NAR's 2012-2014 Strategic Plan

7/31/2019 NAR's 2012-2014 Strategic Plan

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Sagc Plan2012-2014Approved November 2011

NatioNal associatioN of REaltoRs


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Committee memberS

Robert M. Kulick (Chair) Caliornia

Elizabeth Mendenhall (Vice Chair) Missouri

Colleen A. Badagliacco Caliornia

Melanie A. Barker Caliornia

Je Vernon Barnett Caliornia

Toby S. Bradley Caliornia

Amanda S. DiVito Parle Colorado

Ginger A. Downs IllinoisDon Faught Caliornia

Michael J. Flynn Washington

John E. Foltz Arizona

Jarrod C. Grasso New Jersey

Bob Hale Texas

Christine E. Hansen Florida

Brooke S. Hunt Texas

Duncan MacKenzie New York

Sherri Meadows Florida

Lauren Mitrick IllinoisJudith Moses Massachusetts

Chris Nichols Utah

Heather G. Ozur Caliornia

Kenny Parcell Utah

Alex Perriello (Immediate Past Chair)

New Jersey

Matthew M. Phipps Rhode Island

Linda A. Rheinberger Nevada

D. Gary Rogers Massachusetts

Todd A. Shipman MinnesotaJerry R. Teeson Minnesota

David W. Walsh Caliornia

Ivan Zavala-Steidel Puerto Rico

2011 NAr Sagc Plannng C

NAr LeAderShiP teAm

Ronald L. Phipps Rhode Island

President

Maurice J. Veissi Florida

President Elect

Gary Thomas Caliornia

First Vice President

William J. Armstrong, III Maryland

TreasurerSteven C. Brown Ohio

First Vice President Nominee

Vicki L. Cox Golder Arizona

Immediate Past President

Vince Malta Caliornia

VP & Liaison to Govt Aairs

Elizabeth Mendenhall Missouri

VP & Liaison to Committees

Dale Stinton Illinois

Chie Executive Ofcer

NAr SeNior StAff

Janet Branton

Jerry Giovaniello

Bob Goldberg

Doug Hinderer

Laurie Janik

Mark Lesswing

Frank J. Sibley

Walt WitekLawrence Yun

NAr StAff

Paul Bishop (Sta Executive)

Stephanie S. Davis

Ken Fears

Caroline Van Hollen


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Sagc Plan2012-2014Approved November 2011

NatioNal associatioN of REaltoRs


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While gradual evolution oten marks

the transition rom one business

environment to another, the recent

nancial crisis and ensuing economic adversity

have combined into a mix o uncertain signals

or the real estate business and or organized

real estate.

Both residential and commercial real estate

markets have endured, and in many areascontinue to endure, a signicant level o

distress. This dislocation takes many orms

including ewer sales, weak prices, high

inventory levels, anxious clients and more

dicult and time-consuming transactions.

For many REALTORS, the past ew years have

been one o the most challenging periods ever

experienced.

As dicult as the current environment is

or REALTORS, one o the goals o strategicplanning is to look beyond near-term market

conditions and to instead question assumptions

and determine the primary orces that will shape

the business environment several years into the

uture. While the anticipated interplay o these

orces oten will not lead to a specic orecast

about the uture, it should, at a minimum,

provide useul guidance and scenarios to inorm

decision making.

Some o the most signicant orces that willaect the real estate industry over the next

decade include:

Cnsu an reALtor inacn w

tcnlgy. Inormation and communications

technologies already provide consumers

with vast numbers o opportunities to gather

inormation and make decisions when

conducting a real estate transaction. Experts

suggest that i anything this trend will

Sagc Plannng envnn

accelerate. Furthermore, increasingly powerul

business-oriented technologies may alter

the value-added role o REALTORS in the

transaction.

t Valu Ppsn. Consumers nd value

in many types o relationships, including the

relationship that many have with REALTORS

when buying, selling or leasing real estate.

However, what consumers value about thatrelationship is likely evolving as the cost

o accessing inormation declines and the

speed o communication increases. Similarly,

REALTORS nd value in their relationship with

the REALTOR organization given the increasing

importance o advocacy, inormation and

business tools needed to meet uture challenges

and opportunities.

dgapcs reALtorS an Cnsus.

The leading edge o the baby boom generationis approaching retirement while the children

o the baby boomers a cohort larger than

the boomers themselves have now started to

exert more infuence on economic and social

trends. Likewise, the transition to a younger,

more racially diverse generation o REALTORS

is underway. Both o these changes present

challenges or REALTORS and the REALTOR

organization as generational dynamics suggest

possible shits in consumer preerences at home

and in business.

Sucu reALtorS oganzan.

