Setting the Stage - University of...

Setting the Stage Making a Good First Impression

What does it mean?

“…conditions have been made right for something to happen, or that something is likely to happen.” CAMBRIDGE DICTIONARY

What do you want to happen? • Make a good first impression

– “You never get a second chance to make a first impression”

• Demonstrate knowledge and expertise

• Impress

• Create collaborative environment

• Foster networking

• Encourage social interaction

What should you look for?

• Room Layouts

• Seating

• Audio Visual

• Flow

Room Layouts Things to consider when selecting a room:

Ceiling Height Lighting Columns Staging Electrical Outlets Microphone connectors Acoustics Purpose of the room

• General Session • Breakout • Reception • Banquet

Types of Seating

• Theatre

• Classroom

• Chevron

• Clusters

• Rounds

• Crescent

• Amphitheatre

• U-Shape

• Double U-Shape

• Hollow Square

• Conference

• Two Tiered / Fish Bowl

• Boardroom

Audio Visual • Projection Type

– Rear

– Front

• Microphones

– Lavalier

– Podium

– Hand held

• Sound

– House

– External Speakers

Audio Visual

• Pipe and Drape

• Lighting

• Internet

Importance of Flow

Importance of Flow

• What happens when things get clogged?

• What can you do to improve the flow?

– Look for bottlenecks

– Visualize everything • Posters

• Breaks

• Entertainment

• Receptions

– Adjust on the Fly

Questions?

Site Selection &

Negotiation Think Before You Act

Selecting the Site

• Critical to the success of the event

• Personal desire versus organizational needs

• Season of the year (Peak, Shoulder, Low)

• Request For Proposal (RFP)

• Research

• Space and Flow

• Transportation in and out of the area

• Local support

– Restaurants – Businesses – Entertainment

Request For Proposal (RFP)

• What is it?

• Why is it important?

• What’s in it?

– Dates of your program

– Number of sleeping rooms for the block

– Food and Beverage Requirements

– Space Needs

– Audio-Visual

– Amenities

Site Visits

• Establishes the face-to-face relationship with the sales representative

– Takes it from impersonal (email/phone) to personal

• Allows you to get the lay of the land

– State of repair of the facility

– Traffic flow and space needs

– Helps Identify hindrances to success

Identify Site Need

Site Selected

Discuss with Client

Conduct Site Visit

Client Selects

Site

Move to Negotiation

Draft Request for Proposal

Send RFP to CVB and sites of

interest

Receive Proposals

Suitable Site

Revise RFP and Expand Search

Suitable Site

Discuss with Client

Conduct Site Visit

Client Selects

Site

Move to Negotiation

Select Different City

Yes

Yes

No

No

No

No

Yes

Yes

No

Yes

Re-evaluate Need

Negotiation

Things to consider before you start

Season of the Year

• High/Peak Season – hotels operate at about 90% occupancy and have little need to negotiate on rates

• Shoulder Season – hotels operate between 70-89% occupancy. You might have some power to negotiate as the hotel is trying to fill holes

• Low/Off Peak – hotels operate at less than 70% occupancy. Hotels have to compete and negotiate to get business

Negotiation

What type of market are you in?

• Buyers (Meeting Planners) v. Sellers (Hotels)

• Bull v. Bear

Negotiation • What amenities do you really want?

– You already have some based on the RFP results

– Identify those that can make or break the deal with the hotel

• What are you willing to give up?

– Don’t let the hotel representative put you on the spot. Know what you are willing to give up in order to close the deal

– Remember, you have the “Ace in the Hole.” Only you know where you will take your event

Negotiation What makes you attractive to the hotel?

• History

– Sleeping Room Rate

– Block booked and amount picked-up

– Check-in, checkout patterns

– Amount spent on: • Food and Beverage

• Restaurant, bar, gift shop, golf, etc. – harder to track

– Amenities provided

Negotiation

Communication

• Give the hotel as much detail about your program that you can provide

• Provide a realistic date for getting back to them with your answer

Negotiation

Things to remember as you meet with the sales representative:

• Negotiation is a CONTACT SPORT!

Negotiation

• It takes two to make a deal

• Both parties must be prepared to give and take in order to have a win/win experience

• Building a relationship takes time but can pay off. It is much harder to say “no” to someone you have just bonded with

Negotiation Things to remember, continued

• The hotel is in the business to make money

– It is ok to ask for what you want as long as you know that you may not get it

– Don’t make unreasonable demands

• Hotel revenue is generated by sleeping rooms, F&B, room rental, etc.

