[Type text] Associations in the WAR FOR TALENT Prepared by Tamara Wagester‐Subrick and Rebecca Brandt, CAE December 2014
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Associations in the
WAR FOR TALENT
Prepared by Tamara Wagester‐Subrick and Rebecca Brandt, CAE December 2014
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Foreword “I am convinced that nothing we do is more important than hiring and developing people. At the end of
the day you bet on people, not on strategies.” ‐ Lawrence Bossidy
Associations and for‐profits share the same challenge of hiring and
developing people. In fact, we compete for the same high‐potential and
high‐performing employees. Frequently associations have challenges
large for‐profits do not:
no full‐time human resources staff,
lower community visibility, and
existing staff who have specialized knowledge (meeting planning,
technology, social media, accounting), making mentoring and
cross‐training difficult within the office walls
Thanks to a study funded by Executive Director, Inc. (EDI), the Wisconsin Society of Association
Executives (WSAE) is able to share with you advice on how to compete in this war for talent. I believe
you will enjoy reading Associations in the War for Talent. The best news in the study is that
associations, with their “for mission” rather than “for profit” core, are highly appealing to individuals
entering the job market.
The study is a natural fit for WSAE’s mission: to serve as a forum where the association community
thrives and grows. Our commitment to leadership and innovation provides WSAE an opportunity to
respond to the changing demographics of the workforce in creative ways, supporting our members
through various programs and a strong, connected community.
A special thank you goes to Tamara J. Wagester‐Subrick and Rebecca Brandt, CAE, the authors of this
study. Your work will benefit the entire association community.
Their white paper suggests three steps we, as association leaders, can offer in order to strengthen our
appeal:
1. Flexibility in the work environment
2. Training opportunities
3. A mentoring program
As the 2014‐2015 chair of WSAE’s board of directors, I envision WSAE helping the association
community excel in all three. WSAE can boost our HR skill set, increase association visibility, and grow
our staff through mentoring and education. Pooling our knowledge and working together through WSAE
helps us to develop the power to compete for, grow and retain the best talent. Our members deserve it.
Barbara J. Kachelski, CAE
Chair, Wisconsin Society of Association Executives www.wsae.org
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Contents Introduction .............................................................................................................................................. 4
Association Workforce Profile .................................................................................................................. 5
Figure 1: Most Prevalent Occupations for Association Staff ................................................................ 6
Figure 2: Education Levels of Association Staff .................................................................................... 7
Figure 3: How Much Does a Career in Association Management Pay? ................................................ 8
Figure 4: Age Distribution for Membership Association Staff .............................................................. 9
Table 1: Percentage of Veterans Nearing Retirement Compared to Mid‐Career Cohort .................... 9
Generational Review ............................................................................................................................... 10
Generation Y or Millennials ................................................................................................................ 10
Table 2: Generation Y Attitudes and Suggested Association Outcomes ............................................ 11
Baby Boomers ..................................................................................................................................... 13
How to Attract Key Talent ....................................................................................................................... 15
Arming Your Association for the Workforce Challenge .......................................................................... 16
Figure 5: Steps for Adapting Your Association to the New Labor Force ............................................. 18
Conclusion ............................................................................................................................................... 19
Appendix 1 ‐ Introduction to NAICS ........................................................................................................ 20
Author Biographies ................................................................................................................................. 21
Works Cited…………………………………………………………………………………………………………………………………….22
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Introduction A tale of two imaginary associations… Association ICAN has a small staff. The majority of the staff members will retire within the next decade. ICAN’s leadership does not have confidence that their younger employees have the skills to effectively manage the association. They fear that if they do not find a way to plan ahead, their staffing will become a detriment to the membership in the coming decade. Association IMAY is a mid‐to‐large staff association. They have a strong balance sheet, a vibrant membership, and a lot of senior, experienced staff who ensure that things always run on time. In the coming decade, 65% of the senior staff members will retire.
Which association has the better foundation to maintain success in the future? The answer ‐‐ both can be equally well off. It depends on how they equip themselves with quality staff by winning the “war for talent.” The enormous number of retirements of association management staff stars in the next decade will considerably modify the labor force landscape. By 2020, the ASAE annual meetings will have session topics that differ greatly from what you experienced five years ago. After all, by this date most employees will have lived their entire lives with computers, smart phones, social media, and grew up in an age where only out‐of‐date firms rely on fax machines. What will your association do to prepare for 2020 and your staffing needs?
