Council of Real Estate Brokerage Managers

Tuesday, August 19, 2008

Coffee's Brewing - And It's Strong!

Brokers, owners and managers - it's time to wake up and smell the coffee. The coffee of social media.

While many in our industry were early risers and grabbed their cups first, much of the industry chose to sleep in, not awakening to the power of blogging, podcasts, social networking, micro-blogging – just some of the tools of Web 2.0 that make up the genre of social media – until the aroma became nearly overpowering. Now it seems, those of us that hit the snooze button are getting to the pot after the coffee has lingered on the burner a while. And that overpowering smell has awakened a large number of real estate professionals.

Thousands of agents are currently blogging, but tens of thousands more will be participating in coming months, posting their blogs on hundreds of sites. Even more will be creating profiles on social networking sites like Facebook, MySpace, Plaxo and LinkedIn. Legions of real estate professionals will be posting on Twitter, placing photos on sites like Flickr, or offering their audio commentary on anything and everything on Utterz. Our associates seem to be grasping the new Web 2.0 order of business and hoisting their coffee mugs. Are we in the brokerage ownership and management arenas going to be the last ones to the coffee pot?

It’s time we understand these new tools and what they can do for our business. How, if used effectively, they can expand our marketing reach, increase our speed of communication and further our brand. We need to understand how they can reduce expenses and attract new customers. And we certainly need to become a resource for our associates to turn to for advice on using these tools.

But we also have to understand what these tools can do to our business if not monitored or managed. Left unchecked, unmanaged, or unmonitored, these tools can offer certain elements of risk – read liability – that could hold disastrous results for our business. We need to develop policies and procedures (with the involvement of our associates, legal counsel and management team) to address and manage these tools proactively. Without a proactive strategy on managing these tools, we’re likely to become another industry headline.

And that headline won’t have anything to do with coffee.

Future posts planned: effective social media strategies in real estate; developing policies and procedures to address social media use in your office; applying consistent branding practices in social networking.

For further information, please visit www.TheRealEstateNetwork.ning.com, a free social networking site for those in the real estate industry.

Friday, June 27, 2008

What Do Your Agents Want?

Pretty simple question really. What do your agents want? Hmmm? Have you thought about it. It isn't an unreasonable question, or a hard question - it's just a question that deserves and begs an answer. However the industry norm is for us to design one-size-fits-all offices that will service the masses. Sometimes we even attend a conference, a class or network with peers and collectively copy each others best practices not even taking into consideration that the best practice might or might not fit your agents, retention plan, company culture, recruiting strategy or overall profitability of your firm. Over the years I have spoken to so many failing brokers that chose to "do it their way" caught up on the wind of a new idea or practice of another.

Back to our question....what do your agents want?

Over the last week there has been much dialogue on this topic on the real estate blogs. Especially one blog and subsequent post that was authored by Teresa Boardman, a Keller Williams associate broker in the Twin Cities. Teresa received numerous comments and feedback from agents and brokers all over the country. This week she updated the blog with another post in which she states exactly what she is looking for in a brokerage. Both posts give considerable insight into the mind and emotions of a typical agent. Not to say that Teresa is "typical" as she is an independent thinking, tech-savvy agent who operates remotely from the office. Take a few moments to visit the AgentGenius blog and her first and second posts by clicking on the highlighted words (active links).

After reading the posts you might find that you do not agree with Teresa, yet again, perhaps there are several points you do agree with or that might you have an "aha" moment. How would you know what your agents want?? Do they tell you?? Are they demanding?? Do they put a slip in the proverbial suggestion box?? "Well, Jonathan, I'm a broker that is "in tune" with what my agents want?" Oh really? Unless your office is bugged, you have several internal "moles" or hidden webcams in the ceiling - chances are that you don't know that you have some disgruntled, disappointed and disillusioned agents in your midst.

Here's another question.....when was the last time you asked them what they wanted? I know, you're most likely afraid to ask it, aren't you? Perhaps you're afraid that you'll open a can of worms or Pandora's box? Just how could you accomplish this?