– Don’t over inflate your numbers – it makes revenue managers crazy, puts extra pressure on the sales representative, and makes you look bad

What is Negotiable • EVERYTHING – with caveats

– As long as it is the right season

– It’s a buyer’s market

• Some basics:

– Meeting room rental – usually based on F&B

– VIP upgrades and amenities

– Room rates

– Menu prices

– Internet Access

– Room rebates, e.g. 1 for 40

Now You Are Ready to Negotiate

• Some Do’s

– Make all agreed to negotiations part of the written contract

– Posses the authority to make decisions

– Be ethical

– Be considerate of the hotel’s profit margin and business needs

– KNOW YOUR BUDGET

Now You Are Ready to Negotiate

• Some Don’ts

– Hesitate to ask questions and “what ifs”

– Jump at the first offer – there is always something to be negotiated

– Be intimidated – remember you hold the “Ace in the Hole”

– Pass up a good deal because of a personality conflict or ego

Questions?

It’s All in the Details

First Things First

Always identify yourself as UF. Your event may be called something else, like an association meeting, but if UF is paying the bill then the contracting party is always UF.

Contract Names Common names for contracts

• Agreement

• Memorandum of Understanding (MOU)

• Terms and Conditions

• Banquet Event Order (BEO)

• Letter of Understanding

• Quote

Frequently Asked Questions

• Who signs the contract? Why?

• What makes up a contract?

• What should you be looking for in a contract?

• What benefit is there to use the University of Florida?

FAQ….cont.

• What are attrition and cancellation? How do they affect you?

• What are the hotels doing to counter the university’s policies?

• How many times should you review the contract? Why?

• What is a secondary contract?

Contracts

Who signs the contract?

• UF Purchasing or DCE

–Carole Wimmer or Taylor McKellips– send to: purchasing@ufl.edu

–Charles Koenig – send to: conferences@dce.ufl.edu

Contracts

Why are they the only ones?

• They have delegated signature authority from the President of the university

• They know Florida law, UF regulations, policies, best business practices, and what UF can and cannot agree to

Contracts

Consequences if you sign:

If any individual, without delegated signature authority, signs a contract, then the contract is between that individual and the vendor. UF is not obligated to pay the bill or defend the person in court, if a law suit ensues.

What Makes Up a Contract?

Six Parts to a contract

• Offer – the vendor’s original contract. When we edit the contract for UF, it becomes a counter offer

• Acceptance – when both parties agree with the final changes

What Makes Up a Contract?

• Consideration – the agreement must define benefits (if applicable) to each party (e.g. the hotel provides rooms, the event sponsor pays)

• Legal Purpose – the contract is not binding if it is for illegal purposes, such as illegal distribution of drugs

What Makes Up a Contract?

• Mutuality of Obligation – Terms of the contract have been agreed upon by the parties, and both parties have obligations in the contract. In this case, we have agreed that they are obligated to provide rooms, and we are obligated to pay.

• Competent Parties – both parties must be of legal age and mentally competent.

Items in the Contract Look for the following:

• All terms agreed to in the negotiation are in writing

• All terms important to your side are strategically written to cover important points

• No written terms give your side more risk than you are willing to accept

• Some specifics that can cause you financial harm:

– Attrition – Cancellation – Meeting Room Rental – Food and Beverage Minimums – Room Blocks

Payment Terms

• Under UF REG 6C1-3.022 – Payment Terms, we do not pay:

• In advance for goods and services not received

• Attrition

• Cancellation

• Lawyer Fees

Attrition and Cancellation

What are attrition and cancellation? How do they affect you?

• Attrition – paying for unused contracted hotel rooms

– Example – block 400 rooms @ $100 per night for three nights = $120,000. If you only use 200 rooms, you owe the hotel for the unused rooms

– $60,000

Attrition and Cancellation

Cancellation – the conference cancels or moves to another location for reasons other than a force majeure event (act of God)

• No one should ever cancel to book another location and not expect to pay the original vendor

– Unprofessional

– Gives UF a bad name which can affect future business with that hotel

Countering UF Policies

What are the hotels doing to counter the universities policies?

• Creating a sliding scale that is tied to meeting room rental

• Not accepting the contracts

Reviewing the Contract

How many times should you review the contract?

• Review the proposed contract prior to sending it to Purchasing

– No changes should be made to the contract after Purchasing had reviewed it

– If you have questions, contact Purchasing

Reviewing the Contract How many times should you review the contract?

• Review it after it comes back from Purchasing

– Once signed by Purchasing, it goes to the vendor as signed

– IF changes need to be made, it must go back to Purchasing

• Review it after it comes back from the hotel

Secondary Contracts

What is a secondary contract?

