tasks can be claimed with their accountant as an immediate write-off in that financial year when they complete their tax return.

MAINTENANCE Work completed to prevent deterioration to a property is defined as maintenance.

Some examples of maintenance include: • Painting a rental property • Oiling, brushing or cleaning something in the property that is otherwise in good working condition, for example oiling a wooden deck • Plumbing maintenance • Servicing an air conditioner • Regular preventative pest control spray.

While some maintenance issues will be reported by tenants, property managers play a vital role. Their regular inspections provide a set of eyes on behalf of the landlord and keep them informed of any maintenance that should

CAPITAL WORKS IMPROVEMENTS Sometimes the work required to a property will require the removal of an existing structure or asset and replacement with a new item.

Unlike repairs and maintenance, capital improvements must be claimed as either a capital works deduction (for work completed to structural or fixed items) or as a depreciation deduction (for the improvement of a plant and equipment asset).

To help investors determine whether the work which has been completed to the property is classified as a capital improvement, the property manager should ask whether the work provides something new, or if it

10 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

changes the character of the original item in any way. If the work improves the condition or value of an asset or structure beyond its original state at the time of purchase, it will be classified as a capital improvement.

If any work required will result in a capital improvement, property managers can consult a specialist quantity surveyor on behalf of their clients. As depreciation experts, they use their construction costing skills to calculate depreciation deductions and provide owners with a comprehensive depreciation schedule.

This schedule outlines the deductions the owner is eligible to claim for the life of the property (forty years).

Property investors should obtain a depreciation

CAPITAL IMPROVEMENTS MUST BE CLAIMED AS EITHER A CAPITAL WORKS DEDUCTION OR AS A DEPRECIATION DEDUCTION. schedule immediately on settlement of any new purchase. The deductions and information outlined in the schedule can help them improve their cash flow and even plan when to replace items as they experience wear and tear down the track.

Quantity surveyors can also assist property managers to answer any queries their clients have regarding claims for repairs and maintenance, additions or improvements made and, depending on what work has been completed, advise whether any updates to an existing depreciation schedule are required. ■

BRADLEY BEER (B. Con. Mgt, AAIQS, MRICS, AVAA) is the CEO of BMT Tax Depreciation.

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FIRST PERSON

Bryan Goodall

Houston, we have a [drug] problem

BRYAN GOODALL EXPLAINS why we all need to be proactive

about the growing problem of meth users in Australia, especially when it comes to property management.

According to ABC News, the number of Australians using the illegal drug methamphetamine – including crystal methamphetamine, or ice (meth) – has tripled over the past five years, based on National Drug and Alcohol Research Centre estimates.

In 2015, according to the Australian Crime Commission, police found 744 secret meth labs across Australia.

With these statistics comes an increased risk that a

about meth users ‘at home’ or in the property. The reason for this is that there are sometimes no signs whatsoever of meth consumption going on. It could be your house, my house or any other house – and it looks and smells like any other house would. Nothing is strange or out of place and you have no way of knowing whether the place is contaminated just by looking at it.

But the issue is that it will be contaminated, sometimes at

THERE ARE SOMETIMES NO SIGNS WHATSOEVER OF METH CONSUMPTION GOING ON. property you manage, or your agency has listed for sale, may be contaminated. And this is not just those ‘clandestine meth labs’ that you may have seen some sensational headlines about in the past; the ones where you see the tenants have used the kitchen or garage as a meth lab. Those are the obvious ones: If you walk into a property where the tenants or previous owners have been ‘baking bad’, there are some pretty tell-tale signs that there has been cooking or manufacturing in that house.

The bigger issue is now more

the same levels that would result if there were a drug lab in the property. This poses some serious risks, especially for people who don’t know they are around that contamination.

It is totally feasible that one set of tenants moved out, leaving everything nice and tidy; maybe even putting on a fresh coat of paint on the way out.

Then the new tenant moves in and the only sign that there was ever meth in the property

12 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

may be a sudden illness, or someone doesn't know where their strange symptoms are coming from. So we really need to ‘debunk’ the commonly held belief that meth contamination only results from clandestine drug labs. The subject of usage is a much more widespread problem and sadly it’s on the rise.

Unfortunately, the drug meth is such a toxic and powerful drug that residue can seep into any porous surface – carpet, curtains, even timber floors and frames.

Our neighbours in New Zealand have been more proactive about the problem than us here in Australia. There was a case in Wellington in 2013; a watershed moment where meth-using tenants cost the owner somewhere in the vicinity of $65,000 on the sale of their property. Locals had alerted the real estate agent selling the house to do the testing after rumours that the property had been used to manufacture the drug. In fact, once tested, it showed that there was only recreational use; but that was enough to damage the property’s value.

Today in New Zealand it is common practice to regularly benchmark properties for traces of the drug. As a result of this and an intense media

push and public awareness campaign meth usage has dropped considerably.

In America, many cases have been published in the New York Daily News and on methlabhomes.com, highlighting serious injuries to the occupants and some causing their children severe illness as well. We need to do our bit to raise awareness too.

Here are some facts to consider: • When a home has been used as a meth lab, it typically costs anything from $25,000 to $100,000 to clean it up.

• In NSW alone, six to 10 homes are demolished due to meth contamination each year.

• Smoking is now the most popular way to consume meth; and it causes worse contamination than injecting or inhaling (or, for that matter, any other method of ingesting the drug) Unfortunately, meth usage is a growing problem in Australia, more widespread than most people realise.

When purchasing a property we check for things like termites, and other dangers like lead paint and asbestos, as a matter of course. It stands to reason that we should take action where possible to keep our owners’ investments safeguarded and future tenants free from illnesses that can be a result of meth contamination. Education is a step in the right direction. ■

BRYAN GOODALL is the National Sales Manager for Octief, a leading environmental consulting group offering a diverse range of hazardous material, environmental, asbestos and laboratory analysis services.

For more information visit octief.com.au.

1. newswire.co.nz/2013/05/methusers-as-bad-as-meth-labs-forlandlords/ 2. Source: ABC

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epm.eliteagent.com.au 13

FIRST PERSON

Randal Sharp

Why Small is Big Again WHEN IT COMES TO property management, there’s not much

Randal Sharp hasn’t seen. Co-Director of thriving real estate startup Think Property & Co in Melbourne, Randal has worked across all facets of the sector, managed large teams and surveyed portfolios with assets numbered in their thousands. Yet he and business partner Martine Bannister have gone back to basics with their boutique real estate business in Collingwood, and he explains why they think small is big again.

The real estate industry is changing at a rapid pace. There’s technological change, which is empowering both agents and the public, and there’s a generational change underway as well, with a visceral tug-of-war occurring between old-school principals and the elder states people of the industry (those who listed well before email and websites were even a thing), and Gen Ys and millennials who are prospecting in ways foreign to their predecessors.

SAFETY IN NUMBERS In the midst of all this change, real estate brands are homogenising into ever-larger satellite offices, with dominant franchises absorbing their competitors when times get tough. It’s considered a given that there is strength in numbers, with principals choosing to divide risk by combining rent rolls and teams, reducing their overheads while benefitting from the perceived organisation of franchises with strong market share and branding.

THE SECRET OF REAL ESTATE AND PROPERTY MANAGEMENT IN THE FUTURE REMAIN A MATTER OF SCALE. IT’S SMALL IN STRUCTURE, BUT BIG ON VISION AND SERVICE.

DOES BIGGER WORK FOR EVERYONE? Having spent much of my career managing property management teams in premium brands, I know that the logic that bigger is better for real estate businesses is

14 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

essentially flawed. Whilst it might work for principals at the top of the pile – those away from the daily stress of their estate agents, property management teams and administrators – the big model of real estate is an unhappy

place for many staff and, even more critically, for landlords and tenants.