There are many ways, but here are just a few:

1. An Internal Survey

2. Agent Focus Groups

3. Virtual Suggestion Box

An internal survey is easy enough. Just send out a 10 to 20 question survey on an annual basis to your agents. Ask about training, staff, culture, atmosphere, responsiveness, policies, procedures, equipment, marketing.....any number of things, but remember to keep it short and sweet. You can deliver this through an online service such as SurveyMonkey or Zoomerang.

Have you ever attended a focus group or have you been called on to give your comments or responses to a user-group? 1000's of companies worldwide utilize external and internal focus groups to design marketing plans, products, systems and strategic plans. Yet focus groups are rarely mentioned in real estate environs. Take a cue from the Fortune 500 who wont make a major decision without the needed research. Your office should be no different. Focus groups are just that.....groups focused....on a particular idea, area of consideration, plan, etc. You want their feedback, you need the research. Host such a group of selected members or several groups selected by interests, talent, specialty or production. I've utilized this method for every major marketing or product decision that I faced while running a multi-billion dollar real estate firm. Agents want to tell you, they want their voice heard and it speaks volumes about your culture if you just pose the question and provide the process to give them voice.

Create a virtual suggestion box. How?? I'm sure you have email, right? Just set up another email account at yourcompany.com. Perhaps name it: creativeideas, winningsuggestions or agentsspeak. Announce the creation of the virtual suggestion box at a company sales meeting, by email and by memo (remember it take at least three to five touches). Please remember to tell everyone that this is a complaint box, gripe box, soap box, etc. This is for positive feedback and ideas. If they have a gripe or complaint they can present that in person. Don't be upset if agents don't bombard you with emailed suggestions. In fact, you'll get very few, however you've done something that will impact the culture of your organization. Even if you never get one suggestion, you've provided the agents with a system to tell you what they want. They will realize this - especially if you keep the system in front of them and don't sweep it under the carpet.

In closing, a qualified consultant can help you with all of these methods. By using a consultant you'll elicit a more objective, forthright response from your organization. Agents will say things to a third party that they wouldn't say to your face. Consider utilizing the services of a professional if you'd really like to get inside the minds of your agents.

Thursday, June 26, 2008

Managers: What do Agents Owe You?

We read article after article about how to attract and keep agents. We learn how to do recruiting presentations that we hope are mesmerizing to our candidates—so mesmerizing that they’ll say yes when we offer them a position in our company. We hone our skills so we’re better managers, trainers, and coaches. We worry about retention, and spend thousands of dollars a year just to attend workshops on retention techniques. We spend thousands of dollars on retention! So, I’m going to turn the tables, and ask, what do those agents owe to you?

You work hard. If you’re an owner, you’ve also put thousands and thousands of your dollars at risk to start and run your real estate company. It’s my opinion that agents owe you in certain ways. I’m not talking about commissions. I’m talking about actions.

Mutual Expectations Exchanged in the Interview

The real estate industry is the only industry I know that hires with a “trust me” from both the manager and the agent. No mutual expectations here, just promises! It may have worked in the past, but it won’t work in the future. A challenging market means we’ll have to do things differently. Right now, make a list of what you expect—and have a right to expect—from an agent. Draw up a Mutual Expectations agreement. Go over that agreement in the interview. Get it signed. Doing it after you’ve hired the agent is way too late!

Consequences of the Mutual Expectations Agreement

Worried about retention? This is one of the best retention tools in the world—hiring agents who promise to go to work! Your experienced agents will love the fact that you’re not hiring dead-wood to just get in their way and pull down the reputation of the company. Your new agents will get right to work, because they understand that is the expectation. Will you miss hiring a few people? Sure--the ones that didn’t intend to go to work.