Industries, media, government and universities have focused their attention on the looming “workforce crisis” about to drastically impact labor markets across the world. To borrow a line from a car company, “this is not your father’s workforce.” The US Department of Commerce’s Bureau of Labor Statistics (BLS) predicts that by 2020, 25% of the US labor force will comprise of those aged 55 and over.i In other words, three‐fourths of the entire labor force will consist of Generations X and Y. What does this mean for the association management sector to attract, motivate and retain top talent from across the generations? Many industries are actively engaged in the “war for talent,” examining the best way to attract, hire, and retain Millennials. The purpose of this report is to 1) focus on challenges with the evolving workforce, and 2) provide association CEOs with information to address challenges, and to arm your association in the “war for talent.”
For the purpose of this report we will use the
definition for generations found in the ASAE
report, “Generations X, Y, and the Future of
Membership” from January 2007 ‐ “Associations
Now – Volunteer Leadership Issue.”
GI Elders: born 1925 or earlier
Silent Generation: born 1926‐1945
Baby Boomers: born 1946‐1964
Generation X: born 1965‐1975
Generation Y: born 1975 or later
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The BLS expects the labor force participation rate of younger workers and the prime age group (25 to 54 year olds) to decline. They also anticipate that the participation rates for older workers to rise, but it will remain significantly lower than the prime age group.ii The report projects the workforce aged 55 years and older will experience a much faster employment growth rate than 16 to 24 year‐olds and 25 to 54 year‐olds.iii In other words, the Baby Boomer Generation plans to work longer than previous generations while there are fewer younger workers to hire and less will be employed. First, we must understand where the current association labor force stands relative to other trends. If we are to know where we are going, we have to know where we came from…
Association Workforce Profile The United States Internal Revenue Service’s official definition of an association states, “In general, an association is a group of persons banded together for a specific purpose.”iv
Whether the association is formed for business, personal, or professional purposes, they exist to fulfill the noble and philanthropic mission to serve people. According to ASAE, the number of associations keeps growing every year. “ASAE members primarily represent trade associations, and individual membership organizations or professional societies, organized under Section 501(c)(6) of the tax code; and philanthropic organizations, organized under Section 501(c)(3). In 2009, there were 90,908 trade and professional associations, and 1,238,201 philanthropic or charitable organizations.”vi For measurement purposes, the North American Industry Classification System (NAICS) is the standard used by Federal statistical agencies in classifying business establishments for the purpose of
collecting, analyzing, and publishing statistical data related to the U.S. business economy. Membership association staff is listed under the subsector group that includes Religious, Grantmaking, Social Advocacy, Civic, Business, Professional, Labor, Political, and Similar Organizations.vii For a full understanding, definition and illustrative examples of the organizations which fit into the association workforce staff classification, please see Appendix 1 at the end of this report. According to the BLS, “Nearly all of these organizations are part of the nonprofit sector,” adding that they “do offer profitable careers,”viii which should make the association management sector an attractive option for those interested in a broad variety of occupations. The BLS has over 300 individual jobs that people in associations classify as their area of occupation.ix These areas can range from an executive, to lawyer, to sales specialists, as well as many other paths. If you can dream about it as an occupation, opportunities probably exist for you in the association management sector. What a motivating concept for recruiting potential future leaders! Figure 1 breaks down the most prevalent occupations for association staff.
The Bureau of Labor Statistics expects that
job opportunities within membership organizations will increase in the coming
years. They project the total number of jobs to grow, and many workers to retire. They anticipate that a growing population, rising incomes, and an increase in leisure time as more people retire to increase the demand for memberships in organizations that will, in turn, increase the number of workers
that the organizations need.v
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Figure 1: Most Prevalent Occupations for Association Staff
“Business and financial operations” occupations represent the largest percentage of occupations employed by the association management industry. This occupation category includes business operations specialists, human resource workers (of which labor relations specialists are expected to see a decline in the 10 year projections), accountants and financial specialists. The second leading occupation is “office and administrative support.” The category includes secretaries, administrative assistants, clerks and record keepers. The third highest occupation is listed as “management.” These include top executives, general and operations managers, public relations, and sales managers. While the overall employment numbers are expected to grow between now and 2022 for administrative support and management, the overall percent of the association workforce, and those generally employed in management and administrative support will remain the same. The fourth major occupation area for association staff is classified as “arts, design, entertainment, sports, and media.” The occupation classification includes graphic designers, and media and communication workers. This segment of the association management workforce is expected to see the largest percentage of growth, both within the association management community, and the community’s percentage of overall professionals in this field between now and 2022. The final piece of the pie chart represents all remaining occupations employed by associations. This includes lawyers, web developers, sales, etc.
Source: Employment Projections program, U.S. Department of Labor, U.S. Bureau of Labor Statistics. Employment by industry, occupation, and percent distribution, 2012 and projected 2022. For 813900 Business, professional, labor, political, and similar organizations.