WHAT WORKS BEST FOR LANDLORDS I saw too that scalability wasn’t working for landlords, who felt overlooked amongst chains of property managers divided across leasing, maintenance and condition reporting functions. No one individual would be responsible entirely for their asset, leaving them frustrated at matters undealt with and works undone. Tenants were also dealt a disservice by big real estate for similar reasons – there was no one touch point for their queries or concerns.

If any member of a big real estate team is unavailable, the whole chain is compromised, leading swiftly to customer anger in a time when they feel more entitled than ever (and rightfully so!) to true service. This anger obviously impacts on rent roll shrinkage, and also leads to high staff turnover. And while property management departments are often considered ‘churn and burn’ staffing environments by the industry-weary, they don’t have to be that way.

For all these reasons, my business partner and I, wellversed in all things big real estate, decided that small was the right direction to go when beginning our own agency, Think Property & Co. We have a compact team, who are each responsible for an asset in its entirety. Our clients always know who they will speak to. Matters are resolved swiftly.

Critics might say that this boutique approach is only made possible by size. This is true; scale is all in real estate. And with over twenty years’ property management experience behind me, I know that the right scale for service is small.

THE BIG MODEL OF REAL ESTATE IS AN UNHAPPY PLACE FOR MANY STAFF AND, EVEN MORE CRITICALLY, FOR LANDLORDS AND TENANTS.

WHY SMALL MAY BE THE NEW BLACK Small doesn’t need to equate with a lack of ambition or vision for your brand: since opening our own agency just over a year ago, we’ve enjoyed building our business and also being nominated for the REIV Best Website of the Year. Ambition and passion?

We’ve got it. Dedication to the happiness of our landlords and tenants? We’ve got that in equal measure as well. And respect for our

staff’s well-being, and the health of our business? That’s our focus.

The secret of real estate and property management in the future remain a matter of scale. It’s small in structure, but big on vision and service. ■

RANDAL SHARP is a Co-Director of boutique agency Think Property & Co in Melbourne, and is a 22-year veteran of the real estate industry.

epm.eliteagent.com.au 15

Property Management Mentor

Natalie Hastings

MOVIN’ ON UP AS REAL ESTATE PROFESSIONALS, we spend our days helping people move on from

properties that no longer fit: too big, too small, too old, too far from the places they need to be – you name it. But what about our own needs when it comes to professional premises? Natalie Hastings shares some of her learnings from a recent office move.

I

'm happy to say that hastings + co have just completed a refreshing office change which has impacted positively across all areas of our business. Although it took consideration, time and effort, it has been a real game-changer and a marker of business maturity.

Are your business premises still a great fit? If not, here’s some food for thought on moving.

MOVING SIGNS There are some big indicators that it’s time to move: too many or too few people in communal workspaces, inadequate meeting and waiting zones for clients, and a sense that your space is no longer fit for purpose.

• You might once have been happy without a street presence, but now you need a storefront – or vice versa!

• If your lease is coming up for renewal, this may be a good time to evaluate your position • Growth: if you observe business growth quarter on quarter, taking the next step into bigger, bolder premises might be just the thing to further cement confidence in your business.

WHERE TO NOW? If moving is absolutely on the cards, you’ll want to make sure your new premises will

stand the test of time. Look to locations which are central for your team, providing adequate street parking for staff and customers. It’s ideal to be close to amenities like cafes, banks, post offices – all the normal businesses you and your team would visit during a working week.

Think about the physical space. Is it naturally bright, and a welcoming, positive environment? And consider your neighbours; will your business happily co-exist within the business body corporate or community you’ve selected? We knew that hastings + co had found the perfect new premises in a building housing a premium real estate group – being on the right wavelength with co-tenants can make all the difference to your comfort as a team.

BUDGETS AND LEASES Money certainly matters when it comes to a business relocation. If you’re buying commercial premises, well done! If you’re leasing, think carefully about your lease terms and consider whether you are over or under committing. Too short a lease or too long a lease can each have their own costs to bear. Whilst you’re at the negotiating table, can you secure a rent-free period associated

16 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

MOVING IS A TIME-BURGLAR: DON’T LET IT TAKE THE FOCUS OFF YOUR BUSINESS. with your move or fit-out?

And don’t forget to look closely at your outgoings – if body corporate fees or rates are too high, they can swiftly make a longterm commercial lease problematic.

THE FIT-OUT We moved into an empty space and enjoyed having a blank canvas upon which to create our perfect working environment. Will your business need a bespoke fit-out to make the most of the move? If so, consider investing in a project manager if funds allow. Moving is a

time-burglar: don’t let it take the focus off your business if you can share the burden with an expert.

Think about your office environment. Will you require private offices, or open plan zones? How are the electricals in the building – are there enough internet cables, phone lines and capacity for media, such as a TV screen in your conference room? Don’t forget plumbing either, as you will likely need a functional kitchen and easy to maintain bathrooms.

MOVING DAY Warning: this is not a drill! Moving day can be challenging, as you’ll need to make sure both old and new offices are operational. Test everything before you move: phones, internet, electricity.

Leave nothing to chance.

Think about when you’ll move, too; weekend moves minimise disruption to your clients. If you’re moving on a weekday, have half your team stay in your old premises and the rest involved in the relocation process. By getting the whole team excited and involved in the transition process, your new office will feel like home in no time. ■ NATALIE HASTINGS is the Managing Director of hastings + co. For more information, visit hastingsandco.com.au.

Realty Bytes

Alister Maple-Brown, CEO, Rockend

CONSUMER TECH GOES TO WORK THE WAY WE WORK today is so very different

to the way we worked even a short number of years ago – and one of the key drivers of this change has been consumer technology.

T

raditionally, businesses have kept a tight rein on the devices their employees use and the software they access. But stroll through almost any company today and it quickly becomes apparent that employees have taken matters into their own hands. Now, instead of relying on IT-sanctioned desktop computers and centrally deployed software, you’re much more likely to find people using their personal devices.

It’s easy to understand why. The consumerisation of technology has put a vast range of devices and tools into our hands, enabling us to work where and when we want and how we feel most comfortable and productive.

Yet many businesses have been slow to consider how they can apply this to their advantage to increase productivity and facilitate collaboration amongst their team.

Here’s two options to consider.

FACEBOOK AT WORK Facebook has already pretty much taken over your personal life. Now it’s coming for you at work, and is set to make work as addictive as socialising.

Set to launch in November 2016, the enterprise communication and collaboration network Facebook at Work is expected to be similar to rivals such as Yammer and Slack – allowing you to communicate and collaborate with your team,

and cutting down on email chains and other old hat ways of working.

It will boast a news feed and mobile apps for iOS and Android.

Its biggest strength will likely be its familiarity to us all.

GOOGLE DOCS For decades Microsoft’s Office Suite has reigned supreme. It’s a business necessity, right? Maybe not. Most users report using less than 10 per cent of the features offer within the Microsoft Office suite. And it’s not cheap either.

Enter Google Docs. Part of a suite of Google cloud applications, Google Docs enables you to create, edit, store and share files with other users online from remote locations and in real time.

The power of Google Docs is it’s versatility. You no longer need to concern yourself with data storage and backup as this is handled by Google. And if you use a variety of different devices all you need to do is open a browser and you’re good to go.

One thing is for sure, there’s enormous potential for companies to embrace a redesigned approach to business. As we continue to embrace the use of consumer technology in the workplace, we’ll see dramatic gains in productivity and profitability. ■

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ALISTER MAPLE-BROWN is the CEO of Rockend. For more information visit rockend.com.au.

epm.eliteagent.com.au 17

Business Development Mastery

Tara Bradbury

WHAT'S WORKING FOR TOP BDMs RIGHT NOW TARA BRADBURY RECENTLY achieved a long-held ambition and set up a ‘round table’

event specifically for BDMs. Here are seven strategies from the event that participants say are working for them right now.