Doing My Best to Help you Out

Last year, Dearborn Publishing Company published my third edition of Up and Running in 30 Days, the business start-up plan for the new agent. I’ve added as much management support in it as I possibly can, including a Mutual Expectations agreement that is tied to the Up and Running 4-week business start-up plan. This plan expects a lot from the new agent, but I know, from my surveys, that the new agent expects a lot—fast—from the business! (That’s why it’s such an aggressive ‘get out there and run’ program—perfect for a challenging market, too). I thought you’d enjoy reading my take on what new agents should contribute to their manager (and their office):

Ten Commandments to Get the Best from your Manager

Do the work.
Don’t argue.
Don’t make excuses.
Don’t tell the manager you’ve been in the business two weeks and you have a better way.
Do thank your manager.
Do tell other agents that you appreciate your manager’s efforts.
Do tell other new agents you meet in other companies that you have a great manager.
Don’t bug other people in the office to find another answer because you didn’t like your manager’s answer.
Don’t change the program because you don’t like it.
Don’t miss a coaching appointment!

I’d love to hear what you think of my ‘ten commandments.’ Are there others you think are important? Why not make your own ten commandments and discuss them in your interview process. Then, turn the tables and ask the agent about his expectations of you and the office. Getting agreement on what we both expect before we decide to work together is key to a happy partnership. The only surprises I want you and your agent to have after you start working together are good ones!

Carla Cross, CRB, MA, is president of Carla Cross Seminars, Inc. and Carla Cross Coaching, specializing in real estate sales and management. Cross, an international speaker and coach, is the author of 6 internationally published books, 20 productivity programs, and is a winner of the National Association of Realtors’ National Educator of the Year award. Contact her at www.carlacross.com or 425-392-6914.

Thursday, June 19, 2008

Technology, It Does Your Schedule Good!

OK first, I apologize to the Milk people for using a variation on their famous campaign. Secondly, WAIT A MINUTE! Technology?? Even though technology and REALTOR have shared the same sentences since the 80's, it was never good! We'll, most of the time is hasn't been so. Now remember, it wasn't too long ago that we thought the sky was falling and technology would be putting us out of business. Just like the day the fax machine was first delivered to my office in 1988. Though some still pontificate the possibilities of it destroying our existence. I digress....

So here goes....technology can do much good for your business if it is utilized as a tool to make you more productive, efficient and balanced. Now there's a paradigm that should be embraced. Technology can either crowd out things that matter by consuming your time, or it can be harnessed. Question is who has the control? Technology or you??

Here's a tool that I'm completely sold on: Jott. If you've not experienced Jott, you're in for a treat, but the real question with any new technology is how to implement it into your routine to actually make you better at what you do. It is easy with Jott. I've shared this little jewel for over a year now in classes, seminars and with clients. Go to http://www.jott.com/ to find out all you need to know. For the purposes of this post I thought I'd share a few of my favorite uses.

If you've ever known a REALTOR who drives with one knee, drinks their coffee and text messages all at the same time while careening down the highway at 70 miles an hour - then you've probably met my wife. (sorry Dee) And yes, in the interest of full disclosure - I'm guilty too. Jott is so perfect for this scenario. Just call 1-866-JOTT-123. The voice says, "Who do you want to Jott?" You answer, "Agents!" Jott then confirms you said agents....then you hear a beep. Go ahead, don't be shy....send a message to your agents. Something like....."Hello everyone! At tomorrow's sales meeting we'll be sharing with you our new minimum standards program. Plan on being there early as I'm sure we'll have a packed house." Within moments, all of your agents will get a text message and email referring to a message from you. The voice message will be transcribed into text for all your agents to read, and there will even be a link in the message that will allow the agent to hear you in your own voice. Wow....that saved some time. Now, as an aside, I really do think you should talk to them about Minimum Standards at the next meeting. See Carla's earlier post on the subject. If you leave them that exact message through Jott....I promise a full house. Just in case, you might want to have security present at the meeting as well.

But WAIT, there's more! With Jott you can create groups of people like: potential recruits, vendors, agents, sellers, buyers, past clients, friends, family, soccer club, etc. You can now communicate with all of them with one message, or you can send individual messages one-by-one to people in your contact list. Jott also provides with the ability to have departmentalized lists. For instance a to-do list for business, home, assistant, etc. You can Jott yourself reminders to each of those lists for future follow-up. With a headset, traffic and your starbucks in hand -Jott can keep your insurance bills down too! (This statement has not been endorsed or reviewed by the management of Jott or your insurance agent.)

