Tag Archives: Hospitality Education

Our Industry’s Reputation and Yours Are at Stake: Help Is Needed!

Originally published Meetings Today Blog

Our Industry’s Reputation and Yours Are at Stake: Help Is Needed!

When the meetings industry first introduced the CMP—referred to as “Certified Meeting Planner”—it was to help ensure that those who planned meetings be considered professionals.

As the program evolved, it became possible for suppliers in our industry to be tested and to receive the designation, which as a result was changed to “Certified Meeting Professional.”

For most of the years I’ve been in this industry, I’ve questioned the business practices that are considered “standard” or “normal” and sought evidence of those practices being ethical and professional.

I’ve looked to other professions—accounting, medicine, law, journalism, association management, counseling, among them—and saw that there were standards of conduct that must be adhered to in order to maintain one’s license to practice in that profession.

No such thing exists for planning, sales, or convention services in our industry.

In preparing to write this blog post—one of two (or more) that will look at practices and perceptions of those of us who plan and supply services and venues for meetings—this part of the definition of “professional” struck me:

characterized by or conforming to the technical or ethical standards of a profession.”

In fact, in the 9th Edition of the EIC Manual,  subtitled “A working guide for effective events, meetings and conventions”, there is no separate chapter on “ethics.”

Instead, it is included in “Domain J: Professionalism” where “Sub Skill 30.01” is “Demonstrate Ethical Behaviour.”

Relaxing Standards in the Meetings Industry

APEX, The Accepted Practices Exchange Initiative, and the CMP give us the technical “standards” of the profession. To be a member of the Events Industry Council (EIC)(founded in 1949 as the “Convention Liaison Council,” then renamed “Convention Industry Council”), it was, for years, a requirement to have a code of conduct or ethics.

Now, it is required to submit a code but it is no longer a requirement for membership. No one could tell me when and why the requirements for membership changed.

In talking with staff of a number of EIC member organizations, I learned that some don’t have codes of conduct or codes of ethics at all.

And if they do, many, like that of the American Society of Association Executives (ASAE)are, for all but Certified Association Executives (CAE), aspirational. Only for CAEs is there an enforceable code of conduct referred to as “CAE Standing Rules and Policies.”

If one has attained and maintained the CMP designation, one agrees to abide by the CMP Code of EthicsBut (and I do mean “but” not “and” as improvisation teaches) it is rarely used to strip someone of their CMP for unethical behavior.

I was told by EIC that the ethics complaints are almost always about a person using the designation who has not been attained or maintained and not for behaviors that violate the code as I believe those in the stories below do.

Who’s Enforcing Our Industry’s Ethics Policies?

In e-mail exchanges and voice conversations with staff members of EIC member organizations, there seems to be little done now if there are ethics violations.

MPI, which used to have an enforceable and lengthy code of conduct, changed it years ago to the Principles of Professionalism for which there is no reporting body.

It seems, an already existing program—MPICares—was created to advance service projects and report and examine issues of sexual harassment and ethics violations.

(Interestingly, featured in the news recently and also reported on this week by Meetings Today was the MPI Foundation Executive Director who has been accused of a crime, who has since resigned from her position but claims innocence).

There is a fine ethical/legal line that I am sure will be sorted out as this proceeds.

Why write now—again—about these issues?

Why I Choose to Write About Ethics

There are multiple reasons:

1. I’ve been asked repeatedly what I want my legacy to be. I hope that a) it’s that we learn to create interactive, well-conceived and executed meetings with no more theatre or schoolroom sets, and really, b) we all agree to operate in a manner that reflects well on us individually and on our profession which, I believe, means working ethically.

2. Colleagues and strangers have for years and continue to contact me to sort out ethical issues. Most recently, some have discussed the quid pro quo of booking meetings: suppliers want their numbers to gain their bonuses or keep their jobs. Planners or others who sign meeting contracts are often willing to sign multi-year or exaggerated room-block contracts or make up fake and contract meetings to “help a seller friend” achieve their goals to earn more money or bonuses, knowing full well that what they both are doing is not ethical and may, in fact, be illegal.