W

hen I was an active BDM I always wanted to be involved in a round table event with an exclusive group of up to 20 top performing BDMs across the country.

However, this was never offered and I found that, while many conferences had BDM presenters, I needed to attend sales training events to get the next level strategies, to ensure I was on track with my growth path and secured new business each month.

These days, however, we do have many events that are very supportive of BDMs in the property management industry, with loads of talent across Australia and New Zealand.

Over the last 12 months I have been talking with many BDMs across the country about the round table idea and asked if it was something they would be interested in.

The feedback was superpositive and on 30 September, after less than two weeks of personal invitations, we secured our select group of 24 agents across Australia.

The event was run over a full day and our hot-seat session was where the ideas and strategies started flowing around the room.

As I’m sure you can appreciate, I’m unable to

share every secret that we discussed. However, I wanted to give a sneak peek of what you can expect at future events and share with you our top three takeaways.

1

BDM expectations: Your targets are only as good as your actions.

A KPI must be measurable.

Remember: what gets measured gets managed. The targets must be stated in clear terms and a time frame must also be established for all KPIs, with key checkpoints along the way to ensure that the BDM is on track.

When it comes to KPIs, you need to be specific. This makes it much easier to track for both the BDM and the principal. Each day you should be asking yourself, ‘What is the ultimate outcome I would like to achieve? What needs to be done to achieve my targets?’

When your KPIs are specific it allows less room for confusion and misinterpretation. The BDM then has a clear plan

18 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

to follow and the principal has something to refer back to when the BDM is held accountable.

Don’t just write KPIs because that is what you have been told other BDMs do. Take the time to review your position, agency, experience and marketplace when setting your targets. Many BDMs will focus just on the numbers and not on the dollar value.

• Measure new business secured (leased and/or generating an income) • Measure net growth • Measure properties lost

last 12 months prior to setting your KPIs for the next 12.

2

BDM and agency marketing strategy: A detailed marketing strategy is essential for every BDM and agency.

Many BDMs are hesitant to go out and start promoting because they simply don’t know how to do it. Before you hit the streets and start promoting every way possible you need to have a marketing strategy. You need to have a detailed plan and a consistent approach. Adding a Facebook

BEFORE YOU HIT THE STREETS AND START PROMOTING EVERY WHICH WAY POSSIBLE YOU NEED TO HAVE A SOLID MARKETING STRATEGY— A DETAILED PLAN AND A CONSISTENT APPROACH. • Measure your prospecting pipeline • Measure your database contacts (hot, warm and cold leads) • Measure your call connects • Measure your appraisals • Measure your networking events attended and the connections made As you can see, so many areas can be measured. This is why it’s so important to complete a full review of the

post once a week or running an ad in the local paper the next week will never work without frequent updates.

To achieve a truly effective marketing strategy, you must evaluate the property management industry and your primary target audience.

The first part you will need to evaluate is the actual agency and your role in it. This means looking at your property management department

from a landlord’s or tenant’s point of view. What do they truly get out of your agency?

Once you know that, you can create a marketing plan of action and start implementing your ideas.

A good marketing strategy is essential for every BDM and agency. It gives the principal a clear direction of where to go with marketing efforts, and a better understanding of what marketing methods are working and generating ongoing leads.

I tested many possible approaches when it came to the promotion of my BDM role and the agency. Some worked well and created consistent ongoing referrals, while others failed miserably.

It’s okay to test a large amount of promotional ideas if you are tracking them along the way.

3

BDM prospecting and branding: The importance of creating an ideal week.

‘I wish I had more time’ and ‘If only I just had an extra couple of hours in my day I would achieve so much more.’

We all agreed that these were excuses and phrases that would be left in the training room and never spoken again when once we returned to the agency. But you are probably all thinking ‘If only it was that simple’.

Well, the answer is: it is!

There are only ever going to be 24 hours in a day. We therefore discussed the importance of having an ideal week in place to make sure we are 100 per cent accountable for where our time is spent.

Many of us tend to procrastinate during our daily routines. Having an ideal week keeps us on track, ensures our time is focused on

income-producing activities and holds us accountable for our actions.

So to ensure all BDMs get the most out of each day and are focused on prospecting activities with proven track records, here are the top seven non-negotiable strategies working in many agencies across the country.

1. Connect with all your clients and turn them into advocates: make five client service calls each day 2. Make sure you connect with 10 prospects, followups or referrals every day 3. Invest in your website and social media presence 4. Offer a giveaway on your business card 5. Build referral relationships with builders, developers and buyer’s agents 6. Review Gumtree and target private investors 7. Create and distribute a ‘Just listed’ and ‘Just leased’ flyer.

A key point that was raised throughout the day was that although people seem to think the role of BDM is an easy overnight success, we know this is not the case. In fact, most days you can feel like you want to get off and escape, but other days you wish the ride would never end. Despite all the ups and downs, we all agreed the role of a BDM in a property management business is a very rewarding career path for the right person. ■

TARA BRADBURY is the Director of the BDM Academy, sharing her business development ideas and strategies with property management BDMs and principals. For more information visit bdmacademy.com.au.

epm.eliteagent.com.au 19

Game Changer

Jo-Anne Oliveri

WHICH STRUCTURE IS RIGHT FOR YOU? TASK, PORTFOLIO, PODZTM, HUBZTM AND HYBRID; these are all structures used in

property management businesses right across Australia. Which one is right for you?

Jo-Anne Oliveri explains how to select the best structure for your agency while avoiding any pitfalls.

N

o matter what size your property management agency, an effective business structure is essential. Here are five structures often used in property management; for each one there are advantages and disadvantages; so the key is to analyse your agency’s needs and be flexible as you plan ahead.

1

TASK-BASED Task-based management is where each team member is assigned a task, such as property inspections, maintenance management or tenancy renewals. The best time to use task-based is when your business has grown its rent roll and team to a large enough size for this structure to be considered viable.

To operate successfully, this structure requires high levels of cooperation and accountability. That’s because one of its pitfalls is that team members do not oversee the entire property management process. For example, since one team member manages property inspections, the portfolio manager has less information to be able to communicate effectively with the property owner. However, if you implement task-based management, I believe you should still appoint single team members for specialist roles such as the leasing consultant. If this element is managed, task-based can lead to increased productivity and profitability for your business.

2

PORTFOLIO-BASED Portfolio-based management is when each property manager is appointed a number of closely-located managements, and they complete all tasks associated with those properties. Any agency, at any stage, can use portfolio-based management.

However, in order for this structure to work effectively, each property manager should have an administrative assistant, referred to as a property management

20 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

coordinator (PMC). To achieve the best results, the PMC should manage the portfolio’s non-dollar productive tasks, whilst the property manager manages dollar-productive activities.

Portfolio-based management is a simple way to manage performance, productivity and profitability.

It allows your agency to grow

IF THE BUSINESS IS NOT MANAGED WITH SUITABLE ACCOUNTABILITY INDICATORS, TASKS CAN BE OVERLOOKED, LEADING TO LOSS AND LIABILITY. whilst maintaining consistent service standards and operational processes. The main pitfall associated with this structure is that clients may form strong relationships with the portfolio manager rather than the brand.

However, since properties can be moved from one portfolio to another without any break in their management, portfolio-based allows

this challenge to be easily managed to ensure optimal brand protection at all times.

3

PODZ™ (PODS) Profit Optimisation Distribution Zones, or PODZ, should only be used for large property management businesses.