• Buyer Beware

– Catering Menus

– Audio Visual

– Additional breakout session rooms NOT for UF use

– Addenda

Fully Executed Contracts What constitutes a fully executed contract?

• A contract that has both the vendor’s and UF Purchasing/DCE’s signatures with dates

UF Purchasing returns contracts with the following language:

• If your vendor makes any changes to what I have done, the contract will need to come back to be countersigned, otherwise it is not a fully executed contract. Both parties must agree to all changes.

Helpful Hints 1. Receive Fully Executed Contract

2. Setup a requisition. It becomes a Purchase Order once Purchasing has approved the requisition.

a. Based on the contract

b. Use appropriate General Ledger Account Codes with estimated amounts

– 711700 – Data Processing Services – 715100 – Seminar Expense – 731300 – Audio/Visual Supplies – 792100 – Rentals – Space – 792200 – Rentals – Equipment – 792900 – Rentals – Other – 793100 – Photocopying – 799400 – Food & Beverage Human Consumption

Helpful Hints 3. DO NOT USE:

– 715200 – Meeting Planner Services

– 799630 – Meeting/Program Expenses

4. Commodity Codes:

– 90000000 – Travel, Food, Lodging, and Entertainment

– 90100000 – Restaurants and Catering

– 90110000 – Hotels, Lodging, and Meeting Facilities

5. Receive Invoice and pay from Purchase Order

– Include all required backup documentation • Invoice

• Agenda and/or participant list (if paying for food and beverage)

• Justification letter (if paying for alcohol for student involvement, or if on UF property)

Helpful Hints

6. Cannot Pay for Incidentals:

–Mini bar items

–Movies

–Souvenirs

–Room Service

–Bar Tabs

Helpful Hints 7. Prohibited P-card Purchases

– Assets/Capital Equipment

– Cell Phones

– Gift Cards

– Alcohol – check with p-card

– Meals & Restaurant Purchases – if the contract has been reviewed and signed by Purchasing or DCE, p-card may make exception

– Parking Citations

– Personal Convenience Items

– Radioactive Materials

Helpful Hints

8. Prohibited P-Card Usage

– No Splitting of charges

– No card Sharing

Questions?

The Meeting House

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A World of Options

Advantages

• Time-saving

• Avoiding repetition

• Having a trusted advisor that understands your business

Additional details for RFP

• Purpose and objective of your meeting

• Who is your audience?

• Tier of hotel that best fits your group

• Budget, pattern, space, and dates

• History of the meeting & past spend

• Special contract terms and requests

Tips

• Prioritize your concessions

• Flexibility = $avings

• Multi-year agreements

The Meeting House

Budgeting The Truth is in the Math!

Frequently Asked Questions

• Where does the money come from?

• What does the budget provide?

• Who is responsible for developing the budget?

• Who is responsible for signing the budget?

Frequently Asked Questions…Cont.

• What type of budget should I have?

• What is the difference between Fixed, Variable, and Indirect costs?

• What should be included in the budget?

• How are registrations collected and expenses paid?

Sources of Money

Money comes from many sources:

Sources of Money

And you should not engage in any of these:

Sources of Money

• Sponsorships – given to an organization to off set event costs or reduce registration fee

• May be for designated items/events

– Food and Beverage

– Transportation

– Bags, pens, etc.

• Registration Fees – unrestricted use to an organization for running the event

Sources of Money….cont. • Grants – the most challenging of funding sources

– Usually restricted in what you can use them for • NO FOOD AND BEVERAGE

– Most UF entities don’t like letting go of their grant funds

– You can USE all of your grant funds for your conference if you know how to repurpose/transfer them

• The best way is to use them as registration fees for attendees

• Once the money is in our system as registration fees, it becomes state money and can be used for anything to support the conference

Budgeting What does the budget provide?

• A detailed snapshot of expected revenue and expenses required to run your event

• The ability to develop accurate registration and sponsorship fees that will cover the costs of the conference

• The ability to track actual expenses without compromising the original budget

• An easy to read breakdown of revenues, expenses, and fees

Who Develops the Budget Joint endeavor between the Conference Organizer and the Meeting Planner

• Submission of the Event Application starts the process

• Meeting Planner takes Event Application and develops a draft budget proposal

• Conference Organizer and Meeting Planner agree on budget and proceed to the next step – getting it signed

Who has to Sign and Why? • Program Chair or Conference Coordinator

– Person of record and Point of Contact for the Conference Department

– Has to make reports back to the organizing committee

– Has to compete against other entities for the conference

• Dean or Center Director

– Let’s the Conference Department know that the Dean understands the financial obligation in the event there is a deficit in the program

Types of Budgets

What type should I have?