Strangely, the example most often cited as unethical behavior in our industry is of sellers who offer and planners who accept familiarization (“fam”) trips (or hosted buyer invitations) for destinations and/or properties the parties know are not in the pipeline for use, justifying that “someday” they may work elsewhere or that “someday” they may convince someone to book the city or site because they were once there.

Forget that the wining and dining and gifts that come with many of these trips may have dollar values above what one’s employer’s code of ethics note is permissible.

Real-Life Examples of Questionable Behavior

Over the many years I’ve worked in the industry, I’ve seen the results of unethical behavior and the cost to organizations as a result.

Here are but a few specific examples, never reported to the CMP Board, in which planners and suppliers who were CMPs (or in one case a CAE) were involved.

Story 1: Full-time planners at an organization created their own side company to receive commission on meetings they booked for their employer. The commission agreements were inserted after the contracts were signed. Adding to the behavior, the planners often used the CEO’s electronic signature to sign these bogus contracts.

The hotels? They got the numbers they wanted as did the sales people who received their bonuses. The planners? Perks for getting the business signed and an expectation of commission.

Though these planners were eventually fired when an audit uncovered the fraudulent meetings, I know the planners were hired by others because, by law, a past employer cannot ask about such behaviors. Because nothing was reported to the CMP Board, even the CMP designation wasn’t stripped.

Story 2: An organization’s CEO, a CAE, and planner, a CMP, booked a future meeting with a vastly inflated room block. The contracted block was not remotely achievable given the group’s pattern and expectations. The hotel salesperson, if history had been submitted by the group or checked by the hotel, would have questioned the numbers.

What did the CEO and planner receive for contracting this meeting? Super Bowl tickets and other perks.* What happened to the organization? They paid more than $100,000 in attrition and almost went bankrupt. The salesperson? Bonus and promotion based on the nights booked even though they were never actualized.

[Yes, this is a discussion for another time—how our industry sets up conditions for incentives for salespeople. It was a conversation, in research for this blog that surfaced with many hotel personnel.]

*Both were eventually fired though no charges were brought. The planner went on to tout expertise in the job and was praised by suppliers for good work.

Story 3: A planner wanted to help a supplier partner who was having trouble booking enough business to meet their year-end goals. The planner made up multiple meetings that were not on anyone else’s radar—basically fake business.

The planner, a CMP, received trips and other perks for themselves and for their family. The supplier? Made their numbers and received a bonus. The organization? Hefty legal fees, some cancellation fees, and a new meeting created to mitigate what would have been additional millions of dollars in cancellation fees.

Uncovered in an audit and review of emails, the planner was fired.

When the action was reported to the hotel company, despite their ethics’ code, the salesperson remained on the job.

Story 4: A planner needed promotional products (aka “tchotchkes”) for a meeting.

When ordering it was not specified that the items could not come from China—just that the price had to be “the lowest.” The lowest priced items were made in China and were ordered by the promotional products company.

When received, the planner told (not asked!) the supplier to remove all labels on boxes and other packaging indicating that the items were from China. It was the supplier who came to me with the story of the issue and the dilemma: does one report this action to an employer or to the CMP ethics review board and risk losing a good client or comply?

[I know the outcome—I’ll let you suss this one out and consider what you’d do].

There are many more situations I’ve seen and about which others have told me. Included in the current issues are those about third parties who receive commissions and about which I wrote previously for a Friday With Joan newsletter and blog post.

I was told directly by someone doing this that they and others are going to the franchise properties’ owners and demanding the higher commission and in some cases getting it.

In talking with an industry attorney, I was told that in an audit, when discovered, the franchisee could be in jeopardy.

Among stories known to many are those surrounding what U.S. government planners faced over one particular Las Vegas meeting that was reported in national news and by our industry’s press. As a result, all of our industry and all meetings were made to look like boondoggles.

Advancing Integrity in Our Industry

Where do we go from here?

If we are to be thought of as professionals, regardless of our job titles or in which industry segment we work, is it appropriate to look more closely at behaviors?