In this structure, a portfolio manager is employed as an associate portfolio manager who is responsible for meeting targets. Their role is to manage a large portfolio of properties and achieve maximum retention, growth and profitability. In return, they receive a percentage of the profit gained from their portfolio.

A pod consists of an associate portfolio manager, one or two para-property managers and a PMC. The associate portfolio manager is responsible for all tasks, including training the paraproperty managers so they can eventually be assigned their own portfolios, whilst the PMC minimises overhead costs. As a result, this is the perfect structure for a growing business since portfolios can swell by 50 per cent or more, depending on the number of para-property managers.

However, PODZ’s main pitfall is that if the business is not

managed with suitable accountability indicators, tasks can be overlooked, leading to loss and liability. The associate portfolio manager should therefore be business-minded and have strong leadership qualities in order for this structure to be successful.

4

HUBZ™ (HUBS) Hyper-Uberised Business Zones, or HUBZ, ensure business stability and asset protection.

HUBZ is only suitable for super-agencies managing 2000 or more properties. Each cell has an appointed team leader, six portfolio managers, three PMCs, one leasing consultant, one receptionist,

and one ‘floating’ property manager. Each portfolio manager is assigned a portfolio of properties as they would under the portfoliobased structure.

HUBZ supports your business in achieving sustainable growth and profitability. This structure also allows large property management teams and the training and induction of new recruits to be easily managed. Its main pitfall is that this structure is only effective for super-agencies.

5

HYBRID Hybrid is a combination of two or more business structures.

The best time to use this

structure is when your property management business is growing from one size to another; what we refer to as in a ‘transitional phase’.

Since a transitional phase is a critical time to manage brand protection, team stability and business retention, any structural combination can be effective, depending on what size agency you are moving towards. As a result, hybrid is the most effective business structure to manage your agency through a transitional phase if you want to achieve growth and protect your brand.

When it comes to choosing the best property management business

structure for your agency, the important thing is to plan ahead and remain flexible as you grow. This allows you to know, well in advance, the right structure for your business to ensure your agency has the best chance of succeeding. ■

JO-ANNE OLIVERI, CIPS, TRC, is the Founder and Managing Director of PM business solutions company ireviloution intelligence.

She is an international real estate identity who has trained over 500 agencies and thousands of agency owners and PMs worldwide.

For more information visit ireviloution.com.

epm.eliteagent.com.au 21

COVER STORY

22 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

EMPOWERED LEADERSHIP CENTURY 21 WENTWORTH’S Megan Harris is

a property professional who represents a generational shift in the real estate industry. Having started at the age of 19, Megan has purposefully developed into a shining star of the group as department manager of their Frankston office. In a change to the traditional franchise management structure, Megan acts as director for her growing team – without having a financial interest in the business herself.

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HERE ARE PLENTY of misconceptions around Gen Y property managers; if you had any, meeting Megan Harris would likely change your mind.

STARTING AT RECEPTION AND BECOMING INDISPENSABLE Plain-speaking and friendly, Megan didn’t have a clear career path established upon leaving school. “When I first started working in real estate, I was looking for a receptionist job. The manager rang me back, saying that I was the only person who attended the interview wearing a suit and with brushed hair – so I got the job, which was a winner! I started on reception, as most PMs do, with no experience; I had no idea what ‘property manager’ or ‘investment property’ meant. I continued working there, and I’d occasionally say to my manager, ‘I’m going to be sitting in your chair one of these days!’

Sure enough, Megan’s career goal did come true, but only with a strong commitment to both the business and her own professional development. Megan propelled herself from the position of receptionist to the roles of property manager, BDM and eventually department head. “I really needed to step up and take responsibility for myself. If you

want to progress through a business, you need to be consistent, to constantly be pushing yourself. I wasn’t happy with just plodding along – I made sure that I was always busy, always offering my help to the manager, not shying away from letting her know when I was bored. I went from working reception to being a trainee, before becoming a property manager and eventually a business development manager. Before long, I was being groomed to be a department manager.”

WHEN THE GRASS ISN’T GREENER Despite her loyal years of service and achieving her goal of department manager, Megan eventually hit a wall in growth, ultimately leaving Century 21 Wentworth to work for a competitor. “I didn’t feel like I was being heard, which had much to do with management at the time. I was under a huge amount of pressure to grow the business with few tools – to succeed whilst paying people the minimum wage. I would spend all my time training people, who would develop into great team members before they’d leave to work 10 metres up

epm.eliteagent.com.au 23

COVER STORY the road for a more competitive salary. In the end, having to go over the same issues time and again broke me.”

But, she says, leaving wasn’t really what she had hoped for. “When I left – I never thought I’d say this – I instantly regretted it.” Megan laughs. “In hindsight, it was critical to my development and I’m glad I took a break. But after 18 months, I really missed Century 21 Wentworth, I missed the depth of the role and my freedom there. When I was contacted to come back, I jumped at the chance – I knew there was no other business where I could run a team and make decisions as if the agency were my own.”

say something positive about a competitor if they’re brought up – Century 21 Wentworth want to improve the industry with leadership behaviour.”

In many ways, Megan is also an example of a new-generation real estate leader – a decision-maker who is not a principal but has true delegation of authority from the top. “If my team need anything, they come to me. Charles trusts and relies on me to tell him what he needs to know, and that the team is working well and being nurtured within their roles. The buck stops here with me.”

There’s another benefit to the unique structure of this principal-lite office, too.

“I like that it’s more relaxed because we don’t have a director breathing down our necks,” says Megan. “This sense of calm is reflected in the team: there’s still the same amount of respect and responsibility for their roles, but without the stress of being constantly observed.”

HAVING THE RIGHT MENTOR Whilst some principals might shy away from giving a staff member – no matter how senior – such professional autonomy, Century 21 CEO Charles Tarbey’s decision to rely upon Megan’s talent as department manager improved results. “Frankston is a super-competitive area,” says Megan. “It

“I WASN’T HAPPY WITH JUST PLODDING ALONG – I MADE SURE THAT I WAS ALWAYS BUSY, ALWAYS OFFERING MY HELP TO THE MANAGER, NOT SHYING AWAY FROM LETTING HER KNOW WHEN I WAS BORED.” feels like we have new agencies opening up here every fortnight – it’s intense!

However, even in this environment, I’m proud to say that under my management our rent roll has grown to well over 1,200 properties, and our property management team has been stable for 12 months. Once upon a time, the team were overworked and unsupported – but now with a focus on a happy corporate culture backed up by systems and processes, our customer complaints have dwindled to nearly zero and landlord satisfaction is high.”

It is clear also that Tarbey has been a big influence throughout Megan’s career, as well as his trust in her to deliver. “Charles has always been a really great mentor.

You can be so upset about something, and all it takes is one conversation with him for you to think that the world is sunshine and rainbows! He has a real

faith in people, which I love about him.

He can get you 100 per cent on board with something you don’t even agree with, just by having a chat.

“Coming back to Century 21 Wentworth, I have much more respect for the business – particularly the freedom I have in the management of my team, even though I’m not a director and I don’t have a financial interest in the brand. I’m trusted with one of the biggest property management departments in Century 21 Australia, yet I haven’t any education in management, I’ve no degrees. I’m proud to say that Charles does trust me, even though I left and returned to the business. Leaving made me appreciate everything I had here so much more.”

THE RECIPE FOR GROWTH There’s no magic formula to Megan’s success in building her business, as Frankston is an agent-saturated environment where winning business is never easy. It’s all about good old-fashioned service and care. “We have thrived by treating everyone as though they are a client. Whether they’re a landlord, a tenant, a tradesperson, or a walk-in, we’re respectful and helpful to everyone.