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Figure 2: Education Levels of Association Staff
Figure 2 presents the educational levels for staff members. It indicates that most membership association employees have received a Bachelor’s degree or higher, but employment opportunities exist across educational attainment categories. As authors, Dychtwald, Erickson and Morison state in the book Workforce Crisis, workers’ skills and abilities factor heavily in almost every new job created in all sectors and industries. The technological demands of even “unskilled” entry‐level jobs continue to increase. The BLS estimates that 56% of workers gather, process, or use some form of automated information in their work. According to the Employment Policy Foundation (EPF), 35% of the labor force works in management, professional, and technical occupations that demand extensive education, ongoing training, independent thinking, and decisive business services, the fastest‐growing sector.x These skills and occupational needs complement the top four occupations for association management employees, and must be kept in mind when new hires are sought, not only to match the skill with your organization’s needs but also to know what your competitors look for in talented new stars so you can vie for the best candidates and retain them. Everyone who has ever searched for a job, regardless of industry, can confirm that one of the first factors job seekers look for is the level of pay. People want to know the available alternatives and what they can expect for a standard of living. Next we will compare the pay offered to association staff in the top four occupations.
Source: Current Population Survey. Employed persons by detailed industry and educational attainment (25 years and over), Annual Average 2013.
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Figure 3: How Much Does a Career in Association Management Pay?
Figure 3 illustrates the hourly wage rate for the four leading occupations that are part of the association management sector.xi
The blue line shows the wage rate for the top four association management occupations nationally, across all industries, and the red line shows the average rate nationally for all employed in the association management sector (specifically for business, professional, political, and similar organizations). Pay has a large impact on an individual’s decision to accept employment with an organization. The higher the pay, the more likely a potential employee becomes an actual employee. Nationally, employment with an association competes well with counterparts in other industries.
Source: May 2013 OES Research Estimates. Occupational Employment Statistics (OES) Survey. Bureau of Labor Statistics, Department of Labor. http://www.bls.gov/oes/tables.htm. OCC
Code and OCC Title for OCC major occupations: 00‐0000 ‐ All Occupations, 11‐0000 – Management, 13‐0000 ‐ Business and Financial Operations, 27‐0000 ‐ Arts, Design, Entertainment,
Sports, and Media, 43‐0000 ‐ Office and Administrative Support
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Figure 4: Age Distribution for Membership Association Staff
Source ‐ Total persons detailed industry, sex, and age, Annual Average 2013 (Source: CPS)
In 2013, the sector of “membership associations” in general had a total of 1,880,000 employees. Of this figure, religious organizations employed the most workers (1,057,000 with a median age of 51), followed by civic, social, advocacy organizations and grant‐making and giving services (640,000 with a median age of 43), business, professional, political, and similar organizations (129,000 with a median age of 47.5), and labor unions (54,000 with a median age of 47.2). Figure 4 illustrates a pattern of employment for membership organizations. The largest group of workers comes from the 25‐34 years old group. Then, we see a decline in the number of workers from the next age groups until workers reach their mid‐fifties. As you can see from Figure 4, it is important for membership associations to retain those younger employees, especially as the Baby Boomer Generation retires. Table 1 offers further detail. Table 1: Percentage of Veterans Nearing Retirement Compared to Mid-Career Cohort
These retirements are not just a shift in employment numbers. As an example let’s review “business, professional, political, and similar organizations.” In the next ten years you can expect 36% of your
Detailed membership association industry Workers aged 55 years and older
Workers aged 35‐54 years
Overall Membership Associations and Organizations 35% 38%
Religious organizations 40% 37%
Civic, social, advocacy organizations and grantmaking and giving services
27% 39%
Labor unions 28% 57%
Business, professional, political and similar organizations 36% 37%
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veteran employees to retire. You only have 37% of the next cohort currently retained to replace those nearing retirement age. These organizations will need to attract and retain new employees just to replace the existing workers aged 55 and older if they all seek retirement in the next 10 years. With no loss of current employees, an association can only retain their necessary staff levels if you work to preserve existing employees and expand new staff. A key way to accomplish this task is to familiarize your organization with the attitudes and challenges associated with the generational differences in the workplace.