The latest and greatest from the fine folks at Jott is the ability to add "feeds" to your account. So now I can subscribe through "feeds" (think RSS for the bloggers out there) to my favorite information, blogs, websites, news, weather, etc. While I'm driving to the office I can have Jott read me all of the updates that I choose to subscribe to. No more mind-numbing moments in front of the computer reading every one's blogs, updates, twitter, etc. Better yet, if you are a blogger like me, you'll find that you can dictate your entire post to Jott and it will magically appear anywhere you direct it to post to like: facebook, twitter, blogger, wordpress and many more.

Enough said, I think I've proven that this can be a great tool. Give it a try and let me know what you think. Think of all the uses like: recruiting, office announcements, to-do lists, reminders, praising agents, etc. Now go forth and implement....uh, er....Jott!

Monday, June 16, 2008

Agents: What Do You Owe the Company?

I’m not talking about the commission splits. I’m talking about a much more significant contribution. You’re a new member of your organization. Has the organization asked anything of you? It should, if there is pride in belonging to the organization. Surprisingly, though, today many companies either have no standards or don’t communicate to their associates that there is a fairness issue—an exchange of responsibilities and accountability so the company and all its associates are better from the affiliation of the newest associate.

Mutual Expectations Exchanged in the Interview

My Take on What Agents Should Contribute to the ‘Team’ and to the Manager

Last year, Dearborn Publishing Company published my third edition of Up and Running in 30 Days, the business start-up plan for the new agent. I’ve added as much management support in it as I possibly can, including a Mutual Expectations agreement that is tied to the Up and Running 4-week business start-up plan. This plan expects a lot from the new agent, but I know, from my surveys, that the new agent expects a lot—fast—from the business! (That’s why it’s such an aggressive ‘get out there and run’ program—perfect for a challenging market, too). I thought you’d enjoy reading my take on what new agents should contribute to their manager (and their office):

Ten Commandments to Get the Best from your Manager

1. Do the work.

2. Don’t argue.

3. Don’t make excuses.

4. Don’t tell the manager you’ve been in the business two weeks and you have a better way.

5. Do thank your manager.

6. Do tell other agents that you appreciate your manager’s efforts.

7. Do tell other new agents you meet in other companies that you have a great manager.

8. Don’t bug other people in the office to find another answer because you didn’t like your manager’s answer.

9. Don’t change the program because you don’t like it.

10. Don’t miss a coaching appointment!

I’d love to hear what you think of my ‘ten commandments.’ Are there others you think are important? Agents: What do you think the company should expect as your contribution to the betterment of everyone? What should the manager expect from you?

Let me know! I’m working with companies internationally now to help them create pride in association, standards of practice, and the kind of performance expectations and measurements that have clients jostling to be served from ‘one of the best’.

Successful Companies Do It, So Why Don’t Managers Lead with Standards?

In these challenging markets, much of my work has been with management teams, designing actins that move their offices into profitability. I’ve identified three strategies that managers are failing to implement that cause them to go into the red. The most glaring mistake I see managers making is that they don’t have performance standards in place for their offices. What are performance standards?

Minimum production standards

How well (competency) one performs certain tasks

Do You Know Any Great Companies—of Any Type--Without Standards?

It constantly amazes me that real estate companies don’t have production standards. Would you buy a car from a car maker that didn’t have pretty high production standards for how they constructed that car—and how they service it? Of course not. Would you buy a home from a builder who had just thrown the home together with little regard to production standards (that would be very low standards)? Of course not. Would you buy a home from an agent who was a lousy agent? Of course not.

Three Reasons Companies Need Production Standards

It’s a recruiting magnet (who doesn’t want to be with the best?)
It’s a production incentive (who doesn’t want to stay with the best?)
It’s a performance enhancer (we all do better when we’re around better performers)

Would You Join a Real Estate Company that had Lousy Agents?