I’ve also developed strict procedures for complaints handling; for example, we’re never to raise our voice or act aggressively, no matter how bad the situation.”

Refreshingly, Megan also ensures her team know never to say negative things about the competition. “In a listing, I’ll always

24 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

PLANNING FOR 2017 The holiday season is a notoriously busy time for property management teams – but Megan is confident this stress can be alleviated with proper planning.

“Experiencing a smooth holiday season in your office is all about being proactive rather than reactive. Pre-empt the problems you might have. For example, tenants might not be paying their rent on time over Christmas. There are lots of things that can happen during this busy period, especially in our sociodemographically disadvantaged area.

Consider sending a text, letter or email to your tenants, reminding them to think about both Christmas presents and paying their rent. Take time to warn your landlords about what might happen over the busy Christmas period, too.

“Also, look carefully at the months of December and January, and spread out your workload evenly, diarising your routine inspections well in advance.”

Megan also suggests implementing a strategy for 2017 now, so that holidays don’t impact negatively on your business. “I’ll be implementing a prospecting plan in my office for 2017; every month we’ll be doing something different. I’m setting a task for my property managers to win new business using fresh prospecting techniques, reviewing our progress as we go. I’m focused on retaining my team, making sure we have happy employees and training them so that ultimately I’m not needed. I aim for everyone to attain a similar level of skill, freeing me up to work on the business and not in it.” ■ IOLANTHE GABRIE

Encourage new listings and grow your rent roll

Introduce your investor clients to property depreciation and reap the benefits in return.

By including tax depreciation in your offer, you can help make a property more affordable for investors and get that next rental appraisal across the line.

BMT Tax Depreciation offer obligation-free advice on a property’s depreciation potential, showing your clients the deductions they could be entitled to.

To arrange a free estimate call the expert team at BMT on 1300 728 726 or visit www.bmtqs.com.au

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50

TRANSFORM PM 2016

Top Tips from

TRANSFORM TRANSFORM PM 2016 has been an intensive

process of learning and reflection that included attending ARPM 2016, coaching and mentoring sessions, and an ‘Amazing Race’ finale. Here are 50 top tips from our Transform PM coaches and the Dynamic Dozen.

28 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

1

“You have to be able to do more with less. You just have to, it’s not an option.

All I see us doing in our industry is actually adding to the complexity of what we do every day.” – Fiona Blayney

2

“We need to understand what our client is buying. Once we know what they’re after, what their concerns are, what their fears are, then we can make our point of difference really meaningful and relevant to them.” – Hannah Gill

3

“When I knew that I had to go back and report everything [to Heidi Walkinshaw of Real+], I knew I had to get a plan in place.” – Kira Bauerle, Zelle

4

“[Setting] KPIs is effectively reverseengineering your vision. You are looking at what your vision is, what your goals are. Then the KPIs are basically what make the goals happen, and then the goals make the vision happen.” – Sophie Lyon

5

“We are encouraging our tenants to pay monthly because it minimises the amount of times you have to get on the phone to chase arrears.” – Mary Karam, R+W Marrickville

6

“…People will buy from people they like and people that they trust, and often they will buy on emotion and justify it with logic. So remember, there is always ‘a right reason’ that people bought something, and then there’ll be a real reason.” – Samantha McLean

7

“As a leader, pick one thing at a time and do it strategically and make sure you’re going back, and reviewing the value that you’re getting out of that action.” – Tanja M Jones

8

“Tenants’ search behaviour: how many pages do they view? About half the audience get to page two, which is about 40 listings in, and then they stop. It’s important that you are up the front of the search results.” – Richard Bray, realestate. com.au

9

“It just makes sense if you bring those people who are going to be in their flow in particular areas and put them into the right job because that’s where they’ll bring the most value naturally to your business.” – Julie Davis, Agent Dynamics

15

“Our market is always changing.

We know that, and if we’re not agile to adapt to those changes, we’re going to fall behind.” – Hannah Gill

16

“They [clients] are wanting to receive information in an easy to understand, easy to consume way” – Helen Mitchell

17

“Being a little bit self-aware of how you approach a situation and I guess that comes down to your personality type as well; working with those.” – Rachel Torney, Harcourts Adelaide Hills

18

“You are either all in [with helpful content marketing], or you just keep going out and interrupting people, the same way that real estate agents have done forever.” – Josh Cobb

19

“I have a long way to go still! I am still working on removing the fear factor and connecting with people to grow the database.” – Hayley Hawkins, PMHQ

20

10

“Ask your clients what is the one question they would like to know more about or a problem they would like solved when it comes to property management or property investment.” – Josh Cobb

11

“We need to be evolving; we haven’t yet forced ourselves to change as an industry.” – Fiona Blayney

12

“It’s your job to adapt and understand that people don’t necessarily want to be treated how you want to be treated. People want to be treated how they want to be treated.” – Sarah Bell

“YOU ARE EITHER ALL IN [WITH HELPFUL CONTENT MARKETING], OR YOU JUST KEEP GOING OUT AND INTERRUPTING PEOPLE, THE SAME WAY THAT REAL ESTATE AGENTS HAVE DONE FOREVER.” – JOSH COBB

“You can see when it comes to tenants or people looking to rent a property, it’s mobile [that] is king.

Everybody is on their mobile so what are the tools? How easy are you making it for your tenants to engage with all things mobile?” – Richard Bray, realestate. com.au

21

“We have broken down our property management into packages to give landlords more choice of what they can get for their money.” – Robert Bell, Zelle

22

“Everyone calculates a cost/ benefit value equation, as they make decisions on what they’re going to buy. They’re going to look at what the cost is, whether they like the options that they’ve been presented, and what else they might like.” – Samantha McLean

23

“A lot of people have worked out that it’s not the cheapest agent who’s the best agent. They’ve worked out that it’s the agent who can get the job done.” – Charles Tarbey

“Systems are lacking in property management…It’s not the lack of work ethic, it’s the issue of having information at your fingertips, and the ability of the customer to get that information immediately.” – Charles Tarbey

14

24

13

“It’s really important, especially as a leadership team, that you have someone that you can just ‘park your funk’ with and get stuff off your chest because, as I said before, it can be lonely at the top.”

– Tanja M Jones

“One of the most important parts of my experience has been following up until you get a decision. I’m not talking about stalking people, but I’m talking about continuing to contact them until they say ‘yes’ or ‘no’.” – Hannah Gill

epm.eliteagent.com.au 29

TRANSFORM PM 2016

25

“It is always the person in a business that says ‘no, no, no.

I don’t need any training’. They need training.” – Fiona Blayney

26

“I’ve leant more towards treating property management as the most important thing…I’ve seen dividends of it already.” – Trent Shorland, Harcourts Adelaide Hills

27

“The big thing for businesses is, over the next five years, with the massive growth of video, how are you going to manage all that stuff?

Where are you going to put it all?” – Helen Mitchell

28

“It [property management] seemed so negative, chasing arrears, and I thought, ‘what is this?’…I believe you need to stay positive and don’t forget who you are in your role.” – Kim Clewett, PMHQ

29

“It [technology] takes away from the property manager being the bottleneck of all information, to a platform being the holder of information.” – Alister Maple-Brown

30

“We want things yesterday; we want it quickly, and we want information pushed to us.” – Fiona Mott, Rockend

31

“We’re about the restoration of relationships, and we’re about moving forward because that’s the best thing. It’s a long game. It’s not a short-term fight that we’ve got to win. It’s about a long-term relationship that we’ve got to preserve.” – Sarah Bell

32

“People often forget that it [the rent roll] is a multiplier of profit…

How do we get one more dollar to the bottom line, and not just the top line?” – John Knight

33 34

“Transforming is allowing transparency” – Fiona Blayney

“Here’s the database. Call everybody. How many properties do they have? Who do they know? To get to the next step, this is what we’ve got to work on.” – Adriana Dendrionos, R+W Marrickville

35

“A lot of businesses believe that cloud technology is the same process, it’s just deployed differently.

