Operations Report

Neal J. Couture, CPCMExecutive DirectorBoard of Directors MeetingDenver, CoJuly 11, 2011

Action Items from BOD Meetings1. Continue the discussion of metrics (measure success for

outcomes proposed) for the four proposed strategic objectives. (December 2010)Assigned: Four SPC SubcommitteesStatus: Survey results: preliminary report today

2. Address sharing or selling content between/among chapters at either Leadership Summit or a Mid-Year Leadership Conference. (January 2011).Assigned to: LechStatus: Will be addressed at Leadership Summit in August 2011

Finance

•Unaudited through June 30, 2011•Revenue: $6.978 million vs. $6.581 million budgeted

– Favorable variance $397k over budget

•Net revenue: $874k vs. $350k budgeted– Favorable variance: $524 K over budget

•Reserves are $2.5 million, which is 38% of operating budget ($6.581 million).

•YTD investment gains (through May 31, 2011): $321K•Concerns:

– conference registration revenue….WC2011 less than budget ~10%

– Investments volatility

FinanceComparison with ASAE benchmarks, for similar sized associations

NCMA (YTD 6/2011)

ASAE(2008)

Profitability 14.4% -0.3%

Liquidity (Current ratio) 4.1 2.4

Investment Income as a % of Total Revenue

4.4% 1.3%

UBIT Revenue as a % of Total Revenue

23.2% 2.9%

Occupancy Expense as a % of Total Revenue

2.5% 5.2%

Membership

June 30, 2011 June 30, 2010

Members 20,597 19,840

3.82% increase

Membership

Chapter Relations

•Leadership Summit (Boston, MA – August 12-13, 2011)

•Chapter Chartering Guide updated.•Chapter tax issues: IRS letters.•Virtual chapter: 310 members, 167 international

Conferences

•World Congress 2011 in Denver, Colorado: – Forecast 850 paid attendees (goal is 930).– Exhibitor participation met goal.– Virtual conference: web-cast of conference general sessions!

•GCMC 2011 scheduled for November 13-16 at Bethesda Marriott Conference Center.– Negotiating with hotels for 2012 & 2013.

•ADC 2012 in Austin, TX.

World Congress 2011 – Denver!

Schedule for BOD Members

Sunday July 10

9:00am-3:00pm: Board of Directors Meeting4:00pm–5:00pm: Conference Opening w/Christopher Dodd, Former Senator from CT5:00pm–6:30pm: Exhibit Hall Ribbon-Cutting and VIP Reception

MondayJuly 11

8:00am–5:15pm: World Congress program 12:30pm-2:30pm: Executive Round Table Luncheon7:00pm–10:00pm: NCMA World Congress Gala at Mile High Station

Tuesday July 12

7:00am-7:30am: General Membership Meeting8:00am–5:15pm: World Congress program 12:30pm–2:00pm: Executive Advisory Council Luncheon

WednesdayJuly 13

7:00am–12:00pm: NCMA Certification Exams8:00am–1:30pm: World Congress program9:00am–9:45am: Awards Presentation

Education

• Increased e-course portfolio: certification prep courses.•NES revenue higher than budget: sale of manuals.•Net gain from education programs: $328k vs. $360k

budget•Risk factor: Conducted fewer webinars than planned

due to topic and speaker selection, workload issues.•Risk factor: Director of Education absent on maternity

through September.•Mitigation plan:

– CLO will assist in topic selection for webinars, and new e-course development.

– Hired e-learning program coordinator in June 2011.

Certification

•Transactions and revenues exceed budget year to date.– Applications up 35% (719); – Certifications awarded up 46% (347).

•Developing concepts for micro-credential programs.– Focused, specializations: COTR certification; pricing

certification

Advertising Sales and Creative Services

•Advertising revenue remains strong: 12% positive variance over budget.

•CM Jobs postings continue to surpass budget forecasts.

•New column on professional development by CLO.•Salary Survey 2011 in design for publication in

July/August.•Digital edition of CM Magazine!

Standards

• Position Standards for the CM Field: to be published in July/August.

• CMBOK project: CMBOK 3.0 published June 2011. • Organizational Alignment study: focus groups at

WC2011.• CM2: draft competency model and self-assessment

questionnaire being reviewed.

Core Operations

•Susan Esprella Colon, director of education, is on maternity until mid-September.

•Karen Reuter, director of standards, retires July 15, 2011.

•Kristen Hayden promoted from customer service representative to new position e-learning program coordinator.

•Angie Kays promoted from customer service representative to new position junior accountant.

•Greg Olson new hire as customer service representative.

•Facility: at capacity!

Governance Items

•Research and Analysis of the NCMA National Elections 2011.

•White Paper on NCMA Board of Director Participation Expectations and Recommendations.