Consider, as you chew on the stories noted above and your own experiences, these questions:

  • What do you do when a client or employer asks you to do something that violates a specific written code or your own moral compass?
  • What guides you ethically in life and in business?
  • When you heard Jiminy Cricket say “Let your conscience be your guide,” did you consider what that meant and what to do if your conscience and “standard practice” were in conflict?

Will you help me and help our profession? Either in the comments section below or in the comments area in the sidebar interview with Paul A. Greenberg who is a professor of journalism and was in our industry, or to me personally at FridayWithJoan@aol.com, write and tell me what guides you ethically. Answer the poll questions.

Read the codes of ethics for the industry segment to which you belong. And watch for the continuing discussion based on input from a variety of industry professionals in the next weeks about hiring and interviewing with ethics in mind, specific language and reaction to that in the CMP Code, and more.

If we can’t get this right, what then is the point of pretending to be professionals?

And Just One More Very Important Thing!

November 6, 2018, is the U.S. midterm election.

I, and those affiliated with Meetings Today, encourage you to vote. There are issues on ballots throughout the U.S. that will impact meetings including taxes and initiatives important to how and where we do business.

There are elections of individuals who you may want to question at town hall meetings about their stands that impact your particular employer or clients and their meetings.

Having written about what happens when laws are passed that cause groups to reconsider where their meetings are held, it’s a time to be more informed. For those who are not U.S. citizens, we encourage you to vote in elections of your own countries.

Editor’s Note: The views expressed by contributing bloggers are their own and do not necessarily reflect the opinions of Meetings Today or its parent company.

Related Reading From the October 2018 Edition of Friday With Joan

Click here to view additional content in the 10.05.18 Friday With Joan newsletter.

How to Network and Ethically Do Business in a Relationship Industry

Originally published Meetings Today blog

How to Network and Ethically Do Business in a Relationship Industry

My number one “strength” is “connectedness.” And though I dislike networking in the traditional sense (the kind that is done at big events with too much noise and no time for deeper conversation—check out this video podcast for more), connecting with others, and learning more about their ideas and opinions and experiences, matters greatly.

After all, I learned great networking skills from Susan RoAne, the “Mingling Maven,” years ago at an industry meeting and I still follow her work and the principles learned because she understands the value of it, and knows how to network, beyond the superficial.

Years ago, serving on the board and then as president of the MPI Potomac Chapter, I remember using the Myers-Briggs Type Indicator (MBTI) and other tools in a facilitated exercise to build a better board through our relationships. I confirmed that for me to work well with someone, I had to be connected in more than one way.

That is, I wanted to know who I was working with—and their specific interests—in order to be able to connect more than casually.

That has served me well in many years in the industry and business … until this summer. I recently was “taken in” during a critical negotiation when I thought someone really wanted to know me and have me know them. It turns out they didn’t. My involvement was merely a means to an end, and soon the honesty went straight out the window.

Some of what a client and I went through will form a backdrop for this upcoming Meetings Today webinar on Oct. 25 at 1 p.m. Eastern Time, which Kelly Bagnall, Esq., a meetings industry attorney on the hotel side, and I will co-present. You’ll want to tune in for specific examples.

What happened this summer caused me to reflect back on more positive outcomes resulting from strong industry relationships. I thought about a dinner during a PCMA meeting, who was there and why, and what was said. At this dinner and at others, outside the bustle of the larger meeting and official (and invited) events, friends could catch up with each other, make connections and talk in a more intimate setting, my preferred way of networking and building relationships.

At one dinner of 30, it was suggested that introductions include “how I’m connected to Joan.” It was fascinating to hear: the planners said they’d learned from me in a class or from my writing; the suppliers said they’d experienced a tough but fair negotiation.

In another instance where connectedness paid off, I was working for a client at whose organization there had been some “irregular activity” [I can’t call it criminal because it was never prosecuted]: planners, including those at the most senior level, set up a side company (to their existing employment), and in the name of that company, inserted a commissionable page into contracts after the contracts were signed by their employer.