Whereas the reality is, it’s an entirely new

paradigm of how to communicate with people.” – Alister Maple-Brown

36

“Sometimes it’s not about getting more tech, it’s about knowing what you’re not using that you’ve already got”. – Fiona Blayney

37

“The concept to continually identify the things that go wrong, [and to] put a procedure in place to stop it from happening…Eventually, most of the problems that I had in business don’t exist anymore…” – Charles Tarbey

38

“We used to do a listing presentation. That was never really, to me, about what [the landlord’s] needs were, or what their expectations are.

We have changed the whole scope of that now.” – Kelley Seaton, PMHQ

“IT IS ALWAYS THE PERSON IN A BUSINESS THAT SAYS ‘NO, NO, NO. I DON’T NEED ANY TRAINING’. THEY NEED TRAINING.” – FIONA BLAYNEY

30 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

39

“Avoiding conflict is a conscious decision to drag it out and it can escalate the position of both parties.” – Sarah Bell

40

“I think it [the cloud] puts another level of accountability on the property manager to make sure the job’s done correctly because the client’s got access to it”. – Philip Bell, Zelle.

41

“Fundamentally, everyone wants to feel they’ve got a high level of contribution to what they’re doing.

Everybody wants to experience a high degree of satisfaction and show up every day in their ideal role playing their best game.” – Julie Davis

42

“We might have a benchmark profitability percentage, but if you are at capacity that may not be sustainable.” – John Knight

43

If we now look at why people invest…65% of landlords want to grow their wealth…44% want an income during retirement…33% are doing it because they want to reduce tax. These are points to reiterate back [to clients], especially for the BDMs when they are out there.” – Richard Bray, realestate.com.au

44

“Confidence when you deliver the fees is so important. You have to own it, because if they get any hint of a lack of that, one, you’re going to lose that trust, and, two, they’re probably going to try to negotiate, so you want to nail the fee part of it.” – Hannah Gill

45

“We reviewed our tradesmen [maintenance contractors] and then we interviewed some new ones and they have come in and been brilliant.” – Mary Karam, R+W Marrickville

46 47

“Don’t collapse one ‘failure’ into ‘I am a failure’.” – Tanja M Jones

“84% of people still want to use property managers because they consider it value for money, and they consider you as an employee that’s looking

“HERE’S THE DATABASE. CALL EVERYBODY. HOW MANY PROPERTIES DO THEY HAVE? WHO DO THEY KNOW? TO GET TO THE NEXT STEP, THIS IS WHAT WE’VE GOT TO WORK ON.” – ADRIANA DENDRIONOS, R+W MARRICKVILLE after one of their most valuable assets.” – Richard Bray, realestate.com.au

48

“In our industry, our words are our tools. We need to have the ability to give clients a clear understanding

of our jargon to resolve issues and manage conflict successfully.” – Kira Bauerle, Zelle

49

“Marketing and branding; it’s not just the paper; it’s not just the website. It is the living, breathing brand.” – Fiona Blayney

50

“For me, my property management team will continue to get some coaching on a regular basis; apart from Fiona keeping me accountable, it’s been Rob, myself and Kira holding each other accountable on the journey as well.” – Philip Bell, Zelle.

To watch all the Transform PM videos online visit eliteagent.com.au/transform.

There is additonal exclusive content from Transform PM in our new leadership magazine Insights. Visit eliteagent.com. au/insights for more info. ■ SARAH BELL

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epm.eliteagent.com.au 31

TRANSFORM PM 2016

Transform PM Finale

THE AMAZING ‘PROPERTY MANAGEMENT’ RACE

I

T WAS COMPETITIVE. It was fast. It was furious. In a fitting end to this year's Transform PM Challenge, was an 'Amazing Property Management Race' event. Designed by Elite Agent, the Great Race Australia, Realestate.com. au, Property Safe and Busivid, we tested our teams’ collaborative, problem-solving and PM skills, and of course had some fun.

This final step in the program gave our four Transform teams the chance to compete for the title of PM Transform Champion 2016.

The challenge began at Rydges Hotel in North Sydney. From there, our four teams followed a set trail to solve puzzles and, assisted by the four Real+ coaches, prove they had the goods to win the inaugural title.

Our four Transform teams had six checkpoints to pass: 1. Testing their building and engineering skills by constructing their own ‘skyscraper’ 2. Using their problem-solving skills to find a mystery landlord (Charles Tarbey from C21) hidden in an apartment at a secret location in North Sydney. Three challenges awaited them at this checkpoint:

32 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

• To create a video property report for the landlord using the Busivid system and assess the correct rental amount • Create copy and images (including 360 degree photos) in a realestate.com.au listing for the property • A walk-through assessment of the property with a risk assessor, pointing out potential risks to the landlord and conducted a routine inspection using Maintenance Manager.

3. Testing their target skills with giant slings to ‘Hit their targets’ 4. Completing a problem-solving change as a team by locating where their personal ‘Monopoly Chance’ Card was located 5. Finding the next location with a locked toolbox, where yet another puzzle required completion 6. Lastly, show their sales skills by organising a conga line of strangers with a minimum of 10 people – and filming it as proof. The more people doing the conga, the more points the teams scored.

While all of our teams are winners, the Amazing PM Race on the day was won by Harcourts Adelaide Hills, who showed the highest level of ingenuity, quick thinking and teamwork. ■

THANK YOU! Elite Agent would like to thank our PM Transform 2016 supporters

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To watch the latest coaching and highlights visit eliteagent.com.au/transform epm.eliteagent.com.au 33

HUMAN RESOURCES

UNDERCOVER TEMP WHAT IS IT REALLY LIKE to

be a temp in a property management department?

Easy, you might think; you just come in, do your job, leave at the end of the contract and get paid well.

But if you do think that, you are greatly mistaken, as Lauren Kropp, Director of Real Strategix, found out for herself.

W

E’VE ALL SEEN the show Undercover Boss, but there have been two instances over the past year that I have placed myself in the temp world as an ‘undercover temp’.

When I first put the feelers out about entering Real Strategix into the recruitment/temping world, I thought, ‘There is no way I can make my new business venture work unless I live it myself.’

It was hard for me to take my consultant hat off and put my temp hat on. What that meant was, ‘Just do the job the best way you know how, but don’t tell them there’s a better way as a consultant would.’

The first office did not know my

background and had just heard through the grapevine that I might be interested in temp work – perfect timing.

My job was doing the lease renewals for three large portfolios, which was a fulltime four-week position. During that time, I was seated in an office off to the side where no one really checked on me. I was basically forgotten about.

It was by no means welcoming.

I would hear from reception, ‘Who is

Lauren? Does anyone know a Lauren?’ to which the office would fill with yells: ‘Nope. Sorry!’

The receptionist would reply, ‘Sorry, Mr Smith, we don’t have a Lauren working here.’

It was about now I had to go and introduce myself to reception.

Who hired me? Who was paying me? Where was my induction? I didn’t even know where the toilets were, the

I WOULD HEAR FROM RECEPTION, ‘WHO IS LAUREN? DOES ANYONE KNOW A LAUREN?’ TO WHICH THE OFFICE WOULD FILL WITH YELLS: ‘NOPE. SORRY!’

34 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

emergency exits or who I was reporting to.

Did I have a password? Was I a registered user of the trust accounting software so my ‘temp’ role and notes could be tracked? Did I have a time sheet or could I just leave at the end of the day?