Generational Review If other competing employment groups plan to adjust to generational expectations, you do not want to lose the battle in the “war for talent.” No company, association or non‐profit has a monopoly on solutions to win the war. First we will address the Generation Y, or Millennials, factor which composes an estimated 32% of the association workforce. We will summarize the literature regarding their characteristics, wants and challenges. Then we will review the literature regarding the estimated 68% of the association workforce found in the Baby Boomer and X Generations, and provide information regarding what various industries are doing to meet these concurrent needs and challenges.xii
Generation Y or Millennials The need for a review of generations in the association workforce looks similar to the overall workforce trends. Millennials will comprise 75% of the global workforce by 2025.xiii Over the next decade, the prime‐age working group (workers aged 25‐54) is projected to decrease their participation between now and 2020. The BLS indicates that the participation rate of workers aged 25 to 34 years also has declined since 2000. Two other age groups—those 35 to 44 years old and those 45 to 54 years old—have had similar experiences: both groups saw their participation rates decrease since 2000. BLS projects that the participation rates for these two groups will decline further in 2020.xiv You face retiring Baby Boomers, lack of work force participation among the younger cohorts and new employment attitudes. What can your association expect? Equipping yourself with the vital information to compete will put you at a competitive advantage. The Millennial Generation has a different set of motivators than other groups have that commits them to work. Scholars have established three themes, which describes this generation’s desires toward work and career: 1) A desire for flexibility, 2) A desire for continual learning and 3) A preference for team‐oriented work.”xv In addition, the literature has identified a variety of attitudes associated with Generation Y. These include: A) As employees, they want to make a difference in the world, B) They need mentoring by a senior level employee who they can connect with, C) They are comfortable with technology, but not comfortable with the research/investigation that can be conducted using technology, and D) They have a sense of entitlement, including the assumption that they should quickly climb the workplace ladder.
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Table 2 outlines the attitudes and desires of Millennials along with input on how they fit into the association workforce and questions association employers should ask themselves.
Table 2: Generation Y Attitudes and Suggested Association Outcomes Generation Y
desires/attitudes How does this fit in the association workforce?
Questions association employers should ask themselves?
1) A desire for flexibility
Generations X and Y often seek to maintain an adequate work‐life balance. For example, they check personal emails and take calls at work, but they also respond to work needs while at home.
In order to meet the needs of the membership, association staff may need to perform some duties when it best meets the schedule for the volunteers. Telecommuting, webinars and other options provide the means to address these attitudes. Do those hiring include this as flexibility and is it communicated as a positive attribute to job applicants?
2) A desire for continual learning
The ASAE campaign, “Associations Advance America” states, “associations are the single largest source of post‐graduate professional development for America’s workforce.”xvi
How does the ASAE quote apply to your employees and members? Do you sell to potential hires that they are part of an important sector that educates its members, and staff have ample opportunity for personal growth? If an association staff person wants to learn more about a topic, from recruiting, to fundraising, to legal concerns, a plethora of opportunities exist. A quick visit to the ASAE website’s education page shows opportunities for learning including traditional face‐to‐face or the use of virtual technology. Professional development opportunities also exist in many state societies of association executives (SAE). In addition, online discussion forums are available, as well as posted articles and links to timely conferences and seminars. The Society for Human Resource Management found in recent years fewer organizations are offering undergraduate and graduate educational assistance. They state the declines come just when “many organizations are reporting increased difficulty in finding jobseekers with the educational qualifications needed for many high‐skilled jobs. The decline in educational benefits offerings could lead to future skills shortages.”xvii
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Table 2: Generation Y Attitudes and Suggested Association Outcomes – continued
Generation Y desires/attitudes
How does this fit in the association workforce?
Questions association employers should ask?
3) A preference for team‐oriented work
Team‐oriented work forms the core of association management work. The employees form a team with volunteers from their associations to identify the best products/programs to offer the membership. Changes are also implemented as a team.
Do future employees know that working for an association allows for both individual excellence and the opportunity to meet team goals?
A) As employees, they want to make a difference in the world
Working for associations allows employees to make a substantial difference in the lives of members, who are often changing the world through their hobbies, occupations, and training. The Deloitte Millennial Survey noted that “Millennials are charitable and keen to participate in public life.” They found that 43% of those surveyed actively volunteer or were members of a community organization.xviii
“Members join your association because they believe in your ability to solve a problem for them.”xix If Generation Y repeatedly demonstrates a strong willingness to volunteer, how are associations marketing themselves to this cohort as potential new employees? Generation Y employees will join your team because they want to help your members.
B) A need for mentoring by a senior level employee they can connect with
Generation Y seeks mentorship, and an opportunity to work closely with those from other generations to form a bond.
Are there ways that your organization can arrange a mentoring program?
C) Comfort with technology, but not comfortable with the research that can be conducted using technology
The Deloitte Millennial Survey also noted that Millennials want to work for an organization that supports innovation.xx
Associations can adopt technological advancements to meet their members’ needs and geographic challenges. By promoting the fact that associations often are able to utilize new technology, will Generation Y be attracted to them as possible employers? On the flipside, if the association’s membership is not comfortable with the new technology trends, will this be discouraging to potential employees from Generation Y? Many of the same keys to recruiting a young membership may also help to retain a young staff.
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Table 2: Generation Y Attitudes and Suggested Association Outcomes – continued
Generation Y desires/attitudes
How does this fit in the association workforce?
Questions association employers should ask?