Experts suggest that associations o all types are

acing a period o rapid change and will need

to adjust their business models to adapt to that

change. This is especially true o associations

that represent, as does the REALTOR

organization, industries that are themselves

changing rapidly.


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The NATIONAL ASSOCIATION OF REALTORS

Strategic Plan sets orth a number o orward-

looking objectives that refect the challenges

and opportunities that are likely to emerge in an

uncertain world. Collectively, these objectives

ocus on ensuring a strong relationship between

REALTORS and consumers so that consumers

recognize REALTORS as proessional, competent

and trusted sources o inormation and services.

With the strength o the REALTOR organization

as a oundation, the Association will continue

to support public policies that advance the

real estate industry and private property rights

while also adhering to its vision as an eective

business and public policy advocate or its

members and the consumers they serve.

The NAR Leadership Team, Strategic

Planning Committee (SPC), CEO and

senior sta have agreed on a set o core

principles. These principles orm the basis or

the strategic objectives to ollow, and include:

The strategic plan should be a living

document and the process continuous

reviewed and updated regularly rom its

current version rather than being re-builteach year.

The plan should directly infuence operational

decisions and be a lens through which those

decisions are considered, thus having some

infuence over budgeting and operations o

NAR. However, the plan should ocus on

dening strategic objectives, rather than

dictating operational details and initiatives,

which is the role o the senior sta and

Leadership Team.

The strategic planning process is a partnership

among the SPC, the Leadership Team and

NAR sta.

Careul monitoring and measurement o

progress against the strategy are essential

to the process, but should be set up and

conducted by the sta and reported regularly

to the Leadership Team. Metrics should be

designed to measure the viability o the plansobjectives and overall progress towards them

as an organization (leadership, committees

and sta).

The process should encourage long-term

thinking, creativity and careul consideration

o over the horizon issues.

Sagc PlannngPncpls


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VisionNAR is the trusted voice or real estate and an eective business and

public policy advocate or its members and the consumers they serve.

Strategic Objectives1. Shape the uture o mortgage nancing to ensure a strong and

sustainable fow o capital into the mortgage nancing market place

2. Create and support a meaningul, long-term relationship between

REALTORS and consumers

3. Be the most comprehensive, reliable and accessible source o real estate

inormation

4. Improve the competency and proessionalism o REALTORS

5. Strengthen relationships with REALTORS and within the REALTOR

community

6. Support public policies that advance the real estate industry, protect

private property rights and promote sustainable real property

ownership, housing opportunities and homeownership

NAr Sagc Plan a a Glanc


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Strategic Objective 1

Shape the uture o mortgage nancing to ensure a strong andsustainable fow o capital into the mortgage nancing market place

Strategic Initiatives and End Results

en rsuls

inan

Through NAR communication and education,

members understand how to work in an

environment o nancial and economic

uncertainty

REALTORS are valued as a reliable resourceto assist the real estate consumer in all

nancial market environments

Avcacy

NAR is viewed as a valued partner and

resource in creating regulatory solutions that

avorably impact real estate nancing

NAR proactively identies and promotes

avorable solutions to real estate, nancial,

appraisal and taxation issues to help

strengthen the nancing marketplace

NAR encourages sound lending and nancial

practices while taking a leadership role

in ensuring the viability o a strong and

sustainable market or mortgage nancing

and continued ederal support or real estatenancing and capital in all market conditions

busnss Paccs

NAR supports the use and creation o a wide

range o mortgage products that serve the

needs o consumers


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en rsuls

rlansps

The term REALTOR is viewed synonymously

with proessionalism and competency

Consumers recognize that a REALTOR is an

integral part o any real estate transaction

REALTORS and consumers expectations

and consumers perception o REALTORS

competence are aligned

Through REALTOR advocacy, regulatory and

communication eorts, the consumer better

understands the various aspects o a real

estate transaction and the long-term benets

o real estate ownership

Consumers select REALTORS

as their trustedresource or all real estate services

NAR generates compelling messages that

encourage consumers to engage the services

o REALTORS to buy, sell and lease real

estate

NARs national messaging promotes the value

o homeownership and engages the consumer

in dialogue with the REALTOR

NAR encourages members to use innovative

solutions that support the REALTOR-

consumer relationship

NAR supports and encourages REALTORS

to develop long-term relationships with

consumers, acting as their trusted resource

and as valuable members o their shared

communities


Create and support a meaningul, long-term relationshipbetween REALTORS and consumers