• Evaluate your objective

– Breakeven – most often preferred

– Profit – becoming more common

– Loss – only requested to demonstrate a need

• Incremental (historical) Budgeting

– Based on actual figures from the previous conference – difficult information to get

Types of Budgets…cont.

What type should I have?

• Zero Based Budgeting

– Expenses equal revenue collected = zero

• Used if no financial history is available

• Rule of Thumb

– Estimate expenses high and revenue low to allow for the unexpected

Fixed, Variable, Indirect Costs

• Fixed Costs – expenses that are incurred regardless of the number of attendees

– Meeting Room Rental

– Audio Visual Equipment

– Profit you want to make

– Marketing

– Honorariums

Fixed, Variable, Indirect Costs

• Variable Costs – expenses that vary based on the number of attendees

– Food and Beverage

– Conference Programs and Publications

– Giveaway Items

Fixed, Variable, Indirect Costs

• Indirect Costs – overhead or administrative line items

– Credit Card Fee

– Insurance Fee

– RCM – Responsibility Centered Management Fee

• UF TAX

• NOT MANDATED BY UFCD

Included in the Budget • Revenue Streams

– Registration Fee

– Sponsorships

– Vendors

– Grants

• Personnel Costs

– Honorariums

– OPS

– Extra State Compensation

– Contractors

Included in the Budget

• Operating Costs

– Advertising/Marketing

– Postage/Freight

– Printing

– Travel

– Food and Beverage

– Audio Visual Rental

– Meeting Room Rental

– Sleeping Rooms

– Transportation

– Entertainment

– Giveaways

Included in the Budget

• Indirect Costs

– Credit Card Fee

• 3% of charged revenue

– State Insurance Fee – Extra State Compensation

• 2.3% of fee paid

– RCM

• 12% of total expenses charged to your department by UF

Included in the Budget

• Other Fees

– UFCD Fee For Service

– Continuing Education Unit (CEU) Fee

• Based on number of attendees who need CEUs

Processes

• UFCD deposits money collected by:

– Credit Card using a secure server

– Check

– Purchase Order

– Electronic Funds Transfer

– Cash

• Expenses are paid via PeopleSoft either by our office or by someone who has the voucher role in your office

Tricks of the Trade

• Estimate revenues low and expenses high. Why?

• Pad your budget to cover the unexpected

• Budgets change based on actual costs of goods and services

Liability

• Conference Cancels

– Refund all revenue collected

– Pay all expenses incurred for the conference

• Printing

• Marketing

• Commitments for contractual agreements, e.g. hotels

• If the event is cancelled for any reason, the University of Florida’s liability is limited to a refund of the registration fees paid

Questions?

UF Conference Department

Making Concept Reality

Who We Are The UF Conference Department supports the UF community with a number of services, some complimentary, to ensure a smooth, efficient and well-organized event that will reflect positively on you, the University, and the Conference Department

Services Offered The UF Conference Department offers various services based on your conference needs and the level of support you’re looking for.

Your event will fall into one of two categories: – Basic Service

– Full Service

Basic Service Programs

• You are the meeting planner

• UFCD acts as the bank

• Additional services are available for a fee.

Complimentary Services include: – Event Consultation

– Budgeting

– Creation of Basic Registration Page

– Online Report Access

– Registration Services

– Hotel Contract Review

– Program Closing

Full Service Programs UFCD Event Coordinators work with you from start to finish

Our fee is determined by the level of support and services you require

Fee for service includes: – Customized Registration Website

– Food and Beverage Selection

– Coordination of Audio Visual Services

– Facilitation of Abstract Book Development

– Design and Printing of Participant Materials

– Fiscal Support

– Evaluations

– And More!

Complimentary Services Include:

– All basic services

New Features/Products

• Lighting

• Conference App

How to get Started Complete our online Event Application and one of our Event Coordinators will contact you

http://conferences.dce.ufl.edu/event-application

Planning a Meeting UFCD

Critical Things You Need to Know

First Thing You Need To Know

Statistics

Business News Daily, Huffington Post, Career Cast, and Business Insider ranked the most stressful jobs for 2014

• #1 – Enlisted Military Personnel

• #10 – Taxi Driver

• Where does Event Coordinator Rank?