D) A sense of entitlement, including the assumption that they should quickly climb the company ladder
According to the Deloitte Millennial Survey, “Almost one in four Millennials are ‘asking for a chance’ to show their leadership skills.” It adds, “75% believe their organizations could do more to develop future leaders.”xxi
Increasing the budget for employee salaries may be difficult given the nature of the approval process in many associations. What other ways have associations found to attract top talent and keep them? Do you discuss with new employees how career progression with your association may occur and how you evaluate employees? Do you offer opportunities for special recognition without promotion? How is this told to potential employees?
How can association management careers fit into these desires about work? It may surprise a seasoned association executive to learn that the skills and talents they use on a daily basis are currently vogue and sought after among recent graduates. To those in the association management community, you could describe your job as a generation’s dream job! Millennials ‐ You owe, you owe, so off to work you go. “In its 2002 People at Work Survey, Mercer Human Resource Consulting discovered interesting differences between Millennial and other workers regarding commitment. Compared to older workers, employees age 18 to 24 indicate that their commitment and motivation at work are influenced less by base pay and more by promotion opportunities and flexible working arrangements. For example, 82% cite flexible working arrangements as a factor that influences their commitment and motivation, compared to 58% and 69% for the other employee age groups.”xxii While several sources mentioned that Generation Y does not focus on pay level exclusively, employers should be cautioned to realize that a third of 18‐34 year olds still live with their parentsxxiii and 2014 college graduates are the most indebted class in history, on average owing $33,000 in student loans.xxiv
Baby Boomers The current workforce crisis leaves companies and organizations with too few Generation Y workforce entrants. Do you want to forgo talent and experience for inexperience? Experts highlight that current retirees can remain engaged with your association since “two‐thirds of today’s employees plan to work at least part‐time in retirement.”xxv “Note that the growing ranks of mature workers include many who already “retired.” Over 20 percent of those collecting employer pensions still work in some capacity and among people under age 60 collecting pensions, more than half are working. Among those age 55 and older who have accepted early retirement offers, one‐third have returned to work. But these working retirees are more likely working part‐time or for themselves than their not‐yet‐retired counterparts – in other words, they’re working on their own terms.”xxvi
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For associations developing their team to win the “war on talent,” the question is also one of who the membership feels most comfortable with. Just look at the aging membership numbers for association volunteer leadership. As Sladek states, “Most membership associations remain almost entirely governed and supported by the Baby Boomer Generation. Most associations are still struggling to engage Generation X, much less Generation Y.”xxviii
The Baby Boomers have begun their retirement phase but many remain in the workforce longer than expected. Studies show that many of those who are approaching retirement age do not plan to stop working. They may not work full‐time or remain employed with the same company, but they continue to participate in the labor force. You see this in your association leadership, and you will also see it in association staff leadership. According to Dychtwald, Erickson and Morison, “Those 65 and older have the highest desire to keep working. Those who do intend to “retire” plan to do so latest – at age 66 on average – and 80% of them aim to work in retirement, most often part‐time or in periods of working and not working. According to one AARP poll, the top four reasons for working in retirement were staying mentally active (87%), staying physically active (85%), being productive or useful (77%), and doing something fun (71%). Other reasons included needing the money (22%) and needing health benefits (17%).”xxix With the Baby Boomer Generation comprising such a large percentage of the association labor force, many organizations will seek to retain involvement of the mature, responsible worker. Suggestions for how to keep them engaged include asking them to serve as trainers, coaches, mentors and/or outside consultants. The return on the investment of keeping them involved, even in a reduced way, can be high given their knowledge, loyalty and skills. Dychtwald, Erickson and Morison highlight three points about the mature cohort. 1. They want to contribute through meaningful leadership positions relatively late in their careers and by bridging leadership gaps during organizational transitions. 2. They want to continue to improve their skills and stretch their talents. 3. Flexible work arrangements, especially flexible schedules, will matter more as the proportion of mature workers increases.xxx The New Employee/Employer Equation Survey identifies what matters most to mature workers. The top items include: current and retirement benefits, a flexible work schedule and workplace, opportunities to learn and grow, and an enjoyable and stimulating environment.xxxi These findings reveal the mature workers’ desire for security as they approach retirement and having the ability to control some of their own day through flexible arrangements at work. Several of the elements that matter to the mature worker also matter to the new worker! Association management careers already offer many of the benefits that Baby Boomers emphasize as important,
“…if your organization wants to control its fate
(and costs) when the boomer retirement wave hits
with full force, start today systematically retaining
and recruiting people with the skills and
capabilities that you want to keep on hand for the
long run.”xxvii
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such as allowing employees to learn and grow, and perform work that is worthwhile to society. Providing other elements in associations will depend on the individual associations and their leadership, such as the flexible schedule and workplace environment. While retaining aging workers is increasingly expensive due to rising healthcare and benefit costs, employers know that in an increasingly global environment, retaining experienced workers can possibly reduce competitiveness. Given these concerns, how will the association management workforce remain competitive in the new workforce?