busnss Paccs

The consumer recognizes that REALTORS

adhere to a strict Code o Ethics

REALTORS meet consumers expectations o

honesty and local market knowledge while

engaging in business practices that serve

client interests

REALTOR associations, MLSs and NAR

members protect consumer privacy and

ensure the security o consumer and

proprietary inormation

REALTOR-owned and controlled multi-media

applications are the trusted source o accurate

inormation or consumers and drive trac to

our members

inan

NAR supports innovative tools or the

delivery o comprehensive real estate

inormation to establish REALTORS as

the trusted source o local real estate

inormation or consumers and the

media

NAR promotes the value o real

property ownership by providing

accurate and reliable inormation onthe benets o ownership and its positive

impact on amilies, communities and society


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rlansps

NAR encourages and supports interactive real

estate communications and technology or

REALTORS

NAR encourages and supports collaborative

relationships with organizations representing

diverse groups o members

NAR communications refect and

accommodate increasingly diverse members

and consumers

busnss Paccs

NAR supports REALTOR-centric transaction

management platorms or its membership

NAR educates its members and communicates

best practices or ensuring inormationsecurity and consumer privacy

NAR develops tools to assist associations,

MLSs and REALTORS in securing their

electronic assets

NAR promotes products and services,

including the best, most cost-eective

technologies, designed to help REALTORS

increase productivity, protability and the

value provided to consumers


Be the most comprehensive, reliable and accessible source oreal estate inormation

inan

NAR makes real-time analytic property

inormation available to all REALTORS,

without regard to geographic boundaries

REALTORS have timely, cost-eective access

to uniorm real property inormation

NAR produces, disseminates and providesways or members to segment and customize

inormation on all aspects o the real estate

industry including, but not limited to,

residential, commercial, property management

and international markets

NAR collects and disseminates timely

inormation refecting the growing diversity

o consumer and member demographic

characteristics and preerences


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Improve the competency and proessionalism o REALTORS

en rsuls

rlansps

Members and consumers recognize that

being a REALTOR means commitment to the

highest level o competence, adherence to the

Code o Ethics, and dedication to proessional

courtesy

NARs membership criteria are recognized

by real estate associations around the

world as a model or ensuring the highest

level o eectiveness, competency and

proessionalism

busnss Paccs

NAR supports consumer eedback and

ratings that are used to improve REALTOR

perormance

NAR promotes higher licensing standards

NAR promotes the creation o advanced real

estate degree programs, as well as other types

o educational training, or members

inan

REALTORS are recognized by consumers as

skilled and competent sources o real estate

inormation and local market knowledge

REALTORS are well-inormed about and

engaged in local, state and national public

policy discussions aecting real property

ownership


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Strengthen relationships with REALTORS and withinthe REALTOR community

en rsuls

rlansps

NAR supports the use o social media

applications as eective business tools or

advocacy, education, marketing and member

involvement

Members utilize online communities toenhance REALTOR-to-REALTOR dialogue

NAR encourages and benets rom a diverse

membership and leadership

NAR enhances its collaborative role with

members, local and state associations and

aliated institutes, societies, councils, and

global partners to promote common interests

NAR osters meaningul involvement,fexibility and eciency in the decision

making process

busnss Paccs

NAR continually evaluates and innovates to

acilitate business and nancial opportunities

or its members

NAR leads the eort to promote a global

marketplace that ensures sae, air and orderly

real estate transactions

Members recognize NAR as a trusted provider

o relevant inormation, products and services

inan

NAR develops policies and adopts

innovative technologies which lead to

more comprehensive and reliable member

inormation at all levels o the organization

NAR eectively communicates its value tomembers to oster high levels o engagement

and involvement in the communities they

serve


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Support public policies that advance the real estate industry,protect private property rights and promote sustainable realproperty ownership, housing opportunities and homeownership

en rsuls

rlansps

NAR is recognized as THE advocate or

legislative, regulatory and legal policies that

benet REALTORS and real property interests

NAR supports REALTORS and others aligned

with REALTOR interests seeking election orappointment to public oce

NAR builds relationships with coalitions and

advocacy groups to strengthen public policy

positions

busnss Paccs

NAR utilizes targeted communication

channels and technology to promote

REALTOR interests

inan

NAR evaluates and communicates the success

o our advocacy programs

NAR raises awareness and keeps stakeholders

at all levels o the organization up to date

about public policy issues and their impact on

the REALTOR community and consumers

Avcacy

NAR promotes and supports policies that

protect and sustain the societal value o home

ownership

NAR continues to strengthen its involvement

in legislative, regulatory and political

advocacy at the national level and supports

eorts at the state and local levels

NAR supports housing that is aordable and

available to all

NAR oers inormation and education on

advocacy to our global partners

NAR provides opportunities or REALTORS to

partner with consumers in advocacy

NARs supports policies that sustain and

protect property rights and the ability o

consumers to eectively and eciently

engage in real estate transactions


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Strategic Initiatives and End Results

t Sagc Plannng Pcss

The NATIONAL ASSOCIATION OF

REALTORS Strategic Planning process

consists o an annual review and update o

the NAR Strategic Plan. This process allows the

plan to be suciently fexible to respond to a

changing environment while also looking ahead

over a three to ve year planning horizon.