The planners then went further and booked bogus meetings using the insertion and the electronic signature of the CEO. All this was uncovered in an audit, they were fired, and I was brought in to fix the damage. A connection with an industry attorney—lawyers and hotel lawyers are not our enemies!—who represented the hotel owners knew enough about me and my integrity to know that I wanted to make the situation right for the client and for the hotel owner and management companies. Without the existing relationship and a reputation for ethical behavior, openness in dealing with the situation, and the connection made, the results for the association might have been very costly.

We don’t have to be “best” or even good friends. It simply helps for us to know about the other to understand what makes us tick and how we operate. Pretending you want to get to know each other when you are, instead, manipulating a situation, is not sincere and in the end, doesn’t enrich the trust that should be built in a complex negotiation.

In the sidebar you’ll see that more than one person mentions the ethics of how to work in this industry. There are varying guidelines at each of the industry association’s sites and none are exactly alike. For those who are CMPs, the Events Industry Council offers its own set of guidelines. Honor your employer’s or client’s code of conduct and others.

It all seems simple and yet, due to the bottom line- and date-focused nature of the industry, we tend to not play fairly. Below are some suggestions about how to build and keep relationships based on my own personal experience. Over the years I’ve worked and built relationships with people who work in sales, convention services and law.

Those relationships, and others this summer after the unpleasant one, allowed me to find solutions to sticky situations in which my clients’ dollars were at stake—situations where I would not benefit directly. (I am paid by fees from clients vs. commissions. That’s relevant because in each case where a relationship paid dividends, my pockets were not further enriched because of the relationships and work).

Here are five guidelines that I think we can all follow to ethically advance our work and build better relationships.

1. Play fairly. Groups should send full RFPs detailing all that’s important (including any non-negotiable items). Suppliers should send proposals that answer all the questions asked in the RFP and others anticipated based on research. Establish realistic deadlines and determine how you both can meet them.

2. Work honestly. Tell the truth in all aspects of your work. Don’t rush through a negotiation just to meet a deadline that involves bonuses for one party especially if it results in an incomplete contract or doesn’t allow time to re-read the contract to correct inconsistencies (See Tammi Runzler’s comments in the Friday With Joan sidebar).

3. Be sincere. Don’t fake interest in the other person if it’s not there. Still be polite and listen to what they have to say. You may be surprised at what you find in common that will enhance the relationship, even if you don’t become best friends, or friends at all.

4. Operate ethically. Become better acquainted with your company’s ethics policy and that of your clients and customers. Planners, stop expecting supplier partners to treat you with a gift or provide personal perks. Suppliers stop offering perks to planners to get a contract signed. In the end, it only furthers the perception about and actions of our industry that draw negative attention and can result in job losses—mostly for planners.

Planners, take a supplier to lunch instead of being expected to being treated (I confess to thinking about the brilliant late Stan Freberg and his “Stan Freberg Presents the United States of America.” One excerpt can be heard here, followed by the full recording).

5. Keep friendships and business relationships separate. If you’re negotiating with someone who has become a friend because you got to know each other through industry activities or you found something in common while doing business together, remember to take off your “friend hat” and put on your “business hat” and be explicit about doing so. It keeps the relationship and the outcomes cleaner.

And now here are some final words to consider.

A friend and cancer patient, Karen Francis, wrote the words quoted below as I was considering the content of this blog post. I share it with her permission:

“As I think about the value of the ‘seasoned nurse’ … I am reminded of the many ‘seasoned bankers’ that groomed my career and contributed to the tremendous success … We all knew how … to satisfy the client’s needs at any cost, and how to beg for forgiveness instead of asking for permission in bending the rules. We were ‘client driven’ not ‘sales [driven]’ and we were all ‘old school,’ trained and developed within by each other’s career experiences.”

To help us become better—and more ethical—negotiators and connectors, I asked people who currently or have been in industry sales and those who help hire for their take on doing business. I think you’ll find their responses helpful, no matter if you’re new to the industry or an old dog learning new tricks.

See the Friday With Joan companion article for these responses.

And please add your tips in the comments. It is complicated, at times, when we form these friendships that may last (or not) after the “deal” is over. We are potentially going to do business together again. It is best to ensure an honest relationship from the start.

Click here to view additional content in the 08.04.17 Friday With Joan newsletter.

Follow Joan on Twitter: @joaneisenstodt