How to Attract Key Talent You are ready to enhance your team by adding the key players that meet the needs for your membership and association. How does an organization recruit individuals so they can win the war for talent? Below we explore job posting language and other areas that may factor into your ability to recruit new key players. Looking for a job can become a part‐time job. As a job seeker, do you visit organizations, research on‐line, use social media, find specialized job sites, or search general job boards? As an employer, how does your association post information about position openings? Your association may have a preference on where and how to search for new employees, but does this preference match with where to find the talent you are searching for? In the book, How to Hire A‐Players: Finding the Top People for Your Team – Even If You Don’t Have a Recruiting Department, Eric Herrenkohl instructs organizations to keep an updated list of talented individuals on file and stay in contact with them in order to make recruiting easier when positions open.xxxii One study focused on how corporate business entities identified in 2012 as the “100 Best” in America used narratives of job satisfaction on their websites. The study found that effective use of the web is indispensable for attracting, recruiting, and retaining the best employees in a competitive marketplace.xxxiii Author Douglas Swanson encouraged Generation Y members nearing graduation to review the websites and rank key characteristics, website attributes, and phrases that indicate a sense of whether the person would want to work for this organization. The web‐based employee narratives scored high with the potential future employees and the study authors suggested that well developed web narratives can have tremendous potential impact on a variety of internal and external publics in the marketplace, including employees (current and potential), government regulators, competitors, news media and others. The purpose of the narratives is to have employees highlight their satisfaction with work.xxxiv In The End of Membership As We Know It: Building the Fortune‐Flipping, Must‐Have Association of the Next Century, Sarah L. Sladek suggests that, rather than just coming up with elaborate content authored by professionals, using key information from the members or employees themselves has a big impact on recruiting high‐quality employees. “That’s by far the most powerful marketing tool you could ever have.”xxxv Peter Cappelli states in the article, “Making the Most of On‐Line Recruiting,” that job recruiting should look more like marketing for a company. He states that “job candidates today need to be
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approached in much the same way as prospective customers: carefully identified and targeted, attracted to the company and its brand, and then sold on the job.”xxxvi Many potential job seekers now use job boards, such as Monster, CareerBuilder and others. A May 10, 2014 quick search on Monster.com’s free search option produced more than 1,000+ non‐profit jobs. They list non‐profit as being “non‐profit charity.” A typical association may or may not fit into this category. Meanwhile, a keyword search of just the term “association” produced only 128 results nation‐wide (see the picture to the right for an example of the Monster.com search site). Does the association management profession need to develop a better list of keywords and terms for search to become more uniform and consistent? Meanwhile, a quick search of the ASAE job board suggests that primarily experienced job seekers will use their job board since 95% of jobs posted wanted advanced employees. This pushes those newly entering the workforce away.xxxvii In addition, similar searches on ASAE show that only about 5% of job postings offer telecommuting opportunities.xxxviii If you want to attract key talent from Generation Y or retain Baby Boomers, one key way is to be more flexible in your work environment and telecommuting opportunities rank high in this category. Regardless, employers should keep in mind the key words your association uses in your job opening notification. Do you list words like, “high energy”, “fast pace”, “expertise”, “knowledge”? Studies indicate that these key words help direct which generation you are seeking to hire.