Who were the people whose names were on the portfolio that I was doing lease renewals for? Is there a system in place which they want me to follow? Or do I just send the lease with a notice to leave? Do I always do a CMA? Oh... do they use RP Data for this?

Who is this awful woman eyeballing me from across the room? Oh, that’s the property manager whom I have had to tell the principal about; she hasn’t actioned lease renewals for the past four months and has 130 properties on periodic leases.

This particular role was not stressful apart from the abuse from the owners, wondering why their tenants had not been on a lease for 12 months.

Luckily, in this instance I was able to secretly put my consulting hat on and take on a very unhappy owner. Within four days his new lease was returned with a substantial rent increase and he became my best friend.

During my time in this office two people out of 30 introduced themselves to me.

After three weeks I was still hidden away, although by this stage everyone knew who I was as I had introduced myself and my role.

This is the hardest job of a temp. They are brought into an unfamiliar office for sometimes as short as a week or two as the property manager has just walked out.

And if that particular property manager didn’t leave notes, all they have to go on is email searches, which are sometimes like reading Nancy Drew novels.

We all know there are good PMs. I loathe the term ‘bad’ PMs; instead, I refer to those as ‘PMs who struggle with the workload’. But you must realise how difficult it is to have a temp come into your office and pick up the pieces. I call them Temp Private Investigators.

Don’t get me wrong; we have gone to many offices that are what I call WGT (‘We Got This’). These are the ones that have the computer passwords set up, the introductions sorted, a list of things to do and the friendly ‘Thank you, Mrs Temp, for coming in and helping us out’ attitude.

Please be nice to temps. I know you

WHO IS THIS AWFUL WOMAN EYEBALLING ME FROM ACROSS THE ROOM? OH, THAT’S THE PROPERTY MANAGER WHO HASN’T ACTIONED LEASE RENEWALS FOR THE PAST FOUR MONTHS. have to show them around and answer questions about procedures and systems, but they are there to help make your life that little bit easier. And trying to get you to stop at just one glass of wine instead of a bottle a night.

Undercover temp, over and out. ■

LAUREN KROPP is a director and consultant at Real Strategix, who offer a wide variety of property management consulting services. For more information visit realstrategix.com.au.

epm.eliteagent.com.au 35

BEST PRACTICE

I

T IS A TRUTH universally acknowledged that 10 per cent of conflict arises because of a difference of opinion, while 90 per cent is due to the incorrect tone of voice. In fact, when it comes to communication 55 per cent of what we say is through our body language.

When you have a think about your communication style, are you aware of your approach and how someone may perceive you in the first seven seconds?

That’s all it takes for a first impression to register. Do you have a communication approach that is positive and attracts business, or one that may hinder the opportunity to build rapport?

So what are some of the areas that we might like to look at when it comes to our body language?

1

EYE CONTACT Eye contact helps to communicate your sincerity and also assists in increasing how directly your message will be received. Looking around, or anywhere but

DO YOU HAVE A COMMUNICATION APPROACH THAT IS POSITIVE AND ATTRACTS BUSINESS, OR ONE THAT MAY HINDER THE OPPORTUNITY TO BUILD RAPPORT?

IT’S NOT WHAT YOU SAY; IT’S HOW YOU SAY IT 2

at the person you are communicating with, can be perceived as untrustworthy and show a lack of confidence. It is wise to maximise eye contact as much as possible, keeping your gaze relaxed and steady, ensuring that you don’t cross over into ‘crazy eyes’ territory.

HOW MANY PEOPLE do you talk to in the course of a

day? In real estate the people we meet are from all walks of life, meaning we have to manage a range of personalities and expectations, and all with differing styles of communication. Heidi Walkinshaw outlines a few points to bear in mind when it comes to getting the message across the right way.

36 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

BODY POSTURE Your body posture goes a long way in communicating how you present yourself and this includes how you stand or sit. It’s an interesting social experiment to watch how open others are to receiving a message by watching their posturing. Arms folded and body turning away is usually a pretty good indication that a message is not being received well, while slumping over can give someone else an advantage. Try an experiment on yourself; when you are talking with someone, slump over and then sit up straight. You will notice a difference in how you feel, even within yourself, when you are sitting up and taking notice.

REMEMBER THAT PEOPLE WILL PERCEIVE YOUR MESSAGE DIFFERENTLY DEPENDING ON THE SITUATIONS THEY MAY CURRENTLY HAVE IN THEIR OWN LIVES.

3

WATCH YOUR HANDS Are you a hand talker? Some of us fall into the ‘Guilty’ category of hand talking, yours truly included.

While we talk with our hands, it is important to remember what those hand gestures may be communicating.

Gestures can help by adding to your message, keeping in mind that visual communication goes straight into the long-term memory bank, while words written on a page spend their time in the short-term memory. However, if you are one to gesture, keep those hand movements open and warm, rather than erratic.

4

SPATIAL AWARENESS How far you space yourself from another person can also impact your communication. I’m sure we have all met someone who is a close talker; you know, the ones who get so close to you that you can see the whites of their eyes and every individual pore on their face. This type of communication can lead to a feeling of intimidation, which may even back you into a corner. Remember the bubble of personal space, especially if you are a close talker; just taking a few steps back can help with building rapport.

5

A LITTLE SMILE GOES A LONG WAY Don’t forget to smile! Your face can sometimes give you away if you aren’t careful and a skilled poker player. A stern, serious facial expression will assist in getting a direct message across, while remembering to smile will communicate that friendly message you would like to send.

Remember the old saying, ‘You get more flies with honey than you do with vinegar’? It’s an oldie, but a good one to bear in mind. Tonality and the inflections in your voice can express your

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message more than you might think.

A conversational tone can assist with building rapport, while an aggressive tone can very quickly turn a relationship sour.

Be cautious when you are communicating, either over the phone or face to face; remember that people will perceive your message differently depending on the differing situations they may currently have in their own lives.

Building rapport with others takes time and there is no real quick fix. While some personalities will hit it off straight away, others are a slow burn. Time and patience are the ultimate keys to building long-lasting relationships with clients and customers. ■

HEIDI WALKINSHAW has been immersed in property management for over 14 years’ dealing in all aspects from leasing to property management, business development and team management. She is now a coach with Real + and is passionate about system implementation; procedures and team training. For more information visit realplus.com.au.

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epm.eliteagent.com.au 37

CUSTOMER SERVICE

N O I T A T A REPU FOR THE EXTRAORDINARY HOW IMPORTANT IS customer service in growing and

sustaining your business? For Michelle Williams of @home Property Management Solutions, it's everything. However, she was disappointed when instead she recently learned many business owners are looking for a ‘quick fix’ solution to rent roll growth.

R

ECENTLY I WAS asked to be part of a round table discussion forum where each speaker had a different topic around business growth; everything from business development strategies and listing presentations to marketing and customer service. I was so excited to be asked to speak on customer service, because I had so much to share around our experience with service excellence and how it influenced the rapid growth of our business.

When the room started to fill with delegates, predominately business owners, I noticed that they were instantly drawn to the tables labelled Business Development, Listing and Marketing Strategies. The trend continued during the session and it became glaringly obvious that people were looking for a ‘quick fix’ solution to building their businesses. I believe it was the topic itself, customer service, that failed to appeal to some business owners – well, I hope it was; otherwise it was me!

I believe that if my table subject was labelled Business Growth rather than

Customer Service, the tables would have literally turned. I found it concerning that so many business owners have not worked out that sustainable growth has no quick fix; no amount of marketing or listing presentation skill will outweigh word of mouth around service, particularly with the various social media platforms available today.