The Committee has developed a planning

process that takes ull advantage o inputrom a number o sources including REALTOR

members, NAR committee leadership, state and

local REALTOR association leadership, industry

leaders, outside experts, and innovators in the

real estate business. The objective is to gather

inormation and intelligence rom those inside

and outside the REALTOR organization who

infuence the industry.

fcus Gups. The Strategic Planning Committee

conducted two types o ocus groups. The rstconsisted o recent home buyers and sellers and

gathered qualitative inormation, opinions and

eedback on the process o buying and selling

a home. The ocus groups were conducted in

Chicago, Pittsburgh, Salt Lake City, Jacksonville,

FL and Memphis. Each ocus group included

8 to 10 participants o various ages, including

rst-time home buyers. Focus groups o local

REALTORS in each o the same ve cities were

conducted also. The purpose o these ocus

groups was to get on-the-ground eedbackon current business and market conditions

and inormation about interaction with the

NATIONAL ASSOCIATION OF REALTORS.

envnnal Scan. The strategic planning

process includes a comprehensive and broad-

based environmental scan, the purpose o

which is to provide the Strategic Planning

Committee with inormation about current

trends and issues. Rather than develop a

comprehensive written document that covers a

large number o topics, the Committee invites

industry leaders and experts to address the

Committee and engage in a discussion about a

range o relevant issues.

The 2011 Strategic Planning Committee invited

experts to address several important areas. Chris

Mayer, Paul Milstein Proessor o Real Estateand Senior Vice Dean at Columbia Business

School provided his views on the economy and

the real estate market. Thomas Stewart, Chie

Marketing and Knowledge Ocer at Booz &

Company described the major global trends that

will aect the business environment over the

next decade. Thomas Mann, Senior Fellow and

the W. Averell Harriman Chair at Brookings,

Peter Francese, demographer and Founder o

American Demographics Magazine, and Marian

Salzman, President o Euro RSCG WorldwidePR participated in panel discussion ocused on

political, demographic and consumer trends.

John Tuccillo, consultant and ormer chie

economist o the NATIONAL ASSOCIATION OF

REALTORS acilitated a discussion about the

major drivers o the real estate industry during

the next 3 to 10 years. These areas included:

1) technology; 2) the REALTOR - Association

and REALTOR - consumer value proposition; 3)

consumer and REALTOR demographics; and 4)

REALTOR organization structure.

Sall Gup Sssns. For each o these our

themes a sub group o Committee members

met or a day-long discussion ocusing on

challenges and opportunities in each area. Each

group also developed a set o scenarios that

described possible outcomes or the REALTOR

organization and or REALTORS. Commonalities

across these scenarios provided the basis or


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urther discussion about long-term challenges

and opportunities conronting the Association

and its members.

m Ns Assssn. Results roman annual member needs assessment were

incorporated into the inormation gathering

phase o the strategic planning process. This

survey collects inormation about the views o

REALTORS on the value o NAR, anticipated

challenges REALTORS will ace, ways NAR can

assist members in meeting these challenges and

views o REALTORS on ways that NAR can

urther improve its relationship with members.

rsac. Results rom NAR surveys andresearch reports also were provided to the

Committee. These reports and analyses

describe changes in the business practices o

members and changes in the characteristics

and expectations o real estate consumers.

Committee members were kept apprised o

relevant news and analysis through a periodic

distribution o news articles.

C dlans. Inormation gathered

rom industry leaders, the member needsassessment, research, along with input rom

NAR committee leadership, helped support the

Strategic Planning Committees review and

deliberations about changes and revisions to the

strategic plan. Within the process o reviewing

the current plan, revising strategic objectives and

ormulating new objectives, both large group

discussion and ocused small group sessions were

used to develop a drat strategic plan.

Plan Appval. Upon completion, the Strategic

Plan was approved by the Strategic Planning

Committee and orwarded to the NAR Board o

Directors or their approval.

dssnang Plan. Following the approval

o the Plan by the NAR Board o Directors, the

revised Strategic Plan is made available online

at REALTOR.org and in various hardcopy

ormats. The strategic plan is sent to all NAR

committee members, state and local REALTOR

association leadership and NAR sta. Upon

request, the Plan will be made available to state

and local REALTOR associations to acilitate

their strategic planning process.


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Documents

NAR's 2012-2014 Strategic Plan