Arming Your Association for the Workforce Challenge How can associations adapt to this change in the workforce? What will be your association’s next steps? Make it clear to the new staff members that your membership expects the staff to go above and beyond. Just as Generation Y has some distinctive plans for attractive workplace environments, so do the memberships who hire association staff. Generation Y is very achievement oriented. Show them the promotion potential with your company, including creative ways outside of traditional promotions to recognize their effort and talent. If you have a small staff with limited promotion opportunities, acknowledging unique talents of staff members can serve as the necessary reward. Outline plans for new staff member that let them see how you plan to use their talents and encourage them to expand their abilities. “You recruit A‐players in part by showing them that you can help them to reach the next level in their career.”xxxix We have provided some simple and minimal suggestions for your association to consider. Of course adapt and expand on the areas that will best suit the needs of your membership. Herrenkohl
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encourages, “Don’t follow the herd when it comes to recruiting. Instead, define the profile that works in your unique environment.”xl Areas to consider:
Flexibility in the work environment As we highlighted in sections on Generation Y and the Baby Boomer Generation, workers are interested in a more flexible schedule and environment. Association management employers could adopt more flexible scheduling for staff. “There is a small but increasing percentage of the workforce with flexible schedules. Flexible scheduling is an attractive benefit for employees at many different stages of their personal and professional lives. The most attractive employer is “family friendly,” recognizing the exigencies and demands of their employees and meeting these exigencies in a win‐win situation. A flexible work schedule is one approach to meeting the life demands and personal needs of the diverse workforce.”xli Technology has broken down time and geographic barriers, allowing work to be a thing you do, rather than just a place you go.xlii Flexibility in the workplace may include flex time, compressed workweeks, allowing part‐time work and job shares, and/or allowing employees to telecommute.xliii
Training opportunities In addition to scheduling flexibility, providing necessary training can signal to staff members that you are encouraged by their work while also helping your association gain an edge in the near future. In a recent ASAE Resources Article, Kristie Arslan, president and CEO of National Association for the Self‐Employed (NASE) says, “offering flexibility to staff members pursuing educational opportunities is vital to maintaining human capital in the association world. If you have a staff person you truly value, allowing them to improve their skills will only give back to the company."xliv Professional organizations, such as ASAE, offer immense learning opportunities. You may be interested in other ways to get staff up to speed on issues such as event management, experience working with a Board of Directors, and similar needs specific to your membership. If your association provides mentors for new staff, then the mentors should be an extremely valuable asset to your organization in helping manage challenges associated with introducing an employee to the association environment. You could also set aside a day to hold mock board meetings so new staff members have to arrange activities and events for the senior staff. Do not rule out working with local universities regarding non‐profit and association management. There are almost 350 schools across the United States with courses in non‐profit management. That includes undergraduate, graduate, continuing education and on‐line courses.xlv A continued relationship with these programs may be very beneficial to the association management sector in the years to come. You can tailor education for the students to be prepared to meet the needs of the association labor force. In the future this will result in a more polished pool of potential association employees.
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Develop a mentoring program Provide opportunities to continue to involve your star staff members who are nearing retirement. This could be through part‐time work, short‐term contracts, or as a leadership partner for some of your new millennial hires. “The key to Millennial commitment and retention is the relationship with the immediate manager. Millennials have generally been raised in environments that are rich with feedback, individual attention, praise, guidance and direction and a focus on outcomes over process.” xlvi If done successfully, such an arrangement could encourage your new generation of hires while capitalizing on the skills and knowledge of your retiring stars.
Figure 5: Steps for Adapting Your Association to the New Labor Force
While competitive salary and benefits packages are always a way to attract staff, the three areas to consider provided above can be incorporated without significant costs and may be beneficial to all associations regardless of the size of your budget. These three suggestions for how to adapt your association to the new labor force are represented in Figure 5. In the areas of overlap, numerous creative ways await where your organization can appeal to star staff members. Find the best fit for your environment and allow your staff to see how they match the plans for your organization. We have provided a chart below with sample suggestions. You are encouraged to brainstorm and identify new suggestions for your association that will fit for your needs. Suggestions to incorporate the new labor force’s desires and attitudes
As a step on the ladder for staff, provide the option to continue their training and education. o Overlap area for Training Opportunities and Flexible Work Environment ‐ Allow staff to
select from an approved list of options with a variety of dates and topics to fit their interests.
o Overlap area for Training Opportunities and Mentoring ‐ Encourage a mentor to also attend, showing seasoned staff that you are still investing in them.
Bonus vacation days can be used as a reward for accomplishing particular tasks well. o Overlap area for Flexible Work Environment and Mentoring ‐ Offer a bonus vacation day
to all senior full‐time staff who participates in a mentoring program.
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o Overlap area for Flexible Work Environment and Training Opportunities ‐ Attending 12 hours of training result in extra earned time off.
Invite retired staff to serve as a mentor for new staff. o Overlap area for Mentoring and Flexible Work Environment ‐ Expect regular meetings
for the mentor team that accommodates their schedules.
o Overlap area for Mentoring and Training Opportunities ‐ Ask retired staff to speak to new staff and provide a list of suggested training topics related to success in association management.