SUCCESS BY DESIGN I believe that success can only be achieved by design. We started out with a comprehensive business plan for the first five years, and this has been the driver of everything in our business: our core values, our mission, our growth strategy, our service promise, our management criteria, culture, recruitment stages, job designs, mentors, advisors and so much more.

In summary, @home Property came with instructions, a ‘user manual’ and we refer to this constantly to keep us on track.

I apologise if you get to the end of this article feeling overwhelmed. Trust me, I feel this way most days! But it needs to be said: there are no short cuts to sustainable

38 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

and consistent growth. I have witnessed too many small business owners start without a plan. The first six months are exciting and there is an initial buzz. The next six months become more challenging as the owner starts to understand the complexities of running a business, and after a year it all starts to fall apart.

Why is that? I believe it is because consumers like ‘new things’ when they are new; they are shiny, untarnished and full of promise to deliver amazing things.

Promises are easily made; maintaining

NO AMOUNT OF MARKETING OR LISTING PRESENTATION SKILL WILL OUTWEIGH WORD OF MOUTH AROUND SERVICE. the promise, however, takes planning.

To retain the business and continue the consistent growth is the challenging part.

Why is it that eight out of 10 businesses fail within the first 18 months? I believe it is usually because the business has no idea why consumers should choose them over the competition. The business is not in touch with what the client or customer needs from their product or service.

If you don’t know why, how can you communicate the value in your service?

This is generally when discounting comes into play. The leader of the business must

have a clear vision and the entire team need to know why they are the best choice.

GOOD SERVICE IS NO LONGER GOOD ENOUGH Another interesting point that came from the customer service session was when I asked the question, ‘Do you believe you provide great customer service?’ One hundred per cent of the delegates said yes, quite proudly. But when I asked them to demonstrate how, many stumbled.

Why would a new client believe you when you say you provide great customer service?

They have heard the same thing from three of your competitors; it’s almost a yawn moment.

I personally cringe when I hear people say they give great service. It’s like when a job applicant says ‘I’m a hard worker’, then you call the referees and they think otherwise.

Here’s the key: they need to hear it from someone else first, someone they trust.

Better still if they hear it from several people they trust.

HOW TO CREATE RAVING FANS So how do you make this happen? Forget about marketing to the masses, spending thousands on marketing strategies to attract

people who don’t know you and don’t trust you. Focus on the people you already know, the people who can spread the word about how extraordinary your service is.

If someone were to ask me the question ‘Does @home provide great service?’ I can proudly respond, ‘Yes we do; let me demonstrate how. Take a look at what our clients and customers say about us, and these are a number of national awards @home has received based on our service and results.’

The thing is good service is no longer good enough. If you want people to rave about your service, give them something to rave about! Good service is expected. Where are the raving fan moments in your service?

Every single process in our office has a raving fan moment. Our team compete around these moments and we celebrate our new raving fans. The good news is the best moments cost the least.

To give you just one example, recently one of our new property managers decided that before each routine inspection she would find out a little about the tenants, how many children, ages, pets’ names, and so on. On this occasion, she left a handwritten note to an eight-year-old boy: “Dear Jamie, thanks for keeping your room so nice. I love your

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Star Wars theme – I am a big fan too.” She also left a bag of jelly beans on the kitchen counter with another note saying, “Thank you for keeping your home so lovely, we appreciate it. Kind regards, Catie”. The next day I had a call from Mum Debbie, who could not believe the personal touch. From such a small gesture, another raving fan was born.

To maintain strong growth you must have a reputation for being extraordinary.

There is no secret to our success. It takes a good plan, strong systems, commitment, consistency and a collaborative team of like-minded individuals with a focus on client and customer care. Our competitors are confused by our growth because we do it without big brand marketing campaigns, without print media and without discounting our management fee – ever. ■

MICHELLE WILLIAMS is the Managing Director of @home Property Management Solutions. She also regularly shares her knowledge and experience as a guest speaker at conferences throughout Australia and New Zealand. For more info, visit athomerentals.com.au.

Contact us today info@keylog.com.au

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epm.eliteagent.com.au 39

The Last Word

Fiona Blayney

CREATING A MASTERPIECE What would be the icing on your cake in 2017? You'll have a better chance of achieving more meaningful goals if you understand what your 'why' is first, says Fiona Blayney.

T

hey always look so good in the pictures, don’t they?

Painstakingly put together over countless hours, no doubt by extreme professionals, and of course beautifully photographed. You buy the exact ingredients, follow the instructions to the tee, but alas the homemade birthday cake never looks quite the same as the picture.

We’ve become quite obsessed with birthday cakes in our family. Not the store-bought variety, but oldschool cakes. You know the ones: the train, the swimming pool, the doll. My kids are not unlike 7-year-old you; our Women's Weekly Birthday Book is well thumbed, covered in flour and stuck together with sticky tape where a tug-of-war has ensued in the search for the next creation. With my baking skills at such a level that I was glad to be able to say, “The kids and I made this”, it was clear I needed some improvement in the cake decorating department, and so it became time to add to the goals for the year ‘make great icing’.

As most of us are only too aware, goals make up much of our life. In fact, most hours, days, weeks and months are filled with goals. On any given day at my place it’s a goal to simply make it out the front door on time! At this time of year we find ourselves

discussing goals on a larger scale: the goals for the year ahead.

If you’re like me, you’ll be setting goals in all areas of your life. The difference, perhaps, is in our approach.

I continue to be surprised by the process that many people go through when setting goals, especially when achievement, or lack of it, has such an impact on our lives.

At times I’ve been known to write a list of goals for the year that would be difficult to achieve in a decade, let alone 12 months. The goals are wide and varied and impossible to bring to reality simultaneously within budget, time and energy constraints.

I have become more and more aware over the years of establishing a clear set of goals for the year ahead based upon one principle: the goals I actually want to achieve. Maybe if we all did the same we’d be happier and more fulfilled.

You're probably thinking, ‘Of course the goals I set are the ones I want, otherwise why would I set them?’ Humour me as I let you in on a pretty simple checking process. I ask myself a series of questions: why do I want to achieve the goal? What will it mean to me if I reach it? What will it mean to me if I don’t achieve it? And I round it off by checking in with my emotional self and assessing how I will feel either way. As my list is dissected it becomes apparent really

40 ELITE PROPERTY MANAGER • DEC 2016 -JAN 2017

much more than sugar, butter and milk; it’s a complex equation of setting an example for my children, unpacking my definition of motherhood and unleashing my creative brain. The masterpiece of a birthday cake took eight hours to construct and ice, was done under extreme professional supervision (#mezzapica – cake decorating class), looked exactly like the picture (albeit our family name, Bennett, adorning the front) and

WITH AN INDUSTRIAL KITCHEN, THE INGREDIENTS TO HAND, EIGHT HOURS AND 100 PER CENT FOCUS, I CAN MAKE GREAT ICING.

L

LEA #14

B P quickly which ones are most important. You could call it a ‘goals play-off’ of sorts.

More than half the people I coach start off having someone else’s goal; a list of desired achievements based on what they think they should want to do, rather than what they really want.

The likelihood of achievement is low, frustration high, happiness neutral. At this time of year when you sit down to write your goals for the year ahead, make sure you go through my checking process.

You may be surprised what you’ll add and remove from your list for celebrating in December 2017.

Icing for me: well, it’s so

literally brought me to tears.

Every time we walk past the Mezzapica cake emporium, my kids say “Mum, there’s the cake you made!”

Whilst I am yet to make a cake to the same standard again, I know that with an industrial kitchen, the ingredients to hand, eight hours and 100 per cent focus, I can make great icing. In fact, with the right why, I can do anything. ■

FIONA BLAYNEY is the Founder and Director of Real+, an industry-first property management learning platform.

For more information visit realplus.com.au.

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