• #5

Statistics Bureau of Labor Statistics for 2012:

• Median Pay - $45,810

• Bachelor’s Degree

• Number of Jobs – 94,200

• Growth outlook to 2022 – 33% (faster than the average for all occupations)

Rank #14 in the Best Business Jobs and #66 in the Top 100 Best Jobs in the United States

Industry Quotes Meeting Professionals International

“…believes in the unequalled power of events and human connections to advance organizational objectives.”

2013 Article by David McMillin for the Professional Convention Management Association states,

“81 percent of business professionals believe face-to-face meetings are better for building long-term trust and ensuring strong client relationships.”

Industry Quotes

Harvard Business Review Report, “Managing Across Distance in Today’s Economic Climate”, 2009:

• Global Survey of 2,300 HBR subscribers

• 95% said face-to-face meetings are key to successful long-term relationships

• 89% of executives believe face-to-face meetings are essential for “sealing the deal.”

Psychological Perspective Why Face-to-Face Business Meetings Matter, Professor Richard D. Avery, Ph.D.

• Allow members to engage in and observe verbal and non-verbal behavioral styles

• Occur in “real time”

• Provide human contact

• Help develop important exchange relationships

• Help develop transparency and trust

• Allow members to evaluate and judge the integrity, competencies, and skills of other participants

• Help develop strong social relationships

• Allow side-line conversations among participants

How Can We Be Effective

• Listen

• Look

• Understand

• Overcome

• Account for the 5 W’s

Listen

Listen to/for your client’s:

• Concerns

• Expectations

• Desires

• Knowledge and experience

Look Look at/for:

• The body language of your client

• Opportunities to impart your knowledge and expertise

• Ways to enhance his/her experience

• Ways to reduce expenses

• Ways to increase your value

• Ways to make recommendations

Understand Understand your client’s outlook

• Optimist – one who usually expects a favorable outcome

– Believes everything will work out, regardless of the circumstances

• Pessimist – one who usually sees or anticipates the worst

– Has to do the conference but is concerned about all of the negative aspects

– Big into contingency plans

Understand….continued

Understand your client’s outlook

• Idealist – one who represents things as they might be or should be rather than as they are

– Has the “Field of Dreams” mentality

• Realist – one who tends to view or represent things as they really are

– Sometimes has to deliver tough love

Things to Overcome

• Personal Preference

– Yours and Theirs

• It is not about you!

– Location

– Food and Beverage

– Entertainment

– Audio Visual

Philosophy

“The needs of the many outweigh the needs of the few or the one.” SPOCK

Know Your Client

• Optimist – can be challenging, especially budgeting

• Pessimist – more challenging, wants a contingency for EVERYTHING

• Idealist – most difficult, thinks they know it ALL

• Realist – easy to work with

Know Yourself • Optimist

– can blind you from making contingency plans

• Pessimist

– Can rob you of any joy you might have in the business

– Can bring your client down

• Idealist

– Makes you difficult to work with

– Can come across as being a PITA

• Realist

– The best resource your client can have

Know What You Need to Be • In the beginning (Initial Interview) – Cautious Optimist

– Demonstrates to your client that you are excited about their event

• Second meeting – Realist

– Makes you more credible as you discuss budget, location, and timelines

• During the event – Optimist/Realist

– Demonstrates to the attendees and hotels that you believe a positive outcome while insuring the success of your event

• At the end – Realist

– Keeps the relationship professional, especially if you have to deliver bad news

Accounting For The 5 W’s • Why are you having the meeting?

– To gather for an exchange of ideas or information – To promote an academic or professional association – To Train – To Motivate – To Build Membership – To Inform – To Generate Revenue

• What type of meeting are you having?

– International, National, Regional, State, or local – Conference, Workshop, Trade Show, etc.

Answering the 5 W’s

• Who will be attending the event?

– Scientists and/or academics

– Students

– Association Members

– Companions

– Industry Executives

– Customers

– Dignitaries

Answering the 5 W’s

• Where will you have the event?

– Conference Center

– Airport Hotel

– Suburban Hotel

– Resort

– Downtown/City Center Hotel

– University

Answering the 5 W’s

• When will you host your event?

– High (Peak)

– Low (Off Peak)

– Shoulder Season

– Other Considerations

• Holidays

• City Wide Events

• Fiscal Year for State/Federal governments

• Sporting Events

Who Are We

• Problem Solvers

• Empathizers

• Negotiators

• Budgeting Experts

• Food and Beverage Specialists

• Planners

• Organizers

• Doers

• Realists

• PROJECT MANAGERS

“…the powerful play goes on, and you will contribute a verse.” WALT WHITMAN

Questions?

Thank you for coming!

UF Conference Department (352) 392-1701

conferences.dce.ufl.edu