Only if you were a poor agent! Likes attract, and good agents know they will do better with other good agents. Good agents are attracted to a company that’s ‘picky’—that doesn’t just take or keep just anybody. Think of the recruiting opportunities companies miss because they don’t have production standards in place……

Pride of Belonging to Something Exceptional

Think of an association, family, business, club—that you were proud to belong to? Did that entity have low or high standards? High standards, of course. Not only do you have pride of belonging, you know that you must maintain those standards to maintain membership!

Question of the day: If Production Standards Have all These Benefits, Why Don’t Companies Embrace Them?

What do you think? Email me and let me know. From my coaching leadership, I’ve found that leaders

Don’t understand the power of standards
Think they actually have standards (when they don’t)
Are afraid of setting standards

From taking over 2 failing real estate offices and one floundering region for one of the world’s biggest real estate franchises (and turning all of them around), I know the steps it takes to turn a red bottom line into a very healthy black one. Let me know your feedback about standards, so we can help the industry put pride of ownership and pride of performance back into our industry.

Thursday, May 29, 2008

The Secret Component of Highest Productivity

A few months ago, I was a speaker again at the NAR 2007 convention. (I think that was my 16th year!) I talked about the four components of ‘new’ leadership. Why is switching leadership style so important? The world has changed, and, if you’re an agent or a manager, you need to lead effectively in all situations (lead your clients, lead your fellow agents, lead your team). And, there’s one style component that has a huge impact on both culture and productivity, yet few of us realize it:

1. Standards-driven organization: In almost every presentation I do for leadership, I ask attendees if they have productivity standards (minimum expectations) in their companies. Out of 200 attendees, about three will raise their hands. No wonder agents don’t believe they must be ‘on the team’, pulling their own weight in production. No wonder managers are wondering how to get their agents to go to work. No wonder there are challenges recruiting and retaining! No wonder agents are having great challenges attempting to get their buyers’ agents to pull their load. And, no wonder agents are wasting time with buyers who won’t buy and sellers who overprice!

How to Assure no One will Work very Hard

Having no standards de-motivates. In a recent study by The Ripple Effective of Negativity Leadership IQ, 87% of the 70,305 executives, managers, and employees interviewed said working with a slacker actually made them want to change jobs; 93% said it hampered their development or decreased their productivity. So, without standards, real estate leaders are de-motivating their good performers!

Here’s what Roy Disney says about effective leadership, from the New Leadership Paradigm:

Leadership is the ability to establish standards and manage a creative climate where people are self-motivated toward the mastery of long-term constructive goals in a participatory environment of mutual respect compatible with personal values.

There are many theme parks, but they aren’t Disney. What is the difference? One huge difference, and you know this if you’ve visited various theme parks, is that Disney has high standards.

Agents: What would it mean to your time management and bottom line if you had high standards for your clients? (Studies show that top producers qualify carefully and ‘tell the truth attractively’ to both buyers and sellers, so they don’t waste anyone’s time).

Agents: See my new for 2008 program, On Track to Success in 30 Days System for Experienced Agents. It has a 30 day program with standards that assure your success.

Managers: See the coaching system for On Track to Success, Managers' On Track to Success Coaching for Experienced Agents. I’ve given you dozens of tips on how to create standards and hold agents accountable to standards and goals.

Real Life has Standards

A few months ago, I hired a personal fitness trainer. Do you think she has standards? You betcha. Are they higher than I would like to exert myself? You betcha. Is this making me more fit? Right again. It’s true any time we get coached. Our coach always urges us to do more than we would be willing to do on our own. So, we get better faster.

High Standards has a Positive Message

Working with people with high standards sends a message to each one of us:

You’re worth it. You can do it. I believe in you.

Obviously, you would not be working with that leader if that leader didn’t think you ‘had it’, would you? That belief drives us to do much better than we thought we could do. It’s inspiring. And, in this challenging real estate market, we need all the inspiration we can get! So, we’re all in leadership, whether it’s with our clients, with other agents on our team, as a manager, or as a parent. Setting standards and encouraging meeting them is the greatest gift you can give to someone—or can give yourself.