Conclusion At the beginning of this report we examined two hypothetical associations, ICAN and IMAY. While both had different characteristics and potential challenges, they shared the same concerns of an aging workforce and how will their staff adapt to best benefit their members. It is essential that your association prepare themselves for these coming changes in the labor force. The results for our imaginary associations… The small staff Association ICAN faced their impending staff retirements head‐on. They worked to keep their membership benefits useful by providing exciting engagement opportunities and they treat their staff the same way, making sure they incorporate seasoned leaders with promising new talent. They instituted a mentor program that hired retired staff members part‐time to serve as coaches to Generation Y employees, and continued to engage seasoned key staff. They retained most of the younger staff members and began sending them to job‐related trainings as reward for their work. The trainings were used as encouragement for what new staff could expect as they climbed the association’s ladder, which appealed to the desires of their generation. Association ICAN found a balance that works for their office, the membership and the association’s bottom line. The mid‐to‐large staff Association IMAY worked to develop a team of entry level employees that they expect to evolve into super stars. They are investing in training, which also makes the staff feel wanted and respected. They offer flexible contracts to key retired staff which creates balance within the membership for engaging with seasoned and new employees. Leadership realized that even with seasoned staff, if they refused to look at new and flexible ways to meet the needs of their members and their staff, soon they will become Association OBSOLETE. As an Association Management labor force you already have the weapons and equipment to succeed in the “war for talent.” The career options offered promote continued learning and growth, offer opportunities to work as a team and engage the use of technology. Many associations have implemented flexible work schedules that meet the desires of your employees while continuing to meet the needs of your members. Your employees are changing the world by serving the needs of your membership one person at a time. These are desires that speak across generations. Now arm yourselves with key talent to win the war for your members.
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Appendix 1 - Introduction to NAICS The North American Industry Classification System (NAICS) is the standard used by Federal statistical agencies in classifying business establishments for the purpose of collecting, analyzing, and publishing statistical data related to the U.S. business economy. The official 2012 U.S. NAICS Manual includes definitions for each industry, and other background information. Industries in the Religious, Grantmaking, Civic, Professional, and Similar Organizations subsector group include establishments that organize and promote religious activities; support various causes through grantmaking; advocate various social and political causes; and promote and defend the interests of their members. Groups under the NAICS code 813000. Within this “MAJOR” code, there are other categories. 813110 Religious Organizations This industry comprises (1) establishments primarily engaged in operating religious organizations, such as churches, religious temples, and monasteries, and/or (2) establishments primarily engaged in administering an organized religion or promoting religious activities. Illustrative Examples include: Churches Shrines, religious
Monasteries (except schools) Synagogues
Mosques, religious Temples, religious
NAICS 813200 ‐ Grantmaking and Giving Services This industry comprises (1) establishments known as grantmaking foundations or charitable trusts and (2) establishments primarily engaged in raising funds for a wide range of social welfare activities, such as health, educational, scientific, and cultural activities. NAICS 813300 ‐ Social Advocacy Organizations This industry comprises establishments primarily engaged in promoting a particular cause or working for the realization of a specific social or political goal to benefit a broad or specific constituency. These organizations may solicit contributions and offer memberships to support these goals. Illustrative Examples include: Community action advocacy organizations Firearms advocacy organizations Conservation advocacy organizations
Human rights advocacy organizations Environmental advocacy organizations Wildlife preservation organizations
NAICS 813400 ‐ Civic and Social Organizations This industry comprises establishments primarily engaged in promoting the civic and social interests of their members. Establishments in this industry may operate bars and restaurants for their members. Illustrative Examples include:Alumni associations Granges Automobile clubs (except travel) Parent‐teacher associations Booster clubs
Scouting organizations Ethnic associations Social clubs Fraternal lodges Veterans' membership organizations
NAICS 813900 ‐ Business, Professional, Labor, Political, and Similar Organizations This industry group comprises establishments primarily engaged in promoting the interests of their members (except religious organizations, social advocacy organizations, and civic and social organizations). Examples of establishments in this industry are business associations, professional organizations, labor unions, and political organizations. North American Industry Classification System (NAICS) http://www.bls.gov/bls/naics.htm. Accessed 8/1/2014.
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Author Biographies
Tamara J. Wagester‐Subrick received her BS in Agricultural Communications and Political Science from Michigan State University, and studied for her MA in economics at George Mason University. After spending several years working on Capitol Hill, she became the Executive Director for The Council on Food, Agricultural and Resource Economics (C‐FARE) where she worked for nearly 15 years. Tamara has been involved in numerous aspects of association management, including fundraising, programming, outreach, student education and government relations. Currently she works as an independent consultant.
Rebecca Brandt, CAE has worked at Executive Director, Inc. for 11 years. During that time she has served in senior management and as executive director for multiple clients. She has led the development of an in‐house mentoring program and currently serves as the champion of EDI’s Communities of Practice. She is in her second year serving on ASAE’s Association Management Company Section Council. Prior to joining EDI, she worked as a non‐profit special events director and development director.
This report was funded by Executive Director, Inc. (EDI). Founded in 1962, EDI is a privately held association management company based in downtown Milwaukee. EDI is one of the largest association management companies in the United States, managing more than 25 international and global non‐profit associations with budgets ranging from $150,000 to over $10 million. EDI is accredited by the AMC Institute, demonstrating a commitment to the highest standards of professional association management.
Executive Director, Inc. 555 East Wells Street, Suite 1100 Milwaukee, WI 53202 [email protected] (414) 276‐6445 www.execinc.com
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